Word of mouth is the backbone of so many businesses and with the new Social Tools out there it is so important to understand where things are going. Big Brands and Consumer Brands need to pay attention to this phenomenon and adjust or be left behind!
Word of Mouth 2.0 and how it effects your Brand(s)
Tags: "social tools", "word of mouth", brands, change, my120, social, socialize, talking
June 16th, 2008 at 3:15 pm
So true, so true.
June 16th, 2008 at 3:18 pm
Interesting video, as always. I think/hope you’re dead-on about word-of-mouth. I’m trying my damnedest to make things happen through word-of-mouth alone right now (It’s the only advertising I can afford).
June 16th, 2008 at 3:20 pm
Gary,
I’m listening brother. I love John Maxwell’s definition of leadership, “Leadership is influence”. These tech opportunities give us a great chance to expand that influence whether business or just opinions. Me writing here is evidence of your word of mouth. I ended up on here from your tweet and I was on twitter from watching the Thunder Show. I was on there because a friend sent me a link by email a few months ago.
Great thoughts. Let’s apply them!
June 16th, 2008 at 3:23 pm
Where is big industry, as far as awakening to the power of word of mouth 2.0 on steroids? They know it, but maybe don’t feel it in their bones yet. I think it may take a big, breakthrough star on the grass roots level, leading by example, to get momentum going quickly enough to shift some focus away from top-down advertising. It may be Scoble, Arrington, you, Perez Hilton, KevJumba, or someone else - but only when it actually happens will people wake up.
But those “word of mouth” players also need to realize that end users (whatever you call them) want something back in the process… at an individual level. It’s not enough to vaguely feel that we should help because it will improve market efficiency overall, or the web empowers us, or whatever. People want something for themselves. I can’t tell you how many survey requests get trashed because nothing is offered for that time and data. Big chain stores understand the equation: they give me a membership “card” and in return for harvesting my valuable data with each transaction, they give me $$ back (a perceived price discount). If everyone else starts to understand this equation, and realize that “word of mouth” isn’t just free web gravy but it comes with a cost, then I think it will be valued for what it is, and budget dollars will start shifting more from advertising to incentivizing quick and accurate feedback.
June 16th, 2008 at 3:32 pm
Gary,
It is so true about word of mouth in pretty much all areas of business. When someone needs a haircut they don’t just walk into any salon, they ask around and research by what they hear. Same goes for restaurants,movies,wines etc. I know maybe a few friends that use Twitter but you are correct in saying that 90% of people have no clue. Keep putting out the great content> you should try a philosophy video blog.
June 16th, 2008 at 3:33 pm
Good thoughts as usual. Something caught me at the end though. Somethings don’t need a “2.0.” Word of mouth has always been powerful, and I’m talking probably 5,000 year-old powerful. If we’re going to add an iteration to how many times word of mouth has changed that we could be at Word of Mouth 467.0. Simply put, powerful concepts are versionless. Essential to contemplate in new ways with new technology as you said, Gary, but to me still versionless.
June 16th, 2008 at 3:39 pm
I can’t wait for the future!
You mention email as ’spammy,’ but spam goes where the masses are. When the masses reach Twitter-like applications, won’t it too become spam-ridden? Facebook apps for example…who isn’t tired of zombie&werewolf invites?
It’s not just what you’re doing, but HOW you’re doing it that’s important. A billboard can still get people talking. Remember the ‘Lost’ billboards? http://blog.wired.com/underwire/2008/01/viral-vandals-h.html
I think traditional advertising mediums will continue to be effective if done right, but online developments are making the spread faster and more cost effective.
June 16th, 2008 at 3:57 pm
Word.
I have to say, though word of mouth has always been powerful, today is the first time in history where EVERYONE is potentially connected. That makes word-of-mouth SOOOO much more effective today than ever before. For the first time in history, you literally cannot escape it wherever you go.
