Wednesday, July 17, 2019

Social Network Marketing & Its Effectiveness

Introduction The objective of this review is to explore what the re look for says about affectionate meshwork merchandising and its heart and souliveness. The early wave of inter force out novelty (web 1. 0) brought consumers e-commerce. The second wave, tissue 2. 0 evolved into a much robust and interactive experience, allowing consumers to infix and sh be education effectively, companionable earnings media such as Facebook, Tweeters, etc. defecate magnanimous rapidly. Users atomic number 18 non only teens but alike adults. The frequentity of smartphones, hand-held tablet computers, computer notebooks as well help oneself the increase in popularity of using these sites.For instance, kindly net work media have replaced e-mails to become the most popular talk tools. To marketing practitioners, this wave of digital revolution fannynot be ignored. More than that Web 2. 0 modify consumers to give content and share. This change is totally contrasting from convent ional marketing, in which firms generate content or pass alongs to bombard uptakers and potential users (such as publicize). It is now not a question of whether a company should use digital media, but how they provide maximize the avail from the rise of these in the raw media web.It may not sloshed that conventional marketing tools such as advertising pass on be replaced overnight, but social web media should be able to synergize conventional promotional tools. Thus, naturally the question of tracking and measuring social meshing media and its ROI will be asked, which will be intercommunicate in this paper. The use of social network media in consumer marketing is well established. Its application in education, healthcare, and withal in pharmaceutical promotion are alike explored. Word of Mouth market To buzz off with, the plan of word of verbalize marketing is explored.Marketers recognized that the conversations among clients are powerful mildew of product adopt ions (Ryan and Gross 1943 Rogers 1962). Traditionally, marketers ready message to influence discriminating consumers (who may be early users) and these consumers help circulate the product message to other consumers. More sophisticated marketers will constitute influencers in the group of potential consumers (or thinking leaders) and influence them. on that pointafter, these opinion leaders can help propagate marketers message to other consumers.In web 2. 0 err, consumers will participate in the whole marketing communication process. They will coproduce content to be shared in their chosen network. Hence, Word of Mouth mystify has evolved from a consumer-to-consumer process in the past to a opinion leader to consumer model, and most recently, a network coproduction model (Figure 1. ) Marketers do not only influence the selective consumers (opinion leaders) in the launch phase, but also have to monitor the process of consumer to consumer messaging.The coproduction model of wor d of mouth marketing is further depicted by Adrian Palmer and Nicole Koenig-Lewis. In their clause An experiential, social network-based approach to school marketing, the authors proposed a framework of 3 chemical elements of the social network environment the seller, the customer and the community (Figure 2). In this model, the traditionalistic interface for direct marketings has been between the seller and the customers, delineate by the hatched field of honor. With the introduction of the community element, the customer interacts with self-selected communi stick tos.Sellers submit to interact with selected communities to come across a diversity of benefits, including spreading of positive word of mouth and forum information about buyers needs and preferences. The challenge is how to equilibrium the interest of the sellers, the customers and the community, and this is represented in the overlapping area of the 3 circles. Figure 2. Direct marketing in a social network Succ ess Factors for Social Network Sites Shu-Chuan Chu and Yoojung Kim canvass the determinants of consumer engagement in social networking sites (Chu & Kim 2011).Based on literature review, the authors identifies 5 determinants tie specialism, homophily, trust, prescriptive and informational interpersonal influence as master(prenominal) ancestor to eWOM behavior in SNSs. disembowel Strength Tie violence refers to the potency of the bond between members of a network (Mittal et al. 2008, p. 196). Example of strong tie strength is family members, whereas weak tie strength is colleagues. Strong tie were more likely to be activated for the tend of referral behavior. The possibility is that SNS users perceived tie strength with their contacts is positively related to their engagement n eWOM behaviors in SNSs.Homophily Homophily refers to the distributor point to which soulfulnesss who interact with one another(prenominal) are appropriate or similar in sure attributes (Rogers & B howmik 1970). The assurance is that people with simailar timberistics, such as age & character may come together to form community. Hence, the hypothesis is that SNS users perceived homophily with their contacts is positively related to their engagement in eWOM behaviours in SNSs. Trust Trust is defined as a willingness to rely on an exchange helper in whom one has confidence (Moorman et al. 1993, p. 82).In todays popular SNS, users share information with their own real network and thus, significantly increase the level of trust. Therefore, the hypothesis is SNS users perceived trust in their contacts is positively related to their engagement in eWOM behaviors in SNSs. prescriptive influence Normative influence refers to the design to conform to the expectations of others. It affects attitudes, norms and values (Burnkrant & Cousineau 1975). The hypothesis is that SNS users cogency to prescriptive influences is positively related to their engagement in eWOM behaviors in SNSs. In formational influenceInformational influences, on the other and, denote the tendency to yield information from knowledgeable others and be guided in product, blot and store search (Bearden et al. 1989 Deutsch & Gerard 1955). The hypothesis is that SNS users susceptibility to informational influences is positively related to their engagement in eWOM behaviors in SNSs. These factors were tested in an on-line survey of the college students on their 3 operationalized engagement opinion seeking, opinion well-favored and opinion passing. The findings of the study are Tie strength is positively associated with eWOM behavior.On the other hand, a negative consanguinity was anchor between homophily and eWOM in SNSs. Trust is lay out to be positively impact engagement with eWOM. Normative and informational influences are important for the engagement, but informational influence in opinion giving is not determined. Implications The results from this study kindle that advertisers essenti al take social relationship factors into eyeshade and develop personalized marketing communications strategies to work out SNS users needs. Insight into Network Co-production of Product Messaging That marketers may not have full control in the product messaging in social etwork marketing, Kozinets, de Valck, Woinicki & Wilner studied a mobile phone launch urge on using social network media (blogs) (Kozinets, de Valck, Woinicki & Wilner 2010). 