University of California Press Is Collaborating With JSTOR To Digitize, Preserve and Extend Access To California Management Review

Ad Lib: When Customers Create the Ad
Author(s): Pierre Berthon, Leyland Pitt and Colin Campbell

Source: California Management Review, Vol. 50, No. 4 (Summer 2008), pp. 6-30
Published by: University of California Press
Stable URL: http://www.jstor.org/stable/41166454
Accessed: 19-11-2015 07:04 UTC
Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use, available at http://www.jstor.org/page/
info/about/policies/terms.jsp
JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide range of content
in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new forms of scholarship.
For more information about JSTOR, please contact support@jstor.org.
University of California Press is collaborating with JSTOR to digitize, preserve and extend access to California Management
Review.
http://www.jstor.org
This content downloaded from 139.80.123.49 on Thu, 19 Nov 2015 07:04:22 UTC
All use subject to JSTOR Terms and Conditions
Ad Lib:
When Customers
Create the Ad
Pierre Berthon
Leyland Pitt
Colin Campbell
organizationshave createdadvertisements, and cus-

tomersconsumed them.The intentionsof advertisershave been
reasonablyclear: Organizationsuse these messages (mostlyin
broadcastor printmedia) to inform,persuade, or remindpresent
and potentialcustomersof theirofferings or of the organizationitself.1
Consumers,on the otherhand, have been passive recipientsofthe communica-
tion,reactingto it eitherby becomingaware, or by being swayed to do some-
thingtheymightotherwisenot have done, or by havingtheirmemoriesjogged
and reinforced.Most of the timetheywill simplyignorethe advertisement's
message. However,thingshave begun to change. Now customersare craftingads
and broadcastingthem.The creationof advertisementsis no longerthe preroga-
tive of the organizationor its designatedad agency,and the consequences are
significant.
Whereas the earlypromiseof technologywas to give marketerspower
over consumersby using,to the firm'sbenefit,all the informationthathad been
gatheredand processed on these consumers,2recentevidence suggeststhatthe
opposite is occurring.Indeed, as Deighton and Kornfeldassert,"it'sthe
consumerwho runs the show forthe most part,not the marketer - in fact,for-
get the 'consumer' label altogether."3Technologyis enabling consumersto per-
formforthemselvesand othersmany of the marketingtasksand functions(the
well-known"4 Ps") thatwere previouslythe prerogativesof organizations.Web
sitessuch as eBay have enabled consumersto buy and sell to each other.Firms
such as Betfair,the world's largestsportsbettingexchange, permitcustomersto
make, ratherthan have to take,theirown prices (in the formof bettingodds),
The authors gratefullyacknowledge the advice and assistance of an anonymous reviewer who went
above and beyond the call of duty. All errors and omissions remain our own.
6 CALIFORNIA MANAGEMENTREVIEW VOL. 50. NO. 4 SUMMER 2008 CMR.BERKELEY.EDU
Ad Lib: When CustomersCreate the Ad
and therefore represent a realcompetitive threatto incumbent firmsand odds

makers.4 Consumersare providing advisory
significant services to each other
usingrating and advice web sites such as ePinions. They are even redesigning
and remanufacturing productsforthemselves, and others,and usingInternet
technologies to distributetheirofferings.5 Theredon'tseemto be anyofmarket-
ing's4 Ps thatare immune to the consumer-technology onslaught - and adver-
tisingis no exception.
The lastfewyearshave seen thenextwave ofdevelopments usheredin
bytheInternet. Whereastextruledthefirst surgeofInternet communications,
videoappearsto be themediumofpreference in thesecondwave.6Notonlyare
consumersconsuming video, but in a major
shift,facilitatedbyinexpensivemediasoft- PierreBerthonis the Clifford Youse Professor
ware,theyare creating thecontent.The phe- of Marketinginthe McCallum GraduateSchool
of Business, BentleyCollege, Waltham,
nomenalriseofvideo-hosting sitessuchas Massachusetts. <pberthon@bentley.edu>
YouTubehas also allowedtheconsumerto
LeylandPittis Professorof Marketingin the
becomethebroadcaster. Thisis fuelinga rev- Segal GraduateSchool of Business, Simon
olutionin advertising, forthead has been FraserUniversity,Vancouver,Canada, and also
liberatedfromtheexclusivecontrolofthe Senior Research Fellow in the Leeds University
Business School, Leeds, UK. <lpittôsfu.ca>
firm, and now expressesa myriadofhetero-
Colin Campbell is a Ph.D. studentin Marketing
geneousvoices.Someads are subversive, m the Segal Graduate School of Business,
otherslaudatory, butthefactremainsthat Simon FraserUniversity, Vancouver,Canada.
thefirmis no longerin exclusivecontrolof <mrcol@mac.com>
themessage.Appendix1 providesa brief
history ofparody-or spoof-advertising, someimportant dataon YouTubeand
thecustomergeneratedadvertising phenomenon, and the emerging commer-
cial,socialand politicalimpactsofconsumer-generated ads.
The traditional distinctions betweenproducerand consumerand between
masscommunication and individualcommunication are dissolving, and with
these,traditional modelsofmediamanagement. Unsurprisingly, organizations
are struggling to adaptto thisnew dispensation. Therehave been a numberof
high-profile caseswherefirmstryto controlor co-optconsumers'creativetal-
ent,butin each instancetheresultshave been highlyvariable.7 Thisarticle
the of
explores phenomenon consumer-generated advertising. Three primary
questionsare addressed:First,whatdrivesconsumersto generatetheirown ads?
Second,whatare thetypesofad createdbyconsumers?Andthird,whatman-
agementstrategies are availableto respondto thephenomenon?
Beforeaddressing thethreekeyquestions,however,we need to define
exactly what we mean by"consumer-generated ads."Twodelimitations are rele-
vantin thiscontext:subjectand dissemination. in
First, termsofsubject,con-
sumerscan obviouslycreateads aboutalmostanything - themselves, their
families, theirfriends,enemies,institutions, or governments. However,thesub-
setthatwe are interested in is consumer-generated contentspecifically targeted
at collectivelyrecognized brands. While the American Marketing Association
definesa brandas "a name,term,sign,symbol,or design,or a combination of
them,intendedto identify thegoodsand servicesofone selleror groupofsellers
CALIFORNIA MANAGEMENT REVIEW VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEY.EDU 7
and to differentiatethemfromcompetition/' Aakershedsmorelighton the

issuebydefining brandequityas "a setofassets(or liabilities) linkedto a brand's
nameand symbolthatadds to (or subtracts from)thevalue providedbya prod-
uctor service."8It is preciselythenatureofbrandas an assetthatmakesthe
issueofconsumer-generated brandads so criticalforseniormanagement. As
Achenbaumcontends,"whatdistinguishes a brandfromitsunbrandedcom-
moditycounterpart and givesitequityis thesumtotalofconsumers'percep-
tionsand feelings abouttheproduct'sattributes and how theyperform, about
thebrandnameand whatitstandsfor,and aboutthecompanyassociatedwith
thebrand."9
The seconddelimitation obviouslyconsumerscan create
is dissemination;
ads aboutbrands,buttheyhave no effect upon thebranduntiltheyare collec-
tivelydisseminated throughsomeformofmedia.As Berthon,Holbrook,Hul-
bert,and Pittpointout,brandsare notsimply"created,""owned,"or "used"by
management; rather, theyhave a lifeand meaningbeyondand,to someextent,
independent ofthat intended bytheirinitiators.10In a realsense,brandsare the
collective
possessions Thus the operational defini-
in themindsofmultipleconstituents.
dis-
ads" we adoptin thiscontextis: "anypublicly
tionof"consumer-generated
seminated, messageswhosesubjectis a collectively
advertising
consumer-generated
brand."
recognized
What Drives Customers to Create Their Own Ads?

Differentmotivations drivecustomers to produceand distribute theirown
ads. Muchofthescholarly researchon consumercreativity has been done at a
conceptuallevel.Whilethisis commendablefroman academicperspective, it
tellsmanagerslittleabouthow and whycustomers willgo to thetroubleofcre-
atingand flighting an ad, and whathappensas a result.It also givesthemvery
littleadviceaboutwhattheyshoulddo. "Consumercreativity" (thestudyof
consumerproblem-solving and creativity traits)and "creativeconsumers"(the
realityofhow consumersadapt,modify, or transform proprietary as
offerings),
has been pointedout,11are relatedbutstillverydifferent phenomena.
Thereis a strongstreamofresearchin theconsumerbehaviorliterature
thathas focusedon consumercreativity, beginning withtheworkofHirschman,
who defineditas theproblem-solving capability maybe appliedtoward
that
consumption-related problems.12 The focus ofconsumerresearchers has tended
to be on thebehavioraltraitsofcreativeconsumers, especially factors
and the
thatinfluencetheprocessofconsumercreativity. Forexample,Moreauand
Dahl have studied,in an experimental setting,how inputand timeconstraints
influencethewayin whichconsumersprocessinformation duringa creative
in
taskand how thoseprocesses, turn, influence the creativityofthesolution.13
Alsousingexperiments, Burroughs and Mickhave investigated theantecedents
and consequencesofcreativity in a consumption context.14Theirfindings are
thatbothsituational factors(i.e.,timeconstraints, situationalinvolvement) and
personalfactors(i.e., locusof control,metaphoric thinkingability) creative
affect
8 UNIVERSITYOF CALIFORNIA,BERKELEY VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU
Ad Lib: When CustomersCreate theAd
consumption, and thatthereis also interaction betweenthesevariables.These

