Brand co-creation through participation of organization, consumers, and suppliers : an empirical validation

Purpose: The purpose of this paper is to empirically validate the role of different stakeholders in a co-creation context. In this paper, a new triadic brand co-creation concept has been presented highlighting why consumers participate in brand co-creation, what is the role of the organizing company and what is the role of suppliers in such event and what are the benefits each of these three stakeholders receives in-turn of participating in such an event. Design/methodology/approach: A quantitative approach has been adopted in this study using structural equation modeling to verify brand co-creation from the triadic stakeholder participation standpoint. Findings: The empirical study validates that consumer’s perceived psychological benefits, brand self-connection and participation in brand communities all have a positive impact on the brand co-creation process. The results also suggest co-creating organizations should create an environment of trust and openness in such a brand co-creation event and they should show participatory leadership and provide proper tools and training to the participating consumers. The participating suppliers should show higher levels of professionalism, they should be willing to invest in research and development (R&D) and collaborate with organizations in their R&D effort. The results also validate that the brand co-creation event ensures increased brand knowledge and value of consumers. Also, brand co-creation is positively related to purchasing, helping others and consumers’ feedback intention. Through brand co-creation sponsoring organizations creates innovation and reduces resource issues and marketing costs. The results also show that brand co-creation can lead to better brand loyalty among consumers. Suppliers should also be actively engaged in brand co-creation as it leads to a better performance in terms of greater revenue, market offerings and reputation. Research limitations/implications: The research investigates all aspects of inputs and benefits of the three different stakeholders – consumers, organizations and suppliers. It gives a comprehensive framework to validate the roles and benefits of each of the stakeholders from a consumer’s viewpoint. It conceptualizes and validates the constructs to provide the holistic concept and its associated framework. Practical implications: The findings offer new insights to brand managers, Chief Experience Officers of how a brand co-creation event can be organized successfully, what should be the role of them, how they should involve suppliers in this kind of an event and finally how this kind of event can have a long-term impact on the brand in question. Originality/value: This is the first empirical research on brand co-creation which investigates the roles and benefits from a triadic stakeholders’ standpoint. This study also analyzes and validates the comprehensive framework of brand co-creation proposed.