Word-of-mouth marketing

Word-of-mouth marketing Purpose – The paper aims to provide a theoretically informed critique of current measurement practices for word-of-mouth marketing (WOMM) campaigns. Design/methodology/approach – An exploratory field study is conducted on a real-life WOMM campaign. Data are collected from two generations of campaign participants using a custom-built Facebook app and subjected to social network analysis (SNA). We compare our theoretically informed measure of campaign reach with industry standard practice. Findings – Standard metrics for WOMM campaigns assume campaign reach equates to the number of campaign-related conversations. These metrics fail to allow for the possibility that some participants may be exposed multiple times to campaign-related messaging. In this exploratory field study, standard metrics overestimate campaign reach by 57.5 per cent. The campaign is also significantly less efficient in terms of cost-per-conversation. SNA shows that multiple exposures are associated with transitivity and tie strength. Multiple exposures mean that the total number of campaign-related conversations cannot be regarded as equivalent to the number of individuals reached. Research limitations/implications – SNA provides a sound theoretical foundation for the critique of current WOMM measurement practices. Two social-structural network attributes – transitivity and tie strength – inform our critique. A single WOMM campaign provides the field study context. Practical implications – The findings have significant implications for the development and deployment of WOMM effectiveness and efficiency metrics and are relevant to WOMM agencies, agency clients and the Word-of-Mouth Marketing Association. Originality/value – This is the largest field study of its kind having collected data on >5,000 WOMM campaign-related conversations. Participants specified precisely whom they spoke to about the campaign and the strength of that social tie. This is the first SNA-informed critique of standard WOMM campaign measurement practices and first quantification of offline multiple exposures to a WOMM campaign. We demonstrate how standard campaign metrics are based on the false assumption that word-of-mouth flows exclusively along intransitive ties. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png European Journal of Marketing Emerald Publishing

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Publisher
Emerald Publishing
Copyright
Copyright © Emerald Group Publishing Limited
ISSN
0309-0566
DOI
10.1108/EJM-02-2012-0086
Publisher site
See Article on Publisher Site

Abstract

Purpose – The paper aims to provide a theoretically informed critique of current measurement practices for word-of-mouth marketing (WOMM) campaigns. Design/methodology/approach – An exploratory field study is conducted on a real-life WOMM campaign. Data are collected from two generations of campaign participants using a custom-built Facebook app and subjected to social network analysis (SNA). We compare our theoretically informed measure of campaign reach with industry standard practice. Findings – Standard metrics for WOMM campaigns assume campaign reach equates to the number of campaign-related conversations. These metrics fail to allow for the possibility that some participants may be exposed multiple times to campaign-related messaging. In this exploratory field study, standard metrics overestimate campaign reach by 57.5 per cent. The campaign is also significantly less efficient in terms of cost-per-conversation. SNA shows that multiple exposures are associated with transitivity and tie strength. Multiple exposures mean that the total number of campaign-related conversations cannot be regarded as equivalent to the number of individuals reached. Research limitations/implications – SNA provides a sound theoretical foundation for the critique of current WOMM measurement practices. Two social-structural network attributes – transitivity and tie strength – inform our critique. A single WOMM campaign provides the field study context. Practical implications – The findings have significant implications for the development and deployment of WOMM effectiveness and efficiency metrics and are relevant to WOMM agencies, agency clients and the Word-of-Mouth Marketing Association. Originality/value – This is the largest field study of its kind having collected data on >5,000 WOMM campaign-related conversations. Participants specified precisely whom they spoke to about the campaign and the strength of that social tie. This is the first SNA-informed critique of standard WOMM campaign measurement practices and first quantification of offline multiple exposures to a WOMM campaign. We demonstrate how standard campaign metrics are based on the false assumption that word-of-mouth flows exclusively along intransitive ties.

Journal

European Journal of MarketingEmerald Publishing

Published: Jul 8, 2014

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