THE THEORETICAL FRAMEWORK OF SOCIAL MEDIA MARKETING - THE UPDATED TREND AND APPLICATIONS IN BANKING INDUSTRY
Social media marketing channels in banking sector
Chapter 2: Research methodology and data analysis
2.1 Methodology and research methods 2.2 Data analysis
Chapter 3: Valuating the efficiency of using social media marketing channels in BIDV
3.1 Introduction about BIDV 3.2 Analyze the current application of social marketing channels in BIDV
3.3 The advantages and disadvantages of using social media marketing tools in BIDV
Chapter 4: Findings and recommendations for improving the role of social media marketing in BIDV
4.1 Development orientation of BIDV 4.2 Solutions to enhance the importance of social media marketing in BIDV 4.3 Recommendations
Conclusions, limitations and research contributions
CHAPTER 1 THE THEORETICAL FRAMEWORK OF SOCIAL MEDIA MARKETING - THE UPDATED TREND AND APPLICATIONS IN BANKING INDUSTRY
1.1.Overview of social media marketing
Social media originated in 1978 with the introduction of Bulletin Board Systems that allowed data exchange over phone lines As the Internet gained popularity, consumers began to disregard traditional marketing messages in favor of sharing their own experiences with products and services, as noted by Evans (2008) This shift led to the rise of websites, blogs, forums, and message boards where discussions about brands and companies flourished, significantly impacting consumer behavior Today, social media marketing, particularly through social networks, plays a crucial role in shaping purchasing decisions by amplifying word-of-mouth recommendations.
Social Media, as defined by Evans (2008), is a platform for authentic, self-generated conversations among individuals centered around shared interests, fostering a collective vision and informed choices It evolves continuously, allowing users to contribute content and update information at their convenience As part of advanced internet technologies, Social Media encompasses diverse online and mobile forums, including social networking sites, blogs, discussion boards, consumer ratings websites, and multimedia platforms (Hollensen, 2011) Social Networks serve as online communities where users with common interests can interact and communicate effectively.
Andreas Kaplan and Michael Haenlein [2] define social media as "internet applications based on the technology and ideal of web 2.0, which facilitates the creation and exchange of information by users "
In Vietnam, the Ministry of Information and Communications defines social media as an information system that offers users a network of services for storing, providing, utilizing, searching, sharing, and exchanging information This includes features such as personal websites, forums, online chats, audio and video sharing, and various other similar services.
Social media continues to expand rapidly, with 90% of internet users aged 18-24 engaging with social networks at least once a month This trend is not limited to younger demographics, as usage among individuals over 35 is increasing at even higher rates On average, people worldwide spend 4.6 hours per week on social media sites, highlighting the growing importance of online interactions in our daily lives.
Figure 1: Average hours/week spent on online activities worldwide
As of 2018, active social media users have exceeded 2 billion, with projections reaching 2.44 billion This digital landscape is not limited to millennials; it encompasses a diverse range of age groups, particularly on major platforms like Facebook and LinkedIn.
Individuals aged 25 to 44 represent the largest demographic of social media users, with 62% of online adults using Facebook and 20% of LinkedIn users being 65 years or older.
With the development of social media, world marketing in general and Vietnam in particular, gradually change to take full advantage of the strong connection of social networks
Social media marketing focuses on engaging people rather than promoting products, emphasizing the importance of customer feedback and interactions (Diamond, 2008) While companies can showcase their products with various features and promotional strategies, it's the customer comments and reviews that truly impact brand perception This shift in control over marketing content poses challenges for marketers, as negative word-of-mouth can spread rapidly across social platforms The rise of internet-based communication through social media significantly influences consumer behavior, affecting awareness, consideration, information gathering, opinions, attitudes, purchasing decisions, and post-purchase evaluations Therefore, international marketers must acknowledge the critical role of consumer conversations in shaping brand narratives.
4 Social Media Update 2016, PewResearch Center
Social Media Consequently, the ability of influencing the crowd effectively is the main quality needed by the marketing team (Evans, 2008)
Technology has transformed consumer habits, leading customers to prioritize personal recommendations over brand messages The traditional sales funnel, which follows the "four A's" model—awareness, attitude, action, and re-action—has evolved According to P Kotler (2016), the modern shopper pathway now encompasses "five A's."
“Aware” – Consumers become aware of brands through marketing, personal experience or recommendations from other people
“Appeal” – The most attractive brands rise to the top
“Ask” – Buyers seek data online via social networks, reviewers, the media or your brand
“Act” – Buyers select purchases based on their data, buy what they want and use it
“Advocate” – People develop preferences for brands and make repeat buys A query or negative comment can prompt proponents to defend their brand publicly
Across all the demograghics, a growing number of users are relying on online sources, including social media, to support their buying or investment decisions According to a recent report from Google:
- 65% online consumers look up more information online now than they did a few years ago
- 66% of smartphone users turn to their phones to look up something they saw in a
- Searches of businesses “near me” doubles in the past year
- 82% of smartphone users use a search engine when looking for a local business
- 82% of smartphone users consult their phones while in a business deciding what to buy
- Mobile conversation rates have increases 29% in a single year
- One in three millennials say they have purchased a product as a result of watching a how-to video 5
Figure 2: Benefits of Social Media Marketing:
Source: Stelzner, 2012 Social media have redefined the way people interact with one another, enabling people to build relationships without geographic and demographic barriers
The Social Media landscape encompasses a vast array of channels, each uniquely defined by marketers In this section, we will explore one of the most widely recognized models in social media categorization.
