UCL School of Management is delighted to welcome Manav Raj, Wharton, to host a research seminar titled “Catching Lightning: Social Media Virality, Performance, and Strategy in a Creative Industry” (co-authored, Khwan Kim at UCL O&I)

Abstract

Social media virality offers creative producers sudden and unpredictable exposure, yet we know little about its implications for competitive dynamics. Using a difference-in-differences estimation and data from Spotify, we examine how unexpected virality on TikTok affects musical artists’ streaming performance and release strategies. TikTok virality results in large increases in streaming performance that persist well beyond the viral moment.

Effects are stronger for artists that benefit more from viral exposure (those with fewer listeners and without TikTok accounts pre-virality) and are larger when producers release or re-release music shortly after virality. Our study extends work on digitization in creative industries and highlights how strategic behavior can transform viral luck into longer-lasting serendipitous advantage in digital markets.