researchefforts are praiseworthy, yettheyshedlittlelighton whatmanagersin
firmsshouldbe doingto becomeawareofcustomercreativity, how theyshould
definetheirattitudes towardsit,and whatactionstheyshouldembarkon to
eitherencourageor discourageit.
Onlyoflatehave consumerresearchers begunto giveattention to the
of
phenomenon consumer-generated advertising,although this has been in a
specific,focusedcontext.Munizand Schau have studiedthemarketing commu-
nicationgeneratedbythebrandcommunity centeredon thenow-defunct Apple
Newtonpersonaldigitalassistant, a brandthatwas (alongwithitssupporting
advertising) discontinued in 1998.15Theyfoundthatconsumerscan be quite
skilledin thecreationofbrand-relevant communications, applyingthestyles,
logics,and grammar ofadvertising.
Morerecently, Dahl and Moreauhave suggestedthatconsumercreativity
be conceivedofas existingalonga spectrum, rangingfromextremely limiting
casesin whicha productmightforexample,be simplyassembled(e.g.,putting
together an IKEA desk)to extremely creativecasesin whichtheproductis both
conceptualized and realized(e.g.,paintingan originalpicture).16 Theirfocusis
on whattheyterm"constrained or
creativity," hobbyist creation accordingto
guidelines,suchas paintingbynumbers,or following a recipein a cookbook,
and theypointoutthatmostconstrained creativetasksfallsomewherein the
middleoftheconsumercreativity continuum.Ourfocusis on theextremeend
ofthespectrum, wherethecreationis bothconceptualized and realized.Likean
originalpainting, manyconsumer-generated ads exhibitimagination, innova-
tion,and inventiveness.
In theirresearch, Dahl and Moreauuncovered,bymeansofin-depth
interviews, hobbyist's motivations forundertaking constrained creativetasks.
Theyidentified sevenbasicmotivations17 thatdrivehobbyists in constrained
creation:competence - theanticipated satisfactionto be derivedfromcompleting a
creativeprojectsuccessfully; - the
autonomy enjoyment to be derived from the
freedomto choosetheprocessand/ordesignofthecreativetask;learning - the
desireto attainor improvetheskillsnecessaryforcompleting creativeprojects;
engagement and -
relaxation theanticipated satisfactionto be derived fromimmer-
sionin thecreativeprocessitself;self-identity- thedesireto reinforce or enhance
self-perceptions ofcreativity;publicsenseofaccomplishment - theanticipated satis-
factionto be derivedfromothers'recognition ofone's own creativeaccomplish-
ments;and community - thedesireto sharecreativeexperienceswithotherswho
are similarlymotivated.
Interestingly,Munizand Schau foundthatthemembersoftheNewton
community createdcommercially relevantcontentin orderto fillthevoidcre-
atedbythelackofadvertising forthebrand.18 The motivations behindindivid-
ual actsofcreativity can be highlyidiosyncratic and varied.19 However,we
suggest, basedon interviews we conductedwithcustomers who generatedads
(presented in Case Studies1 through4 below) and thenplacedtheseonline,
thatthiscreativity tendsto be drivenbythreemainfactors:
CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 9
Case Study I: Gabriel Stella and iPo d Dance

who "alwayslikedto create things,imagesand stuff"and
Gabriel Stellais a youngBrazilian,
who describesvideos as "mypassion."He created a video forApple's ¡Pod MP3 playercalled
"¡Rod Dance" whileexperimenting witheditingprogramsand posted it unfinished,to YouTube
He
(<www.youtube.com/watch?v=XK4Vjmc6Gws>). expects nothing fromApple or anyone
else in return,but plans on makingmore videos because he now "knows a betterway to do it"
and "wantsto make a scene withmore ¡Pods."Asked ifhe would letApple use his idea in a
futureadvertisementshouldtheyrequest it,he is agreeable and says,"I don't want nothing
back,maybejustthe credit"
■ Intrinsic
Enjoyment:Theseindividualscreateforthesake ofcreation -
usuallytechsavvyand artistically inclined,theycreatesomething forthe
playfulenjoyment theyget out of theprocess.What happens to the cre-
ation,and the the
effect creation has, are secondary to the intrinsiccre-
ativeprocess.The case ofGabrielStellaand theiPodDance video (in Case
Study1) providesa goodexampleofan ad beingcreatedforintrinsic
enjoyment.
■ Self-promotion:
Theseindividualscreatewiththespecificgoal ofself-pro-
motion,perhapsto attract theattention ofa potentialemployersuchas
an ad agencyor clientfirm, or to have as partofa portfolio foradmission
Herethead is merelya meansto theend of
to an educationalinstitution.
bringing thecreatorto theawarenessofa specificgroupofpeople.The
case ofAlec Sutherlandand hiscolleagues,and theircreationofthe
"iPhoneNew York"ad (in Case Study2) providesa good exampleofcon-
sumer-generated advertisingwithself-promotion as theprimary goal.
■ Change These
Perceptions: individuals createbecause they intend the ad to
on a targetaudience.
have a specificeffect Theirgoal is to change hearts
and minds,to influencepeople.Again,thead is merelythemeansto the
Case Study 2: Alec Sutherland and Colleagues - ¡Phone New York

Takingadvantageof the hypesurrounding the launchofApple's ¡Phone,a few people inthe
advertisingindustry decided to make, ostensiblyfortheirown edificationand enjoymenta
commercialtoutingits featunes.Thedip (<www.iphonenewyortarty.com/>) is undeniablycre-
ative,but is also deartyof profession^
mindbehindthe project,who says"livingin New Yorkyou are constantlysurroundedby
diversepeople fromall over the world.In a singleday hundredsof conversationsgo on all
aroundthatyou cannot understanddue to the languagebarriers. Well,one day I thought
What iftheywere alltalkingabout the same thingr'Alec and hisgrcxjpwent to the expense
of acquiringa dedicated web address to showcase the videaThe aďs creditsprominently
acknowledgeand name all of those involved,includingenrnailaddresses.It is obvious thrt
creatorsof thisad are interestedin more than mere praise fortheirwork.
endsofa specific Ad" fea-

result.The PoorBastardDavid's"Starbuck's
turedin Case Study3 providesa goodexampleofconsumer-generated
targeted
advertising at changingperceptions.
Hidingbehinditsinnocuoustitle"StarbucksAd,"the contentsof the video created by David

(also knownas the "Poor Bastard")(<www.youtube.com/watch?v=VnbT7qt6RF4>) are any-
thing but The
official. ad opens withan attractive
woman holdinga Starbucks drinkwhile gig-
gling and "I
saying, don't know anybody who doesn't love a Frappuccinoon a hot summer day."
The tone of the ad changeswhen she remindsthe viewerthat"they'renot cheap either"and
that"you could feed a kidin a refugeecamp inthe Sudan fora whole week on what we spend
on one grande mocha half-caf no-whipFrappuccino... a whole week . . . seven days."Humor
drivesthe pointeven furtherduringthe closingwhen she opines "not thatanybodyis gonna
skiptheirfrostytreatto save a kidfromstarvation.I mean,c'mon,the/re freaking delicious!"
What differentiatesthisspoof ad fromothers is itsfocus on a specificironyof modern lifeand

the relativeabsence of the othertwo drivingmotivationsforcreatingsuch content.The video
was created usingobviouslyamateurfilming and editingequipment,featuresa dimlylitroom
as itsset (complete withvisiblelightswitch),and uses poor-qualitygraphicsand text overlays.
These qualitiespointto the message of the ad beingthe ultimategoal as opposed to intrinsic
enjoymentof the process as seen inthe"iPod Dance" video.We put questionsto David,the
creatorof the "Starbucks"ad:
What made you decide to make the video?

I
I was workingon a series of shortvideos around the tagline"Sincerityis the new irony."
heard a news reportone morningabout Starbuckslosingmoney because theycouldn'tmake
theirfrozendrinksfastenough to meet demand and the basic scriptforthe ad prettymuch
just popped intomyhead.As forwhy I actuallymade itand posted thisor anyothervideo,I
guess that'sprobablyjust about the funof creatinga dialogue witha random and potentially
massiveaudience.
What was yourgoal?

Mygoal was to spur criticalthoughtand conversationand/ormake you laugh.
Can you brieflydescribe the process of actually making it (how long did it take you,who was in it
and so forth)?
I shot it in one nightwiththe actress (KirstanPerry),a woman I had used in previouspieces. I
edited itthe next day and posted it.
Did you tell Starbucks (or anyone else) about the ad?
withthe linkand
I nevertold anyone officialabout the ad. I sent an e-mailaround to friends,
thatwas about it.Then itgot pickedup by consumerist.comand adrants.comand kindof took
on a lifeof itsown.
Has Starbucks contacted you?

Nope.
continuedon next page
CALIFORNIA MANAGEMENT REVIEW VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU II
Do you expect them to contact you?

Nope.
Has anyone else contacted you?
Lots of comments,some of whichI repliedto, but no "official"
contacts.
Were you afraid of any legal threats fromStarbucks?

