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“Making Sense of IWOM” 3: How Brands Can Participate in Online Communities

Submitted by jason.zhanjia on Thursday, 12 November 2009Comments

Today, CIC released its latest white paper Making Sense of IWOM – Topic Three: How Brands Can Participate in Online Communities. This white paper is the final installment in a series of three white papers, including two earlier studies, “The Role of Internet Word of Mouth in Purchase Decisions” and “How IWOM is generated and disseminated.”

The findings in this study are based on comprehensive qualitative and quantitative offline research conducted by CIC in Beijing, Shanghai, Guangzhou and Chengdu. Topic 3 looks to evaluate consumer online behavior and provide suggestions for how brands can participate in online communities based on these consumer preferences. Below are some top-line findings and highlights from the study.

Do netizens want companies to listen to IWOM and participate in online communities?
The majority of netizens are positive towards companies listening to IWOM and participating in online communities.

  • 52.7% of netizens interviewed responded positively to the idea of companies listening to IWOM.
  • 47.2% of respondents do want companies to participate in online communities so that they can communicate with the companies directly.

About 40% of respondents are indifferent to companies listening and participation with concerns over the sincerity and motivations of companies’ listening to IWOM and participating in online communities.


How should companies participate in online communities?

Based on the research, netizens’ online communication platform preferences are as follows:

  • 68% of respondents prefer to communicate with brands on third-party BBS over other platforms.
  • 37.3% of respondents prefer to communicate with brands on company BBS hosted on an official website.
  • 24.5% of respondents prefer to communicate with brands on a company blog hosted on an official website.
  • 10.8% of respondents prefer to communicate with brands on a company blog hosted on a third-party website.

CIC recommends that companies abide by the following e-community participation principles: be transparent about their participation, use friendly behavior, avoid interrupting the community dynamic, respect efluencers’ independence and be fair in response to complaints.

What kinds of online campaigns will attract netizens’ participation?
Based on the research, CIC found consumer preferences for campaign activities and rewards.

  • Entertainment-driven activities are the most attractive to netizens overall, followed by product experience activities.
  • Male respondents had more passion towards communication-driven activities and lottery driven activities; female respondents preferred product experience and event-driven activities.
  • Cash or gift items were the most attractive rewards to netizens, followed by opportunities to join offline activities and free product trials.
  • Male netizens care more about the emotional satisfaction of being recognized during the activity; female netizens prefer more practical incentives such as financial incentives or experience opportunities.

Below is the full report:

Send me a message to jason.zhanjia@in2marcom.com if you want a PDF version.

Disclosure: CIC was my former employer from August 2006 to June 2009.

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  • andyjmiller
    Hi Jason. Thanks for posting those CIC reports. Did you see the Social Media Influence report, put together by Razorfish last year? It contains some similar and interesting insights (http://fluent.razorfish.com/publication/?m=6540...)

    What do you think are the major differences (if any) in the way netizens engage with IWOM and social media in China compared with those in Australia (or the US)?

    Obviously a number of popular US platforms are not widely available in China. But do you feel the nuts & bolts of brand IWOM strategies differ greatly in China when compared with Australia?

    The major shift in marketing over the past decade (or longer) seems to have been towards more direct styles of communication, brand transparency and embracing negative sentiment as an opportunity -- all helped along by the social web and associated applications. In essence, a common-sense, no-bullshit approach to talking about your brand.

    I'd love to hear your thoughts.
  • Yes, of course, I have read the Fluent report by Razorfish US in later 2009. And our China team also plans to do a similar study for the Chinese market in 2010Q1.

    Below are some of my POVs regarding your good question (they are mostly based on my experience, I don't have exact number to prove them yet)

    1. Overall, Chinese netizens spent more time on social media, esp. the young people. They are more passionate to exposure themselves. Social media is just a part of their life.

    2. The conversation and action are mainly entertainment-driven in China. From the very begin, (in certain degree) Internet/computer is recognized as a channel of entertainment more than a platform of communication in China. An example: the booming of Baidu Tieba, one of China's top social community, is due to an extreme popular national TV Show - Super Girl [http://en.wikipedia.org/wiki/Super_Girl_%28contest%29].

    3. The CIC report also shows a fact that Chinese netizens do have concerns over the sincerity and motivations of companies' engagement (netizens have a perspective that most companies listen to buzz because they want to move all the negative ones), which means most of them don't have the habit/need to communicate with brand seriously online. So the Twitter / e-CRM way is hard to implement here.

    4. Due to such nature, if a brand wants to engage with netizens on social media, you need to have either a fun/creative campaign which associated with entertainment (TV show, TV series/Web movie, online game, urban culture, etc) or have a celebrity spokesperson. That's why you will find much more celebrity accounts on Chinese SNS than brand accounts. A popular spokesperson can help brand generate more excitements and engagements.
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