Literature Review
Since the 1960s, a large body of marketing research has documented the pervasive impact of word-of-mouth on consumer attitudes and behavior (Bansal & Voyer, 2000; Bone, 1995; Buttle, 1998; Herr et al., 1991; Laczniak, DeCarlo, & Ramaswani, 2001; Smith & Vogt, 1995; Wirtz & Chew, 2002). Word of mouth (WOM) communication is recognized as an important medium for influencing consumer behavior (Arndt, 1967). Consumers generally have greater tendency to be exposed to marketer-dominated sources, therefore, personal word of mouth source was usually the most effective (Arndt1967). Moreover former researches also find that word of mouth is particularly important for service (Murray, 1991) and also adequate to persuade a person to try a particular service provider (Frenzen & Davis, 1990; Reingen, 1987).
However, while the relevance of WOM is widely accepted, considerable research gaps exist. First, forces determining the effectiveness of WOM effects are not well understood (Wangenheim and Bayom, 2002). Although some authors have dealt with the effects of characteristics of the communicator (such as expertise or similarity; Brown and Reingen, 1987; Price et al., 1989) or the relationship between communicator (such as tie-strength; Raluca, 2012) on the strength of influence of a referral, the interaction of these two groups of factors remains widely underresearched.
Marketing research on the determinants of word-of-mouth conceptualizes word-of-mouth as a dyadic communication between a source (i.e., sender) and a recipient (i.e., receiver) (Gilly et al., 1998). This implies that the occurrence of word-of-mouth is determined by the characteristics of the recipient, by the characteristics of the source, and by their mutual relat...
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...ionship is defined as the closeness of the social relationship between the recipient and the source of word-of-mouth information (Brown & Konrad, 2001). Close friends are an example of strong ties, whereas seldom-contacted acquaintances represent weak ties (Brown & Reingen, 1987). Stronger ties are typically more readily available and result in more frequent interaction through which word-of-mouth information can be requested or provided (Gilly et al., 1998). Several studies have found that consumers engage more in word-of-mouth with strong ties than with weak ties (Bansal & Voyer, 2000; Bone, 1992; Wirtz & Chew, 2002).
As a closure to discussion above, how effective is the effectiveness of word of mouth in influencing consumer’s behavior is depending on the characteristics of the source, characteristics of the resources and tie-strength (their mutual relationship).
When he talks about the marketing and advertising of today he speaks of the word of mouth and social media and the power that it holds. Continuing with what he said before about people adopting brands to be their own, when it comes to social marketing, if people identify and e...
In conclusion, Old Spice uses classical conditioning to influence consumers’ attitude by having conditioned and unconditioned responses and stimulus. They campaign their products really well and get outstanding response and comments from all over the world. Old Spice also use many type of communication source that are involved in influencing the growth of the product. Social Media plays a huge role in advertising the product and putting on a campaign. Consumer’s attitude towards Old Spice was reflected on the comments they post. The elaboration likelihood model also proposes the more global view that consumer attitudes are changed by the central and peripheral. People who are up for trying the product are most likely central route.
Aaker, D. A., Kumar, V., & Day, G. S. (2007). Marketing research (9th ed.). Hoboken, NJ: John Wiley & Sons.
Prendergast, G., Ko, D., & Siu Yin V., Y. (2010). Online word of mouth and consumer purchase intentions. International Journal Of Advertising, 29(5), 687-708
Lamb, C. W., Hair, J. F., McDaniel, C. D., & Wardlow, D. L. (2009). Essentials of marketing (6th ed.). Cincinnati, Ohio: South-Western College Pub..
In article “The influence of e-word-of-mouth on travel decision-making: Consumer profiles”, it says that the presence of e-WOM brings more choices and information to tourism from a wide range of users (Hernández-Méndez, Sánchez-Fernández & Muñoz-Leiva 2015). Another advantage is social media tools are considered a more credible source of information because those who generate the content have no vested interest in the companies. According to Wu and Wang, “if users trust the comments and opinions of others in the online environment, it will positively affect their trust and attitude towards the brand and their purchase intent.” (as cited in The influence of e-word-of-mouth on travel decision-making: Consumer profiles
Etzel, Michael J., Stanton, Bruce J., Stanton, William J. (2004). Marketing. (13th ed.). Boston: McGraw-Hill.
Personal preference is another factor as some people prefer variety of goods whereas others prefer not having too many choices at all.
Richins, M. (2009, September 28). Negative Word of Mouth by Dissatisfied Consumers: A Pilot Story. American Marketing Association. Retrieved January 23, 2014, from http://onemvweb.com/sources/sources/Neg
Lam, D., Lee, A. and Mizerski, R. (2009) 'WORD-OF-MOUTH COMMUNICATION AS HELPING BEHAVIOR', Journal Of International Marketing, 17(3), pp. 55-70 [Online]. Available at: www.researchgate.net (Accessed: 12 May 2014).
The Association of Promotion Marketing Agencies (APMA) introduced the following definition of promotion management: "the strategic and tactical marketing planning and execution for a brand using the full mix of business and communications designed to work in concert to influence behaviour in ways that build sales and reinforces brand image".
Businesses use the media to convince consumers to buy their products. Since the start of mass media, companies have used communication to broadcast to large numbers of people about their product (Shah). Companies spend a great amount of money to encourage people to buy their product, by winning them over (Shah). The media provides information, rates, and suggests new products and services such as movies, computers, restaurants, books, fashion items, and more (Rinallo and Basuroy). Back in the days where brands had to buy advertising or secure media placements are gone. Today it is becoming really hard to know the difference between the role of marketer and publisher. This gives the chance for companies to become satisfied conservators, making their own items on their websites for their businesses (“Media Influence”). More and more people are considering traditional advertisements as untrustworthy; in fact, 75% of people do not think traditional advertisements are true. Companies uses online advertisements to influence people to buy their product. People today are trying to make more informed buying choices, using all the information they can find online. A person’s online experience can influence them to shop at a particular store; in fact, 91% of people shop at stores because of reviews online (Peneycad). People spend a large amount of time researching products before they decide to buy them. 86% of people use search engines to research products. 62% of people who research products online buy products in the store. People who research services and products online are more likely to make a buying decision (Peneycad). 78% of people are influenced by post from companies on social media websites. 72% of people are trusting of online recommendations of products. Peneycad mentions,“This means 72% of people trust complete strangers just as [much] as people they know when it comes to making a purchase decision (Peneycad 2).
...nd Information Sharing (Word Of Mouth Communication) Research. Academy of Marketing Studies Journal, 10(2), pp.111-113.
In marketing the goal is to influence a shopper to buy, to know what they want or need so that they will say “yes.” If you can make a shopper feel good about their purchase then they are more likely to buy that item, or to use that service. Researchers are learning the ups and downs of shopping, what makes a person purchases one item and not another.
The internet. Having Easy access to view and read reviews for the product helps give it publicity.