We get many questions about word of mouth (WOM) marketing and how we use this important tool for clients. We also are asked about the rising importance of social media and social networks.

We have been developing community-based word of mouth programs using a process developed within our Pinnacle Worldwide (PWW) network for several years. I serve as one of the co-leads for PWW. ROI is running at 300% on some of these programs, so they are getting a lot of attention. At TVG, we establish our programs following WOMMA (Word of Mouth Marketing Association) guidelines. We are charter members of WOMMA and I served on the ethics task force to develop procedures that pass the ethics test.

Why are creating internal or internal external communities using WOM important?

Because communities create and reinforce an emotional connection to the brand or the company, and give people reasons to be involved other than buying a product or service, or simply working there. Communities can be elevated beyond transactions to engagement. They also build powerful peer-to-peer marketing channels. And, because these advocates typically have bigger and more social networks than the norm, the multiplier and amplifier effect of the channel is significant. The resulting word of mouth leads to accelerated sales, lower marketing costs, higher brand equity and a more engaged workforce.

These community networks also:

* Refine your product or service feature.

* Improve service quality.

* Maximize customer experience across multiple touch points.

* Test market concepts.

* Gain insights into new products or services.

* Can be used with an internal audience to activate and engage them.

Contact us at tvg@vandivergroup.com or send comments to blog@vandivergroup.com.