THEINFLUENCEOFSOCIALMEDIAMARKETINGONBRAND LOYALTY:ACASESTUDYOFTHECOMMERCIALBANKOF ETHIOPIA, GONDAR

Abstract

This study examines the influence of social media marketing on brand loyalty, focusing on six critical factors: social media advertisements, word of mouth on social media, users’ trust in social media, content quality, company interaction on social media platforms, and the role of social media influencers. The target population included social media users and customers of the Commercial Bank of Ethiopia. An explanatory research design grounded in positivist philosophy was employed, utilizing a structured questionnaire based on a Likert scale. Convenience sampling was used to collect data from 385 samples, which was analyzed through descriptive and inferential statistical methods, including correlation and multiple regression, using SPSS software version 23. The findings reveal that social media marketing elements significantly shape brand loyalty. Social media advertisements and influencers were particularly impactful, while word of mouth and trust on social media also contributed positively. Content quality and company interaction, though moderate in their effects, were identified as vital drivers of loyalty. The study recommends that businesses invest in creative and targeted social media advertisements, strategically engage credible influencers, and maintain active communication to build trust and enhance consumer loyalty. Furthermore, high-quality and engaging content is essential to sustaining long-term brand loyalty.