In Digital Word-of-Mouth We Trust?

20.05.2022

Since the outbreak of the Covid-19 pandemic, the volume of exclusively online interactions has increased rapidly. Businesses were forced to either close their doors or switch their workforce to remote working during periods of ‘lockdown’. Educational institutions were restricted to distance-learning, and communities on a whole were subjected to mandatory periods of confinement. During this time, online communication was praised for its ability to keep people connected — but what about those who still view online interaction as a negative force within today’s society? 

A study about not only digital word-of-mouth, but also communication in general

For some, the value of face-to-face interaction is incomparable — particularly when it comes to word-of-mouth marketing strategies. The authenticity of building rapport face-to-face is just one advantage of direct communication that tech-averse marketers believe cannot be simulated online. While the instantaneous sense of trust that these marketers discuss might ring true, it is naïve to assume that online communication is developing in a way that does not satisfy the core themes of effective communication.

A recent study conducted at Turku University of Applied Sciences (Turku UAS) delves into the reasons why some ‘small and local’ companies with a ‘small and local’ customer base are wrong to shun social media as part of their more traditional word-of-mouth strategies, and why ultimately, they can adopt a ‘best of both worlds’ approach where offline values are still present during digital engagement.

Core values can be aligned and maintained, without being static

Ashbourne PC, a digital services provider in Ashbourne, Co.Meath Ireland have noted during the last number of years that beyond a website, some of their clients are unwilling to adopt digital platforms as a method to support their offline word-of-mouth strategies. For these companies, face-to-face interactions and direct referrals between close family and friends are what their marketing strategies are built on — a sense of ‘traditional methods for a traditional customer base’ being the apparent key to their success. However, as social media platforms grow and the demographic using digital services in their everyday life grows with it — at what point do tech-averse companies stop being rewarded for their personal approach, and instead, become irrelevant?

Digital word-of-mouth without an agenda: The organic approach

For the study conducted at Turku UAS, the ‘discussion section’ of a community-level Facebook group was selected for the investigation of online word-of-mouth. This Facebook group ‘The Ashbourne Noticeboard’, serves as an online noticeboard for a community of approximately 12,600 people. Other online noticeboard groups for the same area exist on Facebook, but with 11.6K members, it was determined that this group was one of the most popular and active groups. Even though a ‘buy and sell’ section of this Facebook group does exist, it was thought that for the purpose of the study, the ‘discussion’ section was more likely to align with how offline word-of-mouth occurs.

A content analysis was first carried out to determine the type of posts that appear in this section of the group, noting that of the 25 posts observed during the first analysis period, 8 were created by a local company and 17 were created by members of the group. However, the three posts with the highest level of engagement during this week came from posts made by local companies due to their consistent engagement underneath the posts.

The art of being present when opportunities arise

During the second period of content analysis, only ‘query posts’ were observed (posts that were created with the intention of gathering recommendations or advice about local businesses or services). In one post created by a group user, an enquiry was made about “suitable activities for a 6-year-old in Ashbourne on Tuesday or Friday afternoons”. While this post only gained four ‘likes’, the post accumulated 15 comments during a 24-hour period. Amongst these comments, a total of 14 companies providing local activities for children were mentioned, 13 of these suggestions/recommendations seemingly coming from third-party individuals, and one of these suggestions/recommendations coming directly from the service provider themselves.

In most cases, when a fellow group user recommended a company’s product or service, they tagged the company’s Facebook page in their comment if one existed. This action not only provides the user making the query with verification that the company exists (at face value), it also notifies the company that their business has been mentioned.

An online space with ‘small and local’ values?

Even though online review websites such as TripAdvisor and Trustpilot have been around for several years, the reviews posted on these websites are still largely anonymous and their value still depends on the level of trust that individuals place in strangers. In a survey of 50 respondents, conducted as part of the study at Turku UAS, it was not surprising that only 8% of respondents admitted to trusting recommendations for goods or services made by strangers in the group. However, 57.9% of respondents admitted that they do trust recommendations made by members of the group who are already known them in real life.

As a community-level Facebook group, it goes without saying that some members of the group will be known to other group members in real life — primarily due to a large portion of users living within the locality and naturally crossing paths. Additionally, 44% of respondents admitted to trusting recommendations made by people who are not known to them in real life, but whom they have come to know (or have become familiar with) through the board itself. This statistic is a clear indication that the lines between the people we know in real life and the people we know online are blurring — particularly in niche groups where the names of active group members are likely to appear repeatedly. 