Nope.
Are you planningon creating more videos like the ones you already have?
Done a bunchmore under myAKA- "ThePoorBastard'Tou can see most of them on my
YouTube channelor at the-poor-bastard.blogspotcom
Do you have anythingto say to others who mightbe consideringmaking a video fora cause of
theirown?
Do it.
Carefulinspection revealsthatthesevenhobbyist motivations identified

by Dahl and Moreau fall
primarily under our "intrinsic enjoyment" factor,as
theytendto be subjective(ratherthaninstrumental in an "other"sense) moti-
vations:self-satisfaction,self-enjoyment,self-improvement, and self-perception;
eventhenominallysocialdimensionsof"community" and "publicsenseof
accomplishment" are aimednotat thecommunity (the"other")perse butat
personalfeelings ofsatisfaction.Thisis perhapsnotsurprising, as Dahl and
Moreaufocusedon whatmotivates a personto pursuea particular hobby(e.g.,
scrapbooking, cooking, card or
making, sewing) or a constrained creativetask.
The creationofvideosfordistribution on YouTubeis qualitatively different
from
traditionalhobbies - itmaybe a hobbyto some,butto othersitis instrumental
(i.e.,notan end in itself,buta meansto an end) and outwardly directed(it'snot
aboutchanging"me,"butinfluencing In
others). summary, our model ofthe
motivation forconsumer-generated advertis-
ingsubsumestheDahl and Moreaumotiva-
FIGURE I« MotivationalDimensions tionsunderone factorand addstwofurther
Consumer-
Underpinning uniquefactors.
Generated Ads
The threemotivations exploredabove
are used as thedimensions to constructthe
framework depictedin Figure1. Whilethe
figureimpliesthattheseare independent
axes,in realitypeopleoftenhave a combina-
tionoftwoor threeofthesefactors driving
theircreativeactions.Indeed,thefactors can
be nested,in thesensethatone elementcan
lead to another.Forexample,thecapability
to influencepeople'sattitudes(changeper-
ceptions)can be a powerfulmeansofgener-
atingpublicity (self-promotion). Moreover,
Case Study 4: Daniel Ilic and TourismAustralia

Daniel Ilicis a 24-year-oldcomedy writerand directorwho says,"I got sickand tiredof hearing
how the 'So where the bloody hellare you'TourismAustraliaad was so good and was drum-
mingup a greatbuzz about Australia,so I decided to make myown. IfTourism Australiacan be
controversial, so can I!"With the help of his associated productioncompany,Ilicfilmeda spoof
versionentitled"Where the f- inghellare you?"and filleditwithless-than-savory imagesof
Australianlife.One shot is voiced over withthe phrase"We got the ethnicsoffthe beach,"as
a gangof rowdieschases a youngman.Anotherscene pokes funat Australia'simmigration
policies,showingan immigration detentioncenterwiththe voiceover,"We got you some free
accommodation.'The spoof ad sparkedthe ire ofTourismAustraliaand theirlegaldepartment.
thisincreasedmedia exposure and interestinthe video.
Ironically,
There is no questionthat Ilicenjoyed himselfimmenselywhileconceiving,producing,and
defendinghis creativevideo. He had a genuinedesire to bringto lightsocial issues and ironies
in a way thattook advantageof what he describes as "the nation'senormous capacityto laugh
Of hisaltercationwithTourismAustraliahe says,"ldidn'tknowthattakingthe piss
at itself."
was un-Australian, enjoymentand a desire to
but ifit is,I'm guiltyas charged."Beyond intrinsic
frameAustraliadifferently,Mr Ilic,whetherhe intendedto or not,benefitedenormouslyfrom
the media exposure the ad garnered.For a youngcomedian and director, the entireincident
has affordedIlictremendousnotorietywithinAustraliaand,to an extent,the restof the world.
theabilityto self-promote and changeperceptions oftenarisesfroman intrinsic

enjoyment of the creativeprocess.
An excellentexamplethatencompassesall oftheseelementsofmotiva-
tionis a spoofvideobasedon a recentTourismAustraliainternational advertis-
ingcampaign.The originalad, producedbythegovernment-run organization,
was itselfdesignedto be edgy.The ad featured stunning shotsofAustralian land-
scapes and socialscenes,voiced overwith phrasessuch as "we've boughtyou a
beer/ "we've saved a
you spot on thebeach," "dinner's
about to be served,"and
"we'vegotthesharksout ofthepool."It closedwiththetagline"so wherethe
bloodyhellare you?"and was thusbannedfromtelevision broadcastin theUK,
Canada,and theU.S., itskeymarkets.20 Needlessto say,thispublicityonly
increasedintrigue and interestin theofficial
campaign,and thead was viewed
and downloadedmanyhundredsofthousandsoftimesfromtheTourismAus-
traliaweb site.However,noteveryonewas happywiththecuteand picturesque
versionofAustraliaon display, as thestorypresentedin Case Study4 illustrates.
What Types ofAds Do Consumers Create?

In tryingto understand
thetypesofads createdbyconsumers, itis useful
textfromsubtext.In thisinstance,"text"is used as thecollective
to differentiate
termto coverthewritten word,theaudio track,and thevisualimage.In a
media-saturated world,consumersare becomingincreasingly sophisticated at
or
"reading" interpreting mediatexts.Such are
interpretations shapedby idio-
FIGURE 2. Typesof Consumer-GeneratedAds
syncraticpersonalfactors as wellas textstructure.21 Extremepostmodernists will

arguethatthereaderimbuesthetextwithmeaningindependent oftheauthor's
wishes.22However,we takea lessextremepositionand proposethata text
shapesor directsinterpretation, butdoes notfixor determine it.23
betweensurfacetextand sub-text(fromtheRussian
The distinction
was originally
podtekší) madebyKonstantin in histheoryofact-
Stanislavsky
ing,24butithas cometo be widelyused to referto thedistinction betweenthe
face-valueor explicitmeaningand theunderlying meaningofa
or implicit
text.25We use thisdistinction a
to focuson consumer-generated ad's message(s)
abouta particular brand.On the"surface" textlevel,one has an ad's nominal
relationshipto the official
(i.e.,thatsanctioned and portrayed bythefirm)brand
message. On the "subtext" level, we deal with the or
underlying implicit mes-
sageabouta brand.The former mayrange from assonant(i.e.,in tune withor in
agreement withtheofficial message)to dissonant(i.e.,in discordor disagree-
mentwiththeofficial brandmessage).The lattermayrangefroma positiveto a
negativetake,spin,or riffon thebrand.Takentogether, thesetwodimensions
yieldfourdistinct of
types consumer-generated ads,which we termcontrarian,
incongruous, and concordant.
subversive, Theseare outlinedin Figure2 and
describedbelow.
Concordant
con-
Whensurfacetextand subtextare in accord,we see theconcordant
ad. Herethenominaltextofthead is in generalagreement
sumer-generated
14 UNIVERSITYOF CALIFORNIA.BERKELEY VOL. 50. NO. 4 SUMMER 2008 CMR.BERKFlFYFDU
withthatofthefirm'sbrandmessage,and anyunderlying subtextor messageis

in
positive attitudetowardsthebrand.GabrielStella'sAppleiPodad
(<www.youtube.com/watch?v=XK4Vjmc6Gws>) and theiPhonead directedby
AlecSutherland(<www.iphonenewyorkcity.com>) in Case Studies1 and 2 are
goodexamples ofconcordant ads.
Subversive
The subversive ad ariseswhenan ad appearson thesurfaceto be in
accordwiththeofficial brandmessage,butthesubtextofthead is clearlynega-
tive.DanielIlic'sspoofTourismAustraliaad in Case Study4 is a good example.
Anotheris thenotorious"bigsister"ad, in whichHilaryClinton's"intention of
for
running president" speech is shown on the giantvideoscreen that provides
thebackdropto Apple'siconicMacintosh1984 "thinkdifferent" ad
(<www.youtube.com/watch?v=6h3G-lMZxjo>). Adsin thiscategory oftenuse
parodyto subvertand underminethedominantbrandmessage.Thatis,thead
willemployself-conscious and exaggerated use ofbrand-dominant (i.e.,firm-
generated)text for comic effector ridicule.
Incongruous
In thiscategory ofconsumer-generated ads thesurfacemessageis disso-
nantwiththatoftheofficial firmbrandmessage,yettheunderlying textis gen-
erallypositivetowardsthebrand.Thisincongruous meldingofoff-message, but
brand-positive ad has resultedin a numberofhighlyinnovativevideos,thebest
knownofwhichis theVolkswagen Polo ad. In thisvideo,a "terrorist"
attempts
to use a VW Polo as a carbomb.However,whenhe detonatestheexplosives
insidethecarafterparkingon a crowdedstreet,thestrength ofthePolo'scon-
struction containstheblastso thatno damageor injuryoccursoutsidethecar.26
Contrarian
The contrarianad categoryconsistsofconsumer-generated ads thatare
clearlyoff-messageand implicitly
negativetowardsthebrand.Theseare ads
wherethecreatoris generallytrying to undermine, question,or attacha con-
trarianmeaningto thebrandmessage.The spoofStarbucks ad in Case Study3 is
a goodexampleofa contrarian message.Starbucks does notactuallyundertake
printor TVadvertising,
traditional letalone the"thisis delicious"surfacemes-
sageoftheFrappuccino drinkfeatured in thespoof.The subtextofnotcaring
abouttheThirdWorldnegatesStarbuck's publicizedactionsoftrying to facilitate
fairtradeand thushelpingcountriesin emerging markets.
What Management Strategies Are Available

to Respond to the Phenomenon?
As noted,firms
adopta rangeofstancestowardconsumer-generated ads.
Some see themas threatening
and activelyattempt
to blockor counterthe
errantmessages;othersviewthemas an opportunityand activelyattempt
to
CALIFORNIA MANAGEMENTREVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 15
FIGURE 3. Strategic Ads

Stancesto Consumer-Generated
In thinking
or even co-optconsumers'creativity.
facilitate aboutfirms'reactions
to thisphenomenon,itis usefulto differentiate
using two axes: attitude
a firm's
towards,and actionon, consumer-generated adverts.Attitudeto consumer-gener-
espousedpolicyor philosophy
atedads is a firm's towardsthephenomenonin
principle;itcan rangefrompositiveto negative.The espousedphilosophy typi-
callyreflectsthe mentalmindset of topmanagement or senior marketing execu-
tivesbutcan also rangefroma subtleformofpoliticking to poororganizational
communication. Action
on consumer-generated ads consistsofwhata firmactu-
allydoes,above and beyondmere espousalofattitude,once thephenomenon
has been detected.Thiscan rangefromactiveto passive.Thesetwoaxes delin-
eate a four-foldtypologyoffirmposturesto consumerinnovation, of
consisting
thestancesofdisapprove, repel, The fourstancesare illus-
applaud,andfacilitate.
tratedin Figure3 and discussedbelow.
Disapprove
Herea firm's attitudetowardsconsumer-generated ads is negative,but
thefirm's passive.In thisinstance,firms
actionsare defacto verballyberatea
consumer-generated ad, buttake no overtaction- which can rangefromblissful
ignorance to reluctant to
tolerance an unreceptive internalreaction.Thisis per-
hapsthedefaultor initialstanceformanyfirms, and is a
typically knee-jerk
reaction.Examplesare legion.Coca-Colareactednegatively to a recent
consumer-generated video sensationof geysersbeing createdbydropping Men-
tos (mintcandies)intoDietCokebottles.Theylabeledtheexperiment "amus-
ing"butderideditfornotfitting in withthe"real"Cokebrandidentity.27
16 UNIVERSITYOF CALIFORNIA,BERKELEY VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU
Thereare bothadvantagesand disadvantages to theDisapprovestance.

