Value Creation on Facebook Pages: A Case Study of how Businesses can Increase Consumer Loyalty through Strategic Work with Facebook Pages

Emil Halveg Olesen

Student thesis: Master thesis

Abstract

This thesis aims to create a deeper understanding of value creation on Facebook pages and how these can affect and increase consumer engagement, brand attachment, and consumer loyalty. This is investigated through Carlsberg as a single case study. As the transaction from Web 1.0 to Web 2.0 has allowed consumer interactions, the importance of marketing on social media has increased. With this, the importance of understanding the consumers' demands, so long term relationships between the brand and the consumer can be established, thus increased brand attachment and consumer loyalty. Based on existing community theory, Facebookpages are defined as virtual brand communities, where consumers can connect with other consumers as well as companies through interactions. With this knowledge, a theoretical framework for testing the different variables of value, engagement, brand attachment, and loyalty is constructed. This furthermore examines and aims to understand the links between the different variables. Based on this thesis study, three essential findings become clear. First, consumer value and the effects of it regarding the degree of engagement, brand attachment, and loyalty can variate from which type of business that's being researched. Second, that the primary values that motivate consumers to access and interact with Facebook-pages are entertainment, remuneration, and information. The secondary values are personal identity and empowerment. And the last researched value, social integration which imply the feeling of belonging, does not seem to motivate consumers. While this also applies to Carlsberg's Facebook page, there are some critical differences in how these values influence consumer motivation. Especially when it comes to information and personal identity. Finally, it becomes clear that information, personal identity, and empowerment, are the values, that has the most significant effect on brand attachment and consumer loyalty. Even though entertainment and remuneration seem not to affect the degree of brand attachment and thus loyalty, these can be argued to have an importance regarding the consumers accessing and interacting with the Facebook page. Therefore, companies in the Danish beer industry should work strategically with their communication on their Facebook page by combining the primary and secondary consumer values.

EducationsMSc in Economics and Marketing, (Graduate Programme) Final Thesis
LanguageDanish
Publication date2019
Number of pages137