MGC, consumers’ engagement with MGC, WOM and consumers’ purchase intention: the case of Weibo platform

Nowadays, consumers spend more time on and pay more attention to information on social media. Thus, firms are constantly concerned if marketer-generated content (MGC), consumers’ engagement with MGC and WOM could promote purchases; and if so, what kinds of MGC could grab the attention of consumers. The present study establishes a framework based on the Hierarchy of Effects model to determine the effects of two types of MGC, retweets and word-of-mouth (WOM), on consumers’ purchase intention. Data about 28 firms from 4 industries were collected, and a three-stage least squares model was employed to estimate the coefficients. Empirical results show that product-related content (PMGC) and social-related content (SMGC) could increase retweets. Retweets of PMGC could boost positive and negative WOM and also facilitate purchase intention. Retweets of SMGC could increase positive WOM and purchase intention. This study identifies the mechanism of how consumers form purchase intention from MGC, and provides new evidence for the classification of MGC.

[1]  Arik Ragowsky,et al.  Establishing Trust in Electronic Commerce Through Online Word of Mouth: An Examination Across Genders , 2008, J. Manag. Inf. Syst..

[2]  Young Jin Lee,et al.  Social Media and Brand Purchase: Quantifying the Effects of Exposures to Earned and Owned Social Media Activities in a Two-Stage Decision Making Model , 2015, J. Manag. Inf. Syst..

[3]  Andrew N. Smith,et al.  How Does Brand-related User-generated Content Differ across YouTube, Facebook, and Twitter? , 2012 .

[4]  Xiao Liu,et al.  A Structured Analysis of Unstructured Big Data by Leveraging Cloud Computing , 2015, Mark. Sci..

[5]  Michael H. Kutner Applied Linear Statistical Models , 1974 .

[6]  D. Clarke Econometric Measurement of the Duration of Advertising Effect on Sales , 1976 .

[7]  Catherine Tucker,et al.  Active Social Media Management: The Case of Health Care , 2012, Inf. Syst. Res..

[8]  T. Ambler,et al.  How Advertising Works: What Do We Really Know? , 1999 .

[9]  Atreyi Kankanhalli,et al.  Does Social Media Marketing Really Work for Online SMEs?: An Empirical Study , 2016, ICIS.

[10]  Jonah Berger,et al.  Positive Effects of Negative Publicity: When Negative Reviews Increase Sales , 2009, Mark. Sci..

[11]  Jing Zhang,et al.  Empirical research on enterprise micro-blogs' word-of-mouth of Sina Weibo , 2015 .

[12]  Robert M. Schindler,et al.  Internet forums as influential sources of consumer information , 2001 .

[13]  Andrew B. Whinston,et al.  Whose and what chatter matters? The effect of tweets on movie sales , 2013, Decis. Support Syst..

[14]  Chuan-Hoo Tan,et al.  The Role of Marketer- and User-Generated Content in Sustaining the Growth of a Social Media Brand Community , 2014, 2014 47th Hawaii International Conference on System Sciences.

[15]  X. Zhang,et al.  Impact of Online Consumer Reviews on Sales: The Moderating Role of Product and Consumer Characteristics , 2010 .

[16]  Ashish Kumar,et al.  The Effect of Customers' Social Media Participation on Customer Visit Frequency and Profitability: An Empirical Investigation , 2013, Inf. Syst. Res..

[17]  R. Shachar,et al.  On Brands and Word of Mouth , 2013 .

[18]  Christian Homburg,et al.  Neglected Outcomes of Customer Satisfaction , 2007 .

[19]  Chrysanthos Dellarocas,et al.  Are Consumers More Likely to Contribute Online Reviews for Hit or Niche Products? , 2010, J. Manag. Inf. Syst..

[20]  Rebecca Walker Naylor,et al.  Beyond the “Like” Button: The Impact of Mere Virtual Presence on Brand Evaluations and Purchase Intentions in Social Media Settings , 2012 .

[21]  K. Goh,et al.  Social Media Brand Community and Consumer Behavior: Quantifying the Relative Impact of User- and Marketer-Generated Content , 2013 .

[22]  J. McAlexander,et al.  Building Brand Community , 2002 .

[23]  V. Kumar,et al.  Investigating how Word-of-Mouth Conversations about Brands Influence Purchase and Retransmission Intentions , 2016 .

