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Retailer use of a professional social media network: Insights from franchising

Author

Listed:
  • Manish Kacker

    (DeGroote School of Business - McMaster University [Hamilton, Ontario])

  • Rozenn Perrigot

    (CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR - Université de Rennes - CNRS - Centre National de la Recherche Scientifique)

Abstract

The adoption and use of a professional social media network by franchise chains is the focus of this paper. We draw on resource-based theory, institutional economic theories of incentives and externalities and multidisciplinary literatures on franchising, innovation adoption and interorganizational communication to link (i) franchisor characteristics and partnering strategies to the adoption and use of a professional social media network and (ii) the extent of use of this network by a franchisor to the number of followers of its network page. Hypotheses are empirically assessed using data on 500 US franchise chains from Entrepreneur's Annual Franchise 500 for 2011, content analysis of LinkedIn pages for 317 franchise chains in 2011 and number of followers in 2015. One key finding is that franchisor adoption of LinkedIn is positively influenced by franchise chain size, franchising fees and franchisor marketing communications and negatively affected by franchise concept complexity. A second important finding is that, among franchisors who adopt LinkedIn, the extent of use of LinkedIn is positively impacted by franchise chain size, franchising fees and negatively affected by franchise chain age. A third notable finding is that the number of followers of a franchisor's LinkedIn page in the short term is positively impacted by the extent of information about franchise chain and recruitment. A fourth key finding is that the number of followers in the longer term (2015) is positively impacted by whether the franchisor had a presence on LinkedIn in 2011 and, for these franchisors, by the number of followers in 2011.

Suggested Citation

  • Manish Kacker & Rozenn Perrigot, 2016. "Retailer use of a professional social media network: Insights from franchising," Post-Print halshs-01287641, HAL.
    • Handle: RePEc:hal:journl:halshs-01287641
    DOI: 10.1016/j.jretconser.2016.01.020
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    Citations

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    Cited by:

    1. Ashish K. Rathore & Arpan K. Kar & P. Vigneswara Ilavarasan, 2017. "Social Media Analytics: Literature Review and Directions for Future Research," Decision Analysis, INFORMS, vol. 14(4), pages 229-249, December.
    2. Baum, Daniela & Spann, Martin & Füller, Johann & Thürridl, Carina, 2019. "The impact of social media campaigns on the success of new product introductions," Journal of Retailing and Consumer Services, Elsevier, vol. 50(C), pages 289-297.
    3. López-Fernández, Begoña & Perrigot, Rozenn, 2018. "Using Websites to Recruit Franchisee Candidates," Journal of Interactive Marketing, Elsevier, vol. 42(C), pages 80-94.
    4. Kumar, Jitender & Katiyar, Gagan & Mehrotra, Ankit & Attri, Rekha & Vishnoi, Sushant Kumar, 2024. "Connecting BOP consumers and retailers: What drives small-time retailing through social media?," Journal of Retailing and Consumer Services, Elsevier, vol. 77(C).
    5. Calderon-Monge, Esther & Pastor-Sanz, Iván & Sendra-García, Javier, 2021. "How to select franchisees: A model proposal," Journal of Business Research, Elsevier, vol. 135(C), pages 676-684.
    6. Torres de Oliveira, Rui & Indulska, Marta & Steen, John & Verreynne, Martie-Louise, 2020. "Towards a framework for innovation in retailing through social media," Journal of Retailing and Consumer Services, Elsevier, vol. 54(C).

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