Abstract

http://ssrn.com/abstract=2290802
 


 



The Effect of Social Media Marketing Content on Consumer Engagement: Evidence from Facebook


Dokyun Lee


University of Pennsylvania - The Wharton School

Kartik Hosanagar


University of Pennsylvania - Operations & Information Management Department

Harikesh Nair


Stanford University - Graduate School of Business

October 1, 2014


Abstract:     
We investigate the effect of social media content on customer engagement using a large-scale field study on Facebook. We content-code more than 100,000 unique messages across 800 companies engaging with users on Facebook using a combination of Amazon Mechanical Turk and state-of-the-art Natural Language Processing algorithms. We use this large-scale database of advertising attributes to test the effect of ad content on subsequent user engagement − defined as Likes and comments − with the messages. We develop methods to account for potential selection biases that arise from Facebook’s filtering algorithm, EdgeRank, that assigns posts non-randomly to users. We find that inclusion of persuasive content − like emotional and philanthropic content − increases engagement with a message. We find that informative content − like mentions of prices, availability and product features − reduce engagement when included in messages in isolation, but increase engagement when provided in combination with persuasive attributes. Persuasive content thus seems to be the key to effective engagement. Our results inform advertising design in social media, and the methodology we develop to content-code large-scale textual data provides a framework for future studies on unstructured natural language data such as advertising content or product reviews.

Number of Pages in PDF File: 50

Keywords: consumer engagement, social media, advertising content, marketing communication, large-scale data, natural language processing, selection, Facebook, EdgeRank

JEL Classification: M3

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Date posted: September 26, 2013 ; Last revised: November 27, 2014

Suggested Citation

Lee, Dokyun and Hosanagar, Kartik and Nair, Harikesh, The Effect of Social Media Marketing Content on Consumer Engagement: Evidence from Facebook (October 1, 2014). Available at SSRN: http://ssrn.com/abstract=2290802

Contact Information

Dokyun Lee (Contact Author)
University of Pennsylvania - The Wharton School ( email )
3733 Spruce Street
Philadelphia, PA 19104-6374
United States

Kartik Hosanagar
University of Pennsylvania - Operations & Information Management Department ( email )
Philadelphia, PA 19104
United States

Harikesh Nair
Stanford University - Graduate School of Business ( email )
518 Memorial Way
Stanford, CA 94305-5015
United States
650-736-4256 (Phone)
HOME PAGE: http://faculty-gsb.stanford.edu/nair/index.html

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