LECTURE 9 - Case Study 2 (1)
LECTURE 9 - Case Study 2 (1)
LECTURE 9 - Case Study 2 (1)
The growing use of social network sites (such as Facebook) and online communities (such as
for instance the Apple Computer community, the community of Harley-Davidson riders, and
the community of Starbucks customers) provides exciting opportunities for organizations.
Online brand communities allow organizations to engage and interact with customers, obtain
market information, sell and advertise products, rapidly disseminate information, develop long-
term relationships with the community, and eventually to influence consumers’ preferences
and behavior (Dholakia and Bagozzi, 2001, Dholakia, Bagozzi, and Pearo, 2004, Franke and
Shah, 2003, Muniz and Schau, 2005, Tedjamulia, Olsen, Dean, and Albrecht, 2005). “Brand
community” is a term that is used to describe like-minded consumers who identify with a
particular brand and share significant traits, such as for instance “a shared consciousness,
rituals, traditions, and a sense of moral responsibility” (Muniz and O’Guinn, 2001, p. 412).
Online brand communities are based on their core value - the brand- and grow by building
relationships with and among members interested in the brand (Jang et al. 2008).
There are several possible categorizations of online brand communities, but they are generally
grouped into two categories based on who initiates and manages the community; (1) company-
initiated communities, built by the company that owns the brand and (2) user-initiated
communities, voluntarily built by their members (that is, the consumer) (e.g., Armstrong and
Hagel 1996; Kozinets 1999). These two types of brand communities provide different
opportunities for marketers. For instance, a brand community on a company website is one of
the key determinants of attracting consumers to and retaining customers on the website
(Nysveen and Pedersen, 2004). Consumer-initiated online brand communities may provide
consumers with useful information about other consumers’ experiences with the product or
service and the strengths and weaknesses of products or services (Jang et al. 2008).
Informational value
Self-discovery value
Entertainment value
Reward value