Leveraging Positive eWOM to Enhance Customer-based Brand Equity: A Study of L’Oréal Paris

Mi Kim Dinh & Carolin Lisa Emmel

Student thesis: Master thesis

Abstract

In online research, it is acknowledged that online communication empowers consumers. As one result, consumers tend to share eWOM, especially on social media, when they have had either a very positive or negative experience with a brand. But there is still no general recommendation on how companies can benefit from insights on their customer’s brand-related online behaviour to build strong customer- based brand equity. The literature presents various motives for sharing eWOM on different platforms. However, previous work has failed to build the bridge between consumer behavioural research and the practice of brand management. In this thesis, we investigate consumers’ brand-related online behaviour and their underlying motivation for sharing positive eWOM on different platforms. Simultaneously, we focus on customer-based brand equity and its different elements to set findings from consumer research into the perspective of brand management. We conducted a qualitative study, whereby the data collection is based on an in-depth investigation of customers of the corporate beauty brand L’Oréal Paris. Throughout our study, we found a variety of combined motives linked to the altruistic concern for other consumers. Moreover, we revealed the desire of customers of L’Oréal Paris to not only interact with the brand, but also with like-minded others. This reveals certain elements of a brand community. Based on the findings of this study, we expect brand managers to foster interactivity with and among its customers and to reserve it the necessary space on the brand’s social media platform. By triggering consumers’ motivations, brand managers can elicit more positive eWOM and foster active brand engagement and a sense of community among consumers. This will provide them with the right toolkit of knowledge to build strong customer-based brand equity.

EducationsMSc in Brand and Communications Management, (Graduate Programme) Final Thesis
LanguageEnglish
Publication date2017
Number of pages265