This article estimates the impact o

This article estimates the impact of social media exposure on consumer valuation of product
characteristics. We apply the Berry, Levinsohn and Pakes (1995) model of market equilibrium to
sales data for 18 carbonated soft drink brands sold in 12 cities over 17 months (June 2011 to
October 2012) and social media conversations on Facebook, Twitter and YouTube. Empirical
results show that social media exposure is a significant driver of consumer behavior through
altering evaluation of product characteristics and purchase choices.