On thepositiveside,a Disapprovestanceallowsthefirmto watchfromtheside-
linesand considerthepositionbeforepossiblyover-reacting, and lookinglikea
bully.Once ithas consideredthesituationcarefully, and learnedfromit,the
firmcan thenenterthedebateat a laterstage,in a moresoberway.A major
disadvantage oftheDisapprovestanceis thatfirms who adoptitmaybe per-
ceivedas uncaringor indifferent, and evenweak and powerless,bythosewho
createads abouttheirbrandsand bytheirbroadercustomermarketsas well.
Furthermore, theDisapprovestancemaybe an indicationofindecision - or
-
worse,incompetenceregarding the brands'detractors (bothconsumers and
competitors)so thatlaterattempts to engagetheconsumer-generated advertis-
ingphenomenon willbe seen as too too
little, late.
Repel
Whatdistinguishes thisstancefromthedisapprovepostureis thatwhile
thefirm's attitudetowardstheconsumer-generated ad is stillnegative,thefirm's
response is active. Thus firms verbally condemn a consumer-generated video
and also follow up theirespousedpositionwithpunitiveaction.The firm
activelyseeksto minimizeor counterthemessageportrayed in thecustomer-
generated ad. A classicexample ofthis stance was that taken byVolkswagen in
response to the subversive "Small butTough" Polo ad discussed above. Despite
thepopularity ofthevideo (ithas now been viewedmanymillionsoftimeson
variousvideo-hosting sites),Volkswagen consideredthemessagedetrimental to
thebrandand sued thecreatorsofthead.28In thesamemanner,DanielIlic (in
Case Study4) receiveda verysterncease and desistletterfromTourismAus-
traliademandingthathe takehiscreationoffline.
Beingthetoughestofthefourstances,theRepelpositiondoes have some
significant disadvantages. The simplestand mostobviousdrawbackofthisstance
is thatthefirmis in dangeroflookinglikea tyrant, a hugeGoliathfighting a
littleDavidoversomething thatmanyin themarketplace willsee as a trivial
issue.Firmscan end up withlotseggon theirfacesiftheylose legalactions,and
quitea bitofeggevenwhentheywin.The publicrelationsspillovers thefirm
mightexperience could be a lotlike those facedby McDonald's in itsseven-year,
314 courtday,multi-million dollarlibelsuitin theUnitedKingdomin thelate
1990s- whenat theend ofeverything, thefirmwas onlyawardedaroundsev-
enty-five thousand dollars.
Perhaps more importantly, a firmthatfollowsa
Repel stance be
might losing out on genuineopportunities to engagewithand
learnfromitscustomers.
Thereare however,somebenefits to be gainedfromfollowing theRepel
stance.First,a firmthatfollowsitwell,and sticksto thispath,willbe seen as
tough,and notone thatad-creating consumerswillwantto messwith.They
might seek softer targets instead. Second,theRepelstancewillafford thosefirms
who followitthegreatest levelofbrandassetprotection. Third,theRepelstance
permits firms to avoidactual,seriousdamages,notonlyto brandequity,butalso
possiblephysicalharmto consumerswho mightbe temptedto use productsin
thewayspoofads suggesttheycan be used. (Forexample,ifan explodingDiet

CokebottlechargedwithMentoswereto hurtsomeone,thefalloutcouldbe
seriousforall concerned).
Applaud
The thirdstanceis theapplaudposition.Here,thefirm's attitudetowards
ads is
consumer-generated primarily positive,but the firm'sactionsare againde
factopassive.In thisinstance,firmsverballylaud and applaudconsumer-gener-
atedads buttakeno overtactionto facilitate or co-optthecreators. Thisstanceis
a positivebut"hands-off" approach to thephenomenon.Examples thisare
of
becomingincreasingly common.Perfetti VanMelleInc.,marketer ofMentos,in
sharpcontrast to Coke,applaudsthevariousMentosin DietCoke geyservideos.
"Weare tickledpinkbyit,"saysPeteHealy,vicepresident ofmarketing forthe
company's U.S. division.29Indeed the positivepublicity thatMentos' reaction to
thevideoreceivedin thepressand in theblogosphere was rewardenoughfor
thecompany.
Thebenefits oftheApplaudstanceare thatthefirmdoesn'tlooklikea
tyrantbyrepelling consumer-generated ads,and is able to merelyobserve.Ifit
wantsto,thefirmcanjoin in thecreativedialog,perhapsin a selectiveway,at
theappropriate time.The stanceis limitedin thatitdoesn'trepresent real
engagement with the phenomenon, which might be seen as insincereor indif-
ferentby some The
actors. firm's
apparent lackof commitment willin anycase
be overturned ifitdecidedat a laterstageto activelyrepela particular strandof
consumer-generated advertising.
Facilitate
The fourthstrategicstanceis to facilitate.
Herea firm's attitudetowards
consumer-generated ads is positive,butin contrast to thepreviousapplaud
stance,thefirm'spostureis overtlyactive.In thisinstancefirms verballyencour-
age consumer-generated content, and also activelyhelp consumers to produce
theirown brand-related media.Such facilitation can rangefromenabling(pro-
vidingweb sitesand software forconsumersto use in ad creation)to co-opting
and encouraging
(soliciting consumersto createads bymeansofcompetitions,
and
forums, projects). This is verymucha "hands-on/positiveapproachto the
phenomenon.Exemplifying thisstanceare companiessuchas Frito-Lay, GM,
Heinz,and L'Oréal.Frito-Lay rana competition to solicitconsumer-generated
ads fortheirDoritoscrisps.Theyreceivedovera thousandentriesand thewin-
ningad byKristinDehnertwas airedduringtheSuperBowl. Moreover,thead
has sincebeen viewedoverfourmilliontimes
(<http://promotions.yahoo.com/doritos/>) and has yieldeduntoldpublicity for
Frito-Lay,Doritos,and of course Kristin.30
Ofthefour¿tances,theFacilitatepostureis theone withthemostsignifi-
cantadvantagesand disadvantages. On thepositiveside,thestancepermitsthe
exploitationofgenuineopportunities to engagecustomers in meaningful dialog.
Thiswillresultnotonlyin theirgoodwill,butalso,perhapsmoreimportantly,
Ad Üb: When CustomersCreate theAd
theabilityto gleansuperlative creativeideasand insights in an authenticand

cost-effective
manner.BrandsthatassumetheFacilitatestancemightbe seen to
be adoptinga pointofview,ratherthansimplymakingpromotional claims,and
in doingso "becomea lightning rodfordiscourse."31 Likegoodpoliticians who
collectcartoonsthatmakefunofthem,managersin Facilitatesituations willbe
confident thattheirbrandsare strongenoughto withstand multiplemessages
fromall sidesoftheopinionspectrum. Forexample,Dove's "RealBeauty"ads
havebeen parodiednotonlyon YouTube,butalso on late-night television.That
levelofexposurehasn'tbotheredUnilever, Dove's parentcompany, whoseexec-
utivesarguethatthosekindsofpublicity can'tbe bought.32
The Facilitate
postureis theriskiest and leastcontrollable ofthefour
stances.Customers who see themselves as havingnotonlythefirm's permission
and backingto createads willnotonlysaynicethingsaboutbrands - sometimes
theywillbe spitefuland maliciousin theircreation,and deviousin theirdistrib-
ution.The latterbehaviorwillbe exacerbatedwhenthefirm's effortsto engage
itsbrandcommunity are seen as insincereattempts at commercialization. Then
creativeconsumers willcraftads thatnotonlymakefunofthefirm's brands,
butalso ofitseffortsto engagethem- and thiswillall be done withthefirm's
activesupport!
Spotting the Stance

