Digital Effect: Relationship between Brand Media Image and Company Performance

  • Evgeny A. Kuzmin Institute of Economics of the Ural Branch of Russian Academy of Sciences, Russia
  • Marina V. Faminskaya Russian State Social University, Russia
  • Elena A. Rodionova St. Petersburg State University, Russia
  • Elza R. Zinatullina Ural State University of Economics, Russia

Abstract

The primary trend of the ongoing digital transformation is the rapid socialization of the Internet. The crucial role in those processes is assigned to social networks. Integrating companies representing goods and services into social networks makes implementing a marketing strategy in a virtual environment urgent. Our literature review looked at the goals of a brand's social media presence and the expected benefits of that presence. Using a correlation-regression analysis, we have established the relationship between the media image of several global companies on social networks and the sales dynamics, value, and awareness of their brand. The hypotheses put forward were partially confirmed. However, the results showed no strong relationship between brand activity and brand audience in a social network and brand value and awareness. On the other hand, there wass a noticeable relationship between the size of the audience in a social network and the dynamics of the brand's revenue. Still, this influence turned out to be the opposite. Thus, the media image of a brand signifies the emergence of a kind of "digital effect" accompanied by concomitant phenomena of the relationship between the parameters of the audience size, revenue, value, and brand awareness. This constitutes the prospect of further research to clarify stable patterns.

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Published
2022-05-30
How to Cite
A. KUZMIN, Evgeny et al. Digital Effect: Relationship between Brand Media Image and Company Performance. Jurnal Ilmiah Peuradeun, [S.l.], v. 10, n. 2, p. 491-508, may 2022. ISSN 2443-2067. Available at: <http://journal.scadindependent.org/index.php/jipeuradeun/article/view/785>. Date accessed: 26 sep. 2022. doi: https://doi.org/10.26811/peuradeun.v10i2.785.