The Effect of Influencer Marketing on Brand Equity & Legitimacy

Abstract

Purpose: This thesis examines how influencer marketing affects customer based brand equity and legitimacy, a connection that remains underexplored despite the continued growth of influencer marketing. The thesis identifies key challenges and opportunities within the field and uses these insights to develop a strategic framework that brands can employ when collaborating with influencers to enhance both brand equity and legitimacy. Methodology: The thesis is empirically driven and uses a mixed-method approach, combining qualitative interviews with quantitative content analysis. Two individual interviews provide professional and practical insights, while two group interviews offer a consumer oriented perspective. The content analysis of sponsored influencer posts reveals how consumers react in practice, deepening the practical understanding of the field. The study is structured as a single-case study and adopts a hermeneutic approach, which offers a deep understanding of how influencer marketing shapes brand equity and legitimacy. Findings: Overall, this thesis confirms that, when executed thoughtfully, influencer marketing can enhance both brand equity and legitimacy. Conversely, a lack of authenticity, poor brand match, or overexposure can undermine the credibility and influence of both the brand and the influencer. Originality: This thesis investigates an area where no clear connection has yet been made, the impact of influencer marketing on brand equity and legitimacy. By integrating established theories with new empirical data, it provides valuable insights into this rapidly evolving field.