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1. Introduction This chapter will provide an introduction of the topic that has been chosen, based on the research found about the topic a background was written. The background will be followed by a problem discussion including an overall purpose and research questions. An overview of the entire thesis will also present. 1.1 Background Tegelbruketdesign had a collaboration with a women who have a private interior Instagram account with over 7000 followers. She showed interest in a lamp and was offered a discount in exchange for a post on her Instagram. When she received the lamp, she posted a picture on the lamp in her home environment and wrote that it was bought from Tegelbruketdesign. This immediately resulted in several orders of the lamp. This got the research team really interested in how effective Instagram is as a marketing tool. Marketing communications is different ways by which firms attempt to inform, persuade and remind customers – directly or indirectly – about the products and brands they sell. Marketing communications represent the ‘voice’ of the company and its brands. It is also means by which it can establish a dialogue and build relationships with and among consumers. (Keller, 2009) Marketing communications can tell or show consumers how and why a product is used, by what kind of person, where and when. Consumers can learn about who makes the product and what the company and brand stands for. Consumers can also get an incentive or reward for trial or usage. Marketing communications allow companies to link their brands to other people, places, events, brands, experiences, feelings and things. It can also create experiences and build communities both online and offline. (Luo & Donthu, 2006). Instagram is one of most popular form of social media and it has 300 million active users worldwide, 70 million pictures are posted on an average per day and 2.5 billions likes are given daily. (Instagram, 2015) In Sweden seven out of ten (78 %) visit social media sometimes, almost half of that do it daily. 1PDF Image | Case Study about how Companies Communicate their Brands on Social Media
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