Abstract

This paper investigates a deeper relationship between effects of information cascades on customer’s action and influence of brand image. Information cascades on the social media occurs when an individual observes behaviors of others and then make the same decision that other individuals have already made. According to, information cascades on a social media could lead to that many users have a strong effect on each other like determining the most influential individual’s preference within a network. The information cascade can be used for one of two effects on consumers in brand image: it could cause the brand to seem higher or lower in Consumers’ Buying Intentions and also could affect consumers’ brand trust. The purpose of this study is research of the primary behaviors of those customers who engage with brand image. They affect and make the same decision by ideas that others have already shared in social media. The methodology of the study was a depth interview with Facebook. At the end, 160 college students at Eastern Mediterranean University offered their answers who concerning their motivation of buying and influencing of brands within social media.

Keywords: information cascades, brand image, social media, purchase intention

Cite as: Dehghani, M., ChoubtarashAbarde H. & Nourani, S. (2013). The impact of information cascade on consumer’s decision making in the frame of brand image within social media. Marketing and Management of Innovations, 3, 69-75. https://doi.org/10.21272/mmi.2013.3-07

This work is licensed under a Creative Commons Attribution 4.0 International License

References

1. Rowley, J. (2001). Knowledge Management In Pursuit Of Learning: The Learning with Knowledge Cycle. Journal of Information Science, 27(4), 227-237.
2. ”Statistics”, Press room, Facebook Website. Accessed January 10, 2011. Retrieved from http://www.facebook.com/press/info.php? Statistics.
3. comScore Media Metrix. (2006). Total Number of Unique Visitors to Selected Social Networking Sites, as of March 2006. (accessed May 26, 2009). Available at http://www.emergence marketing.com/2006/05/05/social-networking-sites-drawtremendous-traffic/].
4. Waker, H. (2006). The virtual organisation: a new organizational form? International Journal of Networking and Virtual Organisations, Vol. 3, No. 1, 25-41.   
5. Chell, E., & Baines, S. (2000). Networking entrepreneurship and microbusiness behavior.
6. Nail, Jim. (2005). What’s the Buzz on Word-of-Mouth Marketing? Social Computing and Consumer Control Put Momentum into Viral Marketing. Accessed May 11, 2009.
7. Batra, R., &Ahtola, O.T. (1990). Measuring the hedonic and utilitarian sources of consumer attitudes. Marketing Letters (2:2), 159-170.
8. Anderson, L., & Holt, C. (1997). Information cascades in the laboratory. American Economic Review, 87, 847-62.
9. Aaker, D.A. (1991). Managing brand equity: Capitalizing on the value of a brand name. New York: Free Press.
10. Yolanda, Y.Y.C., & Ngai, E.W.T. (2011). Conceptualizing Electronic Word-Of-Mouth Activity: An Input Process-Output Perspective. Marketing Intelligence & Planning, 29 (5), 29-5.
11. Singh, J., & Pandya, S. (1991). Exploring The Effect of Consumers’ Dissatisfaction Level on Complaint Behaviors. the European Journal of Marketing, 25 (90), 7-21.
12. Steffes, E.M., & Burgee, L.E. (2009). Social Ties and Online Word Of Mouth. Internet Research, 19(1), 42-59.
13. Martilla, J.A. (1971). Word-of-Mouth Communication  in the Industrial Adoption Process. JMR. Journal of Marketing Research, 8(2), 173-179.
14. Chell, E., & Baines, S. (2000). Networking entrepreneurship and microbusiness behavior.
15. Lee, J., & Kim, J.K. (2011). The impact of online brand community type on consumer’s community engagement behaviors: Consumer-created vs marketer created online brand community in SNW. Cyberpsychology, Behavior & Social networking, 14 (1), 59-63.
16. Katona, Z., Zubcsek, P.P., & Sarvary, M. (2011). Network Effects and Personal Influences. The Diffusion of an Online Social Network Journal of Marketing Research Vol. XLVIII (June 2011), 425-443.
17. Kaplan, A.M., & Haenlein, M. (2010). Users of the world, unite! The challenges and opportunities of social media. Business Horizons, Vol. 53 No. 1, 59-68.
18. Cobb-Walgren, C.J., Ruble, C.A., & Donthu, N. (1995). Brand equity, brand preference, andpurchase intent. Journal of Advertising, 24, 25-40.
19. Meenaghan, T. (1995). The role of advertising in brand image development. Journal of Product & Brand Management, 4, 23-34.
20. Bhat, S., & Reddy, S.K. (1998). Symbolic and functional positioning of brands. Journal of Consumer Marketing, 15, 32-44.
21. Whan Park, C., Jaworski, B.J., & MacInnis, D.J. (1986). Strategic brand concept-image management. Journal of Marketing, 50, 135-145.
22. Bikhchandani, S., Hirshleifer, D., & Welch, I. (1998). Learning from the behavior of others: conformity, fads, and informational cascades. Journal of Economic Perspectives, 12(3), 151-70.
23. Dellarocas, C. (2003). The Digitization of Word of Mouth: Promise and Challenges of Online Feedback Mechanisms. Management Science, 49 (10), 1407-1424.
24. Martilla, J.A. (1971). Word-of-Mouth Communication  in the Industrial Adoption Process. JMR, Journal of Marketing Research, 8(2), 173-179.
25. Blackwell, R.D., Miniard, P.W., & Engel, J.F. (2005). Consumer behavior (10th ed.). Mason, OH: Thomson Learning.
26. Von Wangenheim, F. & Bayo’n, T. (2004). The Effect of Word-Of-Mouth on Service Switching. European Journal of Marketing, 38 (9/10), 1173-85.