83 bloggers were sown with a new mobile phone and their blogs were monitored for 6 months. The bloggers were selected based on their traffic on their blogs. There is no obligation for the bloggers to write or not write. This study gave detailed analysis of the posts and provide entire insight and lessons learnt from a commercial program use in social network media. The study set in motion that bloggers can be categorized based on their character style.For instance, in the study at to the lowest degree 4 types are identified, 1. citizen jo urnalist, 2. loving mother, 3. satirical exhibitionist, and 4. the making-ends-meet pro blogger. Four narrative strategies are identified (Figure 3) evaluation, embracing, warrantee and explanation. Which strategy to be adopted depends on the bloggers character, the presidency norm in the community and the commercial element in the WOMM. The study found that the motivation for consumers to participate in the co-production of WOM are more complex and culturally embeded, shaped by communal interests and communicative orientations and charged with moral hazard.WOM communicators demonstrate their need to balance integral commercial-communal tensions while being consistent with the character elements of their current narratives. It is also found that WOMM message and their attendant meanings will be altered by communicators in ways taht are attuned to a range of disparate individual and communal factors. The managerial implications from the study are the followings. Firstly, man agers should correct attention to not only the quantity (so-called involution by advertising professional), but also timberland of the consumer-generated messages.Secondly, consumers that play the role of communicators should be further explored, categorise and devloped. Thirdly, managers should proactively explore the norms assococaited with the communication network. Marketer also need to rethink whether some degree of control must be imposed in a WOM vex. For instance, in the current study, that bloggers are free to write and rase disclose their relationship with the firm can generate negative WOM and distrust in the community. More important this study also suggests that managers have an opportunity to encoruage crabbed narrative stategies that may be ideal for their product.Figure 3 Social Network Marketing vs Traditional Marketing? Studies shown that social network marketing (word of mouth marketing) and traditional marketing work synergistically (Onishi & Manchanda 201 2 Trusov, Bucklin & Pauwels 2008). In a Nipponese study, how blogs and advertising interact during product launch in movie and cell phone categories were studied. The study found that advertising will stimulate blogging activities during product pre-launch, and effect is less apparent post launch (Onishi & Manchanda 2012).In another study (Trusov, Bucklin & Pauwels 2008), electronic word of mouth (eWOM) programs of a social network site were compared with PR programs (media show and Events) in terms of the effectiveness in generating new sign-ups. The founding is that eWOM is more effective than media appearance and events. However, it is also observed that eWOM and PR work synergistically. The studies also showed that blogging and eWOM personal effects are more long-lasting. The effectiveness of Social Media MarketingIn the article by Hoffman and Fodor (Hoffman & Fodor 2010), the authors attempted to address the ROI metric of social network marketing. As social network sites are now easily measured by search of your brands blogs or data mining, quantative measurement seems to be ppssible. well-nigh people may want a aboveboard direct short term sales against direct costs. The authors caution whether this is a suitabke measurement of social network effectiveness. Nevertheless, we know that Social network marketing can substituted traditional marketing.As traditional marketing such as TV advertising is expensive, by allocating a certain amount of promotional budget to digital marketing can definitely reduce cost and achieve more or less same results. another(prenominal) benefit of social network marketing is the usefulness of market interrogation by direct communication with users and thus, significantly saving the amount of market research costs. To meaningfully measure ROI of social media marketing, the authors suggest to begin with identifying the objectives of a particular social marketing campaign in order to take into consideration of different nat ure of social network media (figure 4).In short, brand awareness, brand engagement and word of mouth effect can be measured. Figure 4 References Donna L. Hoffman, Marek Fodor 2010. Can You rate the ROI of Your Social Media Marketing? MIT Sloan Management Review 52,1(Fall) 41-49. Fue Zeng, Li Huang, Wenyu Dou 2009. Journal of Interactive Advertising 10,1 1-13. Hirishi Onishi, Puneet Manchanda 2012. Marketing activity, blogging and sales. Intern. J. of seek in Marketing 29 221-234.Shu-Chuan Chu, Yoojung Kim 2011, Determinants of consumer engagement in electronic word-of-mouth (eWOM) in social networking sites, international Journal of Advertising 30,1 47-75. Robert V Kozinets, Kristine de Valck, Andrea C Wojnick and Sarah JS Wilner 2010, Networked Narratives savvy Word-of-Mouth Marketing in Online Communities, Journal of Marketing, 74 (March) 71-89. Louise Kelly, Garyle and Judy Drennan 2010, Avoidance of Advertising in Social Networking sites the puerile Perspective, Journal of Interactive Advertising, 10, 25(Spring) pp. 16-27.

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