When I started my business back in 1984, I did it with $50, a drafting table, and a set of Magic Markers. We did everything by hand, cutting and pasting. So when personal computers came to dominate this field, I didn’t take to the change easily. In fact, I tell people that I was “dragged kicking and screaming” into the world of “desktop publishing.” I even wrote an article about it for IABC Communication World, which you can still find online. (It’s pretty funny to read today.)

But now, 25 (yes! 25!) years later, I’ve really come to love technology — probably because it goes so well with my love of business. I’m on Facebook and LinkedIn, I try to keep this blog as current as I can, and for awhile I participated in a bichon frise forum at the insistence of my little white dog, Amazing Grace. I was on Twitter before my 32-year-old son, and now he keeps asking me questions about how he’s supposed to use all of this Web 2.0 stuff. I have a little pocket-sized Flip video camera that I use to put a few videos up on YouTube (just practicing at this point!). And, I know a lot about internet marketing, e-zines, and e-commerce. I’ve been told that I’m a pretty hip grandma to my two grandkids.

So when I heard that online reviews are the second-biggest influencer of web users’ purchase decisions, I was amazed, but not surprised. The Web is more and more the place that people go to first when they want to know something.

We may still have a T-square or two in the office somewhere, but they don’t get a lot of use. If your marketing is still dominated by T-square thinking, you’ll want to take a look at what can be done online — even if you have to be dragged kicking and screaming.

WHAT YOU NEED TO KNOW ABOUT ONLINE INFLUENCE ON BUYING BEHAVIOR

According to a Rubicon study of web users, online reviews are the second biggest influencer of purchase decisions, second only to word of mouth. So while you’re taking care of your customers, you’d better pay attention to what’s being said about your company and products online, too.

Many companies have made forays into online communities like Yahoo, Facebook, MySpace, and other places on the web where people gather. However, a lot of these companies have quickly backed out, deciding that most discussion happens among web enthusiasts who don’t represent the average Joe Buyer.

Turns out, this is a pretty big mistake.

Rubicon’s study found that yes, most discussion does involve a small group of regular contributors. In fact, 80% of online user-generated content is created by less than 10% of all users. But here’s the flip side to that statistic: the other 90% of us are out there — reading, researching, evaluating, and making decisions on what to buy based on what we read online. If your company ignores online communities rather than actively cultivating a positive brand image in them, it’s missing a chance to communicate with a much bigger group than it would appear, and ignoring the second biggest influencer in that group’s decision to buy.

Think about online communities as a theater, with actors and a crowd watching. Only a small group is participating, but there’s a whole silent audience watching the action from their seats, forming opinions based on what they’re hearing.

Some of the study’s other findings about web usage were:

1. Search (like Google) is the most commonly used web category, but social networking sites are second. Facebook, MySpace, and LinkedIn lead the list of most commonly used and valuable social networking sites, in that order. News sites (CNN.com, NYTimes.com) comprise the third leading web category.

2. The websites that Americans value most, in order, are Google, Yahoo, YouTube, Wikipedia, and Facebook.

3. Social sites have the largest impact on young people. Younger users are more active online, are more likely to search online for information they need, and are more open about their social networks — more willing to accept connections from people they know only vaguely.

4. Half of the Web’s most frequent contributors (that 10% that generates 80% of the content) is under age 21. They are also technically experienced, predominantly caucasian, and more likely to be democrats than republicans. 61% are male, 40% are students, and they are more likely to be single than other web users.

If you want to do some grassroots branding, get out there and into those online communities! Develop a strategy and a presence, and talk about yourself, your company, and your products and services. Answer questions; offer frequent updates. Build rapport, just like you would do in person. If you’re adding value, you’ll make connections and develop a following. . . while the other 90%, including your competition, watches.

Check out Mari Smith’s blog for some great content on Facebook for business and this post by Glenn Murray, with terrific tips for getting the most out of Twitter.

[tags]social networking, online reviews, Mari Smith, Glenn Murray, Facebook for business, Twitter tips, Rubicon study, buying behavior[/tags]

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This entry was posted on Thursday, October 30th, 2008 at 11:42 pm and is filed under Social Media. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.