Table of Contents

Title Page

Copyright Page

Dedication

Preface

Why the Internet Matters More Now

Why I Wrote This Book

How This Book Will Help You

What You Will Find in This Book

Acknowledgements

PART I - UNDERSTANDING ONLINE WORD OF MOUTH

CHAPTER 1 - The Need for Word of Mouth Information

Trust in Media

The Rise of Social Media

Online Word of Mouth

CHAPTER 2 - The Web Advantage

The Power Line

The Dell Turnaround

Thoughts on AOL

Hoboken Online

Transportation Security Administration (TSA) Hears the Laughing Squid

The Frozen Pea Fund

Helping Earthquake Victims

Tsunami Wikis

Notes

PART II - FINDING NETWORKING AGENTS

CHAPTER 3 - How to Find Networking Agents

Assessing Online Influence

CHAPTER 4 - Tapping into the Power of Networking Agents

Screening for Networking Agents

Building Conversation Forums

Joining Conversation Forums

Notes

CHAPTER 5 - Earning Networking Agents’ Trust

Accepting Reviews and Suggestions

Being Responsive

Providing Conversation Materials

Addressing Problems Head On

Being Available

Notes

PART III - COMMUNICATING WITH NETWORKING AGENTS

CHAPTER 6 - Crafting Messages for Networking Agents

Telling a Newsworthy Story

Creating an Engaging Process

Offering Value

Notes

CHAPTER 7 - Reading the Message Environment

Tapping into the Public Sentiment

Revealing the Unknown

Challenging Status Quo

Infiltrating Networks

Following the Audience

Making It Easy to Pass Along and Share

Notes

CHAPTER 8 - Keeping in Touch with Networking Agents

Need for Relationship Platforms

Sampling through Word of Mouth Panels

Product Development through Online Communities

Fueling Word of Mouth on Popular Social Networks

Creating Multiple Touch Points

Networking on the Go

Guidelines for Long-Term Engagement

Notes

CHAPTER 9 - Delivering on Promises to Networking Agents

Turning Negative Buzz into Positive Buzz

Online Reviews Propel Sales

Probe, Fix, and Communicate

Notes

PART IV - CREATING ONLINE WORD OF MOUTH CAMPAIGNS

CHAPTER 10 - Helping Networking Agents Spread Your Messages

Building Online Communities

What Does Engagement Yield?

How to Maintain Online Communities

What Should the Incentive Be?

How to Quantify Success

Notes

CHAPTER 11 - Building a Social Media Campaign

Set Up Shop and Create a Base in Social Media

Understand What Matters to People and Acknowledge Current Events

Update Your Content Regularly

Stick to Your Topic of Expertise

Inform Networks and Lead Them to Action

Notes

CHAPTER 12 - Measuring Reach and Impact of Online Word of Mouth

Designing a Measurement Plan

Methods

Measures

Metrics

Notes

Epilogue

Appendix - AN ASSESSMENT WORKSHEET

Index

Copyright © 2010 by Idil M. Cakim. All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey. Published simultaneously in Canada.

No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, (978) 750-8400, fax (978) 648-8600, or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748-6011, fax (201) 748-6008, or online at http://www.wiley.com/go/permissions.

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Library of Congress Cataloging-in-Publication Data:

Cakim, Idil M., 1974-

Implementing word of mouth marketing : online strategies to identify influencers, craft stories, and draw customers / Idil M. Cakim.

p. cm.

Includes index.

eISBN : 978-0-470-57308-2

1. Word-of-mouth advertising. 2. Telemarketing. I. Title. HF5827.95.C.8’72—dc22 2009029115

To my family

Preface

Why the Internet Matters More Now

In the heyday of the dot-com era, I was working at a promising small company on Hudson Street in New York City, where many Internet start-ups had offices. We researched Internet- related trends and published industry briefs, telling brick-and- mortar companies to bring their businesses online and finding new audiences for online companies. AOL was becoming mainstream. The number of Internet users was multiplying every quarter. Business was pouring in. We were growing at an incredible speed, interviewing new candidates almost every day. We were on the cutting edge. We were the future.

Then came the dot-com bust. In March 2000, the market went on a steep decline. Many dot-coms ceased to exist. Many more had to lay off their staff. I remember walking on Hudson and seeing people with hunched shoulders, carrying their personal belongings from their offices back to their homes. One tearful young woman was sobbing: “But I worked so, so hard. I worked so hard.” She had just lost her job. All that hope for success and innovation seemed to have evaporated in a flash.

The market crash did not diminish the power of the Internet. People continued to rely on the Web for information, connectivity, and entertainment. New businesses emerged to fulfill the demand. At times, they created demand. Nowadays, organizations are far from debating the validity of investing in online channels. It is no longer a question of if, but how.

I wrote this book during one of the biggest financial crises the United States has seen in decades. Every time I read about jobless claims, I think back to that time on Hudson Street. There is hope.

While we may have lesser means, we are also part of an extensive and visible network, thanks to the Internet and social media platforms. Information flows from one hub to another in a matter of clicks. We are learning to share knowledge and pool our resources. We can reach hundreds with one message posted online, seek guidance, and get useful advice from people we have yet to meet face-to-face.

Today, blogs and social networks are popular. Tomorrow, people will rush to more advanced online platforms. The tools may change but the mode of communication will remain open. Those who understand the advantages of sharing resources will recruit fans and build sizable communities. Smart organizations will tap into online conversations and offer products and services to improve people’s lives. These establishments will grow and attain their goals, as they use the Web to earn people’s trust and support.

