Word-of-Mouth Advertising: The Ups and Downs of Online Forums

For some, the opinions of their close friends and relatives will always matter most. While some argue that the proliferation and ease of posting online opinions leads to decreased reliablility, I would have to disagree. In my opionion, the recommendations and information I value most come from those online 'friends' that I haven't even met.

Case in point, I'm now reading Groundswell by Charlene Li and Josh Bernoff. Not because a friend recommended it, or even a professor, but because the people I follow on Twitter, people I've never had a face-to-face interaction with, have recommended it and commented on its usefulness. The ability to opt-in to circles of friends based on common interests, similar jobs or areas of expertise has essentially led to the ability to create a personalized 'yellow-page' directory. Because I know these people value similar information and most likely use similar products, I can rely on their opinions.

Word-of-mouth advertising no longer just applies to brands and products, however.The use of online forums in word-of-mouth advertising has also had a huge effect on journalism. Consumers are spending less and less time looking for articles of interest because, with the presence of social media such as Twitter, they no longer have to. Online publications have taken the place of print publications. RSS readers expedited the process of searching for online articles of interest. And now, Twitter is taking the place of RSS readers--and it's all because of online word-of-mouth advertising. Consumers rely on the opinions of their online social networks to the degree that they now simply follow people, who in turn provide them with sources of relevant information.

Social media sites such as Twitter, Tumblr and Facebook have reversed the online search engine. The ability to follow those whose opinions you value means you no longer have to search for information. Rather, information is now brought to you.