Antecedents,consequences, and reducers of perceived risk in social media: A systematic literature review and directions for further research

The social media has become an integral part of the marketing strategy. Marketing activities are now more inclined to online social networks (OSNs) than ever before in the history of the business. More and more consumers are joining OSNs for the sake of fun, socialization, and online buying. Every user perceives some degree of risk while joining and using OSNs. The current systematic literature review gathers and synthesizes research records of the last 9 years (2010–18) on consumer perceived risks concerning OSNs. We used PRISMA as a protocol to conduct this systematic literature review. The synthesis provides a detailed account of the perceived risk factors, their antecedents and consequences, risk-reducing strategies, and future research potential in the said domain.     

Understanding online firestorms: Negative word-of-mouth dynamics in social media networks

Social media are, on the one hand, a highly beneficial environment for word-of-mouth (WOM) propagation of new ideas and products, and this has increasingly made them a focus of marketing communications. On the other hand, companies and their brands as well as politicians, governmental institutions, and celebrities have increasingly been facing the impact of negative online WOM and complaint behavior. In reaction to any questionable statement or activity, social media users can create huge waves of outrage within just a few hours. These so-called online firestorms pose new challenges for marketing communications. In this article, we group observations from recent online firestorms, identify related social and economic science theories, and derive generalized factors that form the basis for the proliferation of these dynamics. Furthermore, we discuss the consequences of online firestorms for marketing communications, and offer courses of action for marketers to navigate through crises of negative online WOM.     

Do you want me to watch this ad on social media?: The effects of norms on online video ad watching

This study examines the influences of norms on consumers’ intentions to watch online video ads on social media. The social norms approach and the theory of reasoned action (TRA) were adopted as theoretical frameworks. In addition, the effects of interpersonal and social influences on the three personal-level norms were examined as the antecedents of normative perceptions. To test the hypothesized model, an online survey was conducted with 313 undergraduate students. A confirmatory factor analysis was used to validate the measurement constructs of the model, and a structural equation modeling was used to identify the relationships among constructs in the model. Findings indicate that personal injunctive norms and subjective norms were positively related to consumers’ intention to watch online video ads. Interpersonal and social influences were positively related to three normative perceptions regarding online video ad watching. The findings of this study contribute to the research stream on social norms approach and TRA and provide practical implications for advertising and marketing practitioners.     

The impact of university brand identification and eWOM behaviour on students’ psychological well-being: a multi-group analysis among active and passive social media users

ABSTRACT

Encouraging students to share positive online reviews should not be regarded only as a marketing tool. This study aims to examine (i) the relationship between positive online reviews behaviour for university and students’ well-being; and (ii) the impact of eWOM behaviour on students’ psychological well-being among active (those who share and read information) and passive (those who only read information) social media users. An online survey was conducted to examine the interplay of university brand identification, positive eWOM behaviour, and university life satisfaction on students’ psychological well-being. Results found that students who share positive reviews about university on social media tend to have better psychological health. This study also revealed that active social media users benefit more in terms of well-being through sharing positive online reviews about their universities. Implications for theory and practice of social media marketing in the higher education context are discussed.     

Locating experts using social media,based on social capital and expertise similarity

Information and communication technologies boost knowledge activities, both within and across organizations, and in online communities. Determining how to effectively search for and find experts via social media has become a critical issue. Although social capital is a key driver of knowledge contribution, we have not addressed the issue of how to locate experts based on their social capital. Systems designed to locate experts typically recommend such experts based on keywords, thus failing to consider any semantic similarity between their areas of expertise and the problem domain (a.k.a., “expertise similarity”). The system designed and developed in this study recommends experts based on both their social capital and expertise similarity. We measure the social capital of experts based on their consultant service relationships and their friendships. We conduct a field experiment to evaluate user satisfaction and the system’s knowledge-contribution predictive capability. The results show that the proposed system is of high quality and delivers excellent information. Hence, users expressed their intention to use this system. In addition, the positive effect of social capital on the knowledge contribution is verified from the perspective of user behavior.     

