netnography.

Do you know where your customers are (logged on)?

::Angeline Close

netnography for brand management

• Ethnography: Study of a community• Netnography: Study of an online

community • Consider the ipod nano…

What can a brand manager can What can a brand manager can Learn via a netnography?Learn via a netnography?

What type of sites can a What type of sites can a

brand manager go to gather public brand manager go to gather public opinion on their product/brand?opinion on their product/brand?

netnography sources

• Corporate website (no phishing allowed)

• Advertisements (sponsored links, banners)

• News sites (wsj; cnn.com)

• E-commerce sites (Amazon)

• Rating and referral sites (epinions.com, bizrate.com, Zagat, Shopping, mySimon)

• Community sites, discussion boards• Consumer webpages & weblogs

= eWOM! (Electronic Word of Mouth)= eWOM! (Electronic Word of Mouth)

eWOM for brand management: 1. competitor/swot analyses• “I don't like the iPod,

period. There are superior products out there, have been for quite some time. I have gotten shit for quite some time from a number people because I promote other things that outclass the iPod in every measureable way, except shiny. The people have finally spoken, its vindication for those of us that do actual research and don't follow trends.”

• “Maybe if the average American wasn’t technology retarted the iPod video would be priced so HIGH!. Wow apple your sooooo inovative you created something that has been out by the brand Creative for only 4 years lol.”

• “Geez, and a PSP goes for $250, + an additional $99 for 1GB of storage, bought seperately. Sony SUCKS!!”

 

eWOM for brand management:2. product design• “The smaller the screen to

watch movies, the more of a headache u will get!” 

• “I don't even want to image trying to read subtitles on something like that for an extended period of time... it just massacres my eyes.”

• “Is it just me or is the screen

a bit too small for $300 US? There are bigger screen devices out there that are cheaper, and can play more than the ipod video!”

• “That's a bloody small screen, especially in comparison to the PSP's which is 4.3 inch 16:9 widescreen.  I'd rather spend my money on something that plays movies and won't make me blind.”

• “It seems like a strange design when the screen is smaller then the click wheel.”

eWOM for brand management:3. trend forecasting • “Today, it's music videos and

TV shows, eventually movies, but just like the original iPod drove the Podcasting craze, the new video iPod will drive a homemade-video craze, and sites that allow users to quickly record or upload video for sharing, broadcasting, publishing - will have to find a way to integrate with the new iPod to push that trend forward.”

e-tail side: iTunes trend• Nano’s success: sold 1 million in

just 17 days! Sold 6.5M last quarter, halo effect, net $ 430M

• iTunes Music Store $2, offers 6 shows (e.g., Desperate Housewives & Lost)

• 2,000 music videos• 6 short films from Pixar• free video podcasts• free movie trailers

eWOM on video ipod: 4. usability

“I'm sure all the Apple geeks are peeing their pants from excitement now, but seriously where would one use this? The only use for the video feature that I see is for people who spend a lot of their time commuting via public transportation. You won't use it at home, while driving or running, now would you? I should hope not. Even while commuting on the train or bus watching a movie on a 2.5 inch screen is something that only hardcore gadget freaks would enjoy.” -Ranndino on 10/13/05 5:29 BST

netnography process, 1Define the research issue

& the target marketSearch discussion group

topics & content lists to find the target market

Identify e-communities to study

Identify specific topics for discussion

Subscribe to pertinent groups, register in communities

Search e-mail discussion groups lists

Subscribe to filtering services that monitor groups

Read FAQ’s and instructions of your competitors

Monitor chat rooms

netnography process, 2

• Content of the research instrumentPost strategic queries to news groupsPost surveys on your websiteOffer rewards for participationPost strategic queries on your Web sitePost relevant content to groups with a pointer to your e-surveyCreate a chat room, build a community of consumersManage e-Wom

How can a brand manager manageHow can a brand manager manage e-Wom? Your ideas?e-Wom? Your ideas?

netnography & consumers

• Implications for representative sample

• Do you tell the truth on message boards?

• Do you respond in character?

• Avatars, identities, personae proliferation

• On the web, no-one knows you’re a competitor

Review of netnography: the good & the bad

• AdvantagesAdvantages– Large sample

possible quickly – Immediate

analysis– Considerably

cheaper– Transcripts– Sensitive topics

• DisadvantagesDisadvantages– Identity validation– Loss of non-verbals– Loss of intangibles

(silence, tone of voice)– Compensate with

emoticons :-)– Cookies controversy– Reliability and integrity of

information– Shoulder surfing

distortions– Information Overload

Negative Information

• Prospect theory (Tversky and Kahneman 1981)

• Goal framing (Meyerowitz and Chaiken 1987)

• Negativity bias (Herr, Kardes, and Kim 1991)

• Fear appeals (Ripptoe and Rogers 1987)

• Merriam formula (-ve = 4 X +ve) (Kroloff 1988)

• Negative messages are more diagnostic (Skowronski and Carlston 1989)

• Negativity effect, where negative information is weighted more than equivalent positive information has been widely demonstrated

Is negative information always bad (more so than positive information is

good)?• Recent research has questioned the

universality of a negativity effect (Ahluwalia 2002, 2006; Levin et al 2002)

• The following variables are expected to influence the extent of this negativity effect– Prior impression– Commitment– Credibility of source– Information elaboration– Knowledge of persuasion tactics