It wouldbe idealiftherewas "one correct" stancein thematrixin Figure
3, thatwouldmakeitsimpleto follow,and easyto implement. Likemostimpor-
tantand complexissuesin management however, thereis no simpleand easy
solution.Managersneed to be able to "spot,"or recognizethestancetheirorga-
nizationadoptstowardconsumer-generated Ratherthanprovide
advertising.
straightforwardanswers, thematrix, instead,shouldprompta seriesofquestions
thatwillrequirea firmto evaluatewhetherithas theappropriate stanceforthe
setofenvironmental circumstances underwhichitoperates.Examplesofsuch
questionsare setoutin thedecisiontreein Figure4. Dependingon thevariance
(therangeor dispersion) and valence(thepolarity- positiveor negative)of
consumerattitudes to thebrand,different managerialactionscan be considered.
Legal,branding, and strategic
considerationswillbe paramount, as wellas
a considerationoftheresourcesavailable.Theremaybe goodreasonsto followa
Disapprovestance.Forexample,wherea firmis notpositivetowarda particular
formofconsumer-generated ads (and perhapsforgoodreason),butwishesto
avoid the bad publicitythatactinglikea "bully"mightcause,itcan adopta "dis-
approve"posture.Wheretheconsequencesoftheconsumer-generated ads can
be moreseverehowever,thefirmmightactivelyresist,and takesomeformof
legalactionwhenitsintellectual property, and brandequityare
reputation,
underthreat.
Likewise,theremaybe goodreasonsforassumingan Applaudstance.
An organization mightvalue and appreciatetheaccoladesaccordedto itin con-
sumer-generated ads,especiallyforthebrandappreciation and enthusiasm that
CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEY.EDU 19
FIGURE 4, DecisionTree: Variance.Valence,

andAction
thesemightengender, butbe reluctant to becomeactivelyinvolvedin thephe-

nomenon,fora numberofreasons.Thesemightincludecreatingexpectations
thatcannotbe deliveredon, appearingto favorpositivecustomers unreasonably,
or a simplelackofresourcesand timethatmanagingconsumer-generated con-
tentmightrequire.A Facilitatestanceis typically adoptedbyorganizations that
wantto exploitthephenomenonto itsfullest - to capitalizebothon thebrand
enthusiasm and loyaltythatitepitomizes, as wellas gainingaccessto thecre-
ativityofordinary customers who mightnotwantanything morethanaccolades
and recognition. On theotherhand,an organization embracing a Facilitate
stancewillhave to recognizethatnotall consumerswillcreatepositivemessages
aboutitsbrand,evenwhenthiscreativity is enabledbytheorganization. GM
foundthatwhenitfacilitated and sponsoredopportunities forcustomers to cre-
ate ads aboutitsofferings;a numberofrenegadescreatedmessagesthatbelittled
thefirm's brandsand madefunofitsproducts(particularly itsSUVs).
manycompanieshave movedfroman initialDisapprove
Interestingly
stanceto a co-opting Facilitatingstance,notout ofanygreatlove ofthephe-
nomenonbutratherin an effort to exertcontroloverit.Thiswas Coke'smove
afterfinding thattheMento'sand DietCokevideowas showingno wane in
popularity.Coke now providesa controlled venueforconsumersto submittheir
own Cokeads (<http://moblogsmoproblems.blogspot.com/2006/07/coke-boldly-
goes-where-every-other.html>) .
Managing Consumer-Generated Ads

Ironically,manyfirms seemblissfully unawarethatconsumerare creating
ads abouttheirbrands,although,withtheadventofrecentmediapublicity, this
is
ignorance becoming less common. The firsttaskof management is therefore to
makeitselfawareofwhetheror notconsumersare generating ads aboutthe
firm's brands.Nowadaysthisis a relatively easytask,facilitatedbyusingsearch
enginessuchas Google.Inevitably ads thathave attracted anykindofattention
willalso findthemselves on YouTubeand othervideohostingsites,and these
can also be easilysearchedusingkeywords.Thesekindsofsimplesearchare
also likelyto unearthads forcompetitor brands,and managersmightliketo
ponder on theimplications of these as well - willtheymaketherivallookbetter
or worse,and whatmightrivalreactionsbe?
Once managersare awareofand have becomeinformed aboutconsumer-
generatedads abouttheirbrands(and perhapsthoseofcompetitors), theyneed
to analyzethephenomenonand developappropriate This
strategies. is where
thematrixoutlinedin Figure3 is essential.A carefulconsideration ofitwill
enablemanagersto answerquestionssuchas: Whatare theimplications forthe
firm?Shouldourattitudebe positiveor negative?Shouldwe pursuea hands-off
approachor activelyengagewiththephenomenon?Whatis happeningto the
brandsofourcompetitors - are theyattracting more,less,or thesame
consumer-generated attention, and is thispositiveor negative?Ofcourse,this
also requiresan understanding ofthemotivations ofconsumersin generating
ads or,in simpleterms,thethreefactors outlinedin Figure3.
Consumermotivations and managerialstrategies are integrated intothe
framework presentedin Table1. Thistablesummarizes answersto thequestions:
Whatis thelinkbetweenmotivation and typeofad produced?Whattypesof
brandsare subsequently targeted? Andfinally, whatshouldmanagersdo in
response? Thus consumers motivated primarily byintrinsicenjoyment tendto
create"hobbyist ads." Here,theconsumeris interested in exploring the
brand/product, focusing on interesting and informative content.Videos
produced tend to include "how to" ads (e.g.,how to installLinuxUbuntuoper-
atingsystem),"experienceads" (e.g.,unpackingand usingyournew iPhone),
and simple"funads" (e.g.,LegoIndianaJones,see <www.youtube.com/
watch?v=egPgU5kAjKE>). The typesofbrandstypically targetedbythiscon-
sumertendto be enthusiast brands,producing products or servicesthatpeople
are passionateaboutor highlyinvolvedwith.Giventhegenerally positivetone
ofmosthobbyist ads itis suggested thatmanagerseitherapplaudsuchvideosor
becomemoreproactiveand facilitate theirdevelopment.
Consumersmotivated primarily byself-promotion tendto create"me
ads."Heretheconsumeris interested in piggybacking on thebrand/product.
However,thefocusis on thecreatorofthead ratherthanthebrandor themes-
sage (indeedthecreatortypically triesto ensurethatthebrandor messagedoes
notovershadowthecreator).The styleofvideosproducedtendsto be humor-
ous,butnotusuallyat theexpenseofthebrand(e.g.,theObama-girl seriesof
the
videos,featuring now famousactressand modelAmberLee Ettinger did
TABLE ofAd, BrandTarget,and ManagerialAction

I . Motivation.Type
Consumer Type ofAd

Motivation Relationship to Brand Suggested
(from Focus and Style ofAd Type(s) of Managerial Action
Figure I) Brand Targeted (from Figure 3)
Intrinsic Ad
TheHobbyist Brands
Enthusiast Selectiveenablement/
Enjoyment the consumer Brandswhichpeople feel encouragement
Relationship:
• Applaud
wantsto explorethe passionateabout or are
involvedwith • Facilitate
brand/product highly
Focus: on content- that's e.g.,LinuxUbuntu
interesting, creative
insightful, OperatingSystem
Style:not necessarily
humorous,buttypically
informative
Self-Promotion TheMe Ad brands - "handsoff"

Neutrality
High-Profile
the consumer brands relationship
Relationship: Targethigh-profile
wantsto piggybackon the and productsthatare inthe • Applaud
brand news,on whichto piggyback • Disapprove
Focus: on the creatorrather Brandswhichdominatethe

thanon the brandor message media,generallyones which
(don'twantthe brandor the have positiveconnotations
messageto overshadowthe e App|e
creator)
Style:oftenuses humor
and/orparody- but not
at the expense of
necessarily
the brand
Change TheActivist
Ad IssueBrands Rangedependingon
Perception ad messa8e
the consumer
Relationship: Brandsthatpeople viewas
wantsto eitherpromoteor or in
eitherdisingenuous Promote:
need of support • Applaud
disruptthe brand
# aci ' a e
Focus: on the message.No Inneed ofsupport e.g.,
interestin promotingthe organizationssuchas Green Disrupt
creatorofthe ad Peace or FreeTibet • Disapprove
* ePe
Style:oftensharp e.g.,oil
Disingenuous:
humor/parody - at the companiesclaiming to be
expense ofthe brand environmentally
friendly,
(disrupt);at the benefitofthe suchas Exxon Mobile
brand(promote)
muchto promoteBarackObama;see <http://www.zimbio.com/Amber+Lee+

The typesofbrandtypically
Ettinger>). bytheself-promoter
targeted tendto be
brandswithhighmediacoverageand generally
high-profile positiveconnota-
tions,whichoffergoodvehiclesto piggybackupon- itis perhapspredictable
thatAppleis a brandused bymanyself-promoters. Although"meads" can
range fromthe to the
parasitic symbiotic, brandis a meansto an end
generally
22 BERKELEYVOL 50,NO.4 SUMMER

OF CALIFORNIA,
UNIVERSITY 2008 CMR.BERKELEYEDU
Ad Üb: When CustomersCreate theAd
ratherthanan end in itself.Thusthesuggestedmanagerialresponseis neutral-

ity:saynothing, or nominallyapproveor disapprove.
Consumersmotivated bythedesireto changeperceptions tendto create
"activistads." Heretheconsumeris interested in promotingor disruptingthe
brand.The focusis on themessage(information, image,connotationdesignedto
elicitchange)ratherthanthecreator.Whenin promotion ofthebrand,thestyle
ofvideosproducedtendsto be factualor humorous(e.g.,a numberof"Free
Tibet"ads on YouTube).Whendesignedto disruptthebrand,thevideosoften
employsatireand/orparody(e.g.,theBig SistervideolampooningHilaryClin-
ton).The typesofbrandtargeted tendto be "issuebrands."Thesecomprisetwo
distincttypes: brands thatpeoplesee as somehowdisingenuous(e.g.,Exxon
Mobile);and brandsthatpeoplefeelare in need ofsupport(e.g.,GreenPeace).
Giventhedifferent natureofissuebrands,managerialresponseshouldbe simi-
larly nuanced. Ads designedto disruptthebrandcan be disapproved ofor
-
activelyrepelled however,thisstrategy if Ads
can backfire done covertly.
designedto promotethebrandcan be applaudedor activelyfacilitated (how-
ever,once againactivists tendto be wearyofcooption,so thisstrategy shouldbe
employedwithcaution).
Consumer-Generated Ads Are Here to Stay
Consumer-generated advertisingis hereto stay- itwon'tgo away,and

