Social media acceptance in B2B marketing
A study exploring the reasons behind the difference in social media usage between B2B and B2C markets
Johanna Eck Sofie Johansson
Business Administration, bachelor's level 2020
Luleå University of Technology
Department of Business Administration, Technology and Social Sciences
Acknowledgements
This bachelor’s thesis was written during the spring of 2020 at Luleå University of Technology and concerns the subject of B2B marketing on social media.
We would like to begin by thanking all of the companies and professionals who took the time to answer our questions, without you this thesis would not have been possible. We hope you can share in our pride of this work and its results which you contributed immensely to.
Furthermore, we would like to thank our supervisor, Joe Vella, who has guided us through the process of creating this thesis. Your passion for the subject of B2B has been especially inspiring and helpful during the whole process.
We would also like to thank our classmates, who have read our work, and whose work we have read in return. You have taught us a lot, and helped us look at our thesis with new eyes.
We would also like to individually thank some people.
Sofie: I would like to thank my parents who have both been very supportive and interested, always willing to discuss the work of this study and read through each section as they were completed. I also want to thank my boyfriend who has been interested in my work and always helped ensure that I have had good work conditions, especially in these times when most of the work has been done from home, always making sure that I get enough peace and quiet. Finally, and most importantly, I want to thank my partner, Johanna, who has always helped me with the parts of the work that I have done, who has helped keep us both focused and who has a lot of passion for this subject!
Johanna: I would like to thank my father who took the time to read through our thesis and give pointers where he saw fit; I might not have always agreed on your input and some of it I down right ignored, but nonetheless I really appreciate the time and effort you put in. I would also like to thank my brother who occasionally gave me a ride to the University and who (mostly) left me in peace when I was working, he might have cooked for me once or twice as well. And I’ll thank my mother as well because it feels weird leaving her out, she didn’t really do much (other than give birth to me way back) but still; thanks mum. I would also like to thank my grandparents for their unconditional love and support. Finally, and most importantly, I would like to thank Sofie for all her hard work and for making this whole journey so much fun! I’m so happy we got to do this thesis together, without you it would never have been possible.
Abstract
Social media is a fast growing platform when it comes to marketing. It is, however, used to a greater extent by business-to-consumer (B2C) companies than by business-to-business (B2B) companies. Because of this there has been considerably less research done concerning marketing on social media for B2B, compared to B2C.
This study explores why social media marketing is less common in B2B than B2C. This was done by conducting eleven one-on-one interviews with people who work at different B2B companies, and who have influence over their respective company’s marketing process. To analyse and evaluate the findings of this study the Technology Acceptance Model (TAM) was used. By identifying the external variables that deter B2B companies from using social media the perceived usefulness and ease of use were analysed in order to explore what affects the difference in social media acceptance for marketing between B2B and B2C companies.
The findings of this study show that the perceived ease of use is the dominant factor that deters B2B companies from using social media for marketing purposes. This is however not the reason for the difference between B2B and B2C. The difference can instead be explained by a more negative perception of the usefulness of marketing on social media. This negative perception is a result of the characteristics of social media, the industry the company is operating within, as well as the company’s products and customers.
Sammanfattning
Sociala medier är en snabbt växande plattform när det kommer till marknadsföring. Det används dock i större utsträckning av business-to-consumer (B2C) företag än av business-to-business (B2B) företag. På grund av detta har det gjorts betydligt mindre forskning gällande marknadsföring på sociala medier för B2B än vad som har gjorts för B2C.
Denna studie utforskar varför marknadsföring på sociala medier är mindre vanligt i B2B än B2C.
Detta har gjorts genom att genomföra 11 intervjuer, öga-mot-öga, med personer som arbetar på olika B2B-företag och som har inflytande över sitt respektive företags marknadsföringsprocess.
För att analysera och utvärdera resultaten från denna studie användes Technology Acceptance Model (TAM), en modell som mäter acceptansen av olika tekniska plattformar. Genom att identifiera de externa variabler som hindrar B2B-företag från att använda sociala medier analyserades användbarheten och användarvänligheten, som den uppfattas av dem intervjuade, för att undersöka vad som påverkar skillnaden i sociala media acceptans i marknadsföringssyfte mellan B2C- och B2B-företag.
Resultaten av denna studie visar att den upplevda användarvänligheten är den dominerande faktorn som hindrar B2B-företag från att använda sociala medier för marknadsföringssyften.