Retailers in social program strategy: the case of family planning

The provision of contraceptive agents and devices through hospitals and clinics is not a cost-efficient procedure, therefore the distribution through retailers in a preexisting network is an attractive prospect. To really distribute contraceptives, e.g., birth control pills, the retailer would have to be trained in a format of questions. Two studies of retail marketing were conducted, one in Jamaica for condoms and one in Kenya where a subsidized marketing program for condoms was started in rural areas. More urban shops, which were larger in size, carried condoms than rural shops. Retailers in both areas were completely oriented to their immediate vicinity. Their concerns were with volume and with aggregate demand both before and after subsidized programs. The distribution system requires the additional support of advertising and marketing, but since the structure is in place it can be used with relatively little capital outlay. Research of retailers' attitudes and perceptions is inexpensive and often indicates customer preference and local market conditions.     

Can Social Media Campaigns Backfire? Exploring Consumers' Attitudes and Word-of-Mouth Toward Four Social Media Campaigns and Its Implications on Consumer-Campaign Identification

In response to the unprecedented growth of social media, companies are continuously creating unique social media campaigns encouraging customers to share their advertising messages. However, many of these social campaigns end up backfiring. The purpose of this study is to examine consumers' preferences toward 4 social media campaigns and to investigate the impact of positive and negative word-of-mouth and social value on consumer-campaign identification. Using a sample of 525 respondents in Australia, the results show social media campaigns that contain negative messages are more likely to receive negative word-of-mouth while partnering with non-profit organizations may help generate positive word-of-mouth. This study will assist marketing managers to better understand the consumers' perceptions on recent social media campaigns in Australia.     

Going digital? The impact of social media marketing on retail website traffic,orders and sales

Given the rapid proliferation of digital technology, social media has become a key digital marketing strategy to promote business products, with the ultimate aim of maximising profits. Yet, empirical evidence on the impact of social media as a marketing tool remains underexplored. Using unique data over a 12-month period from a major online retailer, this paper examines the impact of daily social media activity on daily business outcomes: website traffic, orders and sales. Key findings reveal that social media leads to increased web traffic, but it does not produce a significant rise in product orders and sale income. Though, larger social media campaigns tend to result in significantly higher number of orders and sale income, and Facebook emerges as the most effective channel. Our results also reveal that the effectiveness of social media marketing varies across products depending on their complexity, cost and brand status. Taken together, these results offer a better understanding of the ways social media marketing impact businesses and provide intelligence on how to allocate resources to develop marketing campaigns.     

Exploiting online social gambling for marketing communications

Internet technology provides a new approach to how gambling is conducted in postmodern times. Drawing on constructivist research and utilising a single case study strategy, this paper examines online social gambling and real money gambling marketing communication practices, as well as offering some insights into the development and implementation of effective marketing communication programmes. In contrast to existing studies, this paper, in part, proposes integrative and higher levels of marketing communication programmes between online social gambling and real money gambling environments. The paper reveals the implicit structure of meanings underlying the link between online social gambling activity and real money gambling practices.     

Effective influencer marketing: A social identity perspective

Social networking in the form of online communities and social groups is a characteristic of social media communication that has profound implications on the identity dynamics and behavior of social media users. Drawing from social identity theory, this research brings the social identity construct (i.e., followers' perception of the self in relation to the influencer community) to the literature on influencer marketing and examines the effect of followers' social identity, along with their interest fit and the influencer's opinion leadership, on their purchase intention. This research also examines the moderating role of storytelling, a pervasive approach of social media influencers, in enhancing the social identity–purchase intention link. Empirical results from 467 Instagram users show that all three factors positively impact followers' intention, but social identity has a more salient effect than the others. Storytelling posts can enhance these effects. Studying influencer marketing through the social identity angle contributes to better understanding of influencer marketing effectiveness.     

