The Word is Spreading...

Maybe as a byproduct of my age, maybe as a byproduct of my personality, maybe as a byproduct of my upbringing, I have always had a fascination with change. I love analyzing the way things have changed in the past, and being involved in things that are changing currently. What has fallen out of public favor, why this occurred, and seeing these things perpetuate themselves is always interesting.

One way that I see marketing changing currently, and potentially drastically changing in the future, is through harnessing unadulterated consumer insights, and creating discussions between consumers…basically the field of Word of Mouth Marketing. As a concept, business has harnessed Word of Mouth (WOM) for centuries, falling in and out of favor as other forms of marketing have become increasingly elaborate. From discussions on which vendors had the best products, fairest prices, shadiest business tactics at bazaars and markets centuries ago, to online iterations in almost any form imaginable, the exchange of customer opinions and experiences has been a strong force in the what and how people choose to buy. As internet marketing continues to grow in size and importance, it seems only inevitable before courses are taught on the subject, books are already being written, and WOM will certainly play a role in these discussions. Analyzing what developments have been made, what is currently happening, and what could potentially lie ahead for a fledgling (but promising) industry and form of marketing, would be ideal research for me.

Currently, I work for one of, if not THE largest force spreading WOM and its benefits in the business landscape today. Our founder is on the Word of Mouth Marketing Association board; we publish a highly respected blog geared more towards selling WOM services and best practices; our CMO also runs a respected marketing blog, and I have even seen whitepapers and articles written by executives at our company when researching the industry on Google scholar. My largest concern, is that although the subject is gaining popularity and buzz, this research may be a bit close to home so to speak, and variety outside of what I have already heard espoused on a daily basis will be hard to find.

While this concern is in some ways substantial, it also provides a challenge that could benefit my current career path. Delving into the reasons why WOM is working, the components of WOM’s effectiveness if you will, especially from an academic perspective, is something we seldom do. This may be because trade journals are much more relevant (and easily quotable) when selling than academic journals, but the different perspective may reveal something those in the industry easily overlook. Take the study done by McCombs professor Bin Gu in February 2008 showing that positive word of mouth is both a precursor and outcome of increased sales. That is to say large quantities of reviews produce sales, and sales increase the number reviews and positive impressions about that product, service, feature, etc. Published around the same time as a product we designed to “cross the chasm” (of review volume so it was high enough to have positive effects) was released, this article is fuel to the fire for both the entire industry, and said product. Diving deeper into factors such as authenticity in marketing/advertising, consumer trust, new applications for WOM to influence, and new verticals opening themselves to the idea daily, this project could provide a fairly holistic view of WOM marketing from various levels.