Detta är dock inte orsaken till skillnaden mellan B2B och B2C. Skillnaden kan istället förklaras av en negativare uppfattning av användbarheten av marknadsföring på sociala medier. Denna negativa uppfattning är ett resultat av egenskaperna hos sociala medier, den bransch som företaget är verksam inom, samt företagets produkter och kunder.
Table of Content
1. Introduction 1
1.1 Background: The B2B Market 1
1.2 Background: Social Media 2
1.2.1 Advertising Services on Social Media 2
1.3 Background: Marketing Through Social Media 3
1.4 Problem Discussion 4
1.5 Purpose and Research Questions 6
1.6 Delimitations of the Study 6
2. Literature Review 7
2.1 The Business Landscape 7
2.2 Social Media 7
2.3 B2B Marketing on Social Media 8
2.4 Technology Acceptance Model (TAM) 11
3. Methodology 14
3.1 Research Purpose 14
3.2 Research Approach 14
3.3 Data Collection 15
3.4 Data Analysis 16
3.5 Reliability and Validity 17
4. Empirical Data 18
4.1 Companies’ General Relationship with Social Media 18
4.2 External variables 19
4.2.1 Time and Resources 20
4.2.2 Social Media Characteristics 20
4.2.3 Product and Industry Characteristics 22
4.2.4 Customer Characteristics 22
4.2.5 A little about circumstantial CSR 23
5. Discussion 24
5.1 What are the main variables that negatively affect the perceived usefulness
and ease of use of social media platforms within B2B marketing? 24
5.1.1 Perceived Ease of Use 25
5.1.2 Perceived Usefulness 25
5.2 Why have B2B companies not adopted social media to the same extent
as B2C? 28
6. Conclusion 31
6.1 Implications for Practitioners and Theory 33
6.2 Limitations 34
6.3 Suggestions for Future Research 35
Reference List 37
Appendix 1: Interview Guide English 41
Appendix 2: Intervjuguide Svenska 43
Table of Figures
Figure 1: Technology Acceptance Model (TAM) 12
Figure 2: Research Framework based on TAM 16
Figure 3: External variables influencing Perceived Usefulness and Perceived Ease of Use 24 Figure 4: Final Research Framework, external variables affecting social media acceptance
within B2B 31
List of Tables
Table 1: External variables summarized into categories 19
1. Introduction
This first chapter presents the background for this report, with previous research and essential information about the business-to-business (B2B) market and social media. This is followed by a problem discussion containing some previous research, for the purpose of illuminating the current openings for continued research, which this report intends to fill. That brings the introduction to its purpose, research questions and delimitations.
1.1 Background: The B2B Market
In order to understand why social media is adopted more frequently in business-to-consumer (B2C) marketing than it is in B2B marketing, it is important to understand what differs between the two. Building lasting relationships with customers is essential for B2B marketers in order to retain lucrative customers. This is possibly the most significant difference between B2C and B2B markets (Hutt & Speh, 2013). B2B customers are also fewer, which often stimulates a one-to-one type of relationship (López-López & Giusti, 2020). A single purchase usually involves larger amounts of money, and entails more work (Vella, 2020). Therefore, the buying process is often more rational, professional and involves careful planning. The buying decision takes more time, because of the complex negotiation processes and also because of the size of the buying team. In B2B sales there are often several people working together to decide on a purchase, all with their own information regarding purchase options, compared to B2C, where the decision is usually made by a single person (Vella, 2020). The journey towards reaching an agreement and a purchase decision is therefore much more complex and consumes more resources within B2B.
This complex buying process makes customers within B2B value suppliers that can make the process easier and less time consuming for them (Gartner, 2018). “[...] purchase ease has a significant impact on the value customers perceive from their purchases [...]” (Gartner, 2018, p.
7).
1.2 Background: Social Media
Social media is defined by the Webster online dictionary as “forms of electronic communication (such as websites for social networking and microblogging) through which users create online communities to share information, ideas, personal messages, and other content (such as videos)”
(Merriam-Webster, 2020). This is the definition of “social media” which is used throughout this thesis.
The use of social media is continuously growing, from 2010 to 2019 the number of people using social media grew from 0,97 billion people, to 2,95 billion (Statista, 2019). These numbers are expected to continue to rise, although at a slower rate (Statista, 2019). With the increase in the number of social media users it also becomes more important for marketers in both B2C and B2B to have multiple platforms where they supply customers with valid information. This seems to have been identified by companies, as the use of social media platforms has grown quickly within the marketing context during the past decade. Statistics show that 69% of the enterprises (with ten or more employees) in Sweden used social media during 2019 and 57% used social media for marketing purposes (SCB, 2020).
