IDEAS home Printed from https://ideas.repec.org/a/spr/elcore/v20y2020i1d10.1007_s10660-018-09329-0.html
   My bibliography  Save this article

Design of sweepstakes-based social media marketing for online customer engagement

Author

Listed:
  • Woo-Jin Jung

    (Yonsei University)

  • Seungjun Yang

    (Deloitte)

  • Hee-Woong Kim

    (Yonsei University)

Abstract

Customer engagement has been considered to be one of the most important goals of social media marketing. Many companies have conducted social media marketing, particularly through Facebook, by managing their brand fan pages. Compared with other approaches in social media marketing, sweepstakes-based marketing has been successful in gaining customers’ attention and in fostering engagement with customers. However, understanding has been lacking regarding ways in which to design sweepstakes-based social media marketing. By applying expected utility theory, this study examines sweepstakes-based social media marketing strategies, particularly designs based on the combination of promotion characteristics, prize types and categories, and prize payment type, to enhance customer engagement with a brand in the context of Facebook brand fan pages. The study in general, as well as the testing results, provides guidance to social media marketers and explains ways in which to design sweepstakes in social media marketing for customer engagement. This study contributes to the literature by demonstrating the significance of sweepstakes design factors and the combinations for customer engagement.

Suggested Citation

  • Woo-Jin Jung & Seungjun Yang & Hee-Woong Kim, 2020. "Design of sweepstakes-based social media marketing for online customer engagement," Electronic Commerce Research, Springer, vol. 20(1), pages 119-146, March.
  • Handle: RePEc:spr:elcore:v:20:y:2020:i:1:d:10.1007_s10660-018-09329-0
    DOI: 10.1007/s10660-018-09329-0
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s10660-018-09329-0
    File Function: Abstract
    Download Restriction: Access to the full text of the articles in this series is restricted.

