{"id":1326478,"date":"2024-09-16T10:06:39","date_gmt":"2024-09-16T08:06:39","guid":{"rendered":"https:\/\/www.ie.edu\/insights\/?post_type=articles&p=1326478"},"modified":"2024-09-16T10:06:39","modified_gmt":"2024-09-16T08:06:39","slug":"one-story-doesnt-fit-all-for-platforms-complementors","status":"publish","type":"articles","link":"https:\/\/www.ie.edu\/insights\/articles\/one-story-doesnt-fit-all-for-platforms-complementors\/","title":{"rendered":"One Story Doesn’t Fit All for Platforms’ Complementors"},"featured_media":1328168,"template":"","meta":{"_has_post_settings":[]},"schools":[],"areas":[572],"subjects":[422],"class_list":["post-1326478","articles","type-articles","status-publish","has-post-thumbnail","hentry","areas-media","subjects-innovation-and-technology"],"custom-fields":{"wpcf-article-leadin":["Social media platforms rely on user engagement for revenue, but new features designed to boost traffic can disrupt content creators' strategies and user experience, writes Reza Alibakhshi."],"wpcf-article-body":["In 2023, 98% of Meta\u2019s revenue \u2013 approximately $131.9 billion<\/a> \u2013 came from advertisements. This statistic highlights a critical reality for Meta\u2019s various social media platforms such as Facebook and Instagram, as well as its competitors including TikTok: their financial success hinges on user traffic. However, what truly drives this traffic \u2013 and by extension ad revenue \u2013 is user engagement with the content.\r\n\r\nThis content isn\u2019t produced by the social media platforms themselves but by their external contributors \u2013 the individual account owners, influencers, and brands. From travel and fashion tips to sports commentary or tutorials on cooking or learning a new language, these creators produce the platforms' true product, and this is the content that captures our attention, encourages interaction with the platform and with other users, and keeps us coming back for more and more.\r\n\r\nSocial media platforms must constantly work to preserve their user base and stay competitive in the face of new emerging technologies that threaten to lure away their users. There was a time when TikTok was the new entry and essentially forced Instagram to evolve and introduce its own version of short-form videos, \u201cReels.\u201d Going back further, competition from Snapchat prompted Instagram to launch the \u201cStories\u201d feature, introducing ephemeral content that kept users fast-browsing when interacting with the platform.\r\n\r\nStrategic moves like these can be effective in retaining user interest. Indeed, after integrating Stories in 2016, Instagram saw the daily average time spent by U.S. adults on the platform increase by 14% in the subsequent year<\/a>. The new feature worked because it offered users spontaneous content to regularly engage with and produce.\r\n\r\nHowever, such innovations are not equally beneficial for everyone. Features like Stories and Reels may not always align with the interests of content creators. But if they are increasing traffic to the platform why should the company be concerned? Because external content creators are the driving force of most social media platforms and for these platforms to thrive, technological innovations must ensure the content creators remain motivated to produce engaging material.\r\n\r\nMy co-author Shirish C. Srivastava at HEC Paris and I examined whether the introduction of the Stories feature on Instagram benefitted the central content creator category on this platform known as \u201cinfluencers.\u201d<\/a> Traditionally, influencers have invested significant time and effort in crafting carefully curated posts that establish and reinforce their brand and appeal amongst their followers. Just think about the resources that influencers like American celebrity Kylie Jenner<\/a> or Italian entrepreneur Chiara Ferragni<\/a> spend on creating their posts. These carefully curated images of influencers are central to building their personal brand and play a crucial role in promotional campaigns for a range of activities from business endeavors and sponsorship deals \u2013 depending on the influencer \u2013 to even spearheading public health initiatives. And let\u2019s not forget that these posts are money-makers for many influencers. Cristiano Ronaldo reportedly earns upwards of $3.2 million per branded post<\/a>.\r\n\r\nDespite the apparent benefits of Stories in terms of increased platform engagement, the feature raises substantial questions about its long-term impact on influencers\u2019 traditional content strategies. The shift towards more spontaneous, ephemeral, and frequent content could potentially devalue the perfectly curated \u2013 and permanent \u2013 posts that influencers rely on. There exists quite a contrast between the two options: an influencer might share a casual pajama-clad moment of their life in Stories, while their main feed is populated with glamourous shots of them beside fancy cars and in resorts. This juxtaposition between the Stories and the main feed can impact the way followers view the influencers \u2013 from one of aspiration to that of peer-like familiarity \u2013 and this shift can have implications for the influencer\u2019s business model, brand partnerships, and social media strategies.\r\n
Not all platform stakeholders benefit equally from homogeneous features that fail to consider cultural nuances.<\/blockquote>\r\nAdding to the complexity is that the influence and impact of Stories varies across cultures. The transition from perfect \u201cposts\u201d to imperfect \u201cstories\u201d could be perceived differently in different communities, depending on their cultural norms and expectations.\r\n\r\nIn societies with high power-distance communities, where hierarchical structures are deeply embedded, the informal nature of Stories does not always resonate well. Followers in, for example, India, China, and regions such as the Middle East, might prefer the aura of perfection and even unattainability that well-crafted posts portray, maintaining a clear demarcation between influencers and audience. The carefully curated image creates a power dynamic \u2013 and distance \u2013 between themselves and their followers and this aligns with the cultural expectations in societies driven by hierarchy and thus the very untouchability of these influencers and their way of life is, in essence, a vital part of their appeal and success.\r\n\r\nConversely, some societies tend to have a lower power distance and this is where the authenticity and immediacy of Stories can actually enhance the connection between influencer and follower. The behind-the-scenes glimpses into influencers\u2019 lives demystify their public personas, making them more relatable and approachable. This increased sense of closeness \u2013 whether real or simply perceived does not matter \u2013 can lead to greater engagement because, in this context, the stories provide a sense of authenticity and even relatability between content creators and their audience.\r\n\r\nThis complex interplay between content type, follower engagement, and cultural context highlights the nuanced challenges and opportunities facing social media platforms and influencers in the wake of such strategic changes. As ephemeral content becomes increasingly prevalent, it is crucial to look beyond the immediate benefits of increased user activity for platforms and consider the long-term implications for influencers, who serve as essential platform complementors and have built a profession that is tied to these digital ecosystems.\r\n\r\nA critical question emerges: does the Stories feature enhance or diminish the value of traditional posts and the influencers who create them? Our experimental analysis of Instagram\u2019s Stories feature yielded some interesting insights and, specifically, our research suggests a dual effect:\r\n