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definition …
 “Giving people a reason to talk about your
 products and services, and making it easier for
 that conversation to take place. It is the art
 and science of building active, mutually
 beneficial    consumer-to-consumer         and
 consumer-to-marketer communications.”
76% people are ‘more
87 % of Internet accessing
                                                             comfortable’ with a
Indians         still         trust
                                                             product if
recommendations from others
                                                             recommended by a
over any other kind of
                                                             friend.
advertising, making word-of-
mouth advertising the most                                   - Reader’s Digest 2004
powerful tool in the industry.
- AC Neilson global survey - 2006




                                      word-of-mouth by a friend carry twice
                                      as much weight in making a purchase
                                      decision compared to any information
                                      from mass advertising.
                                      GFK – one of the leading market
                                      research firms in Germany - 2006
subsets …


     Buzz
     marketing




                 Viral
                 marketing
Importance (marketer’s point of view)

• Information overload

• Skepticism

• connectivity
CASE STUDIES

• TITAN




               • WESTSIDE
AXE EFFECT
3M
Viral marketing …
definition …
• Any strategy that encourages individuals to pass
  on a marketing message to others, creating the
  potential for exponential growth in the message's
  exposure and influence.

Viral marketing is a self-propagating marketing technique.
It is spread from person to person across the Internet.



Jeffery Rayport - Harvard Business School
Steve Jurvetson - Hotmail's e-mail practice of
  advertising.
Viral videos have expanded
from a negligible piece of the        91 percent of internet users
advertising pie to a 100 to 150       pass on viral messages to
million dollars industry              atleast one friend
-research estimates                   - Jupiter communication (e-
                                      marketing strategies)




              83 percent of youth     55 percent of viral
               visit a majority of     video views are a
              websites because of          result of
            links sent from friends   recommendations
Campaign seeding
 “Seeding” is the act of planting the campaign with the initial group
  who will then go on to spread the campaign to others.

• Email
• Online Forums (Google groups)
• Social Networks (MySpace.com, Facebook.com)
• IM (MSN, Google)
• Blogs


 Word of mouth is a decaying function.
 Viral marketing is a compounding function.
Playing by the element of a niche or
                                               
                                                   exclusive.
    Attached a tag at the bottom of every

    email sent out to others - quot;Get Your
    Private,     Free       Email      at          Absolutely   no    money    spent    on
                                               
    http://www.hotmail.com/”                       marketing

    Hotmail spent a mere $50,000
                                                  Only a few selected members were
                                               
                                                   allowed to register
    12 million people signed up in the first

    year and a half.                               The only way to sign up for the service
                                               
                                                   was through a referral sent by an
                                                   existing member
    Hotmail had over 2,70,000 new

    accounts being established each day
                                                   Resulted in bidding for gmail invites on
                                               
                                                   ebay
Reasons for growth
• Great reach

• Low costs - Pyramids can be built in a day, not years.

• High efficiency- exponential growth

• High credibility – eg. hotmail, gmail

• Cuts through the clutter of traditional advertising

• Not an interruptive technique
Ooops ..
Brand Control
no control over the content – eg Sony Playstation



Uncharted Growth

Spam Threats

Lost in the crowd – security threat
Types of viral’s
Pass-along

    A message at the bottom of an e-mail or
    forward that prompts the reader to pass
    it. The success of this method depends
    on how interesting or exciting or
    believable the message is.

 Simple emails- Mazda campagin
 Face book applications
 Snapfish photo sharing
  AA insurance services campaign- argue-
  mate
 Viral videos
Cadbury’s
 Gorilla campaign for Cadburys

 The spot was viewed almost 5,00,000 times
 on YouTube the week after its release.

 Resulted in a 9 % rise in sales of Dairy Milk
 chocolate bars
Thakur ka inteqaam :@
Incentivised viral

 Offering rewards for providing someone's address.

 Matchstick was hired by Ford Canada to help launch the Zephyr line
  of cars

 India Samsung X series of Notebook PCs. The campaign sought to
  increase brand awareness through an online contest.

 This campaign managed to pull 50,000 participants to the site and
  delivered very good results.
Bluffmaster
• You have won a
  staggering $100,000.

• Net result: A total of
  30,000 users
  participated in this
  campaign, and sent
  it to another 78,000
  people.
Undercover A.K.A Stealth Marketing

A viral message presented as quot;cluesquot;, such as graffiti appearing in cities
   with key viral words to direct people to search out the presented
   quot;mysteryquot;.

Jassi Jasi koi nahi-
“Waiting for Jassi” - banners
People going to malls
chanting “Jassi Jassi”.

