This document summarizes current research questions in word-of-mouth communication. It identifies several key areas for further study: 1) understanding why users engage in online word-of-mouth behavior and how it creates value, 2) exploring how different types of word-of-mouth content impact engagement and purchasing behavior, and 3) examining the specific organizational capabilities needed to foster the impact of word-of-mouth on customers. The document was authored by Alexander Rossmann of Next Corporate Communication Research Center.

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RESEARCH REPORT
Current Research Questions
in Word of Mouth Communication
Next Corporate Communication
Research Project: Word of Mouth Marketing
Sept 24, 2013
By Alexander Rossmann

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Current Research Questions
in Word of Mouth Communication
Abstract
Word of mouth (WOM) communication, long recognized as a highly influential source of information,
has taken on new importance with the proliferation of online WOM. The rise of online forums and
communities has dramatically increased the scope of word of mouth marketing, allowing consumers
greater access to information from subject matter experts and other key influentials who impact new
purchases. Online WOM data have been widely used in the literature to examine topics such as the
impact of WOM recommendations and reviews, brand community involvement, and product adoption.
For all the valuable contributions made by WOM research, a lot of important questions still remain
unexplored. One is delineating the preconditions for user engagement in WOM communication;
another is exploring the role of WOM content and WOM context on the efficacy of WOM in general.
And there is final area where research is needed, focusing on organizational capabilities firms need in
order to foster the impact of WOM communication on purchasing behavior.
Keywords:
Word of Mouth, Online Word of Mouth, Social Media, Brand Community, Content Marketing,
User Engagement, Organizational Capabilities

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Introduction
Word of mouth (WOM) communication, long recognized as a highly influential source of
information, has taken on new importance with the proliferation of online WOM. The rise of online
forums and communities has dramatically increased the scope of word of mouth marketing (Dwyer
2007; Kozinets et al. 2010), allowing consumers greater access to information from subject matter
experts and other key influentials who impact new purchases (Rogers 2003). Online WOM data have
been widely used in the literature (Kozinets 2002; Kozinets et al. 2010) to examine topics such as the
impact of WOM recommendations and reviews (Liu 2006), brand community involvement (Muñiz and
O’Guinn 2001), and product adoption (Algesheimer and Dholakia 2006; Thompson and Sinha 2008).
Consumers may also use online environments to express their dissatisfaction with a brand or its
products (e.g., Grégoire, Laufer, and Tripp 2010; Hennig-Thurau et al. 2004).
For all the valuable contributions made by WOM research, a lot of important questions still
remain unexplored. One is delineating the preconditions for user engagement in WOM
communication; another is exploring the role of WOM content and WOM context on the efficacy of
WOM in general. And there is final area where research is needed, focusing on organizational
capabilities firms need in order to foster the impact of WOM communication on purchasing behavior.
User engagement
One relevant area for further research covers the general question why internet users engage in
WOM behavior. Positive WOM can be considered as a specific kind of value co-creation. Thus, an
engagement in WOM communication might create value for companies and users. Companies and
their brands benefit from positive WOM in many ways. Such a communication driven by online users
might impact purchasing behavior of the WOM recipients (Rogers 2003), customer involvement (Liu
2006), or new product adoption (Algesheimer and Dholakia 2006; Thompson and Sinha 2008). On the
other hand online users might also benefit through their participation in WOM. Engaging in active
WOM communication facilitates the online visibility of users, promotes their status, and impacts
generally positive on their perception as a subject matter expert or thought leader. Therefore, scholars
need to research the specific motives of users and viable strategies in order to stimulate positive
WOM behavior. Summarized, papers in this research tack might concentrate on the following research
questions: (1) Why are online users engaging in WOM behavior?, (2) Which type of value is created
for corporations and users through online WOM?, (3) How can corporations stimulate WOM behavior
in social networks?