5 Shape Consumers Preferences in their I-Want-to-Buy-Moments, June 2016, ThinkwithGoogle
Media Landscape by Fred Cavazza Finally, we will provide our own list of Social Media channels and illustrate them all in our model of Social Media channels
Fred Cavazza, a prominent French web business consultant, has gained recognition for his annual blog posts outlining his perspective on the evolving Social Media Landscape since 2008 Initially, he categorized social media channels into ten main groups: publishing, sharing, discussing, social networking, microblogging, lifestreaming, livecasting, virtual worlds, social games, and MMOs Over the years, Cavazza has adapted his model to reflect the dynamic nature of Social Media Marketing In 2009, he repositioned social platforms at the core of the landscape, organizing them into four primary categories: Expressing, Networking, Sharing, and Gaming By 2011, he highlighted Facebook and Google as central figures, linking them to seven key areas of Social Media: Publishing, Sharing, Discussion, Commerce, Location, Networking, and Games.
Figure 3: The Social Media Landscape 2008, by Fred Cavazza
Figure 4: The Social Media Landscape 2009, by Fred Cavazza
Figure 5: The Social Media Landscape 2011, by Fred Cavazza
In Fred Cavazza's updated Social Media Landscape, Facebook, Twitter, and Google+ occupy a central position, highlighting their diverse functionalities and their role as relays for user activities across platforms The graph introduces new players, generalizes conversations and interactions, and includes various device types like laptops, smartphones, and tablets It effectively illustrates the dense ecosystem of social media, categorizing services into families such as blog engines (WordPress, Blogger), wiki platforms (Wikipedia, Wikia), lifeblog services (Tumblr, Posterous), and social Q&A (Quora) Additionally, it features dedicated platforms for videos (YouTube, Dailymotion), images (Flickr, Instagram), links (Delicious, Digg), products (Pinterest), music (Spotify), and documents (Slideshare, Scribd), along with major editors (Zynga, Playdom) and smaller innovative firms (Digital Chocolate, Kobojo) The landscape also includes professional networks (LinkedIn, Viadeo), personal sites (MySpace, Badoo), platforms for reconnecting with former acquaintances (MyYearBook, Classmates), customer intelligence services (Bazaarvoice, PowerReviews), purchase sharing (Polyvore), recommendations (Hunch), social commerce (Boosket), mobile apps (Foursquare, Path), socialized city guides (Yelp, DisMoisOu), and event or venue listings (Plancast).
Figure 6: The Social Media Landscape 2012, by Fred Cavazza
This report highlights the benefits of Social Media Marketing for businesses, particularly banks, by focusing on relevant Social Media channels that impact business operations We will exclude the analysis of the "Buying" group, including customer reviews, and the "Playing" group, which encompasses virtual games and social worlds like World of Warcraft and Second Life Additionally, we will concentrate solely on the Social Events channels from Cavazza's "Localization" group, while incorporating other relevant categories Notably, we will differentiate between Blogs & Microblogs, Wikis, and Social Bookmarking News Sites, as well as discussion forums The seven types of Social Media channels that influence businesses will be outlined in this report.
Content Communities or Media Sharing Sites
(Video/Audio/Photo/Presentations): e.g Flickr, YouTube, Dailymotion, Vimeo, Picasa, Pinterest, Slideshare…
Blogs and microblogs, along with social bookmarking and social news sites, will be consolidated into a single section Figure 9 illustrates the Social Media Universe, highlighting the social media channels suitable for businesses and their brands, accompanied by logos representing various examples of each type of channel.
Figure 7: Social Media Universe for businesses
For businesses utilizing Social Media Marketing, identifying the platforms where their audience engages is crucial (Evans, 2010) Consumers often engage across multiple Social Media Sites, a behavior known as cross-pollinating By analyzing their target audience's interactions, marketers can ascertain the timing, manner, and individuals involved in these conversations This analysis also aids in recognizing key influencers within the online community, categorizing them as networkers, everyday users, trendsetters, reporters, or opinion leaders.
Table 1: The Social Media channels and their business characteristics:
Types of Social Media Channels
- Risks related to the content of the posts
- Po-ssible bad comments to handle
1.3.Social media marketing channels in banking sector:
Banks are often perceived as cold and impersonal institutions; however, the rise of technology has prompted significant changes in the banking sector A 2017 study by the American Bankers Association explored the state of social media in banking, highlighting how banks are leveraging social media, identifying challenges and opportunities, and anticipating future developments in the industry.
