This document discusses how word-of-mouth marketing influences consumers' purchasing decisions and how companies can leverage social media platforms. It provides Hungry Jack's as an example of a company that uses a mobile app to engage customers and encourage sharing on social media. Positive communication is important to build brand communities and satisfy customers so they willingly share positive experiences. Managing negative communication is also important by addressing customer complaints and turning dissatisfaction into positive feedback.
2. Face Book:
•Word-of-mouth of social media will influence both marketers of goods and service.
it boosts the C2C interactions which means through existing customers’ oral advertise.
•As the case said, every people can effectively connect with 190 friends on Facebook on
average.
•Direct way to promotion : friends or families are one of the regular reference groups in
people’s daily life.
•Through word of mouth, it speeds up the development of brand image and business.
Especially for service marketers, the feature of intangibility and inseparability. Different
from selling goods, service cannot be touchable and see the quality before customers
purchase it so sometimes it give customers less confidence and blind perceived felling.
•As the case said, e word-of-mouth is the in-time and real feedback when receiving
service. Thus, through the sharing experiences customer encounter, service quality is
more visible and pervasive inside customers.
3. The most popular five retailers in Hobart are Hungry Jack’s, Subway, Cloes
and DISCOUNT CHEMIST.
Hungry Jack’s has it own APP, named Share & Win, “Hungry Jack’s” would
like to use customer’s current location. If the customer agree to check in, they
can win an instant prize and they also can connect with Facebook to win and
share their prize, so the customer’s friends would know the good news, which
attract the new customers to coming to the store.
4. Positive
Communication
As for positive communication, firstly,
companies need to build a good social
communities platform such as brand pages.
The convenient platform is one of the indirect
motivations for customers to join in the
activities. For example, hungry jacks’, which
have their own, check-in App for customers
to download.
Secondly, the positive word-of-mouth is
gained from high level of post-purchase
satisfaction. Thus, service companies need
to offer services beyond customers’
expectations because only when the real
service experience exceed they perceived,
can customers get expectations.
What companies are trying to do is
enhancing customers’ online positive
behaviors to be more physically like loyalty
and long-term relationship with companies.
5. Negative Communication
As for negative communication, firstly,
companies has to have a clear
understanding about how bad
behaviours or feeling given to customers
and find out why there is conflicts
between customers’ needs and the
services provided through monitoring the
information exchange. More importantly,
to manage and recover the mistakes, at
once time, manager of the store should
make a rational apology to the
customers, or directly to explain the
reason of the problem on the social
networking. but sometimes, the negative
is not able to control, the businesses has
to remedy in time to avoid the negative
influence to spread quickly. It is better for
them to set some quick recover rules to
eliminate the dissatisfaction and use the
truly attitude to turn it to positive. It is
also set some ethical standards on the
social networking
6.
7. Q3
• Credibility - the perceived honesty and objective
of the source of the communication has an
enormous influence on how the communication is
accepted by the receiver.
• Customer personality - for customer itself, they
have many personal preferences.
8. • The degree to which an individual is able informally
to influence other individuals’ attitudes or overt
behavior in a desired way with relative frequency.
• The major elements of the two step flow of
communications
9. Q4 pros and cons
• The markets is large and still full of
potential
• Easy for markets to build the customers
loyalty
• Build two-way flow of communication
• Balance the resource
• Easy to cause negative viral effect
10. • Groups that serve as frames of reference for individual in
their purchase or consumption decision.
• Appeal the customers to know firm brand
• Have influence customers from mobile check-in behavior
towards other behaviors
• The negative influence on consumer behavior