Wal-marts thrived on the ability to out advertise and convenientize (good word, eh?) the power of word-of-mouth, thus driving away any chance for mom-and-pop to survive. But now, with everyone potentially connected within seconds, no amount of advertising can out pace W.O.M.. The result? I buy books online from used-book stores no bigger than my bedroom. I know about wines from vineyards no bigger than my back yard. Etc.
I’ve been posting a lot of about now being the first time that everyone is potentially connected nearly instantaneously — I think that fact is going to change the way we do business/marketing/design/life. In fact — if it weren’t for the massive infrastructure changes to make this happen, I wouldn’t be in the design / social marketing field.
Good words as always Gary — keep up the good work!
-Alex
June 16th, 2008 at 4:01 pm
How did I know this video was posted? Twitter. You don’t have to buy an ad to stay in front of people, and it’s way more personal.
Thanks Gary.
-Sean
June 16th, 2008 at 4:26 pm
You are so RIGHT about everything in this video.
I’m in an undergraduate advertising and marketing team at UCLA and every year we go to a national competition where we create mock ad campaigns for a big corporate sponsor (like Coke, or AOL).
I think the next generation of advertisers (my generation) are so immersed in this hyperconnected environment that it will be a given that all these large companies will utilize all the services you talk about.
The only question now is, which company RIGHT NOW will be the first to really dive in? Because whoever it is, they will profit immensely.
Thanks for spreading the wisdom.
June 16th, 2008 at 5:07 pm
The brands emerging today from this social media phenomenon, that you so eloquently describe, illustrate exactly how we (Sacre Bleu) have gotten to where we are today. There is no one in this world who will hand anything to you. And they weren’t going to make an exception for yet another new wine brand. The only way to think in this place is outside the box, far outside the box. If you are unsure about an idea or concept, show it to those within the corporate elite or Fortune 500. If they are hesitant or dislike it, trust me you are probably on to something. Gary may articulate these new truths better than most. Rome is burning.
June 16th, 2008 at 10:22 pm
The big brands are not going to come around for a very long time Gary. I’ve been in the online advertising industry since before the bubble burst, and old media is still too afraid to spend money exclusively online. And social media? Forget it for now, they are too afraid to give up 1% of their brand control to the great unwashed.
June 16th, 2008 at 11:30 pm
Great take on Social Media!
As you pointed out, I can already tell the effect it has made on the business world. Here in Raleigh-Durham NC, PR firms are slowly transferring their services for their clients in the form of social media. the biggest hesitation that companies have is that they don’t know which direction or channel to take their product and services. They don’t understand that their is an actual community online and FREE services that enable mass word of mouth campaigns. The ones that have embraced it are doing fairly well- Barrack Obama has over 40,000 followers on Twitter. wow!
Keep up the tips and I look forward to you sharing all of your successes!
Thanks,
Taylor
TwitterID: TaylorBarr
http://taylorbarr.wordpress.com/
Linkedin: http://www.linkedin.com/in/taylorbarr
June 17th, 2008 at 12:11 am
interesting but not new… there are a few people who have been talking about this for a year or so now, HOWEVER, the big suits are not listening… which is too bad, where are the young execs telling their bossed to get on the bandwagon?!?! come out guys, and let the old geezers know how it’s done now days…
by the way, please go see new trailer it is so much better : http://www.bottleshock.com
June 17th, 2008 at 12:34 am
i’m so sorry, just re-reading my comment, and it came out all wrong… I think you are right…
June 17th, 2008 at 10:00 am
[...] Gary Vaynerchuck’s “Word of Mouth 2.0 and how it effects your Brand(s)” [...]
June 17th, 2008 at 11:37 am
Right on Gary! I was just ranting on about this with someone while sitting at a bar in Atlanta. I was on an AirTran flight that missed its connection in Atlanta to Indianapolis (and many other cities). Instead of leaving us hanging, they gave us a hotel, two food vouchers and a free round trip ticket. You don’t see that kind of service much these days with airlines.
I was explaining to the guy in the bar that, not only will I continue to fly AirTran when I have the chance, I will be recommending it to people as well. By simply taking care of us 30 - 40 people on that flight, they will probably gain at least that many more customers down the road. Accountability, trust and respect = positive word of mouth.