RESEARCH METHODOLOGY AND DATA ANALYSIS
Methodology and research methods
Chapter 3: Valuating the efficiency of using social media marketing channels in BIDV
3.1 Introduction about BIDV 3.2 Analyze the current application of social marketing channels in BIDV
3.3 The advantages and disadvantages of using social media marketing tools in BIDV
Chapter 4: Findings and recommendations for improving the role of social media marketing in BIDV
4.1 Development orientation of BIDV 4.2 Solutions to enhance the importance of social media marketing in BIDV 4.3 Recommendations
Conclusions, limitations and research contributions
Data analysis
Chapter 3: Valuating the efficiency of using social media marketing channels in BIDV
3.1 Introduction about BIDV 3.2 Analyze the current application of social marketing channels in BIDV
3.3 The advantages and disadvantages of using social media marketing tools in BIDV
Chapter 4: Findings and recommendations for improving the role of social media marketing in BIDV
4.1 Development orientation of BIDV 4.2 Solutions to enhance the importance of social media marketing in BIDV 4.3 Recommendations
Conclusions, limitations and research contributions
CHAPTER 1 THE THEORETICAL FRAMEWORK OF SOCIAL MEDIA MARKETING - THE UPDATED TREND AND APPLICATIONS IN BANKING INDUSTRY
1.1.Overview of social media marketing
Social Media originated in 1978 with the introduction of Bulletin Board Systems that enabled data exchange over phone lines As the Internet gained popularity, consumers began to disregard traditional marketing messages, opting instead to share their experiences with products and services more openly (Evans, 2008) This shift led to the emergence of discussions on websites, blogs, forums, and message boards, which significantly impacted purchasing decisions by fostering authentic conversations around brands and products Today, Social Media Marketing, particularly through Social Networks, plays a crucial role in influencing consumer behavior by enhancing word-of-mouth communication.
Social Media, as defined by Evans (2008), involves authentic, self-generated conversations among individuals about shared interests, fostering a collective vision and informed choices It evolves continuously, allowing users to contribute content and adapt to changes in technology According to Hollensen (2011), Social Media encompasses a diverse range of online platforms, including social networking sites, blogs, discussion boards, and multimedia forums These Social Networks serve as online communities where users can interact, share common interests, and facilitate communication effectively.
Andreas Kaplan and Michael Haenlein [2] define social media as "internet applications based on the technology and ideal of web 2.0, which facilitates the creation and exchange of information by users "
In Vietnam, the Ministry of Information and Communications defines social media as an information system that offers users a network of services for storing, sharing, and exchanging information This includes features such as personal websites, forums, online chats, and audio and video sharing, among other similar services.
Social media usage is rapidly increasing, with 90% of internet users aged 18-24 engaging on social networks at least once a month This trend extends across all age groups, particularly among those over 35, who are experiencing significant growth in social media engagement (Hubspot, 2012) On average, individuals worldwide spend 4.6 hours per week on social media platforms, highlighting the growing importance of online social interactions.
Figure 1: Average hours/week spent on online activities worldwide
As of 2018, active social media users have exceeded 2 billion and are projected to reach 2.44 billion This digital landscape is not limited to millennials; individuals of all ages actively engage on major platforms like Facebook and LinkedIn.
The majority of social media users are aged between 25 and 44, with Facebook attracting 62% of online adults and LinkedIn appealing to 20% of users aged 65 and older.
With the development of social media, world marketing in general and Vietnam in particular, gradually change to take full advantage of the strong connection of social networks
Social media marketing focuses on engaging people rather than promoting products, emphasizing the importance of customer feedback over company-driven messages (Diamond, 2008) While companies can showcase their products with various features and promotional tools, it is ultimately the comments and reviews from customers that shape perceptions This shift in control makes social media marketing both daunting and challenging for marketers, as negative word-of-mouth can spread rapidly across the internet The influence of social media on consumer behavior is profound, affecting awareness, consideration, information gathering, opinions, attitudes, purchasing decisions, and post-purchase evaluations Therefore, international marketers must understand the power of consumer conversations happening on these platforms.
4 Social Media Update 2016, PewResearch Center
Social Media Consequently, the ability of influencing the crowd effectively is the main quality needed by the marketing team (Evans, 2008)
Technology has transformed consumer habits, leading customers to place greater trust in personal recommendations over brand messages The traditional sales funnel, based on the "four A's"—aware, attitude, act, and act again—has evolved According to P Kotler (2016), the modern shopper pathway now encompasses "five A's."
“Aware” – Consumers become aware of brands through marketing, personal experience or recommendations from other people
“Appeal” – The most attractive brands rise to the top
“Ask” – Buyers seek data online via social networks, reviewers, the media or your brand
“Act” – Buyers select purchases based on their data, buy what they want and use it
“Advocate” – People develop preferences for brands and make repeat buys A query or negative comment can prompt proponents to defend their brand publicly
Across all the demograghics, a growing number of users are relying on online sources, including social media, to support their buying or investment decisions According to a recent report from Google:
- 65% online consumers look up more information online now than they did a few years ago
- 66% of smartphone users turn to their phones to look up something they saw in a
- Searches of businesses “near me” doubles in the past year
- 82% of smartphone users use a search engine when looking for a local business
- 82% of smartphone users consult their phones while in a business deciding what to buy
- Mobile conversation rates have increases 29% in a single year
- One in three millennials say they have purchased a product as a result of watching a how-to video 5
Figure 2: Benefits of Social Media Marketing:
Source: Stelzner, 2012 Social media have redefined the way people interact with one another, enabling people to build relationships without geographic and demographic barriers
The realm of social media encompasses a vast array of channels, each uniquely categorized by marketers In this section, we will explore the most widely recognized model of social media platforms.
