P&G's Vocalpoint - Using Moms for W.O.M.

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Case Details:

Case Code : MKTG136
Case Length : 19 Pages
Period : 2001-2006
Organization : Procter & Gamble Company
Pub Date : 2006
Teaching Note : Available
Countries : USA
Industry : FMCG

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Tremor - The Beginning

Tremor was a marketing service launched in 2001 with Steve Knox (Knox) as the CEO. (Refer Exhibit III for logo of Tremor). It was a WOM program aimed at teenagers. When it was launched, P&G had very little information on the teen market. Thus, initially Tremor was more of an experiment that presented P&G with an opportunity to study that demographic segment. Tremor members were carefully chosen by P&G. Teens were drawn to the Tremor website (www.tremor.com) from the websites that these teens frequented, and then selected based on their response to a survey questionnaire.

P&G had done a lot of research to identify the people they wanted. The teens were greeted with questions that screened for eight key character traits including inquisitiveness, connectedness, and persuasiveness. The people P&G sought were called "connectors" in marketing parlance, and were considered the most influential of all consumers (also referred to as influencers, transmitters or bees)...

Vocalpoint - Taking Wom To The Next Level

Vocalpoint was launched nationally in March 2006 with Knox as the CEO. (Refer to Exhibit IV for the logo of Vocalpoint). Vocalpoint presented P&G with the opportunity to run campaigns for more of its own brands, thus filling the gaps in Tremor. Besides, the program gave it access to moms, the most influential consumer demographic segment in the US. Efforts to include moms as a part of the WOM program started in mid 2005 with P&G recruiting women with children aged 19 years or below. The idea was tested in three US cities- Columbus, Tulsa, and Buffalo...

Wom - The Hottest Trend In Marketing...

Analysts were of the view that WOM was a powerful advertising tool. The early success of Tremor prompted Jim Stengel, P&G's global marketing officer to say that, "Word-of-mouth advocacy is the gold standard in marketing." The Advertising Age estimated that WOM marketing was a US$100 million to US$150 million industry. In 2005, it grew at a rate of 100% over the corresponding period of 2004. Analysts felt that, though the figures looked relatively small in dollar volume, the practice ranked among marketing's highest growth areas...

Excerpts Contd...>>


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