Effect of Social Media on Purchase Decision

Social media has revolutionalised the ways of communication and sharing information and interests. The rapid growth of social media and social networking sites, especially, in developing country like India is providing marketer a new avenue to contact customers. Though, organizations are increasing their spend in social media, it is difficult to measure a real return on investment. This paper attempts to assess the impact of usage of social media on purchase decision process. The paper examines the usage pattern and its influences the five stages of purchase process. The study finds that the social media is most widely used in information source for perceived convenience, effectiveness and perceived credibility. Also, the social media reviews and opinions affect the purchase decision process; however, tendency of share their experiences post purchase is surprisingly low.