5 Shape Consumers Preferences in their I-Want-to-Buy-Moments, June 2016, ThinkwithGoogle
Media Landscape by Fred Cavazza Finally, we will provide our own list of Social Media channels and illustrate them all in our model of Social Media channels
Fred Cavazza, a prominent French web business consultant, has gained recognition for his annual blog posts that analyze the evolving Social Media Landscape Since 2008, he has categorized Social Media channels into ten key groups, including publishing, sharing, and social networking Over the years, Cavazza has refined his model to reflect changes in Social Media Marketing In 2009, he shifted the focus to four main groups: Expressing, Networking, Sharing, and Gaming By 2011, he positioned Facebook and Google at the center of his framework, linking them to seven essential areas of Social Media: Publish, Share, Discuss, Commerce, Location, Network, and Games.
Figure 3: The Social Media Landscape 2008, by Fred Cavazza
Figure 4: The Social Media Landscape 2009, by Fred Cavazza
Figure 5: The Social Media Landscape 2011, by Fred Cavazza
In Fred Cavazza's updated Social Media Landscape, Facebook, Twitter, and Google+ occupy a central position, highlighting their diverse functionalities and their role as relays for user activities across platforms The illustration also introduces new players, categorizes conversations and interactions, and incorporates various device types like laptops, smartphones, and tablets This comprehensive graph represents the intricate ecosystem of social media, showcasing a range of services across different families, including blog engines (WordPress, Blogger), wiki platforms (Wikipedia, Wikia), lifeblog services (Tumblr, Posterous), and social Q&A sites (Quora) It features dedicated online services for videos (YouTube, Dailymotion, Vimeo), images (Flickr, Instagram), links (Delicious, Digg), products (Pinterest), music (Spotify), and documents (Slideshare, Scribd), along with major editors (Zynga, Playdom), dedicated platforms (Hi5), and innovative smaller editors (Digital Chocolate, Kobojo) The landscape also covers professional networks (LinkedIn, Viadeo), personal platforms (MySpace, Badoo), customer intelligence (Bazaarvoice, PowerReviews), purchase sharing (Polyvore), recommendations (Hunch), social commerce (Boosket), mobile applications (Foursquare, Path), socialized city guides (Yelp, DisMoisOu), and event planning (Plancast).
Figure 6: The Social Media Landscape 2012, by Fred Cavazza
This report emphasizes the advantages of Social Media Marketing for businesses, particularly banks, by focusing exclusively on the relevant Social Media channels that impact business operations It excludes the analysis of "Buying" and "Playing" categories, which encompass customer reviews and virtual gaming platforms like World of Warcraft and Second Life Additionally, we will concentrate on Social Events from Cavazza's "Localization" group while incorporating other relevant categories The study will distinctly address Blogs & Microblogs, Social Bookmarking News Sites, and discussion forums Ultimately, we will explore seven key types of Social Media channels that influence business performance.
Content Communities or Media Sharing Sites
(Video/Audio/Photo/Presentations): e.g Flickr, YouTube, Dailymotion, Vimeo, Picasa, Pinterest, Slideshare…
Blogs and microblogs, along with social bookmarking and social news sites, will be consolidated into a single section Figure 9 showcases the Social Media Universe, highlighting the social media channels that are most suitable for businesses and their brands, accompanied by examples represented through their logos.
Figure 7: Social Media Universe for businesses
For businesses utilizing Social Media Marketing, identifying the platforms where their audience engages is crucial (Evans, 2010) Consumers often engage across multiple Social Media Sites, a behavior known as cross-pollinating By observing and analyzing their target audience's interactions, marketers can gain insights into when, where, and how consumers participate in the Social Media landscape This analysis also aids in recognizing key influencers and understanding their roles within the online community, whether as networkers, everyday users, trendsetters, reporters, or opinion leaders.
Table 1: The Social Media channels and their business characteristics:
Types of Social Media Channels
- Risks related to the content of the posts
- Po-ssible bad comments to handle
1.3.Social media marketing channels in banking sector:
Banks are frequently perceived as cold and impersonal entities; however, the rise of technology is prompting significant changes in the banking sector A 2017 study by the American Bankers Association explored the state of social media in banking, highlighting how banks leverage social media to address challenges and seize opportunities, while also considering future trends in the industry.