    File URL: https://libkey.io/10.1007/s10660-018-09329-0?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Abdul-Ghani, Eathar & Hyde, Kenneth F. & Marshall, Roger, 2011. "Emic and etic interpretations of engagement with a consumer-to-consumer online auction site," Journal of Business Research, Elsevier, vol. 64(10), pages 1060-1066, October.
    2. Rishika Rishika & Ashish Kumar & Ramkumar Janakiraman & Ram Bezawada, 2013. "The Effect of Customers' Social Media Participation on Customer Visit Frequency and Profitability: An Empirical Investigation," Information Systems Research, INFORMS, vol. 24(1), pages 108-127, March.
    3. Sekar Raju & H. Rao Unnava & Nicole Votolato Montgomery, 2009. "The Effect of Brand Commitment on the Evaluation of Nonpreferred Brands: A Disconfirmation Process," Journal of Consumer Research, Journal of Consumer Research Inc., vol. 35(5), pages 851-863, October.
    4. Ng Yew Kwang, 1965. "Why do People Buy Lottery Tickets? Choices Involving Risk and the Indivisibility of Expenditure," Journal of Political Economy, University of Chicago Press, vol. 73(5), pages 530-530.
    5. Sneath, Julie Z. & Finney, R. Zachary & Close, Angeline Grace, 2005. "An IMC Approach to Event Marketing: The Effects of Sponsorship and Experience on Customer Attitudes," Journal of Advertising Research, Cambridge University Press, vol. 45(4), pages 373-381, December.
    6. Nikolay Archak & Anindya Ghose & Panagiotis G. Ipeirotis, 2007. "Deriving the Pricing Power of Product Features by Mining Consumer Reviews," Working Papers 07-36, NET Institute.
    7. Gilles Laurent & Pierre Chandon & Brian Wansink, 2000. "A Benefit Congruency Framework of Sales Promotion Effectiveness," Post-Print hal-00458440, HAL.
    8. Xueming Luo & Jie Zhang & Wenjing Duan, 2013. "Social Media and Firm Equity Value," Information Systems Research, INFORMS, vol. 24(1), pages 146-163, March.
    9. Robert F. Bordley & Craig W. Kirkwood, 2004. "Multiattribute Preference Analysis with Performance Targets," Operations Research, INFORMS, vol. 52(6), pages 823-835, December.
    10. Milton Friedman & L. J. Savage, 1948. "The Utility Analysis of Choices Involving Risk," Journal of Political Economy, University of Chicago Press, vol. 56(4), pages 279-279.
    11. Sung-Byung Yang & Jee-Hae Lim & Wonseok Oh & Animesh Animesh & Alain Pinsonneault, 2012. "Research Note ---Using Real Options to Investigate the Market Value of Virtual World Businesses," Information Systems Research, INFORMS, vol. 23(3-part-2), pages 1011-1029, September.
    12. Ran Kivetz, 2003. "The Effects of Effort and Intrinsic Motivation on Risky Choice," Marketing Science, INFORMS, vol. 22(4), pages 477-502, December.
    13. Selby, Edward B, Jr & Beranek, William, 1981. "Sweepstakes Contests: Analysis, Strategies, and Survey," American Economic Review, American Economic Association, vol. 71(1), pages 189-195, March.
    14. LAURENT, Gilles & CHANDON, Pierre & WANSINK, Brian, 2000. "A benefit congruency framework of sales promotion effectiveness," HEC Research Papers Series 698, HEC Paris.
    15. Kaplan, Andreas M. & Haenlein, Michael, 2010. "Users of the world, unite! The challenges and opportunities of Social Media," Business Horizons, Elsevier, vol. 53(1), pages 59-68, January.
    16. Carlson, Brad D. & Suter, Tracy A. & Brown, Tom J., 2008. "Social versus psychological brand community: The role of psychological sense of brand community," Journal of Business Research, Elsevier, vol. 61(4), pages 284-291, April.
    17. Eric A. Greenleaf, 1995. "The Impact of Reference Price Effects on the Profitability of Price Promotions," Marketing Science, INFORMS, vol. 14(1), pages 82-104.
    18. Erio Castagnoli & Marco LiCalzi, 2005. "Expected utility without utility," Game Theory and Information 0508004, University Library of Munich, Germany.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Bin Shen & Ming Cheng & Renlong He & Minglei Yang, 2024. "Selling through social media influencers in influencer marketing: participation-based contract versus sales-based contract," Electronic Commerce Research, Springer, vol. 24(2), pages 1095-1118, June.
    2. Rinka Apsari & Daniel Tumpal Hamonangan Aruan, 2024. "Examining Factors Influencing Consumers’ Participation in Social Media Contests," International Review of Management and Marketing, Econjournals, vol. 14(4), pages 152-160, July.
    3. Esther Calderón-Monge & José M. Ramírez-Hurtado, 2022. "Measuring the consumer engagement related to social media: the case of franchising," Electronic Commerce Research, Springer, vol. 22(4), pages 1249-1274, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Koen Pauwels & Shuba Srinivasan & Philip Hans Franses, 2007. "When Do Price Thresholds Matter in Retail Categories?," Marketing Science, INFORMS, vol. 26(1), pages 83-100, 01-02.