Social media helps with developing links between individuals that would otherwise have been very hard to achieve (Dixit & Prakash, 2018). For businesses it enables a fast and far reaching two-way communication between consumer and supplier, which presents many benefits for marketers. Yet, while social media platforms have been widely adopted for marketing within the B2C sector, they have yet to be used to the same extent within B2B (Diba, Vella & Abratt, 2019;
López-López & Giusti, 2020).
1.2.1 Advertising Services on Social Media
Creating a business page on social media is usually free of charge. In addition, many social media platforms provide advertising services to effectively reach targeted customer groups, these services are, however, usually priced. These are services that can be used by both B2B and B2C companies to reach their target segments. LinkedIn, for example, provides marketing services through “LinkedIn Marketing Solutions” where they “[...] help[s] you engage a community of
professionals to drive actions that are relevant to your business.” (LinkedIn, 2020). Unique to LinkedIn is the ability to target individuals based on their professional status. LinkedIn is also the biggest social media platform when it comes to B2B relations ( Iankova, Davies, Archer-Brown, Marder, & Yau, 2019 ; López-López & Giusti, 2020). Facebook has a similar service, called “Facebook Business”, through which companies can create pages where they send out and manage advertisements (Facebook, 2020). Similarly Twitter has “Twitter Business”
(Twitter, 2020), Instagram has “Instagram Analytics” (Instagram, 2020) and Snapchat has
“Snapchat Ads” (Snapchat, 2020); all of which offer targeted advertising for businesses.
1.3 Background: Marketing Through Social Media
Organisations have started to shift from using traditional media to using more digital media in regards to marketing (Alalwan et. al., 2017). Lacka and Chong (2016) however, state that many of today's marketers within B2B have a negative perception of the impersonal nature of the online environment and insist on the importance of face-to-face interactions. In fact, face-to-face interactions are still the dominating form of communications between B2B companies and their customers (Iankova et.al, 2019). This way of seeing things is however changing, as the younger generations, who grew up with social media, start to get higher and more important positions within companies. As the attitudes change, the use of social media platforms within businesses will continue to grow, it is therefore important for companies, including companies in B2B, to not fall behind in the transition.
Social media platforms enable information-sharing about products and companies, and it also helps with empowering consumers (Dixit & Prakash, 2018). Having a social media presence has been proven to deepen customers’ trust in companies, because of the added transparency (Prabhakar & Umair, 2020). Because of this, along with additional reasons, social media has been proven to have a clear positive impact on companies’ relationships with their customers (Eid, Abdelmoety, & Agag, 2019). Many businesses are acknowledging the potential of social media platforms in the field of marketing (Dixit & Prakash, 2018) as well as identifying them as platforms for effective communication with their targeted customers (Alalwan, Rana, Dwivedi &
Algharabat, 2017). Social media platforms have become important instruments for observing and analysing customer behaviour as well as to increase customer connectivity, trust and loyalty (Dixit & Prakash, 2018). It also helps companies to further understand customers’ views, needs and preferences concerning the company’s products (Eid, Abdelmoety, & Agag, 2019). The pressure from the competitive landscape is increasing, demanding the participation of the industry companies to the degree that “non-adoption of social media may in fact detract from the image of the B2B firm” (Siamagka, Christodoulides, Michaelidou, & Valvi, 2015, p.95).
1.4 Problem Discussion
“There has not been much theoretical research regarding B2B organizations and the inuence that SM can have on their buying and selling behaviours.” (Diba, Vella & Abratt, 2019, p.1491).
Research and literature about social media primarily concerns B2C markets, while comparatively little research has been done concerning B2B (Diba, Vella & Abratt, 2019; Iankova, et.al., 2019;
López-López & Giusti, 2020). Iankova et.al. (2019) emphasise that B2B differs from B2C and need its own theories in this area of study. Furthermore, Zhang and Du (2020) highlight the need for more studies in order to help B2B marketers to better implement social media in their marketing efforts. Studies show an interest from B2B marketers to adopt social media for marketing purposes, they are however held back by a poor perception of the benefits and the relevance of such a venture (Lacka & Chong, 2016).