The advantages and disadvantages of using social media marketing tools in BIDV
Chapter 4: Findings and recommendations for improving the role of social media marketing in BIDV
4.1 Development orientation of BIDV 4.2 Solutions to enhance the importance of social media marketing in BIDV 4.3 Recommendations
Conclusions, limitations and research contributions
CHAPTER 1 THE THEORETICAL FRAMEWORK OF SOCIAL MEDIA MARKETING - THE UPDATED TREND AND APPLICATIONS IN BANKING INDUSTRY
1.1.Overview of social media marketing
Social Media originated in 1978 with the advent of Bulletin Board Systems that allowed users to exchange data via phone lines As the Internet gained popularity, consumers began to disregard traditional marketing messages, opting instead to share their experiences with products and services This shift led to the emergence of conversations on websites, blogs, forums, and message boards, significantly impacting consumer behavior Today, Social Media Marketing, particularly through Social Networks, plays a crucial role in shaping purchasing decisions by enhancing the power of word-of-mouth recommendations.
Social Media, as defined by Evans (2008), is an authentic, self-generated conversation among individuals centered on shared interests and experiences, aimed at fostering collective understanding and informed choices It evolves continuously, allowing users to contribute content and adapt information in real-time As part of rapidly advancing internet technologies, Social Media encompasses a diverse range of platforms, including social networking sites, blogs, discussion boards, and multimedia sharing, as highlighted by Hollensen (2011) Social Networks serve as online communities where individuals with common interests can interact and communicate effectively.
Andreas Kaplan and Michael Haenlein [2] define social media as "internet applications based on the technology and ideal of web 2.0, which facilitates the creation and exchange of information by users "
In Vietnam, the Ministry of Information and Communications defines social media as an information system that offers users a network of services for storing, sharing, and exchanging information This includes features such as personal websites, forums, online chat, and audio and video sharing, among other similar services.
Social media usage is rapidly increasing, with 90% of internet users aged 18-24 engaging with social networks at least once a month This trend extends to older age groups, particularly those over 35, who are experiencing even higher growth rates in social media engagement On average, people worldwide spend approximately 4.6 hours per week on social media platforms, highlighting the global shift towards a more socially connected online presence.
Figure 1: Average hours/week spent on online activities worldwide
As of 2018, active social media users have exceeded 2 billion and are projected to reach 2.44 billion This digital landscape is not limited to millennials; individuals from all age groups are actively engaging, particularly on major platforms like Facebook and LinkedIn.
The majority of social media users aged 25 to 44 primarily engage with platforms like Facebook and LinkedIn Notably, 62% of online adults on Facebook and 20% of LinkedIn users are aged 65 and older, highlighting the significant presence of older adults on these platforms.
With the development of social media, world marketing in general and Vietnam in particular, gradually change to take full advantage of the strong connection of social networks
Social media marketing focuses on engaging people rather than just promoting products, emphasizing the importance of customer feedback and interactions (Diamond, 2008) While companies can showcase their products with various features and promotional strategies, the real impact lies in the comments and reviews from consumers This shift in control over marketing content makes social media both daunting and challenging for marketers, as negative word-of-mouth can spread rapidly across platforms The rise of Internet-based communication through social media significantly influences consumer behavior, affecting awareness, consideration, information gathering, opinions, attitudes, purchasing decisions, and post-purchase evaluations Therefore, international marketers must understand the powerful role of consumer conversations on social media.
4 Social Media Update 2016, PewResearch Center
Social Media Consequently, the ability of influencing the crowd effectively is the main quality needed by the marketing team (Evans, 2008)
Technology has transformed consumer habits, leading customers to prioritize personal recommendations over brand messages The traditional sales funnel, based on the "four A's"—aware, attitude, act, and act again—has evolved According to P Kotler (2016), the modern shopper pathway now consists of "five A's."
“Aware” – Consumers become aware of brands through marketing, personal experience or recommendations from other people
“Appeal” – The most attractive brands rise to the top
“Ask” – Buyers seek data online via social networks, reviewers, the media or your brand
“Act” – Buyers select purchases based on their data, buy what they want and use it
“Advocate” – People develop preferences for brands and make repeat buys A query or negative comment can prompt proponents to defend their brand publicly
Across all the demograghics, a growing number of users are relying on online sources, including social media, to support their buying or investment decisions According to a recent report from Google:
- 65% online consumers look up more information online now than they did a few years ago
- 66% of smartphone users turn to their phones to look up something they saw in a
- Searches of businesses “near me” doubles in the past year
- 82% of smartphone users use a search engine when looking for a local business
- 82% of smartphone users consult their phones while in a business deciding what to buy
- Mobile conversation rates have increases 29% in a single year
- One in three millennials say they have purchased a product as a result of watching a how-to video 5
Figure 2: Benefits of Social Media Marketing:
Source: Stelzner, 2012 Social media have redefined the way people interact with one another, enabling people to build relationships without geographic and demographic barriers
The Social Media landscape is vast and can be categorized into various types of channels Each marketer has a unique approach to differentiating one social media platform from another In this section, we will explore the most popular models used in social media marketing.
