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Value Creation in Virtual Brand Communities

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Online Brand Communities

Part of the book series: Progress in IS ((PROIS))

Abstract

The evolution of the Social Web has opened up a world of opportunities for brands as well as for the consumers themselves. Virtual brand communities, which are increasingly used as tools for value creation by users and organizations alike, are a perfect example of this type of opportunity.

Many companies have opted to create or integrate themselves into brand communities in order to establish long-term relationships with customers.

These communities, therefore, are especially pertinent to their online strategies, both in terms of how they interact with customers and how customers interact with one another. Thus, online communities are now attractive tools for businesses, as they can be used as platforms for the co-creation of products and experiences between companies and consumers; on these platforms, customers truly become partners of brands. Furthermore, communities can provide important benefits and opportunities on behalf of companies such as increasing customer loyalty, lowering marketing costs or developing new products.

The above notwithstanding, company participation in online brand communities is not without its risks and inconveniences, e.g., the rejection of the brand’s marketing efforts through negative comments, which could cause damage to the brand’s image and reputation or even promote their competitors. In any event, brands must develop strategies to take advantage of and amplify the benefits that communities offer, while minimizing and appropriately managing the inconveniences and threats that will also emerge.

Throughout this chapter we will analyze the potential for value-creation offered by online brand communities to businesses and will discuss the relevant benefits and potential drawbacks. We will explain the current role that consumers play in these communities, paying special attention to their participation in the processes of value-co-creation with brands and prosumers.

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Notes

  1. 1.

    Linking value will be affected by affective value and cultural value, which will also be provided by communities of consumers (Cova & White, 2010).

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Authors and Affiliations

  1. Dept. Business Administration, University of Granada, Granada, Spain

    Francisco J. Martínez-López

  2. Marketing Group, Open University of Catalonia, Barcelona, Spain

    Francisco J. Martínez-López

  3. Dept. Economics & Business Administration, University of Malaga, Malaga, Spain

    Rafael Anaya-Sánchez, Rocio Aguilar-Illescas & Sebastián Molinillo

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  1. Francisco J. Martínez-López
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Martínez-López, F.J., Anaya-Sánchez, R., Aguilar-Illescas, R., Molinillo, S. (2016). Value Creation in Virtual Brand Communities. In: Online Brand Communities. Progress in IS. Springer, Cham. https://doi.org/10.1007/978-3-319-24826-4_11

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