Why I Wrote This Book

I wanted to write a book that showed readers how to create meaningful content and distribute messages effectively through social media channels. In the increasingly crowded Internet space, publishing a blog or launching a page on a social network is no longer sufficient to reach audiences. Content needs to be social, to be connected to a wide web of information, and to show up on search engines to reach far and be visible.

It is unlikely that a video posted on YouTube will become an overnight sensation just because it is listed on a Web page. Most blogs will not garner more than a handful of random followers. Posting content online may be the first step in generating word of mouth online and offline, but there are many additional steps content owners need to take to generate excitement around their news and sustain that momentum over time.

Turning a blog entry into a viral phenomenon may seem like an arduous task. However, organizations can build presence in social media by mimicking public opinion leaders who spark and lead online discussions.

Online influencers hunt for information, share stories, dive into online conversations, engage their audiences, and know many people across a wide range of networks. People seek their opinions and follow their advice.

Organizations can act the same way. Indeed, there is a method to joining online conversations, building online networks, and writing stories that resonate with online audiences.

How This Book Will Help You

Implementing Word of Mouth Marketing is a comprehensive guide to designing online marketing programs that generate authentic and positive conversations. This book provides a strategic framework and practical tips to prepare, launch, and sustain online word of mouth marketing programs. Through current case studies, best practices, and actionable advice, it delivers smart social media plans and cost-effective tactics you can deploy immediately.

The book lists the fundamentals of identifying online influencers, developing messages that draw attention, and choosing the Web -based tools that can drive conversations—online and offline.

It elaborates on these points with a variety of examples from large companies such as PepsiCo and the Ford Motor Company, creative organizations such as Veer and Smarthome, and nonprofits such as Greenpeace International. The book also draws communication lessons from grassroots initiatives that started on Hoboken411 and TOMS Shoe Fans Web sites, among others.

What You Will Find in This Book

Implementing Word of Mouth Marketing spells out the critical advantage of having Internet access in an information-driven society.

Part I makes the claim that those who know how to use the Web to find, gather, and spread information will not only survive, but will thrive.

Part II provides readers with an approach to determine what online influence means to their brands. It offers numerous ways to spot online conversation leaders, earn these influencers’ trust, and start long-term relations with them.

Part III addresses the biggest challenges marketers face when launching word of mouth programs. It emphasizes the need to observe social and cultural trends when constructing messages. It shows how to add value to online influencers’ conversations. This section explains that successful online initiatives that yield high volumes of word of mouth involve an ongoing dialogue between organizations and their audiences. It points to the direct relationship between quality products and positive word of mouth. It shows how keeping promises to online influencers builds trust and transforms these cybercitizens into advocates.

Part IV demonstrates how to build online word of mouth campaigns that compel influencers to pass along messages. It provides readers with a detailed framework to define success at the planning stages of online initiatives, set benchmarks, and measure the impact of word of mouth during and after communication programs.

The Appendix consists of a list of questions readers can answer as they prepare to design and launch online word of mouth marketing programs. This self-assessment tool will guide practitioners as they conduct their research, articulate their messages, and brainstorm about creative ways to engage their audiences.

Ultimately, the best way to learn about social media and understand how participatory communication channels work is to join the community and blogging platforms mentioned in this book. User names and passwords can help unveil the counterintuitive dynamics of social media and connect you with new, relevant, and powerful audiences. To implement online word of mouth strategies, listen to what they have to say, respond, and stay in touch.

IDIL MIRIAM CAKIM

Brooklyn, New York

December 2009

Acknowledgments

Taking a bold step does not only require courage, but it also takes encouragement. I wrote this book with the support of my family, friends, and colleagues. I am immensely grateful and want to thank you all.

My parents Liza and Yomtov and my brother Can—I cannot thank you enough for all that you have given me. Your love defies borders and traverses continents. Greg, I am blessed to have you in my life, by my side. Thank you for gracing this project with your beautiful drawings.

I would like to extend my gratitude to Ronald Kessler, who said I could write and that I should write. You opened a new door for me. I am forever indebted. Thank you, Pam and Rachel, for all your ideas and fine wordsmithing.

I would not have been talking about online influencers if it were not for that fateful day when I interviewed with Dr. Leslie Gaines-Ross. Leslie, thank you for all that you taught me. Thank you for being my guardian.

I also want to acknowledge my first mentor, Peter Clemente, for his contributions to my career. As an innovator, creator, and author, he has always been a source of inspiration for me.

I owe many thanks to my editors Tim Burgard and Stacey Rivera at Wiley, who believed in my ideas and poured their thoughts into every word I wrote.

Last, but not least, I want to thank my colleagues who cheered me on from day one and presented me with many opportunities to do what I love to do.

PART I

UNDERSTANDING ONLINE WORD OF MOUTH

The Internet has transformed the way information flows across social circles. Opinion leaders, who can use Web-enabled devices to gather, distribute, and publish information, have the power to lead crowds.

They can reach hundreds of people with a few keystrokes and clicks. Their blogs and social network profiles are knowledge hubs. Their words are news. These networking agents know how to use the Web to their advantage.

CHAPTER 1

The Need for Word of Mouth Information

Anyone living in the information society is exposed to an overwhelming number of marketing messages each day. The noise from branding bombardments mounts to new heights as consumers seek news or entertainment across hundreds of cable TV channels, radio stations, magazines, and newspapers. The sales pitches on television, radio, and in print advertisements are coupled with online advertisements, postings, and chatter.

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