managerswillhave to deal withitbydevelopingand adoptingappropriate
stancesfortheirorganizations. Indeed,strongevidenceand a numberofpro-
nouncedtrendssuggestitwillgrowin prominence and effect.First,thetech-
nologiesthatenableconsumersto createand broadcasttheirown advertising
messagesare advancingveryrapidly. As technologies converge,consumerswill
no longerhave to relyon videocamerasand desktopcomputers to createand
broadcast their ads- cellphonesalready have the basic capturing and broadcast-
ingcapabilities.The kindofsoftware usedbymovieproducerssuchas Steven
Spielberg to createand editblockbusters suchas Jurassic Parkin theearly1990s
now eithercomesbundledwitha new homePC, or can be downloadedfree.To
a considerable extent,theonlyremaining significant barrierbetweeneveryday
peopleand extraordinary is notfinanceor technology
creativity buttalent,and
thereis adequateevidenceon videodownloadsitessuchas YouTubethatmany
ordinary individuals possessthisin abundance.
Second,thereis an almostparadoxicaltensionwithregardto brandsin
today'sbusinessenvironment thatwillgivetremendous impetusto thephenom-
enon ofconsumer-generated advertising.On theone hand,thelastdecadehas
trulybeen theage ofbrandsand branding, and itis likelythattheobsession
withbrandswillthriveand grow,forbothorganizations and consumers.On the
otherhand,in therecentpast,whilebrandsmaybe "everything," whatthey
represent is notappreciated byeveryone.Therehas been an activeanti-branding
movementthroughout theworlddirectedat thebetterknownbrandsthathas
accusedthemofa multitude ofsins,rangingfromanti-competitive stancesto
Ad Üb: When CustomersCreate the Ad
outright bullying.33In manycountries, thereare consumergroupsthatresent

thedilutionthattheyperceiveglobalbrandsexerton theirculturesand as a
resulttherehas been considerable efforttargeted at majorbrands.Thus,we are
likelyto see consumerscreatingads forthebrandstheylove and aspireto,butat
thesametimewe are also goingto witnessmanyads targeted at brandsand
organizations that some consumers love to hate.The Starbucks ad discussed
-
earlieris thetipoftheiceberg YouTubecurrently features pagesofMcDonald's
spoofads,and morethanfifty ads makingfunofNike.NotonlyAppleparodies
Microsoft in itsads- YouTubefeaturesmanyuncomplimentary consumer-gen-
eratedads ridiculing thecompany,itsproducts, and founders BillGatesand
SteveBallmer.
Third,brandsgiveidentity, notonlyto thegoodsand servicesoforganiza-
tions,butalso to thecustomers who purchase,own,use, and consumethem,as
evidencedbytheNewtoncommunity investigated byMunizand Schau.34
Brandsenableconsumersto saythingsaboutthemselves, and someconsumer-
generatedads are doingthisforthosewho craftand broadcastthem,as someof
ourexampleshave illustrated. However,justas a belovedbrandmightenablea
loyalconsumerto say "whotheyare/ otherbrandscan standas beaconsfor
themto say "whotheyare not."35Fortheseconsumers, creatingand broadcast-
ing ads that mock and deride both organizations and other customergroupswill
a but
provide fun, potentially harmful outlet fortheirscorn. Thosewho manage
corporate identitiesand brandswillincreasingly findthemselves in an environ-
mentpopulatedbyempowered,sociallyengaged,culturally adeptconsumers
witha rangeofmotivations who presentorganizations witha rangeofconflict-
ingsocietaland economicexpectations.36
Traditionally advertising has been viewedas non-personal, one-way,
paid-for communication to a targetaudiencethroughmassmediaofproducts,
services,or ideaswiththeintention ofinforming, persuading, or reminding
them.Thephenomenonofconsumer-generated advertising bringsthisconcep-
tualizationintoquestion.Conventional definitions ofadvertising don'taddress
thefactthatin theage ofconsumer-generated ads,advertising is personal(one
can communicate quiteeasilywiththecreatorsofads) and two-way(in that
dialogsbetweencreators, organizations, and audiencesare possible).Whereas
traditional mediahave chargedadvertisers forspaceand time,interactive vehi-
clessuchas YouTubeare essentially freeto advertisers and audiences.The days
ofadvertising as a unidirectional attempt byorganizations to influencethebroad
massesthoughbroadcastmediaare numbered.Advertising is becominga frag-
mentedengagement betweenfirms, multiplecustomergroups,and thebrands
thatare shared,yalued,adored,and sometimesreviledbythem.Whilethe
objectivesofadvertisers maystillbe reasonablyclear,theintentions of
consumers, especiallythose who createand transmitads, are often shadowy.
The management ofbrandshas becomean overallstrategic issuethat
impactson thefutureofthefirmas a whole,ratherthanmerelya sourceof
focusformarketers and advertising Brandsand brandingare
practitioners.37
concernsfortopmanagement, and notjustmarketers, as brandshave become
significantintangibles assetsfororganizations. The adventofcustomergenerated

advertising will cause advertising to be on the agendasofall seniorexecutives,
becauseofitspotentialto directly affectbrandsin so manyways.Marketers
and seniorexecutivesin general,willneed to understand
specifically, themoti-
vationofconsumersin creating ads and be able to categorizethembroadly.
Then,theywillhave to thinkcarefully abouttheirattitudes towardthephenom-
enonand developtheappropriate strategies to manageit.
Managersmaybe betteroffviewingtheconsumer-generated advertising
phenomenonas a word-of-mouth problemratherthana conventional advertis-
ing dilemma. Marketers have long been aware ofthe tremendous powerof
interpersonal communication between their customers, and researchers have
exertedsignificant effort intoattempts to understand word-of-mouth, how it
works,and whatcan be done aboutit.Consumer-generated ads are similarto
word-of-mouth communication in thattheyare createdbyconsumersand not
organizations, and themotivation fortheircreationis notso muchrelatedto
salesdirectly as itis someinnerspuror impulse.Likeword-of-mouth, firms are
lessable to controltheads crafted and broadcastbyconsumers.It is also possible
thattheads createdbyconsumerswillbe perceivedas morecrediblethanthe
ads broadcastbyfirms, as is thecase in word-of-mouth communication.
Managershave shownresurgent interest in word-of-mouth communica-
tionand whathas been referred to as "stealthmarketing,"38 whichworkson the
idea thatword-of-mouth and peer-group recommendation are themosteffective
promotional and marketing tools.The mainobjectiveofspreading"buzz"about
a new productor serviceis to createan environment whereconsumerscarrythe
and
message, obviouslyconsumer-generated advertising has thepotential
not the
(although always promise)to do thisveryeffectively. Researchers have
examinedthepropensity ofconsumersto engagein positiveversusnegative
word-of-mouth,39 and theyhave attempted to answersuchquestionsas what
are theantecedents ofwordofmouth;how thetransmission ofpositiveword-
of-mouth differsfromthatofnegativeword-of-mouth; how onlineword-of-
mouthdiffers fromoffline word-of-mouth; whattheimpactofword-of-mouth
is; and how word-of-mouth can be measured.40 The potentialofinteractive
mediasuchas theInternet to shapeand be shapedbyword-of-mouth has also
receivedconsiderable attention.41
Marketers are able to affect word-of-mouth to thefirm's benefit,and
someofthesetactics - especiallywhenused in conjunction withourstrategic
stancesframework (as in Figure3)- willbe applicableto dealingwith
consumer-generated ads. First,accordingto Chungand Darke,42 managers
shouldmakesurethattheyunderstand thesituations in whichconsumersare
moreor lesslikelyto providepositiveword-of-mouth. Ourworksuggeststhat
thereare also situations in whichconsumersare moreor lesslikelyto create
positiveadvertising messages,and marketers woulddo wellto studythesecir-
cumstances. Second,researchindicatesthatword-of-mouth is morelikelywhen
theproductis self-relevant ratherthanutilitarian.43 Obviouslythisimpliesthat
consumerswillbe morelikelyto createads forself-relevant productand brands,
buttherealchallengeformarketers ofutilitarian offerings willbe to makethem

moreself-relevant fortheirtargetmarkets.Iftheydo, thenconsumersofthese
brandsmayjustcreatepositiveads fortheseproducts.Third,in thecontextof
word-of-mouth, theseresearchers recommend thatmarketers mayalso profit
fromcreating or strengtheningassociationsbetweentheirbrandand consumer
self-concept (thementaland conceptualunderstanding and persistent regard
thatindividuals holdfortheirown existence;thesumtotaloftheirknowledge
and understanding ofthemselves).44In thecase ofconsumer-generated ads,the
interplaybetween and
offerings the motivation to create willbe both more com-
plexand stronger thanin simpleword-of-mouth, and marketers willbenefitby
studying,understanding, and exploiting thisphenomenon.
The frameworks developedhereare intendedto helpmanagersthink
aboutand managetheimpactconsumer-generated advertising can have on their
organizations. Decision makers, whether theydesire to or not,must deal with
thecomplexities theywillfacein thisage ofchangedadvertising. Likethe
brandsthatthemediumtalksabout,advertising is becomingdiverseand multi-
dimensional, a co-creationas muchbythegroupsithas formerly targeted as
thatofitstraditional As advertising
directors. movesawayfrombeingstaticand
towardsan era offluidity and continualevolutionovertime(oftenin unpre-
dictableways),so too musttheoutlookand actionsofthosewho createthevery
brandsembodiedin suchmessages.The ad is liberated.Managers'thinking will
have to be as well.
APPENDIX I
Consumer-Generated Advertising- A History in the Writing
Early Parody and SpoofAds

