Seeding strategies have strong influences on the success of viral marketing campaigns, but previous studies using computer simulations and analytical models produced conflicting recommendations about optimal seeding strategy. This study compares four in two complementary small-scale field experiments, as well one real-life campaign involving more than 200,000 customers a mobile phone service provider. The empirical results show that best can be up to eight times successful other strategies....

Abstract In recent years, social media have become a popular channel through which customers and companies can interact. However, struggle to assess whether their investments in establishing maintaining brand pages actually meet high expectations with respect developing retaining customers. Based on three empirical studies, the authors explore role of interactions corporate channels, such as Facebook pages, customer relationship management. The results indicate that indeed ease upselling...

Geographic proximity has become increasingly relevant due to the growing number of marketing services that use consumers’ geographic locations, thus increasing importance gaining insights from this information. In five studies (both field and experimental), authors analyze effect on social influence demonstrate not only but also perceived homophily can trigger influence. They find holds under alternative representations distance is confirmed for a range different even physical goods....

Abstract Using an agent-based model to study the success of product-sampling campaigns that rely on information about social networks, this paper investigates essential decisions which consumers and how many them target with free product samples. With unweighted a weighted real-world personal communication network, we show decision is more important than target. Use network increases profits by at least 32 percent. Companies should use high-degree targeting heuristic identify most...

In recent years, service providers have identified the proactive postsales (PPS) as a viable measure for preempting failures and their negative consequences. Due to high costs associated with PPSs, companies are looking ways increase efficiency. To understand how can revenues lower costs, this study investigates cross-selling activities different media types affect impact of PPS on inbound calls customer churn. Based large-scale field experiment in telecommunications industry, well...

Knowledge of consumers' willingness-to-pay (WTP) is critical for marketing managers when designing optimal pricing policies. The large-scale applicability, reliability, and validity Vickrey auctions as an incentive-compatible method eliciting WTP in a real-world setting were tested empirically. results 6,548 sealed bids 28 costly durables on popular auction Web site show that regular on-line shoppers have little problem understanding applying the bidding strategy. As result, can easily...

Purpose – This study seeks to examine the effect of pricing as a marketing instrument stimulate word‐of‐mouth (WOM) by comparing influence two strategies (i.e. low‐complexity vs network‐effects tariff) on referral behaviour.

We adopt a model-based approach to assess whether and what extent spatial proximities between members of target population influence the adoption digital products. Our data come from company that sells software enables car dealers in Germany list used cars an online market. As compared other studies diffusion literature, our are unique because we have exact date time for every adopter, as well geo-coded location descriptors potential member population. Further, product was digital, it...

Adoption processes are often heavily influenced by interpersonal communication. Marketing managers increasingly trying to use these relationships foster the market penetration of their products. In an empirical study US for innovative medical device, we survey social network (mostly chief) anesthetists from 151 hospitals. We confirm influences personal communication on individual adoption decisions through hazard regressions. then a multi-agent modeling framework identify what seeding...

Social contagion processes such as word-of-mouth (WOM) are widely regarded key success factors for innovation diffusion. Aspects of these have been thoroughly explored in empirical studies on the actor or dyad levels analysis. While offer valuable insight into motivations and contents WOM, they not able to include social network structures their Contagion processes, however, require an underlying networks infrastructure unfold potential Although marketing managers strongly believe both...

The introduction of new products is a major challenge for marketing managers. Since significant share innovations fails to succeed, managers have make stop/go-decisions soon after product's launch. To support such decisions, Garber et al. (2004) propose an indicator based on cross-entropy using adopters' spatial distribution. While their approach well-founded in theory and supported by simulation results, real-life applications face additional challenges due potential systematic random...

As online video content becomes increasingly popular, retailers try to follow this trend and incorporate product videos into their websites. By doing so, they hope encourage revisit purchase intention and, ultimately, increase sales. However, the actual effect of has received little attention in marketing research. In particular, what type should be matched remains unclear. Thus, providers face risk expensively producing wrong forgo potential sales increases because poorly product-video...