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The effect of social media interactions on customer relationship management

Author

Listed:
  • Olaf Maecker

    (University of Hamburg)

  • Christian Barrot

    (Kühne Logistics University)

  • Jan U. Becker

    (Kühne Logistics University)

Abstract

In recent years, social media have become a popular channel through which customers and companies can interact. However, companies struggle to assess whether their investments in establishing and maintaining brand pages in social media actually meet their high expectations with respect to developing and retaining customers. Based on three empirical studies, the authors explore the role of interactions through corporate social media channels, such as Facebook brand pages, in customer relationship management. The results indicate that social media interactions indeed ease the upselling efforts and reduce the risk of churn. These positive effects offset the observed increases with regard to the number of service requests and the higher overall service cost. Thus, we ultimately find customers who interact with the brand on social media to be more profitable.

Suggested Citation

  • Olaf Maecker & Christian Barrot & Jan U. Becker, 2016. "The effect of social media interactions on customer relationship management," Business Research, Springer;German Academic Association for Business Research, vol. 9(1), pages 133-155, April.
    • Handle: RePEc:spr:busres:v:9:y:2016:i:1:d:10.1007_s40685-016-0027-6
    DOI: 10.1007/s40685-016-0027-6
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    References listed on IDEAS

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