[24]  Yong Tan,et al.  Using User- and Marketer-Generated Content for Box Office Revenue Prediction: Differences Between Microblogging and Third-Party Platforms , 2019, Inf. Syst. Res..

[25]  Ed H. Chi,et al.  Want to be Retweeted? Large Scale Analytics on Factors Impacting Retweet in Twitter Network , 2010, 2010 IEEE Second International Conference on Social Computing.

[26]  Sonja Gensler,et al.  Effects of Traditional Advertising and Social Messages on Brand-Building Metrics and Customer Acquisition , 2017 .

[27]  T. E. Barry,et al.  A Review and Critique of the Hierarchy of Effects in Advertising , 1990 .

[28]  H. E. Krugman THE IMPACT OF TELEVISION ADVERTISING: LEARNING WITHOUT INVOLVEMENT , 1965 .

[29]  C. A. Matos,et al.  Word-of-mouth communications in marketing: a meta-analytic review of the antecedents and moderators , 2008 .

[30]  Khim-Yong Goh,et al.  Social Media Brand Community and Consumer Behavior: Quantifying the Relative Impact of User- and Marketer-Generated Content , 2013, Inf. Syst. Res..

[31]  Alain Pinsonneault,et al.  Firm's Social Media Efforts, Consumer Behavior, and Firm Performance , 2014, ICIS.

[32]  Katja Hutter,et al.  The Impact of User Interactions in Social Media on Brand Awareness and Purchase Intention: The Case of MINI on Facebook , 2013 .

[33]  Cong Li,et al.  Twitter as a social actor: How consumers evaluate brands differently on Twitter based on relationship norms , 2014, Comput. Hum. Behav..

[34]  Constantinos K. Coursaris,et al.  Do Facebook Likes Lead to Shares or Sales? Exploring the Empirical Links between Social Media Content, Brand Equity, Purchase Intention, and Engagement , 2016, 2016 49th Hawaii International Conference on System Sciences (HICSS).

[35]  Robert E. Smith,et al.  The Impact of Advertising Creativity on the Hierarchy of Effects , 2008 .

[36]  Peter Neijens,et al.  What Motivates Consumers To Re-Tweet Brand Content? , 2015, Journal of Advertising Research.

[37]  Malte Brettel,et al.  What Drives Advertising Success on Facebook? An Advertising-Effectiveness Model , 2015, Journal of Advertising Research.

[38]  Danah Boyd,et al.  Tweet, Tweet, Retweet: Conversational Aspects of Retweeting on Twitter , 2010, 2010 43rd Hawaii International Conference on System Sciences.

[39]  Monic Sun How Does the Variance of Product Ratings Matter? , 2010 .

[40]  Eric Fang,et al.  Is Neutral Really Neutral? The Effects of Neutral User-Generated Content on Product Sales , 2014 .

[41]  P. K. Kannan,et al.  From Social to Sale: The Effects of Firm-Generated Content in Social Media on Customer Behavior , 2016 .

[42]  P. Quester,et al.  Product involvement/brand loyalty: is there a link? , 2003 .

[43]  Yang Yu,et al.  The impact of social and conventional media on firm equity value: A sentiment analysis approach , 2013, Decis. Support Syst..

[44]  Monic Sun,et al.  How Does the Variance of Product Ratings Matter? , 2010, Manag. Sci..

[45]  Yubo Chen,et al.  Online Consumer Review: Word-of-Mouth as a New Element of Marketing Communication Mix , 2004, Manag. Sci..

[46]  A. Pinsonneault,et al.  Financial Returns to Firms’ Communication Actions on Firm-Initiated Social Media: Evidence from Facebook Business Pages , 2019 .

[47]  Gary A. Steiner,et al.  A Model for Predictive Measurements of Advertising Effectiveness , 1961 .

[48]  T. Hennig-Thurau,et al.  Does Twitter matter? The impact of microblogging word of mouth on consumers’ adoption of new movies , 2013 .

[49]  David Schuff,et al.  What Makes a Helpful Review? A Study of Customer Reviews on Amazon.com , 2010 .

[50]  I. Ajzen,et al.  Belief, Attitude, Intention, and Behavior: An Introduction to Theory and Research , 1977 .

[51]  Dwayne D. Gremler,et al.  Electronic word-of-mouth via consumer-opinion platforms: What motivates consumers to articulate themselves on the Internet? , 2004 .

[52]  Jeffrey M. Wooldridge,et al.  Introductory Econometrics: A Modern Approach , 1999 .