To explore B2B marketing, or the lack thereof, on social media platforms, the main theory and model used for this study is the Technology Acceptance Model (TAM) (Davis, Bagozzi, &
Warshaw, 1989). This model, and the theories that build on it, show the causality between perceived usefulness, perceived ease of use and intention to use. Previous research has verified the existence of the causality between these variables in the context of social media (Dixit &
Prakash, 2018; Lacka & Chong, 2016; Wirtz & Göttel, 2016), as well as in other contexts (Al-Gahtani, 2001; Willis, 2008; Siamagka, et al, 2015). Furthermore, high levels of perceived usefulness and perceived ease of use have been proven to stimulate intention to use, and as a
later step, actual use (Davis, Bagozzi & Warshaw, 1989; Lacka & Chong, 2016; Wirtz & Göttel, 2016). Previous research has shown that the actual usefulness and ease of use is less important than that which is perceived, in this case by marketers, when considering a new business endeavour. Previous studies also show that the overall perception of usefulness of social media is poor among marketers within the B2B sector (Lacka & Chong, 2016). Because of the low perception of usefulness and ease of use, the intentions and attitudes towards using social media for marketing within B2B are still low, resulting in the actual level of use also remaining relatively low. But why is the perceived level of usefulness and ease of use so low?
Previous research has shown the connection between perceived usefulness, perceived ease of use and intention to use to be true in this area of research (Lacka & Chong, 2016; Wirtz & Göttel, 2016). However, a clear mapping of these variables, and how they actually affect acceptance, is missing. The aim of this thesis is to identify these variables, to create a better understanding of why marketers in the B2B sector have not implemented marketing strategies on social media platforms to the same extent that B2C marketers have, in the hope that they in the future can be addressed to enable B2B companies to reap the many benefits of marketing on social media.
“It is also pertinent to analyse the factors stimulating the adoption and use of those [social media] sites in the B2B context. Furthermore, as the usability of social media sites is the factor hindering the adoption of those sites in B2B marketing, it is of paramount importance to evaluate the adoption of social media sites from the perspective of those sites’ usability.” (Lacka &
Chong, 2016 p. 3).
1.5 Purpose and Research Questions
The purpose of this thesis is to explore why B2B marketers do not utilize social media platforms for marketing to the same extent as B2C marketers do. The following research questions have been identified to help reach this purpose.
Research question 1:
Why have B2B companies not adopted social media to the same extent as B2C?
Research question 2:
What are the main variables that negatively affect the perceived usefulness and ease of use of social media platforms within B2B marketing?
1.6 Delimitations of the Study
Social media has been previously defined in this report with Webster online dictionary’s broad definition (2020). Meaning that we do not make any distinction between different social media platforms, the denotation “social media” instead includes all social media platforms. In the conducted interviews the definition of social media might, however, be affected by the perception and definition of the people at the companies we approach. Previous research, however, show that the most relevant social media platforms for B2B businesses are LinkedIn, Facebook and Twitter (Diba, Vella & Abratt, 2019), it is therefore likely that these will be the platforms primarily discussed in the interviews.
In order to ensure that the answers gathered are relevant in practice we have chosen to only interview people who have influence over the marketing process. Because of the short time frame and accessibility, this thesis will be limited to B2B companies with operations at Luleå Science Park. There has been no consideration regarding company size, industry or type of operation as this has been determined as irrelevant for the purpose of the study.
2. Literature Review
This chapter presents the relevant theories and models which will be used to answer the research questions. Starting with social media and B2B marketing, and some advantages and obstacles that occur when companies use social media in B2B marketing. After this, the main model is presented, the Technology Acceptance Model, also known as TAM by Davis, Bagozzi and Warshaw (1989).
2.1 The Business Landscape
Through the swift growth of the digital world, buyers are gaining access to more and more information about suppliers and their products without actually interacting with them (Gartner, 2018). It is therefore of utmost importance for suppliers to provide their customers with easily accessible information about their company and products. Research has shown that a company’s buying group spends 27% of their time doing online research about the product/service they are looking for, as well as, about potential suppliers (Gartner, 2018). Some of this time can be assumed to be spent on visiting potential suppliers’ social media pages, which would serve as an additional way to find information about the company. Previous research has also demonstrated that potential buyers value suppliers who provide them with the right information (Diba, Vella &
Abratt, 2019). Sharing product information can even deepen relationships and increase social capital (Rodriguez, Peterson, & Krishnan, 2012), it has also been shown to reduce later purchase regret (Gartner, 2018). A more informed buyer also enables sharing of ideas and cooperation in creating new unique products that increase the value and competitiveness of both parties (Gartner, 2018).
