wom marketing by WOMlabo

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What highly influences a purchase decision is WOM suggestions from other loyal customers. At WOM labo, we call this loyal customer Brand Ambassador (BA). By making WOM by BAs accessible to potential targets through the WEB, it enables to speed-up a purchasing decision.

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  • 1. Paradigm Shift of Marketing WOM Marketing WOMlabo Credential June 2010 www.womlabo.com
  • 2. About WOM labo project What we do -WOMlabo- 1. Develop a WOM promotion platform 2. Structuralize a communication plan with WOM platform 3. Analyze WOM insights 4. Trainings, seminars, and introductory sessions 5. Whitepapers about WOM 6. Effectiveness measurement on WOM http://www.womlabo.com Confidential Page1 1
  • 3. Introduction to our WOM Marketing Activity Our WOM marketing program is introduced in 3 countries in Asia. JAPAN Publication in Japan (Graphic explanation of word-of-mouth marketing) (Strategic Use of word-of-mouth with KUCHI-COMINISTs) 2003 2007 CHINA Publication in China / (Word-of-mouth marketing) 2006 KOREA Publication in Korea 2004 2 Confidential Page2
  • 4. Introduction to our WOM Marketing Activity -Article- 200711 YOMIURI AD 20054 20066 Nikkei Marketing-Watcher 20106 3 Confidential Page3
  • 5. Change in customer's media spending time Breakdown of the time spent on media in one week Source: Brand Ambassador Contact frequency in 1 week Research by Kokokusha, January, 09 PSWii N = nationwide 1,698 DVD 1.1% NintendoDSPSP 1.7% 1.5% 2.9% () The Internet 29.3% () 33.9% 22.4% 3.0% 6.3% BS/CS (/SNS/ ) 2.6% 8.5% () 1.3% 3.5% 4.5% () 6.6% 2.1% 2.7% Confidential Page4
  • 6. Media Environment that surrounds consumers Today, its B2C2C the Era of Multilateral Communication Today, in addition to information transmitted through mass media, live information transmitted by consumers, called CGM, have effects on ones purchase activities. Brand Ambassador(BA) = Information Advocates who are high in brand from an entity loyalty among customers magazine Potential customers Potential customers Potential customers SNS general general consumers consumers general consumers 5
  • 7. The Concept of our WOM marketing Leverage the WOM of loyal customers in marketing What highly influences a purchase decision is WOM suggestions from other loyal customers. At WOM labo, we call this loyal customer Brand Ambassador (BA). By making WOM by BAs accessible to potential targets through the WEB, it enables to speed-up a purchasing decision. Loyal customer = Brand Ambassador (BA) Potential customers Potential customers Potential customers Confidential Page6
  • 8. Functions of our WOM Platform Functions of WOM Platform 1. Gather BAs WOM of high loyal customers from among existing brand users. 2. Analyze the cause for BAs to suggest by WOM and leverage them in marketing. 3. Spread by making BAs WOM accessible to potential consumers. Loyal customer = Brand Ambassador (BA) 1: Gather BAs 2: Analyze WOM by BAs Potential customers Potential customers : Spread WOM by BAs Potential customers Confidential Page7
  • 9. Functions of WOM Platform Brand Ambassador: Definition At WOMlabo, Brand Ambassadors are existing customers of a brand who are highly loyal to the product/service, and who are also influencers to people they know. (In case of a new product, people who are interested to the brand and have high interest in making a purchase.) Not only BAs have communicative powers, but they also have experiences in using the brand, and are high in loyalty toward. BAs aresegmented by utilizing a program such as below. Characteristics Brand Ambassadors are: Highly influential. Highly loyal. (In case of a new product, have high interests in making a purchase.) Highly suggestive (WOM-advocative) about the brand. Y axis degree of influence toward others BA (Brand Ambassador) axis No yes X axis loyalty/intention to use a brand degree of suggestive-ness about a brand Confidential Page8
  • 10. Functions of WOM Platform Y axis: Influencer Barometer Q: More likely to tell others of useful knowledge/info. Q: More likely to be asked for an advice Q: Active in seeking information etc. Brand Ambassador Q: Account with mixi/twitter/facebook upd