The red packet interaction and brand attitude in the brand communities on WeChat

Abstract

Purpose Monetary incentives have been widely adopted by brands to promote consumer engagement in their brand communities on social networking sites. This paper aims to explore how the interactions triggered by an emerging monetary incentive, red packets, affect consumers’ brand attitude in the context of WeChat brand groups (WCBGs). Design/methodology/approach According to whether brands ask for commercial returns from consumers, two types of interactions were identified, namely, exchange red packet interaction (ERPI) and communal red packet interaction (CRPI). The corresponding influences on brand attitude were examined in three experiments. Findings Compared to CRPIs, ERPIs elicit greater normative community pressure, inducing a less favorable brand attitude. Moreover, this impact is moderated by the time frame of brand communities. In the long-term WCBGs, a significant difference exists between ERPIs and CRPIs, while such difference attenuates or even disappears in short-term WCBGs. Practical implications When using red packets as an engagement strategy, brand managers should be alert to their potential negative influence. Specifically, in short-term brand communities, ERPIs enable managers to acquire commercial returns without hurting brand attitude. In long-term brand communities, managers are advised to implement CRPIs to foster a positive brand attitude. Originality/value This study investigates red packet interactions in brand communities, which have been widespread but unexplored. The results expand the literature by addressing the undermining effect of ERPI and the moderating effect of the time frame.

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