Factor Analysis On Product Placement In Applications Of SNS Community

SNS community is a website that is built on the basis of the Six Degrees of Separation theory, with the purpose to help people to build their social network. It was borned with the rapid development of the Internet, as well as the increasing dependence of users to the internet and the development of Web2.0technologies. As the SNS community is built upon the interpersonal social network in the real world, its promotion is mainly by the users" communication with e-mail or word of mouth. It can quickly accumulate a large number of users with high viscosity in a virus-spreading model; therefore it is concerned by the internet industry and venture capital since its appearance.Application is an important element of a SNS community, especially since kaixin001.com was set up and grew rapidly to the second largest SNS community in China for its entertainment applications. So lots of SNS communities, even traditional Internet giants, are beginning to build application platform to enhance the entertainment of their Websites and increase the users’viscosity. According to survey data of AppLeap, there are20million active trips a day using a variety of SNS applications. As these users are so active and their classification is very accurate, the commercial value of SNS applications can easily be imagined. Marketing in the form of application and product placement in applications has become new choices for enterprises; meanwhile a new profit model for the SNS community has been created.Product placement in application of SNS Community means embeding the product or brand information and even the brand concept into the application of SNS community, keeping them a part of the application for a period of time. The users can get the brand/product information and also participate in the marketing activities, when they log on the application. In this way, enterprises can enhance the products and brand image, and promote the purchase of products.This paper is to study the factors that affect the product placement performance in application of SNS Community. Based on the convince theory and the DAGMAR theory, we study relevant literatures, observe the exsisted SNS communities, take a survey of users and finally have an analysis with empirical methods such as Correlation and factor analysis, and regression analysis with Ordinal Logit Regression Model.The description analysis of the survey data shows that:although the commercial attitude of product placement in application of SNS Community can be easily recognized, most users think it is very fresh and creative, and their general attitude to these marketing activities is positive. The product placement in application of SNS Community has significant influence on the users in brand memory, understanding level of brand, brand favorability and purchase intentions.The result of empirical analysis indicates:the attitude of users to carrier, the degree of user involvement, the attitude of users to the marketing activities, the set of the activity and the initial attitude to the brand are the main factors that affect the performance of product placement in application of SNS Community,and their effect are significantly positive. Personal characteristics of users have a certain effect too.