2.2 Social Media
Alalwan et. al. (2017) identify a clear shift among organisations, from traditional media marketing to digital interactive marketing, which they attribute to the attractiveness and interactivity on social media platforms. Social media should therefore be integrated as an essential part in promotional marketing efforts (Alalwan et. al., 2017). “In a time of multichannel
buying and no clear customer preference on channels for each job, suppliers must provide information consistently across all channels to enable buyers to buy.” (Gartner, 2018, p. 16). In fact, Alalwan et. al. (2017) has, in their literature review of 144 studies in the area of social media marketing, observed an overwhelming support of the positive effects of social media in creating customer perception and awareness. Furthermore, the literature review by Alalwan et.
al. (2017) also shows social media platforms to have a crucial role in creating brand recognition and identity. Another advantage of social media marketing is the electronic word of mouth (e-WOM) which has been shown to be more effective than traditional word of mouth (WOM) (Alalwan et. al., 2017; Dixit & Prakash, 2018). E-WOM has become a dominating channel in influencing buyer behaviour (Dixit & Prakash, 2018) as social media enables customers to more easily and effectively share their experiences, both positive and negative, with a much larger group of people (Alalwan et. al., 2017). This transparency also helps to build a higher level of trust among consumers (Prabhakar & Umair, 2020). Furthermore, social media is an important tool in international business marketing. It helps with improving supply-chain coordination, customer relationships, customer service and general firm performance (Eid, Abdelmoety, &
Agag, 2019).
Social media platforms are also integral in creating and maintaining customer relationships, “By increasing the rate of content posting and sharing with customers over the social media platforms, firms are more able to foster the level of interactivity and association with their customers” (Alalwan et. al., 2017, p. 12). Alalwan et. al. (2017) conclude that there is a strong support in previous studies of social media’s effective use in sustaining relationships with their targeted customers. Which is one of the most important aspects of B2B marketing (Hutt & Speh, 2013).
2.3 B2B Marketing on Social Media
Research shows that B2B companies mainly use social media to target professionals and to create search engine optimisation (SEO) (Iankova, et. al., 2019). The gap between potential use and actual use of social media platforms within the B2B context is however large (Iankova, et.
al, 2019). Iankova et. al. (2019) found that B2B companies have the lowest perceived effectiveness of social media among different business models. Companies seem to prefer to use more traditional digital tools such as e-mail and websites.
B2B marketers encounter both great opportunities and obstacles when active on social media.
Lacka and Chong (2016) identifies a number of advantages and obstacles of using social media platforms within B2B marketing. One of the advantages identified is companies’ ability to target and manage customers. Marketers within B2B have successfully identified and attracted new customers through social media as well as engaging with existing customers in a meaningful way (Lacka & Chong, 2016; Alalwan et. al., 2017; López-López & Giusti, 2020). Furthermore, these engagements create a closer relationship between customer and supplier which results in greater trust and loyalty (Dixit & Prakash, 2018), which is one of the key variables to success within B2B businesses (Hutt & Speh, 2013). Iankova et. al. (2019), however, found that B2B companies use social media to identify and interact with potential customers rather than to build and manage relationships. They further speculate that social media is viewed as important when developing a reputation and creating customer connections, but beyond that offline channels are prefered.
Social media also enables companies to obtain valuable feedback (López-López & Giusti, 2020) to better tailor offerings to the customers, as well as opening up the possibility of co-creation (Gartner, 2018; Lacka & Chong, 2016; Dixit & Prakash, 2018). Customers increased access to knowledge has a clear impact on innovation and product management where companies can benefit from competitive advantages by increasing sales innovations and reducing time to market (Lacka & Chong, 2016; Eid, Abdelmoety, & Agag, 2019). Social media platforms have also been shown to be effective platforms for branding strategies within B2B marketing. The unique reach and interactiveness of social media enables companies to create a unique brand identity as well as increasing brand awareness on a larger scale ( Alalwan et. al., 2017; Lacka & Chong, 2016).
Despite these advantages B2B marketers struggle to implement social media strategies successfully. B2B companies are lacking knowledge, resources and confidence in social media marketing, which deters them from implementing these platforms (Zhang & Du, 2020). Thus many marketers within B2B seem to perceive social media platforms as irrelevant and more suitable for the B2C sector (Lacka & Chong, 2016). There has also been shown to be a lack of support from executives (Diba, Vella & Abratt, 2019). One of the biggest barriers for B2B marketers seems to be the poor understanding of how to use social media platforms for the purposes of B2B marketing (Lacka & Chong, 2016). In general there seems to be a widespread lack of understanding as to how the main goals of the company can be translated into digital tactics (López-López & Giusti, 2020). Hence, marketers are unable to recognize the benefits and usefulness in a B2B context which leads to a negative attitude towards social media platforms (Lacka & Chong, 2016). Although this seems to be the main reason why B2B marketers avoid social media platforms, another reason is the lack of control over communications (Lacka &
Chong, 2016). In this respect the fast and far reaching properties of information on social media is perceived as something negative, this is especially true when it comes to confidential information. The possibility of confidential information leakage is yet another aspect that discourages B2B marketers from adopting social media platforms (Lacka & Chong, 2016;
López-López & Giusti, 2020).