Development of a scale to measure skepticism of social advertising among adolescents

A significant amount of research has looked at the effectiveness of social marketing to teenagers, but teenagers' skeptical response to social advertising has not been considered. In this study, we review the relevant literature, develop a measure of social advertising skepticism with desirable psychometric properties, and show that social ad skepticism is distinct from the (commercial) ad skepticism that has been previously studied. We also develop a model of the antecedents and correlates of social advertising skepticism and test it using a sample of high-school students. Our results show that peer influence and reactance play a prominent role in an adolescent's skepticism of social and commercial ads. They also show that skeptical attitudes toward social ads are significantly correlated with reduced perceptions of the risks of some behaviors.     

The evolution of social media and its impact on organizations and leaders

This paper examines organizational impacts of social media on Fortune 100 companies over a 5-year period (2011–2016). Specifically, the study focuses on three broad areas of social media impact: (1) the adoption of social media platforms across industries and business models from 2011 to 2016, (2) the influence of social media adoption on the roles of the chief information officer (CIO) and chief marketing officer (CMO) and their changing relationships in companies over this time frame, and (3) the impact of social media on company strategy, governance, and the IT (information technology) and marketing functions. The results support the contention that the CMO role has evolved to meet the technology needs of the marketing function and that the relationship between the CMO and CIO has taken on greater importance. In most Fortune 100 companies in 2016, social media has transitioned to ownership by the marketing department and the CMO provides leadership for social media strategy while working closely with the CIO. This study contributes to a better understanding of the established role of social media in companies, governance structures, and the evolving roles of both the CIO and CMO in relation to social media trends. The study integrates the IT and marketing literature to provide an agenda for future work that builds on theory and establishes an ongoing cohesive research agenda.     

Social Capital and Consumer Value Co-Created Within an Online Health Community

Many health providers sponsor online communities that enable health consumers to connect and share experiences. This qualitative study draws upon both social capital and consumer behavior theories to demonstrate that consumers participating in the creation of social capital co-create value for themselves and each other. This netnographic study contributes and operationalizes theoretical frameworks for identifying social capital and consumer value within online communities. Results identify 14 social-capital-building practices and further reveal that these practices represent two distinct themes: practices that create a caring environment and practices that assist others. Findings indicate that members of online health communities gain affective, functional, social, and rational benefits such as empathy, self-esteem, status, connectedness, and efficiency. As a managerial and practical contribution, this study establishes online communities as an important component of patients’ healthcare networks not only for exchanging information and support but also as settings for accessing social capital.     

The impact structure of social capital on corporate performance: Empirical evidence from listed companies in China

Vertical relationships with the government, particular relational capital and organizational social network capital, constitute corporate social capital (CSC). Using the empirical data of 97 listed companies in China, this paper examines the impact of CSC on corporate performance, finds that CSC has a positive impact on sales revenue but an insignificant impact on the improvement of ROA. More specifically, when a firm enlarges its sales revenue, the function of organizational network capital is stronger than that of a particular relational capital and that of governmental connections. The paper also finds that state-owned enterprises (SOEs) have more advantages in using governmental connections, therefore leading to better social status than non-SOEs do, who have fewer advantages in using any particular relational capital. The article suggests that managers should appraise carefully the effectiveness of CSC, and combine it with other resources; firms should distinguish the structure of the impact of CSC on performance improvement in a dynamic way. With respect to the implication of this paper, it could help in analyzing firm behaviors in the transitional China. Translated from paper in International Symposium on Entrepreneur Research and Education, 2006, April (in Chinese)     

Leveraging social media-based determinants to build customer-based brand equity of a retailer

ABSTRACT

Social media is all about consumer networks and consumer relations that challenge marketers to leverage social media as a means to develop and improve their connections with consumers. Though tremendous opportunities via social media are alluring, businesses are still finding it hard to penetrate the clique of consumer interactions that are largely personal in nature. Despite the opportunities available through social media marketing activities, understanding customers and their behavior, and incorporating that information in marketing strategy formulation is critical to successful strategy implementation. This study takes a significant leap forward in this direction. Theoretically grounded in diverse fields, this study demonstrates how retailers can build customer-based brand equity using social media-based brand determinants. Using seemingly unrelated regression technique, this study examines how retailer brands can leverage consumer characteristics on social media to successfully integrate and capitalize on social media marketing activities. This research study has important implications for both marketing theory and practice.     

