1. BSI The Word on Word of Mouth
Marketing 2.0 Conference, Barcelona 2006

2. Join the conversation
MARKETING 2.0 CONFERENCE
www.marketing2conference.com

3. The Word on Word of Mouth
Dave Balter
Founder / CEO
BzzAgent, Inc.

4. Viral Marketing

5. Buzz Marketing

6. Consumer Generated Media
BzzAgent © 2006 Proprietary and Confidential

7. Shilling:
Evil Marketing

8. 2/3 of the US
Economy is
Influenced by
WOM

10. 15%
Of Every Conversation
Includes a Product or Service

11. 40%
Of Every WOM Interaction
Includes Communication
About Another Media Form

12. 4 Steps to Organizing Honest WOM
1. Enlist Volunteers
2. Provide Experiences
3. Educate
4. Communicate
Continue
Provide to
Appreciate Educate
Listen
Engage Feedback

13. Key WOM Principles
100% Voluntary
No Scripting
Invitations, not Auto-Enrollment
Positive and Negative
Disclose, Disclose, Disclose

14. History of WOM Disclosure
January 2006 -
Northeastern Study
60 Programs Proves Disclosure
Dec. 2001 Test, Study, Oct 2004 Extends Value of
Be Anonymous Analyze Please Disclose WOM Programs
2001 2006
Nov. 2002 Nov. 2005
Be Discreet You Must Disclose
BzzAgent © 2006 Proprietary and Confidential

15. Measuring WOM
1. Net Promoter
2. Comparative ROI
3. Media Norms

16. Net Promoter ™ Scoring
“How likely are you to recommend to a friend or
colleague in the future?”
Extremely Extremely
Likely Unlikely
10 9 8 7 6 5 4 3 2 1 0
Promoters Passively Detractors
Satisfied
• Median Net Promoter™ Score, all industries: 16
• Median BzzCampaign Net Promoter™ Score: 37
BzzAgent Proprietary and Confidential 2005

17. Case Study: Wharton School Publishing
Comparative Return:
66% Lift in WOM Markets
96% of BzzTargets’ first
introduction to WSP was
through a BzzAgent
76% said they would continue
to spread word-of-mouth
about Wharton School
Publishing
BzzAgent Proprietary and Confidential 2006

18. INNER OUTER

20. G0 G1 G2 G3+
18x 1.7x ??

21. G2 Measurement
10,000 Participants =
475,000 Communications

22. WHY?

23. WOM Volunteers Across the U.S.

27. 32%
“Too many Ads”

29. Why am I a BzzAgent?
Word of Mouth theory,
Everyone is a BzzAgent in
is
SOCIAL CURRENCY
I am just lucky enough benefit
from the practice.”
- BzzAgent Maria 1234
BzzAgent © 2005 Proprietary and Confidential

30. Weird Value of Negativity

32. Wake up your Quiet Advocates!

33. Who is
Generating WOM?

34. Connectors
Mavens
Opinion Leaders
Trendsetters
Hubs
Influentials
Alphas
Bees
Sneezers

35. Field-Based Word-of-Mouth Experiment
Who Generates Effective WOM?

36. Seth: The Trendsetter

37. Dwight: Heavy Loyal

38. Mario: Iron Chef

39. Mary: Light Loyal

40. $1.2 Million Above Trend
55% Increase in Memberships
37% Increase in Transactions
Driven Primarily By
Everyday People

41. What’s Next For WOM?

42. Media Options 2006
Marketing Format Platform
COMMERCIAL TV
AUDIO RADIO
PRINT MAGS
OUTDOOR BILLBOARD
INTERACTIVE INTERNET
New Media
} ?
BLOG
VIRAL
GAMES
CGM
BzzAgent © 2006 Proprietary and Confidential

43. Media of the Future: People Platforms
New Media PEOPLE Media Platform
}
BLOG
VIRAL
GAMES
CGM
BzzAgent © 2006 Proprietary and Confidential

44. The Long Term Future
Specialized
Networks of
Communicators
BzzAgent © 2006 Proprietary and Confidential

45. Let Customers
Do What
They Do Best