Lacka and Chong (2016) concludes that the main reason why the potential of B2B marketing on social media platforms has not been fully exploited is because of poor usability, as perceived by B2B marketers. This is further supported by Iankova et. al. (2019), who states that there is a lack in the believed usefulness of social media platforms in comparison to other platforms. The usability, or usefulness, can be further explored in the Technology Acceptance Model.
Furthermore, López-López & Giusti (2020) identify that the relationship with customers is more personal and direct within B2B, than within B2C, which directly affects their use of social media. They highlight the fact that the B2B customer is not the final customer and state that B2B companies therefore should put additional effort into building personal relationships as these
relationships are often more long-term. Iankova et. al.’s (2019) research shows that one-to-one communications are significantly more common within B2B companies than they are within B2C. In contrast, their research shows that many-to-many communications, in which social media is included, are less common within B2B. This difference in the nature of communications can be theorized to have an effect on why B2B companies do not implement social media to the same extent as B2C, since these platforms are less suitable to the type of communications prefered in B2B. In addition, losing one of the company’s long-term customers introduces a high cost for the B2B company, a cost that is marginally lower for a B2C company, resulting in “[...]
a wrongly implemented tactic in the B2B industry has a higher financial opportunity cost with respect to a social media tactic implemented in the B2C industry.” , (López-López & Giusti, 2020, p. 177). This is further supported by Iankova et. al. (2019) who speculate that B2B companies are more concerned with the risks of social media, since larger, more valuable contracts are at stake. This potential of a higher cost when using social media deters B2B marketers from implementing these platforms without a clear digital strategy (López-López &
Giusti, 2020).
2.4 Technology Acceptance Model (TAM)
The Technology Acceptance Model (TAM) (Figure 1) was introduced by Davis in 1986. It aims to explain user behaviour as determined by the acceptance of a computer system by tracing the impact of external variables on internal beliefs, attitudes, intentions and lastly, actual use (Davis, Bagozzi, & Warshaw, 1989). Perceived Usefulness (U) and Perceived Ease of Use (E) are identified as the primary variables to influence behaviours, where Perceived Usefulness is defined as “the prospective user’s subjective probability that using a specific application system will increase his or her job performance within an organizational context” and Perceived Ease of Use refers to the cost expected by the user when using the system (Davis, Bagozzi, &
Warshaw, 1989, p. 985). Behavioural Intention to Use (BI) is then determined by the Attitude Toward Using (A) combined with the Perceived Usefulness (U); BI = A + Uwhere A = U + E.
A conclusion that Davis and his team drew from this was that“people form intentions to perform behaviours toward which they have positive affect.” (Davis, Bagozzi, & Warshaw, 1989, p. 986).
The relationship between the variables shown in the equation seems to be based on the idea that in a workplace people will form intentions to perform a behaviour that they believe will increase their job performance, more so than depending on what their feelings about the behaviours are.
Figure 1: Technology Acceptance Model (TAM) Source: Davis, Bagozzi & Warshaw (1989, p. 985)
Similar variables to those found in Davis et. al.’s TAM have been used in other models, which have also identified correlations between these variables and people’s attitudes towards, and use of different systems. Technology acceptance is very similar to behavioural intention to use, an acceptance of the technology can therefore be assumed when a respondent indicates an intent to use it (Willis, 2008), this assumption will be used throughout this thesis.
TAM has been frequently used in previous research where it has been demonstrated to be accurate and useful in correct application. Willis (2008, p. 14) states that “This model [TAM] has been studied with a variety of populations and technologies and has proven to be one of the most robust theories of behavior at work” . Siamagka et al (2015) reported similar findings and provided examples of where it has been used successfully, such as e.g. email, voice mail, word processing, graphics, online shopping etc., areas where TAM has been used concerning both household and organisational usage, in both B2B and B2C contexts. The TAM has also been successfully applied in different contexts in many different regions of the world, such as China (Lacka & Chong, 2016), India (Dixit & Prakash, 2018), the United Kingdom (Al-Gahtani, 2001),
Jordan (Kooli, Tzempelikos, Foroudi & Mazahreh, 2019), Belgium, USA and Germany (Valdeman, Van Praet & Mechant, 2017).
