Internet Marketing

Viral Marketing

8931002 Francoise
8931010 Derek
8931089 Brenda

[ Is V-Marketing Important? ]

Source: IMT Strategies, 2001 10

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[ What is Viral Marketing? ]
Google has 65,000 answers

Its the best form of marketing out there.

analyst Steve Telleen, Giga Information Group

Tell A Friend: Viral Marketing Packs Clout Online

-Lou Hirsh, E-Commerce Times

Viral Marketing is an ideavirus in which the carrier of the

virus is the product.
-S.Godin, author

[ Definitions Abound ]
Word-of-mouth Creating buzz Leveraging the media
Spawning Self-propagation Organic growth

The oldest form of marketing, OR, the newest form of marketing???

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Viral Marketing is
as Easy as 1, 2, 3

Viral Marketing = Maximum OPR

* With a little help from Seth Godin

[ Contents ]
Definition
Characteristics
Six Principles
DVM, Digital Viral Marketing
Case Studies
Conclusion

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 8931089 Brenda

[ Definition ]
Viral marketing describes any strategy
that encourages individuals to pass on a
marketing message to others, creating the
potential for exponential growth in the
message's exposure and influence.
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[ Definition ]
Any advertising that propagates
itself the way viruses do.
Another name:
V-Marketing
organicmarketing
word-of-mouth marketing
word-of-mouse marketing

[ Characteristics ]
Viral Marketing is Digital
Word-of-Mouth.
It is accurate in
replication, fast, cheap,
allows detailed tracking Spread exponentially

and opinion-leaders
identification, can use
multimedia and
encourages feedback.

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[ Six Principles ]
Gives away products or services
Provides for effortless transfer to others
Scales easily from small to very large
Exploits common motivations and behaviors
Utilizes existing communication networks
Takes advantage of others' resources
Elements of a Viral Marketing Strategy

[ Six Principles (1) ]

Gives away products or services
"Free" is the most powerful word in a marketer's
vocabulary.
"Cheap" or "inexpensive" may generate a wave of
interest, but "free" will usually do it much faster.
Free e-mail services, free information, free "cool" buttons,
free software programs that perform powerful functions
but not as much as you get in the "pro" version.

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[ Six Principles (2) ]
Provides for effortless transfer to
others
Viruses only spread when they're easy to transmit.
Marketing message should be easy to transfer and
replicate: e-mail, website, graphic, software download.
Digital format make copying simple.

[ Six Principles (3) ]

Scales easily from small to very large
The transmission method must be rapidly scalable from
small to very large.
If the strategy is wildly successful, mail servers must be
added very quickly or the rapid growth will bog down and
die.

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[ Six Principles (4) ]
Exploits common motivations and
behaviors
Clever viral marketing plans take advantage of common
human motivations.
Greed drives people.
The resulting urge to communicate produces millions of
websites and billions of e-mail messages.

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[ Six Principles (5) ]
Utilizes existing communication
networks
Social scientists tell us that each person has a network
of 8 to 12 people in their close network of friends, family,
and associates.
A person's broader network may consist of scores,
hundreds, or thousands of people, depending upon her
position in society.
People collect e-mail addresses and favorite website
URLs. Affiliate programs exploit such networks, as do
permission e-mail lists.

[ Six Principles (6) ]

Takes advantage of others' resources
The most creative viral marketing plans use others'
resources to get the word out.
Affiliate programs, for example, place text or graphic
links on others' websites.
Now someone else's newsprint or webpage is relaying
your marketing message. Someone else's resources
are depleted rather than your own.

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 8931002 Francoise

[ DVM ]
The communication on the Internet has
become the order of the day because the
transaction cost on communicating is
approximate to zero.
Anonymous media still exists on the
internet for the sharing of human
potentials.
Digital Communication makes important
messages transfer thoroughly.

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[ DVM ]
Saving messages digitally allows many
other people to duplicate easily

While composing messages, the method of

cut and paste made the whole editing
process easier to compute.

[ Case Studies ]
Viral
Viral Marketing
Marketing

Non-positive Positive
Hotmail Multimedia
Yahoo Community
PCHome Subscriber
Messenger
others

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[ Non-positive ] Hotmail
Hotmail grew a subscriber base more
rapidly than any company in the history of
the world
In its first 1.5 years, Hotmail acquired
over 12 million subscribers.
From company launch to 12 million users,
Hotmail spent less than $0.5 million on
advertising, marketing and promotion.

[ Non-positive ] Yahoo

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[ Non-positive ] PCHome

==========================================
?
http://edm-prg.epaper.com.tw/click.php?ad_code=5845
==========================================

==========================================
PChome
http://shopping.pchome.com.tw/
==========================================

[ The important elements of VM ]

Entertainment
Utility
Papablereward
Unigueness

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[ Positive ] Multimedia

SARS
Qoo

1800

SARS

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Wallpaper
Screensaver
ICQ skin
Winamp

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 .com

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[ Positive ] Community

8931010 Derek

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[ Positive ] Subscriber
E-paper
Fortune telling

Tie-in Service

[ Positive ] messenger
ICQ, QQ, MSN
more convenient and instant than E-mail
You have to invite your friends to use it.

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 MSN
MSN

[ Positive ] others
Funny or Beneficial
joke
e-coupon
Survey and lottery
a relay survey
a chance to get the prize
Psychological test
traditionaltest
special test

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[ Conclusion ]

Traditional Marketing Viral Marketing

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[ Conclusion ]
Three successful keys on Viral
marketing:
DVM, Digital Viral Marketing
DM, Data Mining
Reactive Response

[ Conclusion ]
DVM, Digital Viral Marketing
zero transaction cost
sharing to others
messages transfer thoroughly
digital saving
easy to compose messages

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[ Conclusion ]
DM, Data Mining
database
consumer data
market info

[ Conclusion ]
Reactive Response
status
preference
needs
High differentiation

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[ Conclusion ]
Three Core Components:
PotencyCarriersTransmission

Considerations:
Time when are they online?
Place where do they go?
Interface convenient design

Internet Marketing

Viral Marketing

Q&A
Thanks for your attention

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