    2. Bordley, Robert F., 2005. "Econophysics and individual choice," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 354(C), pages 479-495.
    3. Kaplan, Andreas M., 2012. "If you love something, let it go mobile: Mobile marketing and mobile social media 4x4," Business Horizons, Elsevier, vol. 55(2), pages 129-139.
    4. Oberoi, Poonam & Patel, Chirag & Haon, Christophe, 2017. "Technology sourcing for website personalization and social media marketing: A study of e-retailing industry," Journal of Business Research, Elsevier, vol. 80(C), pages 10-23.
    5. Ajay Kalra & Mengze Shi, 2002. "Consumer Value-Maximizing Sweepstakes & Contests: A Theoretical and Experimental Investigation," Review of Marketing Science Working Papers 1-3-1008, Berkeley Electronic Press.
    6. Majumdar, Adrija & Bose, Indranil, 2019. "Do tweets create value? A multi-period analysis of Twitter use and content of tweets for manufacturing firms," International Journal of Production Economics, Elsevier, vol. 216(C), pages 1-11.
    7. Leila Meratian Esfahani & Lester W. Johnson, 2018. "Stakeholders’ Engagement and Strategic Management of Social Media," Journal of International Business Research and Marketing, Inovatus Services Ltd., vol. 3(6), pages 47-56, September.
    8. Ji Wu & Haichuan Zhao & Haipeng (Allan) Chen, 2021. "Coupons or Free Shipping? Effects of Price Promotion Strategies on Online Review Ratings," Information Systems Research, INFORMS, vol. 32(2), pages 633-652, June.
    9. Sunghun Chung & Animesh Animesh & Kunsoo Han & Alain Pinsonneault, 2020. "Financial Returns to Firms’ Communication Actions on Firm-Initiated Social Media: Evidence from Facebook Business Pages," Information Systems Research, INFORMS, vol. 31(1), pages 258-285, March.
    10. Suwelack, Thomas & Hogreve, Jens & Hoyer, Wayne D., 2011. "Understanding Money-Back Guarantees: Cognitive, Affective, and Behavioral Outcomes," Journal of Retailing, Elsevier, vol. 87(4), pages 462-478.
    11. Guillaume Le Borgne & Lucie Sirieix & Sandrine Costa, 2014. "Food waste and promotions," Working Papers hal-01140919, HAL.
      • Le Borgne, G. & Sirieix, L. & Costa, S., 2014. "Food waste and promotions," Working Papers MoISA 201405, UMR MoISA : Montpellier Interdisciplinary center on Sustainable Agri-food systems (social and nutritional sciences): CIHEAM-IAMM, CIRAD, INRAE, L'Institut Agro, Montpellier SupAgro, IRD - Montpellier, France.
    12. Wagner, Tillmann & Rudolph, Thomas, 2010. "Towards a hierarchical theory of shopping motivation," Journal of Retailing and Consumer Services, Elsevier, vol. 17(5), pages 415-429.
    13. Bertschek, Irene & Kesler, Reinhold, 2022. "Let the user speak: Is feedback on Facebook a source of firms’ innovation?," Information Economics and Policy, Elsevier, vol. 60(C).
    14. Brad Taylor, 2013. "Analytic radicalism," Constitutional Political Economy, Springer, vol. 24(2), pages 166-172, June.
    15. Tingting Song & Jinghua Huang & Yong Tan & Yifan Yu, 2019. "Using User- and Marketer-Generated Content for Box Office Revenue Prediction: Differences Between Microblogging and Third-Party Platforms," Service Science, INFORMS, vol. 30(1), pages 191-203, March.
    16. Byun, Kyung-Ah (Kay) & Duhan, Dale F. & Dass, Mayukh, 2020. "The preservation of loyalty halo effects: An investigation of the post-product-recall behavior of loyal customers," Journal of Business Research, Elsevier, vol. 116(C), pages 163-175.
    17. Kee-Young Kwahk & Byoungsoo Kim, 2017. "Effects of social media on consumers’ purchase decisions: evidence from Taobao," Service Business, Springer;Pan-Pacific Business Association, vol. 11(4), pages 803-829, December.
    18. Jose Benitez & Laura Ruiz & Ana Castillo & Javier Llorens, 2020. "How corporate social responsibility activities influence employer reputation: The role of social media capability," Post-Print hal-02462583, HAL.
    19. Wenyan Zhou & Oliver Hinz & Alexander Benlian, 2018. "The impact of the package opening process on product returns," Business Research, Springer;German Academic Association for Business Research, vol. 11(2), pages 279-308, September.
    20. repec:dau:papers:123456789/5853 is not listed on IDEAS
    21. Luke Lunhua Mao & James J Zhang & Daniel P Connaughton, 2015. "Determinants of Demand for Sports Lottery: Insights from a Multilevel Model," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 5(8), pages 973-987, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:elcore:v:20:y:2020:i:1:d:10.1007_s10660-018-09329-0. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.