Parodyor spoofadvertising is in itselfnota new phenomenon - sincethe
ads appearedin print,cartoonists
first and otherobservers madefunofthem
graphically.When advertisingmoved to radio and itagainbecamethe
television,
buttofmanyjokes on comedyshows.Advertisers themselves oftenparodiedthe
productsand marketing communication oftheir competitors. in the 1960s,
Back
forexample,Stolichnaya vodkaads showedcompetitor productsand pointed
out thatwhilethey"saidtheywereRussian/theywerein factdistilled in the
USA,whileStolichnaya was a genuineRussianvodka,distilled in theUSSR.45In
the 1990s,Energizer batteriesfeatured in a famousseriesofparodyadvertise-
mentsthatwerein themselves parodiesofthewell-knownDuracelicommer-
cials.A toypinkrabbitpoweredbyEnergizer beingfilmedin an ad,
batteries,
escapes the studio and runs amok,barging into othercommercials beingmade,
including those for coffee,wine,a fictional upcoming series,longdistance
TV
service,breakfast cereal,and sinusmedication.Coca-Colarana seriesofSprite
ads featuring drinkproductsendorsedeitherbyactualor fictional
fictional
and whichimpliedthatthefictional
celebrities, productwas inadequate.Parody
advertisingreachedtheU.S. SupremeCourtin 1988,whenHustlermagazine
rana parodyofthedoubleentendreCampariad thataskedpeopleabouttheir
"firsttime"(theyconsumedtheaperitif, thatis). The Hustlerparodyfeaturedthe

ReverendJerry Falwellwho latersued themagazine(unsuccessfully as itturned
out) forlibel.
However,theInternet vehiclessuchas YouTube(as
and,in particular,
wellas thearmoryoftoolsand software available)can makeadvertisers ofus
all. Consumerscan now createand broadcastads at will.Manyofthesewillbe
spoofsand parodies,and manywillbe malicious,butconsumersare also taking
theopportunity to payhomageto thebrandstheylovebycrafting ads thatsing
theirpraises.
The Rise of YouTube

YouTubeis a video-sharing web sitewhereuserscan upload,view,and
sharevideoclips.It is byfarthegreatest platformforconsumer-generated adver-
tising(as well as hostingmany thousands of conventional ads thatusershave
chosento poston thesite,forwhateverreason).YouTubewas createdin mid-
February 2005 and usesAdobeFlashtechnology to displaya widevarietyof
videocontent.In November2006, GoogleInc. acquiredthecompanyfor
US$1.65 billionin Googlestock.Unregistered userscan watchmostvideoson
thesite,whileregistered usersare permittedto uploadan unlimited numberof
videos.ByJuly2006,thecompanyrevealedthatmorethan100 millionvideos
werebeingwatchedeveryday,at whichtime65,000werebeingaddeddaily.
10% ofAds on YouTube are SpoofAds

. . . and otherFacts on SpoofAds
ads (thosethatpokefunat an existingproduct
Some consumer-generated
orbrand),are termed"parodyads" or "spoofads." Searchesand simpleanalysis
ofthedatatakenfromYouTubeare shownbelow:
Who Gets Parodied? Spoof Ads on YouTube

of the World's Top 10 Brands
Brand Number of Spoof Ads on YouTube
Coca-Cola 97
Windows
Microsoft 21; Microsoft
74 (Microsoft, Windows,25; Windows,28)
]BM I
GE 0
6
jntel
Nokia 6
Toyota M
Disney 8 ~
McDonald's 15
Mercedes-Benz 5
Source: Figuresbased on data collected Jan2nd, 2008, 12:00 EST - views based on search terms "spoof ad" and brand name.
Top 10 brands fromInterbrand/BusinessWeekBest Global Brands Survey 2007, available fromhttp://www.interbrand.com/
best_brands_2007.asp
Ad Lib: When Customers Create the Ad
DescriptiveStatisticsofAds onYouTube
N (approximate figures) %
Total Videos on YouTube 60,000,000

All Ads (search term "ad®11;
"advertisementCs)") 24,200 < 0.001 of all videos
Spoof Ads (search term "spoof ad(s)";

"spoof advertisement®* *) 2,450 10% of ads
Source: Figuresbased on data collected Jan2nd, 2008, 12Ю0 EST- searches based on identifying
text and tags.
Top 5 Consumer^Generated Spoof Ads on YouTube

Ad Views Synopsis ofAd
SouthParkMacvs.PC 15
5,235,0 A parodyoftheAppleMacvs.WindowsPC commercials
withSouthParie
character.
Createdas thefinal for
project
a multimedia
production
VoteDifferent 4,110,758 Mashupofthefamous Apple1984 SuperBowlad.,depicting
as BigBrother-
Clinton
Hillary a proObamaad
Powerthirst 3,122,100 A spoofon theubiquitous
commercials drinks.
forenergy
Hi,I'ma Marvel... 2,714,491 Spider-Man(Marvel)andSuperman (DQ discussthestate
andI'ma DC. film
oftheirrespective inthistakeon theApple
divisions
(MacPC Parody) Mac/WindowsPC ads.
Gatesvs.Jobs 1,591,792 BillGatesandSteveJobssquareof inthecleanwhite
virtual
worldoftheiconicAppleMacads.
Source: Figuresbased on data collected Jan2nd, 2008, 12:00 EST- views based on number of times the ad has received a unique
viewing.
TheSocialImpactofConsumer-Generated Ads
(basedon TimeMagazine's50 Top10 Listsof2007,from
I/www.
http: 01article)
timexomltimelspedalsllOOHtopl
The fourthmost viewed item on YouTube in 2007
Spoof ad "Hillary1984"
Posted on YouTube by an individual nicknamed Park Ridge-47,the ad mashes
togetherthe classic 1984 Apple Superbowl ad with footageof HillaryClinton
givinga speech. Clintonis insertedinto a screen as a Big Brothercharacterand
(presumably)Democraticvotersare shown as zombie-likefollowers.The creator
turnedout to be an employee of an online communicationsfirmthat had
worked with the Obama campaign.
One of the top 10 ads of the year 2007

Doritos: "Live the Flavor"
The "Live the Flavor" ad was the winner of Frito-Lay'scompetitionfor
consumersto create an ad forthe Doritos brand of corn chips. The ad was then
flightedduringthe 2007 Superbowl half-time.A Doritos consumer'sattentionis
Ad üb: When CustomersCreate the Ad
drawnto a prettygirl,whichresultsin himsmashinghiscar.Allis notlosthow-

and
ever, they findeach otherovera bag ofDoritos.
How consumer-generated contentis shapingpolitics
TechPresident.com(one of2007's Top 10 web sites)
candidates'online
looksat the2008 presidential
The web siteTechPresident.com
promotional and
efforts, at
particularly how consumer-generated contentcre-
atedinfluencesthepopularityofthecandidates.The sitetracksonlineadvertis-
ingand YouTube.
Notes
1. R. Barton,Advertising Handbook(Englewood Cliffs,NJ:PrenticeHall, 1950), p. 928.
2. R.C. Blattbergand J. Deighton,"InteractiveMarketing:Exploitingthe Age of Addressabil-
ity,"SloanManagement Review,33/1 (Fall 1991): 5-14.
3. J. Deighton and L. Kornfeld,"DigitalInteractivity: UnanticipatedConsequences forMarkets,
Marketing,and Consumers,"HarvardBusiness School WorkingPaper 08-017, 2007.
4. M. Davies, L. Pitt,D. Shapiro, and R.T. Watson, "Betfair.Com:Five TechnologyForces Revo-
lutionizeWorldwideWagering,"EuropeanManagement Journal23/5 (October 2005): 533-
541.
5. E. Mollick,"TappingInto the Underground,"Sloan Management Review,46/4 (2005): 21-24.
6. M. Madden, "Online Video," Pew Internet and AmericanLifeProject,
<www.pewinternet.org/PPF/r/219/report_display.asp>, accessed July21, 2007.
7. For example, see T. Howard, "Madison Avenue Wants You!" USA Today,June 21, 2007, pp.
lb-2b.
8. D.A. Aaker,BuildingStrongBrands(New York,NY: Simon & Schuster,2002).
9. A.A. Achenbaum, "The Mismanagementof Brand Equity,"ARF FifthAnnualAdvertising and
Promotion Workshop, February1, 1993.
10. P. Berthon,M. Holbrook,M. Hulbert,and L. Pitt,"ViewingBrands in Multiple Dimensions,"
SloanManagement Review,48/2 (Winter2007): 37-43.
11. P. Berthon,L. Pitt,I. McCarthy,and S. Kates, "When CustomersGet Clever: Managerial
Approachesto Dealing with Creative Consumers,"BusinessHorizons,50/1 (January/February
2007): 39-47.
12. E.C. Hirschman,"Innovativeness,NoveltySeeking,and Consumer Creativity," Journalof
Consumer Research,7/3 (December 1980): 283-195; E.C. Hirschman,"Consumer Intelligence,
Creativity, and Consciousness: ImplicationsforConsumer Protectionand Education," Jour-
nal ofPublicPolicy& Marketing, 2/1 (1983): 153-170.
13. C.P. Moreau and D.W. Dahl, "Designingthe Solution: The Impact of Constraintson Con-
sumers' Creativity," JournalofConsumer Research,32/1 (June 2005): 13-22.
14. J.E. Burroughsand D.G. Mick, "ExploringAntecedentsand Consequences of Consumer
Creativityin a Problem-Solving Context,"JournalofConsumer Research,31/2 (September
2004): 402-411.
15. A.M. Muñiz, Jr.,and HJ. Schau, "VigilanteMarketingand Consumer-Created Communica-
tions,"JournalofAdvertising, 36/3 (Fall 2007): 35-50.
16. D.W. Dahl and C.P. Moreau, ThinkingInside the Box: Why Consumers Enjoy Constrained
CreativeExperiences,"JournalofMarketing Research,44/3 (August 2007): 357-369, at p. 358.
17. Ibid., p. 359.
18. Muñiz and Schau, op. cit.
19. T. Amabile, "Motivationand Creativity:Effectsof MotivationalOrientationon Creative
Writers,"JournalofPersonality and Sodai Psychology, 48/2 (1985): 393-399; С Ford, "Theory
of Individual CreativeActionin Multiple Social Domains," AcademyofManagement Review,
21/4 (October 1996): 11 12-1142; C.E. Shalley,J. Zhou, and G.R. Oldman, "The Effectof
Personal and Contextual Characteristicson Creativity," JournalofManagement, 30/6 (Decem-
ber 2004): 933-958.
20. BBC, "AustralianAdvertBanned on UK TV,"March 9, 2006,
<http://news.bbc.co.Uk/2/hi/asia-pacific/4789650.stm>, accessed July18, 2007.
CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEY.EDU 29
Ad Üb: When CustomersCreate the Ad
21. For example, see U. Eco, TheRoleoftheReader(Bloomington,IN: Indiana UniversityPress,

