Word Of Mouth Marketing Helps Companies Better Grasp The Market Direction.

September 27th, today is a world.

Consumers have always attached great importance to the opinions expressed directly to them.

Marketers may spend millions of dollars on well-designed advertising campaigns, but what really makes consumers decide is often simple and free: word of mouth recommendation from trusted sources.

Consumers who face too many product choices no longer pay attention to the bombardment of traditional marketing methods, and word of mouth publicity quietly and effectively stands out.

In fact, in all purchase decisions, the most important factor behind most decisions is word-of-mouth.

When consumers first buy a product or when the product is relatively expensive, word of mouth has the greatest impact - because in comparison with other situations, people will conduct more surveys, seek more opinions and take longer consideration.

The influence of word of mouth may also continue to rise: the digital revolution has expanded its scope of influence and accelerated its propagation speed, making word of mouth no longer just a one to one communication based on personal close relationship.

Nowadays, word of mouth is spread in more than one form: people will publish product reviews on the Internet and disseminate their opinions through social networks.

Some customers even build websites or blogs to praise or punish certain brands.

As the size, quantity and characteristics of online communities have been improved and strengthened, marketers have come to realize that the importance of word of mouth is increasing.

But measuring and managing word of mouth is by no means an easy task.

We should analyze the word of mouth in order to understand exactly why it can play its role, and its influence can be measured by the word of mouth value index, which is an index to measure the information ability of the brand to effectively influence consumers' purchasing decisions.

Understanding how these information works and why it works can allow marketers to design a coordinated and consistent response so that appropriate content can be conveyed to the right crowd in the right environment.

This approach will have a great influence on consumers' recommendation, purchase and maintenance of loyal products.

This power is tilted towards consumers in the structure, reflecting the way people buy decisions nowadays.

Once consumers decide to buy a product, they will first identify a group of primary brands screened through product experience, recommendation or well-known marketing activities.

When consumers collect product information from various sources and decide what products to buy, they will positively evaluate these and other brands.

Then, their aftermarket experience will provide a basis for their next purchase decision.

Despite the different degrees of word-of-mouth in this process, it is the only factor that affects consumers at every stage of the top three.

It is also one of the most disruptive factors.

The role of word of mouth in promoting consumers to consider a brand or product is that the rising advertising expenditure can not be achieved at all.

Its role is not a flash in the pan.

Appropriate information will resonate and expand in interested circles, thereby affecting brand awareness, purchase rate and market share.

The rise of online communities and online communication has significantly improved the possibility of producing significant and far-reaching effects.

First, empirical word-of-mouth.

Empirical word of mouth is the most common and powerful form. It usually accounts for 50% to 80% of word of mouth activities in any given product category.

It comes from the direct experience of consumers in certain products or services, and is largely due to deviations from the expectations of consumers.

When products or services meet the expectations of consumers, they rarely complain or praise an enterprise.

Empirical word-of-mouth is divided into 2 positive and negative aspects, which will have adverse effects on brand perception, and ultimately affect brand value, thereby reducing the audience's acceptance of traditional marketing activities and damaging the effect of positive word of mouth from other sources.

Conversely, positive word of mouth can make products or services sail with the wind.

Two, secondary word of mouth.

Marketing activities can also lead to word of mouth.

The most common is what is known as secondary word of mouth: when consumers directly feel the message of traditional marketing activities or the word of mouth when they propagate the brand.

The impact of these messages on consumers is usually more direct than advertising, because the coverage and influence of positive word of mouth marketing activities are relatively greater.

When deciding which information and media portfolio can produce the greatest return on investment, marketers need to consider the direct effect and pmission effect of word of mouth.

Three, conscious word-of-mouth.

Unlike the first two types of word-of-mouth, another common word of mouth is conscious word-of-mouth, such as marketers who can use celebrity endorsements to create a positive atmosphere for the launch of products.

The number of companies that invest in conscious word of mouth is a minority, partly because the effect is difficult to measure. Many marketers are not sure whether they can successfully launch promotional activities with conscious word of mouth.

For these three forms of word of mouth, the marketers need to understand and measure their impact and financial results in a proper way from the two aspects of the positive and negative aspects.

The value of computation starts with counting the recommended and discouraging times for a product.

This method is appealing and relatively simple, but there is also a big challenge: marketers are hard to explain the differences in the impact of different kinds of word of mouth information.

Obviously, for consumers, the likelihood of buying a product due to family recommendation is significantly higher than that of strangers.

These two recommendations may convey the same message, but their influence on the receiver is not the same.

In fact, the high impact recommendation, the related information conveyed by the trusted friends, leads to many times the possibility of buying behavior, and it also illustrates the importance of the company's better use of word of mouth marketing from another aspect.