EXPRESS: How Firms Can Steer Social Media Conversations

Many firms struggle with how to craft their messages in conversations with customers on social media. The problem is compounded by the fact that these conversations take place in different, simultaneous threads, each of which potentially requires a different approach depending on the conversation. This paper studies how firms can adapt their responses in individual social media conversations such that the sentiment in different conversations becomes more favorable. We examine a comprehensive set of firm-generated content elements inspired by theory of dialogic listening that emphasizes that a conversation partner should offer 1) empathetic understanding, 2) unconditional positive regard, 3) a spirit of mutual understanding, 4) presentness, and 5) genuineness. We augment this set by also considering taking conversations to a one-on-one channel and whether agents sign with their own name, indicating a personal connection. We furthermore test whether the FGC elements’ effectiveness depends on preceding user sentiment. Based on an analysis of nearly a million tweets capturing over 206k threads involving four major US banks across 10 years, we provide concrete managerial guidance on responding effectively on social media to maximize the positive impact on the sentiment of subsequent user-generated content, and how this guidance depends on preceding user sentiment.