Knowledge that Transforms

Influencer marketing initiatives require firms to select and incentivize online influencers to engage their followers on social media in an attempt to promote the firms’ offerings. However, limited research considers the costs of influencer marketing when evaluating these campaigns’ effectiveness, particularly from an engagement elasticity perspective. Moreover, it is unclear whether and how marketers could enhance influencer marketing effectiveness by strategically selecting influencers, targeting their followers, or managing content. This study draws on a communication model to examine how factors related to the sender of a message (influencer), the receiver of the message (influencer's followers), and the message itself (influencer's posts) determine influencer marketing effectiveness. The findings show that influencer originality, follower size, and sponsor salience enhance effectiveness, and posts that announce new product launches diminish it. Several tensions arise when firms select influencers and manage content: Influencer activity, follower–brand fit, and post positivity all exert inverted U-shaped moderating effects on influencer marketing effectiveness, suggesting that firms that adopt a balanced approach along these dimensions can achieve greater effectiveness. These novel insights offer important implications for marketers designing influencer marketing campaigns.

Social norms shape consumer behavior. However, it is not clear under what circumstances social norms are more versus less effective in doing so. This gap is addressed through an interdisciplinary meta-analysis examining the impact of social norms on consumer behavior across a wide array of contexts involving the purchase, consumption, use, and disposal of products and services, including socially approved (e.g., fruit consumption, donations) and disapproved (e.g., smoking, gambling) behaviors. Drawing from reactance theory and based on a cross-disciplinary data set of 250 effect sizes from research spanning 1978–2019 representing 112,478 respondents from 22 countries, the authors examine the effects of five categories of moderators of the effectiveness of social norms on consumer behavior: (1) target behavior characteristics, (2) communication factors, (3) consumer costs, (4) environmental factors, and (5) methodological characteristics. The findings suggest that while the effect of social norms on approved behavior is stable across time and cultures, their effect on disapproved behavior has grown over time and is stronger in survival and traditional cultures. Communications identifying specific organizations or close group members enhance compliance with social norms, as does the presence of monetary costs. The authors leverage their findings to offer managerial implications and a future research agenda for the field.

Most scientists claim that genetically modified organisms (GMOs) in foods are safe for human consumption and offer societal benefits such as better nutritional content. However, many consumers remain skeptical about their safety. Against this backdrop of diverging views, the authors investigate the impact of different GMO labeling policy regimes on the products consumers choose. Guided by the literature on negativity bias, structural alignment theory, and message presentation, and based on findings from four experiments, the authors show that consumer demand for GM foods depends on the labeling regime policy makers adopt. Both absence-focused (“non-GMO”) and presence-focused (“contains GMO”) labeling regimes reduce the market share of GM foods, with the reduction being greater in the latter case. GMO labels reduce the importance consumers place on price and enhance their willingness to pay for non-GM products. Results indicate that specific label design choices policy makers implement (in the form of color and style) also affect consumer responses to GM labeling. Consumer attitudes toward GMOs moderate this effect—consumers with neutral attitudes toward GMOs are influenced most significantly by the label design.

Many firms use market share to set marketing goals and monitor performance. Recent meta-analytic research reveals the average economic impact of market share performance and identifies some factors affecting its value. However, empirical understanding of why any market share–profit relationship exists and varies is limited. The authors simultaneously examine the three primary theoretical mechanisms linking firm market share with profit. On average, they find that most of the variance in market share’s positive effect on firm profit is explained by market power and quality signaling, with little support for operating efficiency as a mechanism. They find a similar explanatory role of the three mechanisms in conditions where market share negatively predicts profit (for niche firms and those “buying” market share). Using these mechanism insights, the authors show that the value of market share differs in predictable ways between firms and across industries, providing new understanding of when managers may usefully set market share goals. The authors also provide new insights into how market share should be measured for goal setting and performance monitoring. They show that revenue market share is a predictor of firm profit while unit market share is not, and that relative measures of revenue market share can provide greater predictive power.

Charities are constantly looking for new and more effective ways to engage potential donors in order to secure the resources needed to deliver services. The current work demonstrates that creative activities are one way for marketers to meet this challenge. Field and lab studies find that engaging potential donors in creative activities positively influences their donation behaviors (i.e., the likelihood of donation and the monetary amount donated). Importantly, the observed effects are shown to be context independent: they hold even when potential donors engage in creative activities unrelated to the focal cause of the charity (or the charitable organization itself). The findings suggest that engaging in a creative activity enhances the felt autonomy of the participant, thus inducing a positive affective state, which in turn leads to higher donation behaviors. Positive affect is demonstrated to enhance donation behaviors due to perceptions of donation impact and a desire for mood maintenance. However, the identified effects emerge only when one engages in a creative activity—not when the activity is noncreative, or when only the concept of creativity itself is made salient.

