Effects of Information Presentation on Perceived Reputation in Virtual Communities: A Controlled Experiment

Reputation systems have become increasingly popular in virtual communities as a way to record and communicate the reputation information of the members. However, different reputation systems use different presentation formats and their effects on decisions in terms of evaluating positive and negative ratings remain unclear. A controlled experiment is proposed using the preference ladder procedure to elicit subjective preferences in three commonly used presentation formats. One format presents the negative and positive ratings side by side; one presents the information as a percentage of total ratings that are positive; the third presents the difference between the positive and negative ratings, the format used by eBay. Results of the preliminary data analysis suggest that people weigh the positive and negative information to different extents in the three formats. Presenting reputation in the difference format tends to make a person weigh the negative information less, making the person more forgivable. The finding is possibly due to the salience of the negative ratings in the various presentations

Influence of Social Media Based Brand Communities on Brand Trust

The advantages of social media as a highly efficient communication and distribution channel is motivating brand managers to participate in social media they try to bring together different or likeminded people in virtual brand communities. A brand community based on social media provides benefits to its members, to facilitate information sharing and to enhance customers’ bonds to each other; it cements the customers’ relationships with the brand, the product, the company and other customers (Laroche, Habibi and Richard, 2013). These enhanced relationships result in enhanced brand loyalty, and brand trust as an antecedent of loyalty has a key role in this process. Our findings explain that social media based brand communities have positive effects on the customer/product relationship; the customer/brand relationship; the customer/company relationship; and the customer/other customer’s relationships and also all these relationships have a positive effect on brand trust. Keywords: Social Media Based Brand Communities, Brand Trust, Social Medi

Exploring online community participation

Firm-hosted online brand communities, in which consumers interact regarding brand-centric topics, represent a fascinating context to study the motives of participation within the community. Theories of social capital and collective action are extended to begin understanding why individuals contribute, as they receive no immediate benefit, and “lurkers” have the same access to that contributed knowledge as everyone else. Building on the concept of means-end chain, that is we seek out certain attributes as a means to achieve a desired end state, the linkage between online brand community attributes, individual need, and personal values is ethnographically examined. By way of in-depth laddering interviews, why individuals participate will be answered through understanding how that participation fulfils individual need and enhances personal value. The main study comprises two approaches – participant observation in the community, and individual in-depth interviews with 32 community members. Over 2222 data points and 750 ladders were discovered and analysed using the laddering technique. Seven themes emerged as to why individuals actively participate in an online brand community – belonging, recognition, helping others, knowledge, professional advancement, personal development, and entertainment

A Service Integration Model of Value Creation: A Study of Commercial Online Communities

This paper presents a service integration model through a study of major for-profit online communities in both North America and China. Our study examines various types of communities and proposes particular means by which these communities might integrate their services with each other. Three integration strategies are identified: vertical integration, horizontal integration, and hybrid integration. The underlying mechanisms, as well as strategies that are needed to design and implement services, are also discussed

The Mystique of Customers’ Saturation in Online Brand Communities

Most research studies in the area of online brand communities have largely studied the positive aspects of online brand communities, ignoring the negative influences, mainly the growing threat from customers’ saturation within these communities. Given the lack of understanding on the concept of customer saturation in online brand communities, this study establishes the necessary early understanding on this important concept by combining various streams of marketing and brand literature as well as information system. This study enhances understanding through the development of five propositions focusing on the role of customers’ saturation on (1) customers’ experience within online brand communities, (2) brand relationship, and (3) the co‐creation of value. The discussion and review of the current literature produces five important propositions. The propositions develop the direction that customer saturation in online brand communities is likely to impact three key areas

Exploring the Role of Social Community Within an E-Marketplace

Marketplaces have provided a meeting place for communities to socialise, exchange information and transact business for many centuries. It is perhaps a natural progression that the inclusion of social network facilities should be an intrinsic part of e-marketplace development. This exploratory study examines the concept of designing social features into an e-marketplace by considering the needs of online community members. Using TradeMe, a New Zealand horizontal intermediary e-marketplace, as an illustrative case study it was found that the use of an online community to encourage information flow, reciprocity and trust has resulted in a vibrant, successful business model. Further research is required to investigate the viability of the community model beyond the case illustrated

