WHY do people say what they say? Why do people rant about their contractor? Why do they take the time to write a restaurant review? Focusing on consumers’ word-of-mouth, Dr. Andrea shares her research and insights to help us understand the 4 main reasons why people talk. (Here’s a hint: It’s not just all about being helpful!) You’ll learn a few tips to help you diagnose why people are talking – and how to elicit unbiased recommendations from your friends!

SHOWNOTES

Contents

* 3 Key Learnings

* References & Links

* Andrea’s Research & Commentary

* Conclusion

3 Key Learnings

* Defining Word-of-Mouth

Word-of-Mouth is defined as conversations amongst consumers that:

* focuses on products, services, or the marketplace;

* takes place across any medium, online or IRL;

* is not paid-for or compensated in any way; and

* can be a random comment, an answer to a question, or a formal review.

* The four main motivations for WOM – Why we talk:

* We talk to be helpful;

* We talk to be social;

* We talk to establish balance; and

* We talk to serve their own self interest

* One tip to avoid a biased answer when asking your friends for purchase advice

* Consumers tend to validate their own purchase decisions, even when they are trying to be helpful.

* Instead of asking:

* “what school should I go to?”

* “what car should I buy?”

* “what neighbourhood should I live in?” 

* Try asking:                   

* “If your school didn’t exist, what school  would you go to?”

* “If your car didn’t exist, what car would you drive?

* “If your neighbourhood didn’t exist, what neighbourhood would you live in?”

References & Links

Dr. Andrea Wojnicki

* Bio – https://www.linkedin.com/in/andreawojnicki/

* Dissertation Research – https://link.springer.com/article/10.1007/s40547-017-0077-8

* WOM & Social Capital paper with Professor Mengze Shi – http://www.journalofadvertisingresearch.com/content/54/1/81

Co-authors and collaborators

* Professor Gerald Zaltman – https://www.hbs.edu/faculty/Pages/profile.aspx?facId=6579& and http://olsonzaltman.com/

* Professor David B. Godes – https://www.rhsmith.umd.edu/directory/david-godes

* Professor Mengze Shi – http://www.rotman.utoronto.ca/FacultyAndResearch/Faculty/FacultyBios/Shi

Online Review Websites

* HOMESTARS – https://homestars.com/

* YELP – https://www.yelp.ca/

* TRIPADVISOR – https://www.tripadvisor.ca/

Consumer Psychology and Word of Mouth (Academic & Non-Academic Research)

* WOM:

* https://www.getambassador.com/blog/word-of-mouth-marketing-statistics

* http://www.nielsen.com/us/en/insights/news/2013/under-the-influence-consumer-trust-in-advertisi...