Word of Mouth Publicity – Positive and Negative Influence?”

Why do market research? Marketing research is considered as one of the important driving factor before releasing a product into the market. It helps companies identify its potential customers, understand the existing customers, set realistic targets, develop effective strategies, examine and solve business problems, prepare for business expansion and identify the business opportunities.

Word of mouth is an important factor in marketing research, 20 to 50 % of purchase decisions are influenced by it. Marketers have come to recognize word of mouth growing importance.

word-of-mouth

 

In India, the biggest story of the millennium is Maggi (Nestle) where the brand was trusted and distrusted at the same time. A brand is based on trust and reputation with critical importance that it receives from customers.

In an article by Whitler (2014) that word of mouth proves to be strong instrument that provides interesting and data based presentation that create experiences through word of mouth. The word of mouth is on negative as well as positive messages that advocates the brand.

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Figure 1Process of Word of Mouth

Source: (Kaijasilta 2013)

Marketers consider word of mouth as the valuable form which drives the sales of the company but they do not realize the impact that WOM will create a brand. The brand can be ranked on the scale of 10/10 when it yields the same advantage as yielded by word of mouth or vice versa. The Maggi brand known by 2 minutes’ noodles earlier in 2015 was believed to have lead in its samples which outraged in the society and Maggi was banned in the country (Srivastava 2016). The responses can be shown using the link below which describes that though the company faced issues but the customer response made the Maggi sales to negative.

http://edition.cnn.com/videos/world/2015/06/05/india-maggi-noodle-ban-udas-pkg.cnn

The video depicts the product placement effectiveness of consumer reactions regards methods that have been speculated. The word of mouth proved to be effective as customers believed on what was shown. However, the customer’s loyalty was broken due to word of mouth which proved to be negative influence on the brand but they still did not lose hope.

Just like in life if one wishes to buy something, but with bad publicity drops the idea of buying because of the “convincing act.”

A simple phrase can curb the influence is “why not go for what you love?”

This can be simply being illustrated by the brand advocates who bought the brand back in function. The people who helped in making Maggi as a success were their love towards the brand. Marrs (2014) illustrated that the advertisements created word of mouth which was seen on various social media cover as given through

  • Amazon reviews
  • Message forums
  • Twitter
  • Facebook likes
  • Brand mentions
  • Customer testimonials

The return of Maggi in India after six months was more or less like a revolution. The word of mouth publicity held the people to happily accept the product and those customers who were desperately waiting influenced the others to finally welcome the product after a long time.

Word of Mouth influences the referral and marketing force such that it helps the online environment to create awareness and communication through customer’s network as opined by Petrescu and Korgaonkar (2011). The interaction helped in creating continuous platforms through a multichannel approach that not only helped the brand Maggi achieve positive or negative feedback but also invested the support in India that shored up the welcoming of the brand. The commitment of the customers through word of mouth once again helped Maggi to retain its customers through stronger relationships (Kaijasilta 2013).

 

Gamasany. Keerthikrishna

Username: Kgamasan

Student ID: 215208896

 

 

References

Kaijasilta, N., 2013. The conceptualization of electronic Word-of-Mouth (EWOM) and company practices to monitor, encourage, and commit to EWOM-a service industry perspective.

Marrs, M. (2014). Word of Mouth Marketing: What Is WOM & How Does it Work? | WordStream. [online] Wordstream.com. Available at: http://www.wordstream.com/blog/ws/2014/06/26/word-of-mouth-marketing [Accessed 15 Apr. 2016].

Petrescu, M., & Korgaonkar, P. (2011). Viral Advertising: Definitional Review and Synthesis. Journal of Internet Commerce; Jul-Sep2011, Vol. 10 Issue 3, p208-226.

Srivastava, R. (2016). 7 business stories from 2015 and how they will play out in 2016. [online] Livemint.com. Available at: http://www.livemint.com/Opinion/gom7ZWxrKQzV1PUrf0UbtN/7-business-stories-from-2015-and-how-they-will-play-out-in-2.html [Accessed 15 Apr. 2016].

Whitler, K. (2014). Forbes Welcome. [online] Forbes.com. Available at: http://www.forbes.com/sites/kimberlywhitler/2014/07/17/why-word-of-mouth-marketing-is-the-most-important-social-media/#4a2fe2157a77 [Accessed 15 Apr. 2016].

Digital4africa.com. (2016). [online] Available at: http://digital4africa.com/wp-content/uploads/2015/09/word-of-mouth.png [Accessed 18 Apr. 2016].

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