Challenging The Global, Rediscovering The Local: Voluntary Market Restriction In C2C E-Marketplaces

The current age of networked information systems brings concerns that in an increasingly global world the dominance of multinational corporations overrides regional and national identities. This view is challenged by the concept of glocalisation where ideas in the global environment are adapted to take account of local cultures. Many organisations operating globally seek to adapt their business strategies to fit with local environments. However, in an increasingly glocalized world organisations may curtail their market by forming boundaries around their online presence; in essence making local what is potentially global. We have identified this strategy of boundedness as ‘voluntary market restriction’. This study aims to examine voluntary market restriction in the consumer-to-consumer (C2C) space where online marketplaces are differentiating themselves by creating boundaries within which they embed communities. This paper examines three C2C e-marketplaces with strong similarities in their market mechanisms that have the potential to operate globally, although two have chosen not to do so. These two market makers have put boundaries around their markets; one by language and one by geography. They have succeeded in wresting considerable local market share from the global e-marketplace. The paper concludes by discussing the implications of the research and suggestions for future study

Nurturing and Leveraging Virtual Communities: A Two-Dimensional Process Model

Despite the optimism surrounding the business potential of virtual communities (VCs), our knowledge of how VCs can be nurtured and leveraged to create value for the organizations that sponsor them is limited. To address this knowledge gap, a two-dimensional process model of the development and leverage of a VC is inductively derived from a case study of one of the most commercially successful VCs in Singapore. The model suggests that different IT competencies drive the development of various VC-enabled capabilities in different stages of VC maturity. Moreover, as the VC becomes increasingly mature, the number of ways in which it can be leveraged for organizational value creation increases. With its findings, this study sheds light on the key mechanisms of VC-enabled organizational value creation, and provides a comprehensive and empirically grounded framework for practitioners to analyze and optimize their investments in VCs

Developing a social media strategy

Social media is a mix of psychology, sociology and technology offering great opportunities as well as challenges to businesses in today’s fast moving and competitive environment. This report examines the rise of social media and its potential business impact while exploring best practice in developing effective social media strategies. The review begins with a consideration of what constitutes social media and social networking before going on to consider the influences that motivate people to engage in social media. This research includes an extensive literature review of both academic and practitioner sources in order to identify best practice for developing effective social media strategies. A comprehensive six-stage framework depicting how to plan, run and improve the use of social media as part of the marketing strategy is included. This simple, but effective framework covers most situations and can be deployed in most companies whether operating in the business-to-consumer (B2C) or business-to-business (B2B) space. For most companies, embarking on a social media strategy allows them to create a peoplecentred environment using technology to accelerate real-time interactions, rather than hinder them, within a collaborative technology architecture that mitigates the risks inherent with social networking. To be successful, organisations need to understand the relationship between business process, culture and technology in order to encourage collaboration and drive improved performance and business success

Ephilanthropy: the impact of the internet & online communities in achieving social change

While marketing in the nonprofit sector is a growing topic in today’s literature, research surrounding its effect on social change is still under development. More exploration to uncover the position of the Internet in the nonprofit marketing field will reveal its effectiveness for stimulating support and ongoing advocacy from its users. An important phenomenon for nonprofit organizations to uncover and embrace, social marketing will allow them to increase support in the online community. Focusing on animal advocacy and the virtual community of the ASPCA, this paper will help contribute to the understanding of user habits, motivations and behavioral intentions as they relate to philanthropy and promoting social capital on the Web. Through an analysis of the questionnaire provided, the study highlights both participation antecedents (involvement and received word of mouth) and participation consequences (word of mouth and donation behavior) as they relate to overall online participation. The study also looks at the level of satisfaction, as compared to user frequency and habits of the community. A methodology section is provided ¾ including fieldwork, and implications ¾ based on the results of the study