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Technology-enabled community data for gaining pre-release brand insights

Author

Listed:
  • Pradeep Kumar Ponnamma Divakaran

    (ESC [Rennes] - ESC Rennes School of Business)

Abstract

In the past, studies have investigated brand equity only in the ‘post-launch' context, hence missing opportunities to make early corrections in cases of negative favourability. Using technology-enabled online community data, this study examines whether ‘pre-launch' brand favourability can predict community's post-launch purchase decisions, by introducing a new construct called community-based brand equity (CoBBE). This study also investigates whether CoBBE can predict future sales of new products. Weekly data are collected for eight weeks before and after product launch from a movie-based online community for a period of 16 months. The results show that community-based variables such as pre-launch brand awareness level, brand favourability and brand strength have a significant influence on 1) community members' post-release purchase decisions both in the opening week as well as the entire lifetime of products, and 2) satisfaction level. The study also finds that CoBBE is a significant predictor of future market sales, thus showing the usefulness of CoBBE as an early warning diagnostic tool which will enable movie studios to gain early brand-related insights as well as to make early corrective actions when needed.

Suggested Citation

  • Pradeep Kumar Ponnamma Divakaran, 2018. "Technology-enabled community data for gaining pre-release brand insights," Post-Print hal-01999624, HAL.
    • Handle: RePEc:hal:journl:hal-01999624
    DOI: 10.1016/j.techfore.2017.09.024
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    Cited by:

    1. Perano, Mirko & Casali, Gian Luca & Liu, Yulin & Abbate, Tindara, 2021. "Professional reviews as service: A mix method approach to assess the value of recommender systems in the entertainment industry," Technological Forecasting and Social Change, Elsevier, vol. 169(C).

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