Social media has led to a paradigm shift in marketing communication going from the traditional linear communication model with one-way messages to a more social model with increasing consumer-to-consumer communication (Kohli et al., 2015). Today, consumers are more involved and empowered, and they have acquired control of the communication flow between themselves and marketers. In this new paradigm, user-generated content is the key (Kohli et al., 2015).
What is User-Generated Branding?
User-generated content is a result of the increasing access to media, techniques, and methods (Belk & Kozinets, 2005) which has created a widespread of text-, video- or image-based content that is uploaded and shared by end-consumers to other end-consumers on social media (Rossolatos, 2017). As a result of the shift in marketing communication, brands must seek to rethink brand communications and increase the involvement of consumers (Kohli et al., 2015). One effective brand communication method within the increasing consumer-to-consumer marketing paradigm is the use of user-generated branding. User-generated branding is the use of brand ambassadors, consumer reviews, and/or consumers who promote products on its own social media profiles (Geurin & Burch, 2017). Burmann and Arnhold (2009, pp. 66) define user-generated branding as:
The strategic and operative management of brand-related user-generated content to achieve brand goals.
Prior studies have investigated the outcomes of the use of user-generated branding: Burmann (2010) argues that user-generated branding efforts are more effective than traditional advertising as it is considered more cost-effective and the abilities to track consumers are better, and Hambrick and Kang (2015) argue that user-generated branding is effective in creating stronger relationships and engagement between brands and consumers on social media. Furthermore, user-generated branding aligns with brand initiatives within social media-based relationship marketing (Geurin & Burch, 2017). Relationship marketing can be defined as (Grönroos, 2004, p. 101):
The process of identifying and establishing, maintaining, enhancing, and when necessary terminating relationships with customers and other stakeholders, so that the objectives of all parties are met.
The Role of Social Media
Later, Williams and Chinn (2010) extended this traditional definition by including social media exchanges. They stated that value-added interaction and communication build valuable consumer-brand relationships (Williams & Chinn, 2010). In these valuable relationships, Black and Veloutsou (2017) argued that consumers can contribute to brand identity in two ways. First, consumers can express opinions based on their experiences with the brand. This makes the consumer an uncontrolled source of information which potentially can harm the brand reputation. Second, the consumers can become a more involved part of the brand identity by producing signals which are perceived as originating from the brand (Black & Veloutsou, 2017). This builds on Cova and Pace’s (2006) study of consumer empowerment in virtual brand communities which concluded that consumers who are invited to co-create on a brand’s persona, use, and ideology (the brand personality) view the brand as a shared cultural property and therefore, as a more valuable part of their lives (Cova & Pace, 2006).
Nevertheless, social media can easily disrupt brand positions due to the limited branding control and because consumers are more likely to trust their peers than brand-generated content such as promotional and commercial messages (Kohli et al., 2015). Consequently, brand messages based on heavily commercial positioning will not be successful. The transparency of brands will continue to increase and the brands that lack authenticity will not survive (Kohli et al., 2015).
What is Next?
Therefore, it is crucial to understand and investigate the link between the strategic use of user-generated branding and perceived brand authenticity. If you need help or have any questions, leave a comment or contact me.