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Content
Another area of research affects the content of WOM communication. Organizations might drive
WOM communication by rethinking their content strategy in social networks. To date, most
corporations concentrate on their own products and other firm specific content or social ads. However,
current research and practice provides no evidence for the efficacy of these content strategies.
Therefore, it is important to distinguish between specific types of content. Subsequently, scholars
need to evaluate how specific types of content impact on the willingness of online users to engage in
WOM behavior. Finally, different types of content might also impact on the effect of a WOM
communication on uninvolved recipients. This leads to several important research questions: (1) How
might WOM communication in general be separated into different content types?, (2) How effective
are different content types in order to stimulate WOM behavior?, (3) How impact different content
types communicated by WOM on purchasing behavior?
Context
Besides the content of a specific communication thread, the context of online users might also
influence the efficacy of WOM communication. Context is a broad description of the concrete situation
of a single user. Thus, independent of the content of WOM it makes a clear difference if online users
actually search for new products or services or use social networks primary for business or private
purpose. Thus, multiple research questions arise if scholars focus on the specific context conditions of
WOM communication.
Organizational capabilities
Finally, we know little about the specific capabilities organizations need to develop in order to be
successful in WOM communication. Obviously, the stimulation and sustainable implementation of
WOM communication leads to new requirements in terms of structure, processes, and culture. This is
the case, because the theory and practice of WOM communication emphasizes an active part of the
customer in the communication process. However, most marketing and communication departments
still treat the customer as a passive object of corporate communication strategies. If the customer
tends to take a more active role, corporations are forced to set up suitable resources and processes in
order to deal with this engagement. Thus, it seems to be clear that a stronger interaction with the
customer requires a set of new organizational capabilities.

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References
Algesheimer, René and Utpal M. Dholakia (2006), “Do Customer Communities Pay Off?” Harvard
Business Review, 84 (November), 26–30.
Dwyer, Paul (2007), “Measuring the Value of Electronic Word of Mouth and its Impact in Customer
Communities," Journal of Interactive Marketing, 21 (2), 63–79.
Grégoire, Yany, Daniel Laufer, and Thomas T. Tripp (2010), “A Comprehensive Model of Customer
Direct and Indirect Revenge: Understanding the Effects of Perceived Greed and Customer
Power,” Journal of the Academy of Marketing Science, 38 (December), 738–758.
Hennig-Thurau, Thorsten, Kevin P. Gwinner, Giafranco Walsh, and Dwayne D. Gremler (2004),
“Electronic Word-of-Mouth via Consumer-Opinion Platforms: What Motivates Consumers to
Articulate Themselves on the Internet,” Journal of Interactive Marketing, 18 (1), 38–52.
Kozinets, Robert V., Kristine de Valck, Andrea C. Wojnicki, and Sarah J.S. Winer (2010), Networked
Narratives: Understanding Word-of-Mouth Marketing in Online Communities,” Journal of
Marketing, 74 (March), 71–89.
——— (2002), “The Field Behind the Screen: Using Netnography for Marketing Research in Online
Communities,” Journal of Marketing Research, 39 (February), 61–72.
Liu, Yong (2006), “Word of Mouth for Movies: Its Dynamics and Impact on Box Office Revenue,”
Journal of Marketing, 70 (July), 74–89.
Muñiz, Albert M. Jr. and Thomas C. O’Guinn (2001), “Brand Community,” Journal of Consumer
Research, 27 (4), 412–432.
Thompson, Scott A. and Rajiv K. Sinha (2008), “Brand Communities and New Product Adoption: The
Influence and Limits of Oppositional Loyalty,” Journal of Marketing, 72 (October), 65–80.

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About us
Alexander Rossmann is Professor for Marketing and Sales
at Reutlingen University and Project Director at the Institute
of Marketing, University of St. Gallen. Prior to this, he was
for ten years Managing Director of a leading consultancy
firm. His expertise covers relevant issues of social media
research, digital business, and relationship marketing.
Alexander holds a doctoral degree from the University of
St.Gallen and a masters degree from the University of
Tubingen and the State University of New York. He was
born near Stuttgart and is married with three children.
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