Impact of Social Media Marketing on Brand Loyalty in Chinese Local Cosmetics Industry: The Mediating Role of Customer Engagement

The enduring global popularity of social media and the emergence of the “Guochao” trend in China have compelled businesses to rethink traditional marketing concepts and implement more effective marketing techniques. This study aimed to explore how social media marketing (SMM) affects brand loyalty in the Chinese local cosmetics industry. Data from 468 Chinese local cosmetics customers were analyzed by using structural equation modeling. The findings indicate that social media influencer marketing (SMIM) and content marketing (CM) have direct positive impacts on customer brand loyalty (BL). Customer engagement (CE) mediates the effects of SMIM and CM on BL. The research findings emphasize the importance of the power of social media influencers (SMIs) and content value in driving CE and fostering BL. They should utilize SMIs who align with the brand's characteristics and create content that resonates with consumers, thereby attracting potential consumers and establishing brand loyalty. Chinese consumers are more inclined to be influenced by genuine and charismatic SMIs. While Chinese market prefers practical and persuasive content over entertaining content, Chinese local cosmetics should focus on publishing content with practical value and problem-solving capabilities, such as usage tips, skincare knowledge. Moreover, the importance of CE is emphasized, suggesting that marketers of Chinese local cosmetics brands capitalize on the trend of traditional culture revival when formulating marketing strategies. Integrating information related to traditional Chinese medicine or ethnic craftsmanship may further encourage consumers to engage more deeply and enhance their loyalty. Received: 27 March 2024 / Accepted: 29 August 2024 / Published: 05 September 2024