Research on the impact of social media advertisement placement on enterprises' economic benefits

In the context of the rapid development of the information economy, social media advertisement placement has emerged as a pivotal component of enterprises' marketing strategy, thereby playing a significant role in enhancing their economic performance. Building upon this foundation, this paper incorporates data from A - share listed companies in the tourism and related service industries on the Shanghai and Shenzhen Stock Exchanges in China from 2011 to 2023. Using firms' advertising placements on social media platforms as a quasi - natural experiment, it employs the difference - in - differences model, integrating theoretical analysis and empirical evidence, to explore the relationship between social media advertising investment and firms' economic efficiency. Research findings indicate that advertising on social media positively promotes the growth of corporate economic efficiency. This conclusion remains valid after a series of rigorous tests. Mechanism analysis shows that social media advertising promotes the growth of corporate economic efficiency by increasing public attention, enhancing interaction between companies and consumers, and improving corporate reputation. Moderation effect analysis shows that the digital background of senior executives and government digital attention play a positive moderating role in the process of social media advertising promoting corporate economic efficiency. This paper is significant in that it both enhances the extant research system on the connection between social media advertising and enterprise economic efficiency and provides enterprises with targeted, practical references to optimize their advertising strategies and enhance their economic efficiency in the digital context.