Influence of Electronic Word of Mouth eWoM on Consumer Brand Engagement

Abstract

Till a decade ago, brand managers used to spend billions of dollars on TV advertisements to lure future buyers after carefully studying consumer viewing habits. But several viewers, who were potential buyers, responded by ruthlessly switching channels or using services like TiVo. With the advent of the internet and the digital channels, media purchasing shifted to YouTube advertisements and consumers again responded by skipping the advertisements. That was because communication from companies was viewed with suspicion and so largely ignored. newlineUndoubtedly, what consumers were seeking for, were reviews from friends and in the new always-on hyperconnected world - online reviews (i.e. electronic word-of-mouth or eWOM) (Nielsen, 2015). As a logical outcome of this, it has thus become imperative for marketers to measure eWOM. A manifestation of this new trend is seen in the formation and reliance of large consumer product companies on Social Media Command Centre (SMCC). At these centres, companies attempt to track consumer feedback in real-time through monitoring social media like Facebook, Twitter, Pinterest, Instagram amongst others. Indeed, companies are now finding that setting up an SMCC is an excellent method to unearth fans and also to uncover influencers. By targeting these influencers and engaging with them it is believed that this will lead to a positive increase in eWOM which in turn may enhance the engagement of prospective customers with the brand. newlineMedia giants like Publicis Groupe s online media division include both Social Media Management (SMM) and Online Brand Management (OBM) units. While the former is responsible for enhancing engagement by looking at the Likes/Comments and Shares, the latter works to understand the conversation and sentiments of customers by scrutinizing the eWOM (both positive as well as negative).In an interview given to Brand Equity, Kashyap Vadapalli, the CMO of Pepperfry elaborated how they managed to increase the positive eWOM on platforms like Facebook and Twitter.