1979).
22. D. Harvey,TheCondition ofPostmodernity(Oxford:Blackwell, 1992).
23. E.F. McQuarrie and D. G. Mick, "Visual Rhetoricin Advertising:Text-Interpretive, Experi-
mental,and Reader-ResponseAnalysis,"JournalofConsumer Research,26/1 (June 1999): 37-
54.
24. K. Stanislavsky,An ActorPrepares(New York,NY: Routledge, 1989).
25. J. Derrida, Writingand Difference(Chicago, IL: Chicago UniversityPress, 1978).
26. D. Smith,"Suicide Bomber Sells VW Polo- Hoax Ad Takes Internetby Storm,"TheObserver,
January23, 2005.
27. S. Vranicaand C. Terhune,"Mixing Diet Coke and Mentos: Makes a Gusher of Publicity,"
WallStreet JournalJune 12, 2006,
<http://online.wsj.com/public/article/SB115007602216777497-lmzdx_pOFlMBwo9UAiqb-
sgY6MZ0_20060619.html?mod=blogs>.
28. S. Brook, "VW to Sue Polo Bomb Ad Duo," TheGuardian,January26, 2005.
<http://media.guardian.co.uk/site/story/0,14173,1398826,00.html>, accessed July18, 2007.
29. Vranicaand Terhune,op. cit.
30. Howard, op. cit.
31. Deighton and Kornfeld,op. cit.
32. Deighton and Kornfeld,op. cit.
33. N. Klein, No Logo (New York,NY: Picador, 1999).
34. Muñiz and Schau, op. cit.
35. R.P. Bagozzi and U.M. Dholakia, "Antecedentsand Purchase Consequences of Customer
Participationin Small Group Brand Communities,"International JournalofResearchin Market-
ing,23/1 (March 2006): 45-61.
36. J.M. Handelman, "CorporateIdentityand the Societal Constituent,"JournaloftheAcademyof
Marketing Science,34/2 (Spring2006): 107-114.
37. Berthon,Holbrook,Hulbert,and Pitt,op. cit.; K.L. Keller,"Managing Brands forthe Long
Run: Brand Reinforcementand RevitalizationStrategies,"California Management Review,А'1Ъ
(Spring 1999): 102-124.
38. A.M. Kaikati and J.G. Kaikati, "StealthMarketing:How to Reach Consumers
Surreptitiously,"CaliforniaManagement Review,46/4 (Summer 2004): 6-22.
39. R. East, K. Hammond, and M. Wright,"The Relative Incidence of Positiveand Negative
Word of Mouth: A Multi-CategoryStudy,"International JournalofResearchin Marketing, 24/2
(June 2007): 175-184.
40. D. Godes, D. Mayzlin,Y. Chen, S. Das, С. Dellarocas, В. Pfeiffer,В. Libai, S. Sen, M. Shi, and
P. Verlegh,"The Firm'sManagement of Social Interactions,"Marketing Letters, 16/3-4
(December 2005): 415-428.
41. P. Dwyer,"Measuring the Value of ElectronicWord of Mouth and its Impact in Consumer
Communities,"JournalofInteractive Marketing, 21/2 (Spring2007): 63-79; D. Mayzlin, "Pro-
motional Chat on the Internet,"Marketing Science,25/2 (Spring2006): 155-163; D. Godes
and D. Mayzlin, "Using Online Conversationsto StudyWord-of-Mouth Communication,"
Marketing Science,23/4 (Fall 2004): 545-560; C. Dellarocas, "The Digitizationof Word of
Mouth: Promiseand Challenges of Online Feedback Mechanisms,"Management Science,
49/10 (October 2003): 1407-1424.
42. С Chung and P. Darke, "The Consumer as Advocate: Self-Relevance, Culture,and Word-of-
Mouth," Marketing Letters,17/4 (December 2006): 269-279.
43. Chung and Darke, op. cit.
44. H.R. Markus and P. Nurius,"Possible Selves: The InterfaceBetween Motivationand the Self-
concept" in K. Yardleyand T. Honess, eds., Selfand Identity (New York,NY: JohnWiley &
Sons Ltd, 1986), pp. 157-172.
45. A. Ries and J.Trout,Positioning: TheBattleforYourMind (New York,NY: WarnerBooks,
1982).

University of California Press Is Collaborating With JSTOR To Digitize, Preserve and Extend Access To California Management Review

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

University of California Press Is Collaborating With JSTOR To Digitize, Preserve and Extend Access To California Management Review

Uploaded by

Copyright:

Available Formats

Ad Lib: When Customers Create the Ad

Author(s): Pierre Berthon, Leyland Pitt and Colin Campbell

organizationshave createdadvertisements, and cus-

6 CALIFORNIA MANAGEMENTREVIEW VOL. 50. NO. 4 SUMMER 2008 CMR.BERKELEY.EDU

and therefore represent a realcompetitive threatto incumbent firmsand odds

CALIFORNIA MANAGEMENT REVIEW VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEY.EDU 7

and to differentiatethemfromcompetition/' Aakershedsmorelighton the

What Drives Customers to Create Their Own Ads?

8 UNIVERSITYOF CALIFORNIA,BERKELEY VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU

consumption, and thatthereis also interaction betweenthesevariables.These

CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 9

Case Study I: Gabriel Stella and iPo d Dance

Case Study 2: Alec Sutherland and Colleagues - ¡Phone New York

10 UNIVERSITYOF CALIFORNIA,BERKELEY VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU

endsofa specific Ad" fea-

Hidingbehinditsinnocuoustitle"StarbucksAd,"the contentsof the video created by David

What differentiatesthisspoof ad fromothers is itsfocus on a specificironyof modern lifeand

What made you decide to make the video?

What was yourgoal?

Has Starbucks contacted you?

CALIFORNIA MANAGEMENT REVIEW VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU II

Do you expect them to contact you?

Were you afraid of any legal threats fromStarbucks?

Carefulinspection revealsthatthesevenhobbyist motivations identified

12 UNIVERSITYOF CALIFORNIA,BERKELEY VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU

Case Study 4: Daniel Ilic and TourismAustralia

theabilityto self-promote and changeperceptions oftenarisesfroman intrinsic

What Types ofAds Do Consumers Create?

CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 13

FIGURE 2. Typesof Consumer-GeneratedAds

syncraticpersonalfactors as wellas textstructure.21 Extremepostmodernists will

14 UNIVERSITYOF CALIFORNIA.BERKELEY VOL. 50. NO. 4 SUMMER 2008 CMR.BERKFlFYFDU

withthatofthefirm'sbrandmessage,and anyunderlying subtextor messageis

What Management Strategies Are Available

CALIFORNIA MANAGEMENTREVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 15

FIGURE 3. Strategic Ads

16 UNIVERSITYOF CALIFORNIA,BERKELEY VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU

Thereare bothadvantagesand disadvantages to theDisapprovestance.

CALIFORNIA MANAGEMENTREVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 17

thewayspoofads suggesttheycan be used. (Forexample,ifan explodingDiet

18 UNIVERSITYOF CALIFORNIA,BERKELEY VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU

theabilityto gleansuperlative creativeideasand insights in an authenticand

Spotting the Stance

CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEY.EDU 19

FIGURE 4, DecisionTree: Variance.Valence,

thesemightengender, butbe reluctant to becomeactivelyinvolvedin thephe-

20 UNIVERSITYOF CALIFORNIA,BERKELEY VOL. 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU

Managing Consumer-Generated Ads

CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 21

TABLE ofAd, BrandTarget,and ManagerialAction

Consumer Type ofAd

Self-Promotion TheMe Ad brands - "handsoff"

Focus: on the creatorrather Brandswhichdominatethe

muchto promoteBarackObama;see <http://www.zimbio.com/Amber+Lee+

22 BERKELEYVOL 50,NO.4 SUMMER

ratherthanan end in itself.Thusthesuggestedmanagerialresponseis neutral-

Consumer-Generated Ads Are Here to Stay

Consumer-generated advertisingis hereto stay- itwon'tgo away,and

CALIFORNIA MANAGEMENTREVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 23

outright bullying.33In manycountries, thereare consumergroupsthatresent

24 UNIVERSITYOF CALIFORNIA,BERKELEY VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU

significantintangibles assetsfororganizations. The adventofcustomergenerated

CALIFORNIA MANAGEMENT REVIEW VOL 50, NO. 4 SUMMER 2008 CMR.BERKELEYEDU 25