Dighen Verma

Iris- halo gaming.
the Batman story …
SMS trail … …

VANILLA COKE
 Wakau campaign.
 4,40,000 SMS responses in four weeks




XBOX
 users could win wireless keyboard and mouse by
 forwarding the SMS with the XBOX offer to their
 friends.
References
• e marketing strategies – Frank Fiore

• e marketing excellence - P R Smith and Dave Chaffea

• The Anatomy of a Buzz – Emauel Rossen

• www.advertising - Alastair Cambell

• http://www.womma.org ( word of mouth marketing
  association)

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How Word of Mouth Marketing Drives Product Recommendations and Sales

  • 1.
  • 2. definition … “Giving people a reason to talk about your products and services, and making it easier for that conversation to take place. It is the art and science of building active, mutually beneficial consumer-to-consumer and consumer-to-marketer communications.”
  • 3. 76% people are ‘more 87 % of Internet accessing comfortable’ with a Indians still trust product if recommendations from others recommended by a over any other kind of friend. advertising, making word-of- mouth advertising the most - Reader’s Digest 2004 powerful tool in the industry. - AC Neilson global survey - 2006 word-of-mouth by a friend carry twice as much weight in making a purchase decision compared to any information from mass advertising. GFK – one of the leading market research firms in Germany - 2006
  • 4. subsets … Buzz marketing Viral marketing
  • 5. Importance (marketer’s point of view) • Information overload • Skepticism • connectivity
  • 6. CASE STUDIES • TITAN • WESTSIDE
  • 8. 3M
  • 10. definition … • Any strategy that encourages individuals to pass on a marketing message to others, creating the potential for exponential growth in the message's exposure and influence. Viral marketing is a self-propagating marketing technique. It is spread from person to person across the Internet. Jeffery Rayport - Harvard Business School Steve Jurvetson - Hotmail's e-mail practice of advertising.
  • 11. Viral videos have expanded from a negligible piece of the 91 percent of internet users advertising pie to a 100 to 150 pass on viral messages to million dollars industry atleast one friend -research estimates - Jupiter communication (e- marketing strategies) 83 percent of youth 55 percent of viral visit a majority of video views are a websites because of result of links sent from friends recommendations
  • 12. Campaign seeding  “Seeding” is the act of planting the campaign with the initial group who will then go on to spread the campaign to others. • Email • Online Forums (Google groups) • Social Networks (MySpace.com, Facebook.com) • IM (MSN, Google) • Blogs  Word of mouth is a decaying function.  Viral marketing is a compounding function.
  • 13. Playing by the element of a niche or  exclusive. Attached a tag at the bottom of every  email sent out to others - quot;Get Your Private, Free Email at Absolutely no money spent on  http://www.hotmail.com/” marketing Hotmail spent a mere $50,000  Only a few selected members were  allowed to register 12 million people signed up in the first  year and a half. The only way to sign up for the service  was through a referral sent by an existing member Hotmail had over 2,70,000 new  accounts being established each day Resulted in bidding for gmail invites on  ebay
  • 14. Reasons for growth • Great reach • Low costs - Pyramids can be built in a day, not years. • High efficiency- exponential growth • High credibility – eg. hotmail, gmail • Cuts through the clutter of traditional advertising • Not an interruptive technique
  • 15. Ooops .. Brand Control no control over the content – eg Sony Playstation Uncharted Growth Spam Threats Lost in the crowd – security threat
  • 16. Types of viral’s Pass-along A message at the bottom of an e-mail or forward that prompts the reader to pass it. The success of this method depends on how interesting or exciting or believable the message is.  Simple emails- Mazda campagin  Face book applications  Snapfish photo sharing  AA insurance services campaign- argue- mate  Viral videos
  • 17. Cadbury’s Gorilla campaign for Cadburys The spot was viewed almost 5,00,000 times on YouTube the week after its release. Resulted in a 9 % rise in sales of Dairy Milk chocolate bars
  • 19. Incentivised viral  Offering rewards for providing someone's address.  Matchstick was hired by Ford Canada to help launch the Zephyr line of cars  India Samsung X series of Notebook PCs. The campaign sought to increase brand awareness through an online contest.  This campaign managed to pull 50,000 participants to the site and delivered very good results.
  • 20. Bluffmaster • You have won a staggering $100,000. • Net result: A total of 30,000 users participated in this campaign, and sent it to another 78,000 people.
  • 21. Undercover A.K.A Stealth Marketing A viral message presented as quot;cluesquot;, such as graffiti appearing in cities with key viral words to direct people to search out the presented quot;mysteryquot;. Jassi Jasi koi nahi- “Waiting for Jassi” - banners People going to malls chanting “Jassi Jassi”. Dighen Verma Iris- halo gaming.
  • 23. SMS trail … … VANILLA COKE Wakau campaign. 4,40,000 SMS responses in four weeks XBOX users could win wireless keyboard and mouse by forwarding the SMS with the XBOX offer to their friends.
  • 24. References • e marketing strategies – Frank Fiore • e marketing excellence - P R Smith and Dave Chaffea • The Anatomy of a Buzz – Emauel Rossen • www.advertising - Alastair Cambell • http://www.womma.org ( word of mouth marketing association)

Editor's Notes

  1. professor in December 1996 – article for a magazine fast company.a venture capitalist in 1997 to describe
  2. A million clip views
  3. circulated in lakhs
  4. through creating situations were people could drive one of the cars for free if they agreed to talk about it with their friends.
  5. A viral message presented as \"clues\", such as graffiti appearing in cities with key viral words, is often used to direct people to search out the presented \"mystery\".