VIRAL MARKETING

³The most powerful selling of products and ideas takes place not marketer to consumer but consumer to consumer.´

Mr.K.Mohan Kumar

DEFINITION« 
Marketing phenomenon

that facilitates and encourages people to pass along a marketing message to others.

CONTD« 
Viral marketing depends on - high pass-along rate from person to person.
Large percentage of recipients forward -overall growth snowballs very quickly. If the pass-along numbers get too low-overall growth quickly fails.

HISTORY« 
Among the first to write about viral marketing on the Internet was media critic Douglas Rushkoff in his 1994 book Media Virus.  Advertisement "susceptible" user( infected (i.e., sign up for an account) ) infect other susceptible users.  As long as each infected user sends mail to more than one susceptible user on average,the number of infected users will grow accordingly.

ELEMENTS OF A VIRAL MARKETING STRATEGY«
1. Gives away products or services 2. Provides for effortless transfer to others 3. Scales easily from small to very large 4. Exploits common motivations and behaviors 5. Utilizes existing communication networks 6. Takes advantage of others' resources

1.GIVES AWAY VALUABLE PRODUCTS OR SERVICES« 
"Free" - marketer's vocabulary.  Viral marketing programs - valuable products or services

to attract attention. 
³Cheap´ or ³inexpensive´ - generate a wave of interest,

but ³Free´ - do it much faster. 
Delayed gratification:

not profit - today, or tomorrow, profit- for the rest of the life

2. PROVIDES FOR EFFORTLESS TRANSFER TO OTHERS« 
Medium - easy to transfer and replicate: e-mail, website,

graphic, software download. 
Internet-easy and inexpensive.  Short is better -can be transmitted easily,without

degradation

3. SCALES EASILY FROM SMALL TO VERY LARGE« 
Transmission method -rapidly scalable from small to

very large. 
Strategy successful-Rapid spread of message  Virus multiplies only to kill the host before spreading-

Viral marketing fails 
Safe -Planned ahead of time,build scalability to viral

model.

4. EXPLOITS COMMON MOTIVATIONS AND BEHAVIORS« 
Clever viral marketing plans- common human

motivations. 
Marketing strategy- that builds on common motivations

and behaviors for its transmission-a WINNER.

5. UTILIZES EXISTING COMMUNICATION NETWORKS« 
Most people are social.  Broader network -hundreds, or thousands of people-

position in society. 
Place message - existing communications - rapidly

multiply its dispersion.

6. TAKES ADVANTAGE OF OTHERS' RESOURCES« 
Creative viral marketing - use others' resources.  Eg: Affiliate programs  Authors who give away free articles, seek to position

their articles on others' webpages. 
Someone else's resources are depleted rather than your

own.

RULES OF VIRAL MARKETING «
1. Destruction of property or intruding into people's comfort zones will only backfire 2. 3. 4. You can't fake authenticity Know your audience Love your customers

TOOLS OF MEASURING TOWARDS VIRALITY«
Three parts to any ad campaign: 
The message  The medium  The measurement

THE MESSAGE«
A message should be: 
 

Fun, intriguing, and capture the imagination; Attached to a highly visible/easy to use product Well-targeted to reference groups and other opinion leaders 

Associated with a credible source to enhance believability.

THE MEDIUM« 
Medium - significant, critical element  Viral spread  Hidden key to virality  Campaigns spread -not because of what they are but

because of who first pointed to them 
Solidity of a media plan - secret to getting something to

spread.

THE MEASUREMENT« 
Accustomed to: put it out there, see how it does.  Instead-you put the thing out there and watch each one

very closely-hint of viral spread, the optimization process has to kick in.

VIRAL MARKETING IN ACTION«
Success of viral communication: 
Giving away valuable products or services  Providing effortless transmissions  Exploiting common motivations and behaviors  Utilizing existing communication networks  Capitalizing on other¶s resources and infrastructure

VIRAL IMPACT
-STRENGTHS & WEAKNESSES« 
Strengths

± low expense ± voluntary nature ± effective targeting 
Weaknesses

± measurement difficulty ± lack of control ± emerging ethical and legal issues

MOST effective brands at using viral« 
Sportswear market

± Nike and Adidas 
FMCG space

± Tango 
Coca Cola and Nokia  Automotive industry

± Citroen and Honda

LEAST effective brands at using viral« 
Virgin Money  Microsoft¶s Origiami project

CONTD... 
Sportswear -Reebok  MSN

³The most ineffective brands using viral are the ones that simply disappear and no- one ever gets to see´

-Faraaz Marghoob,
Managing Partner, MeMe Digtal.

TREND... 
Most of the solutions being explored try to re-engage

and interact with consumers in an old-style, µtop-down¶ approach, whereby Above-The-Line (ATL) mainstream media activities focusing on the brand are driving the communication

TOP-DOWN«

BOTTOM-UP« 
The 21st century, µbottom-up¶ word-of-mouth marketing

approach focuses on personal experience of the brand and is driven by consumers.

MARKETERS TURN TO ONLINE VIRAL MARKETING«
On the Internet, ³Viral marketing is any marketing technique that induces Web sites or users to pass on a marketing message to other sites or users, creating a potentially exponential growth in the message's visibility and effect.´

ONLINE VIRAL MARKETING«

ONLINE VIRAL MARKETING KILLS TWO BIRDS WITH ONE STONE«
1. Avoids the need to have a product with a wow factor in order to raise awareness 2. Provides the missing link between the word-of-mouth approach and the top-down approach

TOPLINE GUIDELINES TO GETTING IT RIGHT«
Three key factors will increase the likelihood of a successful online viral marketing campaign: 1. Appropriate wow factor material that users want to seek out, talk about and pass on of their own freewill 2. Appropriate specialist seeding to places where users already gather 3. Strategically planned use of the technique as a means to an end

FROM ZERO TO HERO OVERNIGHT!-Hotmail.com« 
When they started out Hotmail were missing a vital factor - traffic. It was at this
point - first mass viral marketing campaign via the Internet launched. 

Hotmail ± control the format of all outbound messages sent-led them to come up
with a viral marketing campaign 

Microsoft buying the company as a result of their exponential growth.  So what did they do? Simple. To the footer of each outgoing email they attached
a signature file that read: "To get your FREE email account goto www.hotmail.com". 

Word spread about their free email service  Rapid development of Hotmail in the 90s, which grew from zero to 12 million
users in 18 months

ONLINE VIRAL CAMPAIGNKing¶s Subservient Chicken« 
Interactive video of a man dressed as a chicken in a

humorous take on webcam activity. 
Product - new chicken sandwich, which in itself does not

inspire user-driven, word-of-mouse activity. 
Viral agent 46 million people

FUTURE OF VIRAL MARKETING« 
Traditional advertising- slowly becoming lost  Opinions:
³The advertising landscape is changing, forcing marketers to broaden and redefine the concepts of media, influence and audience reach. If consumer-generated media is in fact the most effective and trusted form of advertising, it¶s critical that marketers begin to measure, manage and influence it and, equally importantly, heed the consequences when consumers turn the message against brands.´ -Mike Nazarro, CEO, Intelliseek

CONTD« 
Look for innovative ways  Viral marketing-series of epidemics to infect the

advertising landscape 
Addition of each new µvirus¶ -develop more µanti-

bodies¶ attempt to block the feeling of bombardmentadvertisers-stay one step ahead

CONCLUSION« 
Consumer/client mismatch  Measurement  Fear  New channels and new content

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