New Product Development in

Drivers of Consumer Willingness for Co-Creation in

New Product Development in

Online Brand Communities

Author: Alexander Manchev

First supervisor: prof. dr. Peter Verhoef Second supervisor: MSc Arjen Onrust

Research question: What are the drivers of customer willingness

to co-create in online brand communities?

• Important because:

• Higher customer expectations • More informed consumers

• High failure rate of new products • Increased competition

Factors affecting WTCC

1. Knowledge: desire to known about the company, NPD 2. Social: increased reputation, connect with others

3. Psychological: customer self-expression

4. Employee: how employees interact with co-creators

Refined Measurement Model

Goodness-of-Fit Statistics for the Revised CFA Model

Rivised CFA Original CFA

Chi-square χ2 432.175 1375.90

df 276 719

p-value χ2 0.000 0.000

AIC 7478.7 11737.6

BIC 7677.8 12005.6

p-value ANOVA test of difference 0.000***

Comparative Fit Index (CFI) 0.907 0.743

Tucker-Lewis Index (TLI) 0.891 0.721

RMSEA 0.073 0.093

90 Percent Confidence Interval RMSEA 0.060 0.086 0.086 0.101

SRMR 0.066 0.098

Structural Model

Structural Equation Model - Results of Path Estimates

Construct Estimate SE p-value

Standardized Estimate

Willingness to co-create Dependent construct

Knowledge 0.671 0.232 0.004 *** 0.514

Social 0.039 0.141 0.783 0.045

Psychological 0.345 0.092 0.000*** 0.382

Employee 0.450 0.234 0.055* 0.429

Firm Organisation and Tools - 0.315 0.234 0.178 - 0.298

Non-monetary Rewards - 0.219 0.097 0.024** - 0.215

Goodness-of-Fit Statistics between the initial SEM and SEM with robust standard errors

SEM with robust errors SEM initial Chi-square χ2 357.92 449.98

df 282 282

p-value χ2 0.000 0.000

Scaling correction factor for

Satorra-Bentler statistic 1.257

Comparative Fit Index (CFI) 0.936 0.899

Tucker-Lewis Index (TLI) 0.926 0.884

RMSEA 0.057 0.076

90 Percent Confidence Interval RMSEA 0.037 0.074 0.062 0.089

SRMR 0.135 0.140

PNFI 0.671 0.671

• SB scaled statistic : corrects for non-normality using DF, kurtosis and model-implied residual

OLS Regression

Variable Estimate Std. Error t-stat p-value

Bootstrap

Std. Error _Bias

Bootstrap p-value Ordinary OLS Bootstrap

Overall Results

Hypothesis Support

Model SEM ML SEM SB. OLS OLS Boot

H1: Knowledge factor has a positive effect on consumer

willingness to co-create Yes Yes Yes Yes

H2: Social factor has a positive effect on consumer

willingness to co-create No No No Yes

H3: Psychological factor has a positive effect on consumer

willingness to co-create Yes Yes Yes Yes

H4: Firm organization and support have a positive effect

on consumer willingness to co-create No No No

Negative sign

H5: Employees have a positive effect on consumer

willingness to co-create

Weak support

Weak

support No Yes

H6: Firm providing non-monetary incentives increases

consumer willingness to co-create

Possible improvements

• Larger sample size

• Include personal features – e.g. internet usage

• Conduct the survey for an established brand and control for brand attitudes

• Multi-group analysis with employee quality and FOT

• Use the scales for EMP and FOT with consumers who have co-created in the past