How has the consumer behavior changed after the Internet became more of a social platform?Once the social aspects of the Internet came along a term called Web 2.0. was created. Web 2.0 indicates a platform that enables people to create and distribute all kind of content online (Berthon et al, 2012). Social media changed the whole nature of searching and sharing information.Read More
Online or electronic word-of-mouth (eWOM) has been defined as “any positive or negative statement made by potential, actual, or former customers about a product or company, which is made available to a multitude of people and institutions via the Internet” (Hennig-Thurau, Gwinner, Walsh & Gremler, 2004, p. 39). Moreover, eWOM also includes opinions and share of information not only about products but also about services and brands (Jalilvand, Esfahani, & Samiei, 2011). In this post I will address the question: what are key characteristics of eWOM that companies need to know in order to manage it effectively?Read More
Although the importance of this topic seems to be extremely high, research is still in its infancy. There is a wide variety of academic articles available that describe the changing paradigm of word-of-mouth, yet there is only limited literature available that examines how brands can deal with negative electronic word-of-mouth and online firestorms within the social media context. This may be connected to the fact that its emergence, its development and its consequences happened in a rather short period of time. However, from popular press articles, Thomas et al. (2012) gathered and analyzed a variety of company examples. Thereby, they identified five general coping strategies, delay, respond, partner, legal action, and censorship, which will be illustrated with cases below.Read More
In 2012, just 39 cents were enough to trigger an ‘online firestorm’ that broke over McDonald's Germany. What happened was that the leading fast-food brand had raised the price of its cheeseburger by exactly that amount. As a consequence, many consumers expressed their unhappiness about the price increase by communicating their displeasure on McDonald’s Facebook wall (Frickel, 2012). This in itself does not seem to be unusual within the highly-connected online world in which many companies manage their own social media presences and respond to or interact with consumers. However, it becomes unusual if the number of ‘likes’ and comments on one critical social media comment rise to exorbitant levels. Within 48 hours 81,000 users clicked on the ‘like’-button and 6,800 users commented. The company responded one day later and announced that the price for the cheeseburger would not be raised in most restaurants (Frickel, 2012).Read More
With the huge rise of Social Media over the last decade, a new era has begun in the web environment. The presence of social media such as Youtube, Facebook, Twitter etc have utterly changed the online scene for brand managers and marketers (Fournier & Avery, 2011). Billions of people were now connected and were able to express their thoughts, write articles, share images and videos.
Social media brought the world closer by providing a platform where everyone and from everywhere could join. Just to take a picture and understand the massive size of social media; Facebook statistics in 2014, showed that their monthly active users are 1.39 billion people, while Youtube users account for more than 1 billion as well (Facebook, 2015; Youtube, 2015).Read More
In Part I of this article the eWOM types and their us by marketers has been discussed, meanwhile, laying the ground basis of understanding eWOM and its use for consumer advocacy. The paper identified a research gap in the consumers’ response to eWOMM. In other words, what is the reaction of internet users when marketers initiate advocacy with existing and potential customers through social media publications, blogs or video channels? The article identified a fit of the users’ response to eWOMM with the Cho and Cheon’s model (2004) of advertising avoidance on the internet. Moreover, the article will explore marketers’ implications for managing eWOM without causing marketing/advertising avoidance.Read More
Customer advocacy is defined by marketers’ attempt on building mutual “transparency, dialogue and partnership” (p. 5) and is becoming an essential part of a marketing strategy (Lawer and Knox, 2006). However, the marketers’ presence in the user’s activities online can been seen as avoided or causing irritation (Cho and Cheon, 2004). Therefore, the following paper sets the question of how can marketers influence customer advocacy and word-of-mouth (WOM), without causing irritation or avoidance. As a result, the paper will begin by identifying the problem of advertising avoidance on the internet and the three main reasons for it (Cho and Cheon, 2004), followed by e-word-of-mouth marketing (eWOMM) as a phenomenon and eWOM types. The aim of the paper is to give the ground understanding of who talks online – the marketers, the influencers or the end users. Part II would provide a follow up on the topic, which will explore the notion of avoidance in eWOMM and the theory in practice, meanwhile providing implications for building customer advocacy while minimising the threat negative response.Read More
In the past few years, we have seen radical changes and advances on the Internet, which has brought new opportunities and challenges in not only our lifestyle but also various business over the world. The Internet has a great power beyond imagination. Especially, The Internet is more meaningful when it comes to business performances. It is not optional anymore but mandatory to make use of the Internet in business perspective.
The start of the digital marketing is probably from the advent of web 2.0. People started to use the terminology, web 2.0, to illustrate a new platform whereby content and applications are not created and issued by individuals anymore, but instead are continuously updated and changed by all users on the Internet where people can easily access (Kaplin & Haenlein, 2010).Read More
With its online travel communities Flying Blue Club Africa and Flying Blue Club China, the Dutch airline KLM offers its business travelers a digital meeting place to connect and network with fellow travelers. On the platform #1 social needs are addressed as customers can share experiences, either travel- or business-related, maintain valuable contacts as well as learn from others’ insights into the Chinese/African business world. The stimulated knowledge exchange fosters the required reciprocity and social ties. By starting discussions, the airline attempts to promote communication and the integration of members. This form of active moderation needs to be considered critically, though as users might feel disrupted in their freedom of posting travel experiences or opinions and thus, possibly perceive the brand community as an implicit advertising tool. The airline places strong emphasis on stimulating #2 intellectual needs. KLM considers its online travel communities as rich sources of expertise which allow the exchange of invaluable experiences and knowledge (KLM, 2015). Several steps are taken to ensure high-quality: the continuous monitoring of user-generated content as well as the airline’s effort to thoroughly check travelers’ subscription first in order to keep the brand communities’ nature of exclusivity and expertise.Read More
Times are gone when travel experiences only started at the chosen destination. In times of online travel communities like-minded users can already build relationships, share travel experiences, information and tips during their planning process. The Web has turned into a ‘travel square’ (Wang et al., 2002) that allows the stimulation of interaction and exchange, also known as electronic word of mouth (eWOM), to happen on a common platform. Speaking of those, travelers can choose from numerous opportunities such as social networking sites, fan sites, travel forums and blogs or brand-based sites. Focusing on user-generated content in online travel communities, special emphasis is placed on the latter, namely brand communities in the tourism sector. This form of firm-consumer-consumer interaction represents a renewed version of traditionally applied firm-customer engagement methods.Read More