For most of the 20th century, the brand-consumer relationship was structurally one-directional. Brands produced messages; consumers received them. The model was efficient, scalable, and almost entirely disconnected from how people actually talk about products, which is to say, to each other, not to the brand.
That structural asymmetry has been collapsing for two decades, and the collapse is now essentially complete. Industry data reveal that 71% of consumers have become increasingly sceptical of brands' advertising communications on digital media channels. The audience has not just become harder to reach. It has become harder to convince, because it has alternative sources of information that it trusts considerably more than the brand itself.
Participatory branding is the strategic response to this shift, and it is considerably more demanding than it sounds.
What co-creation actually means
The academic literature on value co-creation, which draws primarily on Prahalad and Ramaswamy's foundational work from the early 2000s, frames the concept precisely: brand co-creation behaviour refers to the active involvement of consumers in the creation of brand value, through concrete actions such as product recommendations, co-design of brand experiences, content creation, and participation in feedback loops. (Toukabri & Erragcha, 2025)
The distinction between this and ordinary consumer feedback is meaningful. Co-creation is not a survey. It is a structural invitation for consumers to contribute to something the brand then acts on, in ways that are visible and consequential. When LEGO Ideas invites fans to submit and vote on new kit designs, and then manufactures the winning submissions and shares royalties with the creators, the brand is not mining opinions. It is redistributing authorship. That is a fundamentally different relationship, and consumers understand the difference.
Research published in Applied Business: Issues & Solutions (2024) examining LEGO, Nike, and Coca-Cola's co-creation strategies found that the common thread in successful programmes was not scale but genuine consequence: consumers participated because their contributions demonstrably shaped outcomes, not because participation was gamified into something that looked like influence without delivering it (Ingram, 2024).
The UGC layer
User-generated content is the most visible form of participatory branding, and the one most brands have nominally embraced. The challenge is that the quality of participation varies enormously depending on what the brand does with it.
Burberry's Art of the Trench campaign, which invited consumers to submit photographs of themselves wearing the brand's trench coat, worked not because it collected images but because it treated those images as the campaign itself rather than supplementary content. The consumer became the creative. Lay's "Do Us a Flavor" generated millions of flavor submissions because the mechanism was real: one submission would actually be manufactured and sold. The participation had consequence.
Research into brand UGC strategies across sectors identifies medium-autonomy content, where users maintain creative freedom within brand-led initiatives, as particularly powerful for trust-building and engagement. The finding is counterintuitive for brands accustomed to controlling messaging: loosening creative control, within a defined frame, tends to produce more authentic and more effective content than tightly briefed submissions. (Hesse & Franke, 2025, Springer)
Gamification as participation architecture
Gamification is the most technically complex form of participatory branding, and also the most easily misunderstood. Points and badges are not co-creation. They are behavioural conditioning dressed in the language of play. The distinction matters because consumers who feel manipulated by fake participation withdraw their trust more dramatically than consumers who were never invited to participate at all.
Starbucks Rewards works because the rewards are real and the progression logic is transparent: spending translates into tangible benefits, and the tier structure is clear. Duolingo's streak system works because the game mechanics are honest about what they are, they are designed to build a habit, and the habit genuinely serves the user's stated goal. In both cases, the brand and the consumer have aligned interests, which is what makes the gamification feel fair rather than extractive.
The failure mode, which is common, is gamification that creates the sensation of progress without delivering actual value: reward programmes with points that depreciate, tiers that require spending that exceeds the value of the benefits, or challenges that generate content for the brand without meaningfully rewarding the creator.
The control paradox
The most persistent concern brands raise about participatory strategies is loss of control over messaging. This is a real risk, but it is also a misframing of what brand control actually consists of in a participatory media environment.
With the increase of social media platforms, the locus of control has shifted between the brand and the consumer, indicative of a more co-created approach to brand engagement. The question is not whether consumers will shape brand narratives. They already are, and have been for years, whether brands invite them to or not. The question is whether brands participate in that shaping process or cede it entirely to conversations they are not part of. (Journal of Marketing Management, 2024)
Brands that treat co-creation as a risk to be managed tend to build participation mechanisms that are structurally superficial, consultation without consequence, UGC campaigns that harvest content without crediting creators, feedback loops that go nowhere. Consumers notice. The gap between the language of collaboration and the reality of extraction is precisely the kind of inauthenticity that erodes the trust that participatory strategies are supposed to build.
The brands that do this well have internalised a simpler principle: if you invite people in, you have to mean it.
References
- Prahalad, C. K., & Ramaswamy, V. (2004). Co-creation Experiences: The Next Practice in Value Creation. Journal of Interactive Marketing. Link
- Ingram, K. L. (2024). Co-Creation in Marketing and Brand Strategy. Applied Business: Issues & Solutions. Link
- Toukabri, M., & Erragcha, N. (2025). The Role of Brand Co-creation Behavior Within eWOM and CSR Moderation on Brand Trust and Purchase Intention. SAGE Journals. Link
- Hesse, A., & Franke, M. (2025). Let Your Audience Create Content for Your Audience. In Handbuch Innovatives Marketing. Springer Gabler. Link
- Krowinska, A., & Dineva, D. (2025). The Role and Forms of Social Media Branded Content Driving Active Customer Engagement Behaviours. Journal of Marketing Management. Link
- Nielsen. (2012). Global Trust in Advertising Report. Nielsen. Link