Marketing scholars increasingly use web scraping and application programming interfaces (APIs) to collect data from the internet. Yet, despite the widespread use of such web data, the idiosyncratic and sometimes insidious challenges in its collection have received limited attention. How can researchers ensure that the data sets generated via web scraping and APIs are valid? While existing resources emphasize technical details of extracting web data, the authors propose a novel methodological framework focused on enhancing its validity. In particular, the framework highlights how addressing validity concerns requires the joint consideration of idiosyncratic technical and legal/ethical questions along the three stages of collecting web data: selecting data sources, designing the data collection, and extracting the data. The authors further review more than 300 articles using web data published in the top five marketing journals and offer a typology of how web data have advanced marketing thought. The article concludes with directions for future research to identify promising web data sources and embrace novel approaches for using web data to capture and describe evolving marketplace realities.

The rise of augmented reality (AR) technology presents marketers with promising opportunities to engage customers and transform their brand experience. Although firms are keen to invest in AR, research documenting its tangible impact in real-world contexts is sparse. In this article, the authors outline four broad uses of the technology in retail settings. They then focus specifically on the use of AR to facilitate product evaluation prior to purchase and empirically investigate its impact on sales in online retail. Using data obtained from an international cosmetics retailer, they find that AR usage on the retailer’s mobile app is associated with higher sales for brands that are less popular, products with narrower appeal, and products that are more expensive. In addition, the effect of AR is stronger for customers who are new to the online channel or product category, suggesting that the sales increase is coming from online channel adoption and category expansion. These findings provide converging evidence that AR is most effective when product-related uncertainty is high, demonstrating the technology’s potential to increase sales by reducing uncertainty and instilling purchase confidence. To encourage more impactful research in this area, the authors conclude with a research agenda for AR in marketing.

Industries use persuasion strategies to gain public support when challenged by activist groups on consumer-relevant issues. This marketing practice, termed “direct-to-public persuasion,” has received limited attention in the field, and thus we have little understanding of when such campaigns fail or succeed. This research introduces a theoretically derived and empirically supported framework that draws from multiple areas, including marketing persuasion, political campaign strategy, sociopolitical legitimacy, and perceptual fit, to identify important differences in the effectiveness of these persuasion strategies on attitudes and voting behavior. The multimethod approach includes a field study of ballot measure voting during a national U.S. election and three experimental studies. The findings contribute new knowledge of asymmetries in public response to industry and activist arguments. Stronger arguments from both sides lead to more favorable outcomes, but activist groups benefit most. Suspicion of activist arguments weakens the impact on attitudes and voting; industry argument suspicion has limited impact, though it does increase the likelihood of voter switching. A financial argumentation strategy works best for the industry side, while societal argumentation is more effective for the activist side. The insights offer guidance for industries and activist groups as argument strategy success is contingent on the side that uses it.

The use of cobranding and brand extension strategies to access new markets has been a topic of significant interest. However, surprisingly few studies have examined cross-category connections of brands using publicly available digital footprints. In this study, the authors introduce a new, scalable automated approach for identifying potential cobranding and brand extension opportunities using brand networks derived from publicly available Twitter followership data. The digital user–brand relationship, established through followership activity, is regarded as an expression of interest toward the brand. Common followership patterns between brands are then extracted to capture cointerest between those brands’ audience. By utilizing the cointerest patterns, the approach aims to derive cross-category brand–brand and brand–category connections, which can serve as important measures for assessing cobranding and extensions opportunities. This article introduces a new construct, transcendence, which measures the extent to which a brand’s followers overlap with those of other brands in a new category. The analysis is conducted at different points in time to help managers track shifts in brand transcendence.

A core assumption across many disciplines is that producers enter market exchange relationships for economic reasons. This research examines an overlooked factor; namely, the socioemotional benefits of selling the fruits of one's labor. Specifically, the authors find that individuals selling their products interpret sales as a signal from the market that serves as a source of self-validation, thus increasing their happiness above and beyond any monetary rewards from those sales. This effect highlights an information asymmetry that is opposite to what is found in traditional signaling theory. That is, the authors find that customers have information about product quality that they signal to the producer, validating the producer's skill level. Furthermore, the sales-as-signal effect is moderated by characteristics of the purchase transaction that determine the signal strength of sales: The effect is attenuated when product choice does not reflect a deliberate decision and is amplified when buyers incur higher monetary costs. In addition, sales have a stronger effect on happiness than alternative, nonmonetary forms of market signals such as likes. Finally, the sales-as-signal effect is more pronounced when individuals sell their self-made (vs. other-made) products and affects individuals’ happiness beyond the happiness gained from producing.