In “likes” we trust: likes, disclosures and firm-serving motives on social media

Abstract

PurposeThis paper aims to examine when and how the number of “likes” can exert significant influence on consumer evaluations of social media advertising. It sheds a novel perspective on how social media “likes”, advertising disclosures and the presence of firm-serving motives influence advertising effectiveness.Design/methodology/approachStudy 1 examines how the number of “likes” influences consumer attitudes towards the sponsoring brand by strengthening advertising credibility, when social media ads are effectively (vs non-effectively) disclosed. Study 2 further establishes how the influence of the number of “likes” for effectively disclosed ads varies depending on whether the company states (vs does not state) its firm-serving motives.FindingsThe authors found that a social media ad displayed with a higher number of “likes” is perceived to be more credible, which can then yield more positive attitudes towards the brand. However, the use of effective disclosures moderates this relationship. To offset this effect, companies can restore the value of “likes” by stating their firm-serving motives openly when they develop social media advertising messages.Research limitations/implicationsThe study offers a novel perspective on how consumers evaluate the number of displayed “likes” in the context of other social media features.Practical implicationsThe study shows how social media marketers can become more effective in taking advantage of the number of “likes” that they accumulate on social networking site platforms.Originality/valueThe study illustrates a novel mechanism behind how and when the number of “likes” can influence the effectiveness of social media advertising.