It was not surprising to find that 52% of respondents said they do not trust recommendations made by regular posters in the group as much as recommendations from friends and family — but with 34% of respondents undecided on this question, the scope of those not entirely ruling out the opinion of relative strangers over family/friends was a striking revelation. Furthermore, a whopping 84% of respondents confirmed that they are more likely to trust a company if engagement from other group users verifies that this company is trustworthy — verifying that the word of “strangers” within community-level Facebook groups does hold some value.

Find the right Facebook groups and you’ll find the right customers

In relation to social selling, Shanks (2016) discusses how buyers only really care about information that has a “direct, first-degree proximity to their own lives”, noting that sellers should take this into consideration when targeting their buyers. While before the existence of online platforms, this “direct, first-degree proximity” was likely to pose a challenge for marketers, in a global society where insight into the lives of others (and the things that enrich their lives) is ever-present — marketers have an increased opportunity to reach buyers through emotional connection. Unlike Facebook groups that serve to aid people during temporary phases of their lives, community-level Facebook groups have the potential for longer-term membership once the group continues to serve a desired or emotional purpose. 

For example, a bride-to-be might join a Facebook group that is specific to the type of wedding suppliers that exist within her locality — however, once she is married, it is likely that she will leave the group. For members of the Ashbourne Noticeboard, for as long as the group remains a hub of activity with informative notices about their local area, it is likely that they will remain in the group. During the survey phase of the study, it was found that 62% of respondents had an address within the centre of Ashbourne and 22% of respondents live outside of Ashbourne centre, but still live within 20km of the town. One respondent stated that while they do not live in Ashbourne themselves, their mothers does and on her behalf, they engage regularly with the group.

A switch to digital doesn’t need to ignite fear

If the clients of Ashbourne PC continue to believe that a website is the only online presence they require, they must be prepared for competitors to capture an increasing portion of their word-of-mouth audience. If ‘small and local’ is the market that they wish to focus on, it needs to be accepted that ‘small and local’ values don’t always need to mean ‘face-to-face’. 

During this study, it was discovered that many of the fears that Ashbourne PC’s tech-averse clients have about an online presence are unfounded. One fear, which consisted of “negative feedback being blasted online for all to see” was not supported by the results of the study. In fact, the study recorded that the number of complaint posts in the group was low. Berger (2013) who describes word-of-mouth as a form of “social currency” might provide some context for this, explaining that “people share things that make them look good to others”. Within a community-level Facebook group where people might be known in real life too, no individual is likely to enjoy being known as ‘the one who is always complaining’. 

The need for digital is there, but it doesn’t have to include a full-scale social media strategy

One respondent noted that they are “more likely to visit a Facebook page than a website” as it is “quick and easy, and all of the relevant info should be there”. They also noted that they message companies through Facebook too “because it’s easier than phoning”. Therefore, while this study doesn’t suggest that a full-scale social media strategy is required to support engagement within community-level Facebook groups, it is suggested that a company Facebook profile engaging in community-level groups should be kept up to date with current contact details. Additionally, if the theoretical perspectives discussed in the study are to be considered (such as supplying the right tools for “talkers” to work with; Sernovitz, 2012) a Facebook page that appears professional and active is advised. 

A best of both worlds approach

The resounding message from the study undertaken at Turku UAS is that while offline word-of-mouth is still incredibly relevant today, the starting point of valuable conversations can happen online and be carried offline, and vice versa — and to ensure that you are capturing all of these conversations at the right point, a ‘best of both worlds approach’ is advised. Additionally, even though trust is not always immediate within these community-level groups, trust can be gained over time by simulating offline communication values such as familiarity, consistent engagement, and professionalism. For businesses who claim that their ‘small and local’ customer base are not present on social media, the likelihood is that the people surrounding them are — and they are perpetuating hype around competitors who are present online.

Prendergast, C. (2022). In Digital Word-of-Mouth We Trust? Consumer attitudes towards sales and marketing content posted in community-level Facebook groups. [Thesis, Turku University of Applied Sciences]. Retrieved from https://urn.fi/URN:NBN:fi:amk-2022053013243

References:

Prendergast, C. (2022). In Digital Word-of-Mouth We Trust? Consumer attitudes towards sales and marketing content posted in community-level Facebook groups. [Thesis, Turku University of Applied Sciences]. Retrieved from 

Berger, J. (2013). Contagious: How to Build Word-of-mouth in the Digital Age. London, England: Simon & Schuster. 

Sernovitz, A. (2012). Word-of-mouth marketing: How smart companies get people talking. Greenleaf Book Group Press. 

Shanks, J., (2016). Social selling mastery: scaling up your sales and marketing machine for the digital buyer. Wiley.