Furthermore, in 2016, Wirtz and Göttel reviewed and compiled 32 previous papers that utilized TAM in research concerning technology acceptance, specifically within social media. They found that “[...] TAM is one of the most prominent models in information technology acceptance research and, according to our inquiries, so far also the prevailing theoretical approach regarding users’ adoption of social media [...]” (Wirtz & Göttel, 2016, p. 98). Wirtz and Göttel (2016) found that when it comes to social media acceptance, perceived ease of use is the more important variable rather than, as in many other cases, perceived usefulness. In their conclusion they further state that “[...] our research about the TAM in social media holds both theoretical and managerial implications, which means that our findings offer an added value for scientists eager to conduct future related research as well as for social media providers and managers of organizations wanting to know what drives users’ technology acceptance in social media.”
(Wirtz & Göttel, 2016, p. 112). This indicates that TAM is both a frequently referenced model that has often been used successfully within contexts of social media acceptance and that it comes with recommendations for utilization in continued research.
3. Methodology
This chapter explains the way in which this study has been conducted. Beginning with the purpose and the approach of the research, which serves as the foundation to why the data collection and analysis have been conducted in the way that they have.
3.1 Research Purpose
A study can have one of three purposes; exploratory, descriptive or explanatory purpose.
Exploratory research is research that does not aim to be a part of previous research, but instead adds to and expands on what has already been done, in areas where more needs to be done. This form of research also often leaves room for more research (Bäckström & Vella, 2020).
Descriptive research aims to describe a theory further and in more detail than has been previously done (Bäckström & Vella, 2020). Explanatory research aims to connect theories or ideas to explain how things are connected, or how they occur (Bäckström & Vella, 2020).
The research purpose in this study was an exploratory one. Since the purpose of this thesis was to explore why B2B companies do not utilize social media platforms for marketing to the same extent as B2C companies do. This is an area that still lacks research, and this study seeks to add some new information to the existing body of knowledge. However, it will still require additional research to be done in the future. An exploratory purpose also works well with the way that the empirical data was collected, which was through direct interviews.
3.2 Research Approach
There are two different research approaches a study can have; qualitative or quantitative. A qualitative approach is suitable for research that is more complex and does not have as clear distinctions between the subjects, such as non-numeric and non-binary research. Numeric research and binary research is instead the subject of quantitative research, since quantitative research concerns things that can be precisely measured (David & Sutton, 2016). Furthermore, a study can be inductive or deductive, where an inductive approach is used when an area is still mostly unexplored and lacking in knowledge (Halvorsen, 2009), as was the case for this study.
As is appropriate with exploratory research, the approach of this study was a qualitative inductive one, since the study measured and explored peoples’ opinions through questions that do not have simple yes or no answers. The main form of data collection used in this study was more specifically qualitative interviews.
3.3 Data Collection
Initial data was collected from secondary sources in order to properly understand the established landscape of knowledge. Information was collected using LTU’s library database, where peer-reviewed articles were found using Business Source Premier and Google Scholar. The keywords used to find relevant sources in these databases were; B2B, B2B marketing, social media, social media marketing and Technology Acceptance Model. Additional data, specific to this study, was then collected through one-on-one interviews with people who influence the marketing process at different B2B companies operating in Luleå Science Park. The interviews were conducted via videoconference due to the special circumstances presented by the Covid-19 situation. Due to technological difficulties some of the interviews were however conducted without video. All the interviews were conducted jointly by Johanna Eck and Sofie Johansson.
The initial interview questions were phrased in a non-directory way in order to ensure that the interview subjects’ answers were not influenced by the interviewer (see Appendix 1). As the interviews progressed however, more direct follow-up questions were asked. The interviews were conducted in Swedish and the results were later translated into English. The number of interviews were determined as sufficient at eleven, when no new results were encountered compared to previous interviews.
The B2B companies approached for this thesis were selected based on a local geographic area where many B2B companies are situated. The specific area was chosen for its close geographical proximity to Luleå University of Technology (LTU), and because Luleå Science Park and LTU often engage in close collaborations, in the hopes that this would increase the likelihood of responses from the companies approached. In order to collect information with a base in
practical use, only people responsible for, or involved in, a company’s hypothetical or actual use of marketing on social media were interviewed.
