Effectiveness of Online Advertising on Social Networking Sites - A Case Study on Facebook

Abstract

The purpose of this dissertation is to investigate and find out the benefits of online advertising on social networking sites such as Facebook in Bangladesh. The mode of advertising and the perspective of Marketing have been changing to reach quick and easily near to customer door. From 1999 to 2012, IAB reports show that the internet advertising revenues hit historically at nearly $9.3 billion. Digital Marketing is a highly effective medium for interacting and engaging to the consumers, through social media consumers play no longer as passive but are more active participants in contemporary online media. The online advertising is an increasingly important component of public relations, organisations use social network sites to build relationships with key publics, provide a variety of organisational information.

The proposed study aims to discuss a brief overview of the market of social network advertising and to determine the effectiveness of advertisements on social networking to attract customers. The online business in Bangladesh has just been moving positively where 5 per cent of total population are active internet user and 1.9 per cent of total population are using Facebook (By IWS, September 2012).

A qualitative research with case study design has been used to find out the total effectiveness of online advertising on Bangladesh marketing system using of social networking site Facebook. The data have collected from several media, from own website and from Facebook advert page before data been organised by the help of SPSS.

The outcomes from this research are not enough to justify the whole scenario of Bangladesh online marketing facilities. A single marketing organisation like bikroy.com has just launch no more than two years.

In the recommendations section Bangladesh would be a great area to make any organisation profitable by using of social networking sites like Facebook. Online advertising are getting benefited as the internet user are increasing rapidly in Bangladesh.

Keywords: Online Advertising, Effectiveness, Social Networking Sites, Case Study on Facebook, Bikroy.com, Online advertising effectiveness in Bangladesh

JEL Classification: M31, M37, O53