Abstract:
The rapid development of technology has induced the emergence of new social media applications in cyberspace. In the dissemination of news and information, fast expanding social media have become viable alternatives to traditional mass media. Nigeria has the world’s sixth-largest number of Internet users, which is 132 million (Kompas.com, 2016). A market of this size has undoubtedly attracted social media marketers and administrators looking to increase their earnings possibilities. Thus, this research aimed to identify the advantages or benefits of Instagram advertising that can be gained by businesses, especially online sales of Nestle Nigeria plc products. This research also investigated the effect of Instagram advertising on consumer purchase intention of Nestle Nigeria plc products. SEM-SmartPLS data analysis was employed in this study since it is a new research paradigm in the development of e-commerce and social commerce. Results show that: Instagram advertising has a significant and positive effect on consumer trust in doing online shopping; perceived usefulness has a significant and positive effect on purchase intensity; and indicating that the effect size value of the variable perceived usefulness is bigger than that of the variable trust, implying that the variable perceived usefulness had a significant role in determining the purchase intensity by Instagram users Nestle Nigeria plc products.