AirTran and Southwest seem to understand this as they operate on a “people first” mentality. The larger airlines.. not so much! Now take a look at which airline is doing best these days and it is no coincidence.
June 17th, 2008 at 12:24 pm
Awesome. Absolutely awesome. Garyvee is the man. Keep up the posts I watch em’ all and I can’t get enough. Each one I see pumps me up more and more.
June 17th, 2008 at 1:17 pm
I wonder if some of those people with 40k followers will start charging $100 to tweet something like “blazing hot in Reno, NV today. this tall frosty coke is damn refreshing!”
-M
June 17th, 2008 at 2:07 pm
Thanks Gary - again right on.
We toasted you at dinner the other night as we finished off the last bottle of our Cantena Vinyards Angelica Zapata 2003 Cabernet. Fantastic wine, you did a video on wines from Argentina.
As I told my guests, no worries, I’ll contact Garyvee and he can set us up again with another case, or maybe ship an entire container. It may take a few weeks, I said, but Gary answers all his email.
Smart man! Les, a CEO of a major corporation in Chicago said, Gary V is already a success with me and I don’t even know him.
As always, thanks for your posts!
June 17th, 2008 at 3:29 pm
This idea runs parallel to Scoble’s starfish concept. I think you are both on to something big. Here is Scoble’s take:
http://poetslife.blogspot.com/search?q=scoble
June 18th, 2008 at 3:31 pm
Gary, I think you are right that word of mouth is powerful medium. It has been around for a very long time and will grow as we become more and more connected, but at the same time I stopped listening to Robert Scoble because he talked too much, and I would do the same (if not quicker than I did with him) if I suddenly found someone constantly going on about products they loved or hated. It can’t be a company paying people to talk about their brands, people have to truly love what they are talking about and they can’t have a constant flow of love about it ether or otherwise people will turn them off like they do any advertising.
June 18th, 2008 at 7:58 pm
Gary,
So very true! I’m working harder and harder with my sites and video now than I ever have! I have already told you I want to be the Gary V of golf! Watch out!
Mike
June 22nd, 2008 at 11:03 pm
Something I tell students every time I do a lecture…
September 5th, 2008 at 2:22 pm
Way to call this one. Awesome stuff!
GO! GARY! GO!
November 12th, 2008 at 9:55 am
From a Patriots Fan in Williamsport, Pennsylvania:
Thank You New Jersey Jets:
1976 41-7 Week 6 Monday Night Win
1982 Patriots Disassemble the
“New York Sack Exchange”
1985 Post-Season
1988 28-3 Week 1 Win
Rainstorm Game
1992 Giving Us our 2nd and Last Win
of a 2-14 Season
1997 Taking Player Stealing Parcell
Giving us Pete Carroll
1998 Taking Curtis Martin
1999 30-28 Week 1 Win
2000 Giving Us Bill Belichick
After being Head Coach
of the Jets for one day
2001 Post 9/11 Mo Lewis takes out Bledsoe
Giving Us Tom Brady
2004 Giving Us an NFL Record 18 straight
Regular Season Wins
2005 31-21 road win on MNF
Flutie vs Interceptaverde
Flutie’s Last Game
Drop Kick Extra Point
2006 37-16 Wild Card Win
Taking Eric Man-gina
Taking Matt Chatham
Taking Tim Dwight
2006 24-17 Week 2 Win
Patriots Franchise Record
Over .500 since 1968
2006 37-16 Playoff Win
2007 Taking QB Coach Brian Daboll
2007 38-14 Week 1 Win
Ellis Hobbs 108 Yard TD Return
Spygate Game
2007 20-10 Week 15 Win
Wilson 21st Player to Score - NFL Record
Gostkowski - 67th Extra Point - NFL Record
Pats 14-0 tying 1972 Dolphins
Clinched home-field through playoffs
Tomorrow we’ll be .500 with the Jets.
This year, Super Bowl Baby!