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Purpose: This paper researches the effect of social media marketing on buying behavior of consumers in automobile industry. This paper discusses SMM from the perspective of the consumers and their perception. It also examines the factors considered and ­­­­­explore the affiliation among these factors and demographics. Design/Methodology:  For this exploration, an organized survey study is done to gather information from 283 respondents who are the occupants of Delhi and additionally the clients of Social Media. The focal point of the investigation are all those consumers who are either owner of the cars or intending to buy a car in Delhi. Multivariate technique like Factor analysis, ANOVA & Regression analysis is done to analyse the data. Findings: The factor analysis resulted in 7 factors which influences respondents in their purchasing decision. The factors identified are: Information Gathering (IG), Opinion Seeking & Sharing (OSS), Individual Engagement (IE), Advertisement Content (AC), Information Source (IS), Information Evaluation (IEV) & Final Decision (FD). The findings of ANOVA showed that the importance of these factors do vary across different demographic variables.  The analysis states that there is significant difference in perception towards social media marketing and consumer buying behaviour related to automobile buying behavior across different gender level of respondents. Additionally, through regression analysis it was also found that SMM has an impact on CBB. Limitations:  Data is collected through the questionnaire only in Delhi and hence the findings cannot be generalized for the whole country.  Respondents are constrained with time and willingness otherwise the sample could be larger than the present one. The factors identified provide only a glimpse of the factors which could be affecting consumer perception and behaviour. There is a strong possibility of many exogenous variables which might be affecting and playing role in this relationship of variables.

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