Company social networks: customer communities or supplementary services?

Purpose: The purpose of this study is to contribute to a better understanding of the antecedents and consequences of loyalty to consumer networks hosted by companies in the scope of social networking sites (SNS). These company social networks (CSNs) have traditionally been studied as online brand communities but more research is needed to understand their role for host companies. Design/methodology/approach: This study identifies CSN performance dimensions (host reputation, informativeness, communication self-expressiveness, rewarding activity and consumption support) and analyzes how they influence attitudes and behavioral intentions toward CSNs (identification with the community, satisfaction and loyalty) and toward the host company (satisfaction and loyalty). A conceptual model is tested through a survey administered to members of a large grocery retailer CSN on Facebook. Findings: Results show that all six identified performance dimensions significantly impact CSN loyalty. However, while self-expressiveness, communication and rewarding activity (which are closely related to social and hedonic value) are predictors of loyalty to the CSN, through the mediation of identification with the community, they neither indirectly (through the mediation of identification) nor directly impact satisfaction with the host. Conversely, informativeness, communication and host reputation are good predictors of loyalty to the CSN, through mediation of satisfaction with the CSN, and also exert an indirect positive influence on satisfaction with the host. Finally, consumption support positively influences loyalty to the CSN through the mediation of identification with the community and directly positively influences satisfaction with the host company. Originality/value: These results reveal the dichotomous nature of CSNs, as communities of people with shared interests and supplementary services created by companies to add value to their core offering. While perceptions regarding the community facet are independent from attitude toward the host, perceptions regarding supplementary service are significant predictors of satisfaction with the host. These results offer implications for future research and management of companies’ social media presence.