Integrating Word of Mouth into the Advertising Mix November 2008 Louise Rijk Vice-President Marketing and Sales Advanced Media Productions, Inc. www.AdvMediaProductions.com

What is Word of Mouth (WOM)? What is Word of Mouth Marketing (WOMM)? The Rising Influence of Word of Mouth The Return of Conversation in the Social Order Big Brands and Word of Mouth WOM and Advertising are Working Together Marketing/Advertising-driven Word of Mouth Integrating WOMM with Advertising Overview Word of Mouth Marketing www.AdvMediaProductions.com

What is Word of Mouth (WOM)?

What is Word of Mouth Marketing (WOMM)?

The Rising Influence of Word of Mouth

The Return of Conversation in the Social Order

Big Brands and Word of Mouth

WOM and Advertising are Working Together

Marketing/Advertising-driven Word of Mouth

Integrating WOMM with Advertising

Word of Mouth Marketing What is Word of Mouth (WOM)? Word of Mouth is the act of consumers providing honest information to other consumers Word of Mouth is driven by “influencers” with large social networks who are inspired to talk positively about a brand, product or service Organic WOM – Occurs naturally when people become advocates because they are happy with a product or service Amplified WOM – When marketers launch campaigns to accelerate organic WOM (WOMM) www.AdvMediaProductions.com

Word of Mouth Marketing What is Word of Mouth Marketing (WOMM)? Word of Mouth Marketing WOMM happens when people are given a reason to talk about a product(s) or service(s) – online and offline WOMM is based on driven customer satisfaction, two-way dialog and transparent communications Online Word of Mouth Marketing Online WOMM includes online consumer activities using Internet tools that allow the exchange of ideas about products, services and brands through social networks Online WOMM does not dissipate after a conversation as in the offline world Online WOMM’s share is relatively small, but growing Approximately 20 percent of all WOM is currently happening online www.AdvMediaProductions.com

Word of Mouth Marketing

WOMM happens when people are given a reason to talk about a product(s) or service(s) – online and offline

WOMM is based on driven customer satisfaction, two-way dialog and transparent communications

Online Word of Mouth Marketing

Online WOMM includes online consumer activities using Internet tools that allow the exchange of ideas about products, services and brands through social networks

Online WOMM does not dissipate after a conversation as in the offline world

Online WOMM’s share is relatively small, but growing

Approximately 20 percent of all WOM is currently happening online

Word of Mouth Marketing The Rising Influence of Word of Mouth Fragmentation of Media Consumption, More Consumer Control over Media, Declining Consumer Trust, New Internet Technologies www.AdvMediaProductions.com

Word of Mouth Marketing © 2008 Advanced Media Productions, Inc. www.AdvMediaProductions.com The Return of Conversation in the Social Order

Word of Mouth Marketing www.AdvMediaProductions.com Big Brands and Word of Mouth

Word of Mouth Marketing www.AdvMediaProductions.com WOM and Advertising are Working Together

Word of Mouth Marketing www.AdvMediaProductions.com Marketing/Advertising-driven Word of Mouth Source: Keller Fay TalkTrack ™

Word of Mouth Marketing Source: Keller Fay TalkTrack ™ www.AdvMediaProductions.com Organic WOM is Most Effective People on the “receiving side” of WOM are more impressed by advice give by a true user of a brand

Word of Mouth Marketing www.AdvMediaProductions.com People are More Inclined to Recommend After Exposure to Marketing/Advertising Source: Keller Fay TalkTrack ™

www.AdvMediaProductions.com Word of Mouth Marketing Integrated WOMM and Advertising Campaign

www.AdvMediaProductions.com Word of Mouth Marketing Integrated WOMM and Advertising Campaign

www.AdvMediaProductions.com www.AdvMediaProductions.com Word of Mouth Marketing Thank You!