Consumer-Generated Intellectual Property (CGIP):Intellectual property gets emotional

Pierre Berthon1, Leyland Pitt2, Jan Kietzmann2 and Ian P. McCarthy2

1 Bentley University2 Beedie School of Business, Simon Fraser University

The Authors

Pierre BerthonMcCallum School of Business, Bentley University

Leyland PittBeedie School of Business, Simon Fraser University

Jan KietzmannBeedie School of Business, Simon Fraser University

Ian P. McCarthyBeedie School of Business, Simon Fraser University

Consumer-Generated Intellectual Property (CGIP) is defined as: “Intellectual property produced by consumers rather than only by firms” (Berthon et al 2015: 45)

The paper:

Berthon, P., Pitt, L.F., Kietzmann J.H., and McCarthy I. P. 2015. CGIP: Managing Consumer Generated Intellectual Property. California Management Review, 57/4 (Summer): 43-62

Download the paper here:

Traditionally, firms produced goods and services

...and consumers consumed them.

Today, many consumers are:

Media Citizens & Creative Consumers

Media CitizensGenerate the informational content for online services and

social media

Videos on YouTube

Reviews on Amazon

Photos on Instagram

Posts to Facebook

Creative ConsumersModify, adapt and transform the proprietary offerings of companies (Berthon et al 2007)

Customising equipment for

specific purposes

Hacking products

Reappropriating items for different

uses

The actions of Media Citizens & Creative Consumers produce

CGIPConsumer-Generated Intellectual Property

Consumer-Generated Intellectual Property

CGIP may infringe upon company IP or end up belonging to the companies

Issues with CGIP

CGIP involves not just intellectual property, but also emotional property

Companies want to control CGIP and appropriate value from it

Consumers are concerned about the credit and emotion associated with the creative act or output

Intellectual Property

Legal rights to creations of the mind.

Emotional Property

The product of the affection, fervor and energy that consumers devote to the creative act, and the attachment and pride they have with their creation.

Selecting a Strategy:The Emotional Property- Intellectual Property (EPIP) Matrix

The Two Dimensions

1

2 The extent to which the firm has the potential to control the Intellectual Property

The extent to which the company perceives the consumer to have either high or low emotional property vested in the innovation

Consumer’s Emotional Property

Firm’s potential control of CGIP

LOW HIGH

HIGH

Condone

Condemn

Cultivate

Coordinate Capture

Cooperate

Crush

CopyLOW

The Emotional Property-Intellectual Property (EPIP) Matrix

8CsThe

Framework

Cultivate

A positive strategy for the consumer, under which the firm helps consumers generate IP within any attempt to capture or control it.

Coordinate

The firm facilitates the creation of CGIP and does not attempt to extract rents from the CGIP. The presence of CGIP in turn attracts more customers, from which rent can be generated through other ways such as advertising.

Cooperate

The firm encourages consumer creativity in order to share the returns of the CGIP between the firm and the customer.

Capture

The firm positively encourages consumers to generate CGIP that it then captures as its own in order to advance its business.

Condone

The firm is essentially negative towards CGIP, but simply turns a blind eye rather than confronting consumers.

Condemn

The firm clearly disapproves of what they believe to be an infringement of their IP. They might actively lobby against such activities and also retaliate by refusing to honor the warranty of products that have been tampered with.

Crush

Taking decisive action against consumer IP violations, firms may issues cease and desist letters or even sue.

Copy

Firms ignore the customer and simply appropriate the customer’s invention by copying it, without explicit permission.

Intellectual property Emotional property

When leveraging CGIP, firms need to be cognisant of and balance both Emotional Property & Intellectual Property

Get Emotional

Recognise the value of CGIP

Consider the consumer’s emotional investment

Use this to inform your strategy

Download the graphic here:

CGIP: Managing Consumer-Generated Intellectual Property

Berthon P., Pitt L., Kietzmann J., & McCarthy I. P. (2015)California Management Review, Vol 57, No. 4 (pages 43-62)

Read the full paper here

Dr. Ian McCarthy

@toffeemen68

Professor, Technology and Operations Management

Beedie School of Business Simon Fraser University

Ian McCarthy

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