Do Monetary Gifts Influence User Engagement on Social Media? An Empirical Study About Red Packets on the WeChat Interest-Based Groups

In our daily lives, we are active in various WeChat acquaintance communities, and members of these interest-based groups often use red packets to attract other users to engage in community activities. However, existing research has not revealed the underlying mechanism of this phenomenon. Drawing on social exchange theory and Chinese gift-giving culture, We examined the impact of red packets on members’ engagement behaviors in WeChat interest-based groups. We conducted an online survey with 770 participants, and our results verified that WeChat red packet features (i.e., monetary incentives and social visibility) and red packet givers’ feature (i.e., prior image) facilitated swift guanxi formation (i.e., mutual understanding, reciprocity, and relational harmony) in the acquaintance community, which enhanced users’ engagement. Our research contributes to the literature on digital monetary gifts and the usage of acquaintance communities, helping platform providers and community managers activate users and establish a harmonious intra-community atmosphere.