User-generated content has no direct impact on brand engagement: Study

Study found that high-quality firm-generated content significantly increases social media brand engagement, whereas user-generated content quality does not show a direct influence on engagement

User-generated social media content quality does not show a direct influence on engagement for brands, a new study by the Goa Institute of Management (GIM) has pointed out.

The study conducted in collaboration with the Goa University, Taleigao, has addressed a key gap in marketing literature by examining how social media content quality and source credibility from brands and firms and users translate into brand equity and online engagement.

The research published in the prestigious "Journal of Promotion Management", provides insights on "which type of content, Firm-Generated Content (FGC) or User-Generated Content (UGC), actually drives brand engagement and builds brand equity".

 

According to officials, various research on related topics has been conducted in the past but has provided contradictory findings, making it unclear for real-world scenarios whether social media investment generates measurable brand outcomes or not.

"The study attempts to bring clarity to this ongoing debate by analysing both content types together within a common framework and testing them across multiple popular platforms, such as Facebook, Instagram and YouTube, that consumers interact with every day," Saswat Barpanda, Associate Professor, told PTI.

"To gain deeper psychological insights into how consumers process brand content posted on social media platforms, the researchers used the Elaboration Likelihood Model (ELM) and Social Identity Theory (SIT). This approach helped us understand why consumers react differently to content depending on the level of personal identification," he added.

The team found that high-quality firm-generated content significantly increases social media brand engagement, whereas user-generated content quality does not show a direct influence on engagement.

"Both FGC and UGC influence customer-based brand equity, but only firm-generated content's source credibility enhances brand equity; the credibility of UGC does not. Brand equity acts as a full mediator, meaning that social media content builds brand equity first, and this equity then drives engagement.

"Based on these findings, the research team validates that consumers engage with brands when they identify with them and process content meaningfully. It also verifies that brands need to focus on strengthening brand identity and trust before expecting any substantial engagement results from consumers," he said.

Barpanda explained that their research showed that not all social media content is born equal. High-quality brand-created content builds trust, identity, resulting in brand engagement.

"Professional, credible content still wins the consumer's mind and heart, even in the era of user-generated content. By integrating the Elaboration Likelihood Model and Social Identity Theory, our study proves why credible, high-quality social media content transforms followers into loyal brand advocates," he said.

The study's simultaneous comparison of firm-generated content and user-generated content, applied across multiple social media platforms and supported by primary data from real consumers, makes it a one-of-its-kind research in its domain.

"With these insights, brands can draft communication strategies that prioritise high-quality firm-generated content that connects emotionally with end-users. The study shows that when brands invest in visually engaging content, such as tutorials or product explainers, they can build stronger emotional connections and create more meaningful interactions with their audiences," Nandakumar Mekoth, Professor, GIM, said.

"These insights apply across a wide range of industries, from tourism and FMCG to retail and consumer services, helping brands improve campaign performance and make smarter, more strategic digital advertising choices," he added.