5 Shape Consumers Preferences in their I-Want-to-Buy-Moments, June 2016, ThinkwithGoogle
Media Landscape by Fred Cavazza Finally, we will provide our own list of Social Media channels and illustrate them all in our model of Social Media channels
Fred Cavazza, a prominent French web business consultant, gained recognition for his annual blog posts that outline his perspective on the evolving Social Media Landscape Since 2008, he has categorized social media channels into ten primary groups, including publishing, sharing, and social networking Over the years, Cavazza has refined his model to reflect the dynamic nature of Social Media Marketing In 2009, he repositioned social platforms at the core of his framework, organizing them into four key categories: Expressing, Networking, Sharing, and Gaming By 2011, he highlighted Facebook and Google as central figures in his model, linking them to seven essential areas of Social Media: Publishing, Sharing, Discussion, Commerce, Location, Networking, and Gaming.
Figure 3: The Social Media Landscape 2008, by Fred Cavazza
Figure 4: The Social Media Landscape 2009, by Fred Cavazza
Figure 5: The Social Media Landscape 2011, by Fred Cavazza
In Fred Cavazza's updated Social Media Landscape, Facebook, Twitter, and Google+ occupy a central position, highlighting their diverse functionalities and role as relays for user activities across platforms The landscape now includes new players, a broader range of conversations and interactions, and various device types such as laptops, smartphones, and tablets This graph effectively illustrates the complex ecosystem of social media, categorizing services into families like blog engines (WordPress, Blogger), wiki platforms (Wikipedia, Wikia), lifeblog services (Tumblr, Posterous), and dedicated online services for videos (YouTube, Dailymotion), images (Flickr, Instagram), links (Delicious, Digg), and music (Spotify) It also encompasses professional networks (LinkedIn, Viadeo), personal platforms (MySpace, Badoo), customer intelligence tools (Bazaarvoice, PowerReviews), and mobile applications (Foursquare, Path), showcasing the vast and varied landscape of social media interactions.
Figure 6: The Social Media Landscape 2012, by Fred Cavazza
This report highlights the benefits of Social Media Marketing for businesses, particularly banks, by focusing exclusively on relevant Social Media channels It excludes the analysis of "Buying" and its customer reviews, as well as the "Playing" category, which encompasses virtual games and social worlds like World of Warcraft and Second Life Additionally, we will only examine the Social Events channels from Cavazza's "Localization" group Other groups, including Blogs & Microblogs, Social Bookmarking News Sites, and discussion forums, will also be considered Ultimately, we will identify seven key types of Social Media channels that impact businesses.
Content Communities or Media Sharing Sites
(Video/Audio/Photo/Presentations): e.g Flickr, YouTube, Dailymotion, Vimeo, Picasa, Pinterest, Slideshare…
Blogs and microblogs, along with social bookmarking and social news sites, will be consolidated into a single category Figure 9 depicts the Social Media Universe, emphasizing the social media channels that are relevant for businesses and their brands, showcasing various examples through their logos.
Figure 7: Social Media Universe for businesses
For businesses engaging in Social Media Marketing, identifying the social media channels where their audience interacts is crucial (Evans, 2010) Consumers often utilize multiple platforms, a behavior known as cross-pollinating By actively monitoring and analyzing their target audience's online activities, marketers can uncover essential insights about when, where, and how consumers engage in the social media landscape This process also enables them to identify key influencers within the community, categorizing them as networkers, everyday users, trendsetters, reporters, or opinion leaders.
Table 1: The Social Media channels and their business characteristics:
Types of Social Media Channels
- Risks related to the content of the posts
- Po-ssible bad comments to handle
1.3.Social media marketing channels in banking sector:
Banks are commonly perceived as cold and impersonal institutions; however, the rise of technology has compelled the banking sector to adapt to these changes A 2017 study by the American Bankers Association explored the state of social media in banking, highlighting how banks leverage social media, the challenges they face, and the opportunities that lie ahead.
FINDINGS AND RECOMMENDATIONS FOR IMPROVING THE ROLE
Development orientation of BIDV
Conclusions, limitations and research contributions
Solutions to enhance the importance of social media marketing in BIDV
Conclusions, limitations and research contributions
Recommendations
Conclusions, limitations and research contributions
CHAPTER 1 THE THEORETICAL FRAMEWORK OF SOCIAL MEDIA MARKETING - THE UPDATED TREND AND APPLICATIONS IN BANKING INDUSTRY
1.1.Overview of social media marketing
Social Media originated in 1978 with Bulletin Board Systems that allowed data exchange over phone lines As the Internet gained popularity, consumers began to ignore traditional marketing messages, opting instead to share their experiences with products and services This shift led to the rise of websites, blogs, forums, and message boards where discussions about brands and companies flourished These conversations have proven to be more impactful on purchasing decisions than conventional marketing strategies Today, Social Media Marketing, particularly through Social Networks, significantly influences consumer behavior by amplifying word-of-mouth recommendations.
Social Media, as defined by Evans (2008), is a self-generated and authentic conversation among individuals centered on shared interests, driven by their thoughts and experiences It emphasizes sharing and collaboration, ultimately aiming to provide informed choices The dynamic nature of Social Media allows users to contribute content at any time, reflecting its evolution alongside advancing internet technologies that frequently update features It encompasses a broad range of online and mobile platforms, including social networking sites, blogs, discussion boards, and various multimedia forums (Hollensen, 2011) Social Networks, the primary components of Social Media, are online communities where users with common interests engage and communicate in diverse ways.
