A Coupled Dynamic Model of Brand Acceptance and Promotive Information Spreading

• Published in: Journal of systems science and systems engineering Vol. 27; no. 5; pp. 677 - 689
• Main Authors: Pan, Qian, Xia, Haoxiang, Luo, Shuangling
• Format: Journal Article
• Language: English
• Published: Berlin/Heidelberg Springer Berlin Heidelberg 01.10.2018; Springer Nature B.V; Institute of Systems Engineering, Dalian University of Technology, 116024, China%College of Shipping Economics and Management & Collaborative Innovation Center for Transport Studies,Dalian Maritime University, 116026, China
• Subjects: Complexity; Diffusion rate; Dynamic models; Dynamics; Economic Theory/Quantitative Economics/Mathematical Methods; Engineering; Epidemiology; Majority rule; Market shares; Marketing; Operations Research/Decision Theory; Order parameters; Social marketing; Social networks; Systems engineering; Voters; dynamics of brand acceptance; Coupled dynamics; opinion dynamics; diffusion dynamics; social marketing
• ISSN: 1004-3756; 1861-9576
• DOI: 10.1007/s11518-018-5385-5

When people try to decide to buy or not to, they are often influenced by both their inherent opinions and the social marketing activities e.g. advertising, social news with strong point of view. Then people will make their final choice, or even convince other people to buy. After all, this is the brand acceptance formation process. Factually, the dynamics of brand acceptance is essentially an interwoven dynamics of endogenous opinion dynamics disturbed by an information diffusion process. To have a better understanding of the dynamics of brand acceptance, we propose and analyze a coupled agent-based dynamic model that combines the Majority-Rule-based Voter model in opinion dynamics with the SI Model for information spreading to analyze the dynamics of brand acceptance in social media. We focus on two important parameters in diffusion dynamics: the decayed transmission rate ( β ) and the diffusion frequency ( f ). When the system is stable, the order parameter of the system is the duration time ( τ ). In the absence of opinion interaction, the simulation results indicate that, when a brand tries to occupy a larger market share through social marketing approaches, it is always effective to let the opponent to be the propaganda target. While with the Majority-Rule-based Voter Model included, we observe that the opinion interaction could have a dual function, which shows that a brand holding a small market share in the first place needs to adopt diverse marketing approaches according to different marketing environment types.