Brand Equity and Usage Intention Powered by Value Co-Creation: A Case of Instagram in Kazakhstan

Dina Sadyk,Dewan Md Zahurul Islam

doi:10.3390/su14010500

Abstract

Purpose: Unprecedented communication features of social media noticeably reinforce the active role of consumers in the value co-creation (VCC) of offline and online brands including social media. From the consumer perspective, this study examines a contribution of VCC behavior to consumer-based brand equity (CBBE) and consequent intention to use social media based on Instagram as the most popular platform in Kazakhstan. Methodology: A web-based survey provided data from 550 Instagram users in Almaty city. Empirical analysis includes testing statistical assumptions using SPSS 23, conducting confirmatory factor analysis (CFA), and structural equation modeling (SEM) using Warp PLS 7.0. Findings: With the result of this study investigation, the paper develops the model that explains the effect of VCC on continuous usage intention to use social media through CBBE comprising brand associations, brand loyalty and brand perceived quality. Originality: Even though the importance of social media in the brand VCC process is widely recognized, a brand equity view of social media brands with users’ participation is under-investigated. However, brand equity’s importance for firm sustainability in terms of long-term business strategy is indisputable. This research enhances brand equity theory and VCC concept with the empirical data within the modern social media context. Practical implications: Owners and managers of social media brands can use the conceptual model to grow, maintain and assess their brands’ equities through their marketing efforts on the consumer motivation for brand VCC activities driving continuous usage of the brands.

Highlights

The analyzed impact demonstrates that social media and an activated value co-creation (VCC) process is beneficial for offline and online brands, as explored in numerous extant studies, and for social media brands, whose users are active participants in co-creation of the brand equity of social media that they utilize through online activities
Despite the growing role of social media in strategic brand management, there is a gap in extant empirical research on VCC input to consumer-based brand equity (CBBE) and the usage intention of social media brands
Our study extends the available research with the evaluation of users’ VCC effect on equity creation of social media brands

Summary

Introduction

One of the outstanding features of social media is the unprecedented facilitation of peerto-peer communications and seller–buyer relationships, which is a part of a marketing strategy to meet the long-term brand objectives, including a vital target of higher consumer purchase intention [2]. Another significant utility of social media is the unique way to promote sustainable customer behavior through a sustainable business strategy [3,4]

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