1. Facebook check-in: A newform of e-word-of-mouthBy Tom Wilson, Tegan Speers and Emma Jarman

2. Why is word-of-mouth particularly relevant to service marketersof goods? Identify five popular service providers of retailers inyour area where consumers check-in on Facebook then discusshow word-of-mouth spread in this way is important for thesebusinesses particularly. Word of mouth (WOM) refers to the communication process by which oneperson informally influences the actions or attitudes of another (Schiffman et al.2014, pp. 297-300) WOM is particularly relevant to service marketers of goods, as consumers havefound to rely on WOM to reduce the level of perceived risk and uncertainty thatcan often be associated with the purchase of services (Mangold, Miller &Brockway 1999). An example of this could be a consumer looking to obtain the services of abuilder. 3. eWOM Electronic word of mouth (eWOM) is an electronic form of WOM that is expressed through online blogs and othersocial media sites like Facebook. Facebook allows consumers to check-in to businesses online and leave a commentof their choice. Once a consumer checks-in online the post is available to all of their friends to view. This makes iteasier then ever for a consumer to express their feelings about a product/service to others. Five popular service providers (Facebook Check-In): Launceston AMF Bowling Launceston Aquatic Centre Launceston Airport Launceston Phone Repairs Launceston Indoor Rock Climbing 4. How can service providers manage and influence thepositive and negative word-of-mouth communicationthat is spread via social networking sites?Provide an example. Positive (negative) word of mouth (PWOM/NWOM) refers to the positive and/or negativereactions and communications that consumers share amongst each other afterpurchasing a good or service. Casiellies, lvarez, Del Ro-Lanza, (2013, pp. 44-48) have come to the hypothesis thatPositive (negative) WOM has a positive (negative) impact on the shift in the receiverspurchase probability. Making it important for service providers to manage and influencethe positive and negative WOM communication that is spread via social networking sites. 5. Influencing word-of-mouth communication that isspread via social networking sites Kietzman & Canhoto (2013 p.154) suggests that managers need to pay close attention toeWOM to minimize the risks of harmful comments and to maximize the impact of helpfuleWOM. Managers can do this by prioritizing what, where and when they respond to eWOM onsocial networking sites and how much time is devoted to each post (Kietzman & Canhoto2013 p.154). 6. What factors do consumers take into account whenevaluating firm generated feedback versus peer generatedword of mouth? Peer generated WOM is grown through peer discussions and is not initiated by a firm Firm generated WOM is generated by organisations and intended to spread virallyamongst consumers The case study highlights that consumers consider peer generated over firm generatedwhen evaluating WOM as the messages spread by other consumers are more trustworthyand unbiased (Lucas 2014). Stern and Gould (1988) emphasize that the informal peer generated WOM is perceived asbeing more credible than firm sale forces and advertising as they do not represent anycommercial interest. 7. Opinion leaders can be described as product specialists who provide information about a particular class of product to other consumers. informally influence the attitudes and behaviours of consumers through product relatedconversations. Reasons marketers should be interested in opinion leaders: They are critical in spreading innovation and information consumers place more reliance on information provided from opinion leaders as opposed toadvertisements. In terms of online communities: Marketers need to manage opinion leaders to buildpositive WOM and create a virtual relationship with consumers. 8. What are the pros and cons for marketers of highlyconnected, smart phone equipped users? Pros The Check in feature of Facebook allows consumers to pass on recommendations to others. Online forums, chat boards and conversation through social media provide marketers with anabundance of explicit and implicit purchase information. Consumers can conduct more research on a product or service, whilst reading testimonials andcomments from other consumers, increasing consumer certainty. 9. Cons Disgruntled consumers through social media are now able to spread their negative WOM fasterand to a wider audience than ever before. Search portals are also making it easier for consumers to compare products and prices withothers, resulting in increased competition. Similar to search portals, forums and chat rooms provide consumers with comprehensiveinformation of a product. As consumers tend to listen to peer generated WOM overadvertisements, marketers lose control of this element. 10. How do consumer reference groups apply in this context? Reference groups share their e-WOM about various experiences Facebook is one of the largest social media sites in the world Facebook allows these groups to give live feedback 11. Why are these groups of interest to marketers? Their opinions generate discussions and highlight what the consumer wants They deliver feedback that would not be known without these groups Powerful and credible groups can increase brand awareness and reputation 12. Examples of how online consumer reference groupsinfluence the decision making process of a Facebook user Inform the user of a particular brand or product Allows the user to compare their own thinking to the group Encourages the user to adopt similar beliefs to the group through connectivity Provide both negative and positive e-WOM 13. Thank- you!