Customer engagement, experience, and value creation in online social networking (OSN)

Online social networking (OSN) is the active use of online networking platforms, social mediums or virtual communities to connect with others. It has become an important gateway for firms to engage with customers. OSN takes place across platforms such as virtual world and Facebook. Although OSN is integrated into the marketing strategies of leading firms such as AUDI, IBM and Sony, little is known about the relationship between customer engagement and experience in OSN, and the subsequent value creation for customers and firms. Accordingly, from three linked empirical studies, this thesis aims to provide a better understanding of these relationships. The first paper investigates the holistic customer experience received from an engagement in OSN (in a virtual world context). It also examines the relationship between the experience and the extent to which this creates value perceptions and customer loyalty. The results show that the experience in virtual world positively influences value perceptions in both economic and social ways and thus influences loyalty in both the real world and virtual environments. Next, the second paper investigates potential antecedents and consequences of customer engagement in OSN (in a crowdsourcing context). Creative process engagement (CPE) is posited as a central idea for crowdsourcing. Creative trait characteristics (i.e., cognitive style and creative identity) are introduced as potentially influencing CPE, and subsequently creative performance. Results reveal that although both trait characteristics positively impact CPE, they play different roles in creating value. Individuals with a high level of innovative cognitive style tend to engage less in the process, but generate superior creative performance. Conversely, individuals with a stronger creative identity tend to engage more in the process, creating value for both firm and participants (e.g., social value and customer loyalty) beyond creative performance in the crowdsourcing task. Last, the third paper extends these findings by providing evidence of a change in value creation a firm receives from customer engagement in OSN. These results reveal that although CPE positively impacts customers’ perceived value and firm value, both decrease over time. This paper also illustrates the important role of disconfirmation of expectations and the need for recognition as potential moderators explaining the CPE–value creation linkage