Andreas Kaplan and Michael Haenlein [2] define social media as "internet applications based on the technology and ideal of web 2.0, which facilitates the creation and exchange of information by users "
In Vietnam, the Ministry of Information and Communications defines social media as an information system that offers users a network of services for storing, sharing, and exchanging information This includes features such as personal websites, forums, online chat, and audio and video sharing, among other similar services.
Social media usage continues to rise, with 90% of internet users aged 18-24 engaging with social networks at least once a month This trend is not limited to younger users, as there has been a significant increase in engagement among those over 35 On average, individuals worldwide spend 4.6 hours per week on social media platforms, highlighting the growing importance of social interaction online.
Figure 1: Average hours/week spent on online activities worldwide
As of 2018, the number of active social media users has exceeded 2 billion, with projections indicating it will rise to 2.44 billion This digital landscape is not limited to millennials; individuals from various age groups actively engage across major platforms like Facebook and LinkedIn.
The majority of social media users aged 25 to 44 primarily engage with platforms like Facebook and LinkedIn, with 62% of online adults using Facebook and 20% of LinkedIn users being 65 years or older.
With the development of social media, world marketing in general and Vietnam in particular, gradually change to take full advantage of the strong connection of social networks
Social media marketing emphasizes engaging with people rather than merely promoting products, as highlighted by Diamond (2008) While companies can showcase their products with various features and promotional strategies, the true impact lies in customer feedback and interactions This shift in control over marketing content can be daunting for marketers, as negative word-of-mouth can rapidly spread across the globe The rise of Internet-based communication through social media significantly influences consumer behavior, affecting awareness, consideration, information gathering, opinions, attitudes, purchasing decisions, and post-purchase evaluations Therefore, international marketers must acknowledge the power and importance of consumer conversations occurring on these platforms.
4 Social Media Update 2016, PewResearch Center
Social Media Consequently, the ability of influencing the crowd effectively is the main quality needed by the marketing team (Evans, 2008)
Technology has transformed consumer habits, leading customers to prioritize personal recommendations over brand messages The traditional sales funnel, based on the "four A's"—aware, attitude, act, and act again—has evolved According to P Kotler (2016), the modern shopper pathway now consists of "five A's."
“Aware” – Consumers become aware of brands through marketing, personal experience or recommendations from other people
“Appeal” – The most attractive brands rise to the top
“Ask” – Buyers seek data online via social networks, reviewers, the media or your brand
“Act” – Buyers select purchases based on their data, buy what they want and use it
“Advocate” – People develop preferences for brands and make repeat buys A query or negative comment can prompt proponents to defend their brand publicly
Across all the demograghics, a growing number of users are relying on online sources, including social media, to support their buying or investment decisions According to a recent report from Google:
- 65% online consumers look up more information online now than they did a few years ago
- 66% of smartphone users turn to their phones to look up something they saw in a
- Searches of businesses “near me” doubles in the past year
- 82% of smartphone users use a search engine when looking for a local business
- 82% of smartphone users consult their phones while in a business deciding what to buy
- Mobile conversation rates have increases 29% in a single year
- One in three millennials say they have purchased a product as a result of watching a how-to video 5
Figure 2: Benefits of Social Media Marketing:
Source: Stelzner, 2012 Social media have redefined the way people interact with one another, enabling people to build relationships without geographic and demographic barriers
The Social Media landscape encompasses a vast array of channels, each uniquely categorized by marketers In this section, we will explore the most widely recognized model of Social Media, highlighting its significance and impact on marketing strategies.
5 Shape Consumers Preferences in their I-Want-to-Buy-Moments, June 2016, ThinkwithGoogle
Media Landscape by Fred Cavazza Finally, we will provide our own list of Social Media channels and illustrate them all in our model of Social Media channels
Fred Cavazza, a prominent French web business consultant, has gained recognition for his annual blog posts that analyze the evolving Social Media Landscape Since 2008, he has categorized Social Media channels into ten primary groups, including publishing, sharing, and social networking Over the years, he has refined his model to reflect the dynamic nature of Social Media Marketing In 2009, he repositioned social platforms at the core of his framework, organizing them into four key categories: Expressing, Networking, Sharing, and Gaming By 2011, Cavazza highlighted Facebook and Google as central figures, linking them to seven essential areas of Social Media: Publishing, Sharing, Discussion, Commerce, Location, Networking, and Gaming.