3.4 Data Analysis
The data collected from the interviews was analysed within the theoretical framework of the TAM. The analysis was focused on what negatively affects social media acceptance within B2B marketing and how they differ from B2C. This was done using the correlation of external variables, perceived usefulness, ease of use and in the end, intention to use (Figure 2). In order to properly analyze the external variables a thematic approach was used by summarizing the encountered variables into different categories.
In the research framework the external variables were removed and exchanged for a question mark to illustrate the study’s intention to identify these variables. In accordance with Willis (2008), technology acceptance was assumed when respondents indicated an intention to use. In order to ensure truthful answers from our interviews, all the collected data was presented anonymously with no connection to company or person.
Figure 2: Research Framework based on TAM
3.5 Reliability and Validity
Reliability is to what degree the indicator or test, that was used, constitutes as a consistent measurement over time. More specifically, whether or not the people answering the questions will give the same answer at different times (David & Sutton, 2016). To increase this study’s reliability, interviews were conducted until additional interviews did not yield any new results.
Due to time restraints the interviews could not be repeated at a later date to confirm the participants’ answers. The reliability has, however, been increased by conducting several interviews, 11 in total, where the same questions were asked to different people, who gave similar responses.
Validity is how well a study matches reality. Does the study show how the world really is and how it really works? (David & Sutton, 2016). There are two ways in which validity is measured;
internal and external validity.
Internal validity is how well what is measured really reflects the experiences and beliefs of the people who were studied (David & Sutton, 2016). This is something that qualitative studies, such as this one, does well. Collecting data through one-on-one interviews ensures a high level of internal validity. The people who have been interviewed are all practising professionals who have influence over the marketing process at a B2B company, the results of the study therefore reflect the current realities of their work.
External validity, on the other hand, measures how well the study matches the situation of the rest of the world, the bigger population, from which only a small part has been measured (David
& Sutton, 2016). In this study the opinions of eleven people from eleven different B2B companies were measured. All of the interviewed people were Swedish, working for companies that in part have operations in Luleå Science Park. Because of this, this study cannot be presumed to say much about the rest of the world outside of Sweden, or the rest of the existing B2B industries that are not represented.
4. Empirical Data
This chapter presents the results of the eleven one-on-one interviews conducted for this study.
First, the companies’ general relationships with social media will be presented in order to get an overview of how social media is used in practice within B2B. Thereafter the external variables which affect the use of social media are summarized and presented.
4.1 Companies’ General Relationship with Social Media
All of the companies that were interviewed are present on one or more social media platforms.
The most popular platforms among the respondents are LinkedIn, Facebook and Twitter, where LinkedIn is the prefered platform for a majority of the companies. These platforms are, however, in various states of use, some companies use them daily, while others are not currently using them at all. All of the companies considered a presence on social media a necessity in order to stay visible and relevant for current and future customers. A majority of the respondents also displayed an overwhelmingly positive attitude towards the use of social media as a marketing tool, even though, in many cases, the platforms were deemed irrelevant for their specific type of business. On the other hand, some of the respondents identified a wish within the company to use social media platforms more than they currently are.
The interviews also showed that many professionals within B2B use their personal profiles on social media to find and create useful connections for the company they work for. Hence, even though the company’s own social media page, in many cases, is not used to any great extent, these platforms are still implemented to benefit and further expand the company’s business.
Furthermore, the study found that Facebook is overall considered a platform for personal communication among friends rather than a professional arena for businesses. Facebook does, however, seem to be a popular platform for employee recruitment.
Even though this study found that most B2B companies have a social media presence, it is clear, both in previous studies, as well as in this one, that these platforms are not being used to the same extent as within B2C companies. This despite the fact that the overall attitude towards them is very positive. In the following section the reasons for this will be presented.
4.2 External variables
Through the interviews a number of variables that prevent or inhibit the use of social media in a B2B context have been identified. These variables have been summarized in the following categories; Time and Resources, Social Media Characteristics, Product and Industry Characteristics, and Customer Characteristics. A summary of each category and what affects it can be seen in Table 1.
Table 1: External variables summarized into categories
Time and resources - Lack of knowledge - Lack of time - Lack of resources
Product and Industry Characteristics - Complex products/services
- Traditional industry
- Potential customers not present on SM - Substitute platforms
Social Media Characteristics - Large amount of information - Low attention span
- Lack of control over the spreading of information
- Lack of ownership of information - Limited quality in interactions - Low relevance in a business context - Inappropriate comments from followers
Customer Characteristics - Complex supply chain - Costly to make a mistake - Current customer base - Confidentiality