The more the better? Exploring the effects of reviewer social networks on online reviews

ABSTRACT

Conventional wisdom suggests that firms leverage key influencers (e.g. individuals with high centrality) in online communities to stimulate buzz. Using a large panel dataset including 1,569,264 online Yelp reviews and the ego-network of 366,715 individual reviewers over a nine-year period, this study examines the effects of number of ties and network density on the volume and valence of online reviews. In contrast with the general belief that key influencers always generate positive buzz, the findings show that they can adversely affect future review valence. Specifically, reviewers with many connections on Yelp can reduce the positivity of reviews of the same business in the next period. This finding has implications for marketing practice in online community management and social media intervention.     

Social media marketing: Who is watching the watchers?

The ready access to and availability of social media has opened up a wealth of data that marketers are leveraging for strategic insight and digital marketing. Yet there is a lack of professional norms regarding the use of social media in marketing and a gap in understanding consumers’ comfort with marketers’ use of their social media data. This study analyzes a census-balanced sample of online adults (n = 751) to identify consumers’ perceptions of using social media data for marketing purposes. The research finds that consumers’ perceived risks and benefits of using social media have a relationship with their comfort with marketers using their publicly available social media data. The research extends the applicability of communication privacy management theory to social media and introduces marketing comfort—a new construct of high importance for future marketing research. Marketing comfort refers to an individual's comfort with the use of information posted publicly on social media for targeted advertising, customer relations, and opinion mining. In the context of the construct development, we find that targeted advertising is the strongest contributing component to marketing comfort, relative to the other two dimensions: opinion mining and customer relations. By understanding what drives consumer comfort with this emerging marketing practice, the research proposes strategies for marketers that can support and mitigate consumers’ concerns so that consumers can maintain trust in marketers’ digital practices.     

The influence of social capital on local retail patronage in an urban setting

Local retail stores are currently facing intense competition from both online retailers and large chain stores. An understanding of local retail store patronage (i.e., patronage of retail stores in one's own community) is essential to the survival and growth of local retailers. Drawing on Social Capital Theory, we theorize and show with store-level survey data the influence of social capital (community attachment and reciprocity) on local retail store patronage in a large urban setting. We find that the impact of social factors differs for residents within the community compared to those outside of the community. We also demonstrate the importance of social factors in comparison to non-social factors. These findings contribute to the literature by extending the impact of social capital on local retail store patronage beyond rural settings, providing insight into urban consumers' decision to patronize local retail stores, and highlighting the impact of community boundaries. These findings also generate practical recommendations for local merchants and stress the importance of building reciprocal relationships with local customers as well as varying communications across community boundaries.     

社交网络可视化分析对电商企业网络口碑营销的影响

社交网络可视化分析能够高效地对海量数据进行简化处理,从而成为帮助电商企业推进网络口碑营销的重要工具。本文以电商企业为研究对象,通过实证调查的方法来探究企业内部社交网络可视化分析对电商企业网络口碑营销的影响。调查发现社交网络可视化分析在电商企业的市场定位、营销定向、营销成本、工作效率以及经济效益等方面都有积极的作用。本文研究以期为电商企业进行优质的网络口碑营销提供理论支持。     

Leveraging consumer personality and social media marketing to improve a brand's social media equity

Consumer personality traits impact consumer actions, preferences, online behaviour and shopping motives. This study examines personality traits as drivers of social media equity by addressing the mechanisms under which consumer personality traits influence social media equity. We aim to combine consumer-level information with brand-level metrics to advance our understanding of consumers' associations with brands on social media and how specific consumer personality traits can be leveraged to improve a brand's social media equity. Using a self-administered survey, a total of 418 respondents from an online consumer panel participated in this study. The results from structural equation modelling revealed that while extraversion, openness to experience and neuroticism personality traits are positively associated with brand engagement and brand advocacy, agreeableness and conscientiousness are significantly associated with brand advocacy and not with brand engagement. This study advances theory by examining how consumer personality traits influence social media equity via brand engagement and brand advocacy as mediators. The findings provide rich practical insights into underlying mechanisms through which marketers can increase social media equity using consumer personality traits.