Figure 3: The Social Media Landscape 2008, by Fred Cavazza
Figure 4: The Social Media Landscape 2009, by Fred Cavazza
Figure 5: The Social Media Landscape 2011, by Fred Cavazza
In Fred Cavazza's updated Social Media Landscape, Facebook, Twitter, and Google+ occupy a central position, highlighting their diverse functionalities and role as relays for user activities across platforms The graph introduces new players and categorizes interactions by device types, including laptops, smartphones, and tablets, illustrating the complex ecosystem of social media This ecosystem encompasses various services, such as blog engines like WordPress and Blogger, wiki platforms like Wikipedia, lifeblog services like Tumblr, and social Q&A sites like Quora It also features dedicated online services for videos (YouTube, Dailymotion), images (Flickr, Instagram), links (Delicious, Digg), products (Pinterest), music (Spotify), and documents (Slideshare, Scribd) Additionally, it includes major game developers (Zynga, Playdom), niche platforms (Hi5), professional networks (LinkedIn, Viadeo), and personal sites (MySpace, Badoo), along with customer intelligence tools (Bazaarvoice, PowerReviews), purchase sharing sites (Polyvore), recommendation services (Hunch), and social commerce platforms (Boosket) The landscape further includes mobile applications (Foursquare, Path), social city guides (Yelp, DisMoisOu), and platforms for upcoming events (Plancast).
Figure 6: The Social Media Landscape 2012, by Fred Cavazza
This report highlights the advantages of Social Media Marketing for businesses, particularly banks, by focusing exclusively on relevant Social Media channels It will not cover the "Buying" category, including customer reviews, or the "Playing" category, which encompasses Virtual Games and Social Worlds like World of Warcraft and Second Life Additionally, we will limit our analysis of Cavazza's "Localization" group to Social Events channels The report will also categorize Blogs & Microblogs separately from Wikis and Social Bookmarking News Sites, while distinguishing discussion forums Ultimately, we will explore seven key types of Social Media channels that impact businesses.
Content Communities or Media Sharing Sites
(Video/Audio/Photo/Presentations): e.g Flickr, YouTube, Dailymotion, Vimeo, Picasa, Pinterest, Slideshare…
Blogs and microblogs, along with social bookmarking and social news sites, will be consolidated into a single section Figure 9 depicts the Social Media Universe, highlighting the social media channels suitable for businesses and their brands, accompanied by logos representing various examples of each type of channel.
Figure 7: Social Media Universe for businesses
For businesses engaged in Social Media Marketing, identifying the platforms where their audience is most active presents a significant challenge Consumers often engage with multiple Social Media sites, a behavior known as cross-pollinating By observing and analyzing their target audience's interactions, marketers can gain insights into the timing, context, and nature of consumer engagement within the Social Media landscape This analysis also enables marketers to identify key influencers and understand their roles in the online community, whether as networkers, everyday users, trendsetters, reporters, or opinion leaders.
Table 1: The Social Media channels and their business characteristics:
Types of Social Media Channels
- Risks related to the content of the posts
- Po-ssible bad comments to handle
1.3.Social media marketing channels in banking sector:
Banks are frequently perceived as cold and impersonal institutions; however, the rise of technology is prompting significant changes in the banking sector A 2017 study by the American Bankers Association explored the state of social media in banking, highlighting how banks are leveraging social media, identifying challenges and opportunities, and forecasting future trends in the industry.
QUESTIONNAIRE IN ONLINE SURVEY
I am Le Thuy Ngan, an MBA student of HSB-MBA09 , in Hanoi School of Business (HSB), Vietnam National University
I am currently conducting research on the role of social media marketing in the banking sector, specifically focusing on a case study of BIDV I would appreciate your assistance in answering the following questions.
Your feedback is essential for assessing the current status of our research, so I eagerly await your thorough and candid response Rest assured, all pertinent information will be kept confidential and used solely for research purposes.
Thanks for your cooperation and help!
You can provide or not
Question 3: How old are you?
5 Above 50 Question 4: What are you doing for work?
Question 5: Which social network are you using?
9 Other Question 6: Which social network do you use the most? Please choose from 1- rarely to 5- regularly
Question 7: How much time do you spend for social network daily?
3 Above 3 hours Question 8: Which bank do you use its products/ services?
Vietcombank/ Techcombank/ TienphongBank/ VpBank/ Vietinbank/ Agribank/ Citibank/ Standard Chartered Bank/ BIDV/ Other
Question 9: Which channels do you get the information of banks’ products and services?
When considering banks' products and services, what specific utilities do you prioritize? Additionally, how do you perceive the bank's social presence? If your response is affirmative, please proceed to question 13.
2 No Question 12: Do you read the article about banks’ products and services when you see on social network?
3 Never seen before Question 13: If you have seen, which content do you want to read?
1 More information about the products and services
3 To be an official channel for customers to request or complaint
4 More visual Question 14: Have you ever seen BIDV’s social network?
Question 15: Have you ever like, comment or share the post on BIDVs’ page?
3 Many times Question 16: Have you ever give feedback about BIDVs’ products and services on BIDVs’ social network?
2 Never Question 17: Have you ever seen BIDVs’ recruitment news?
2 I have seen others Question 18: Have you ever had demand about banks’ products and services after seeing on social network?
5 Other Question 19: Content on BIDVs’ social network is appropriate with you or not?
Not good Normal Good Very good
Question 20: What do you need from BIDV’s social presence?
Sincerely thanks and wish you health, success!
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