Exploring how mumpreneurs use digital platforms' algorithms and mechanisms to generate different types of value

Abstract

This study explores how digital platforms generate economic and non-economic value for a specific group of users: mumpreneurs. We collected qualitative data from 26 mumpreneurs in the United Kingdom who have caring responsibilities for young children and are running a business on the community-based platform Instagram. We found that through using Instagram and its algorithms, mumpreneurs can create various types of value in this context. Drawing on previous research into value creation, we make several contributions to the information systems literature. First, we unpack and explain alternative forms of value generated by digital platforms. Our findings show that through community-based platforms such as Instagram, mumpreneurs can create various types of economic and non-economic value—engagement, cognitive, economic, and self-preservation value—that is consistent with their business, social, and personal needs. Second, we propose a process model of value creation; and we identify two mechanisms that lead to value creation through Instagram's algorithms: recommended connectivity and adaptability. Third, we identify a temporal dimension of value creation through Instagram. This article contributes to the theory in the growing body of literature on value creation linked to digital platforms and explains several implications for theory and practice.