Presented by Ray Algar MBA, MAManaging Director Oxygen Consulting UK

Virtual Marketing module – Kingston University

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Start the digital dialogue

The wisdom of the online crowd

© Ray Algar – Oxygen Consulting 2008

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Themes we will explore

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The democratisation

of publishing

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How consumers now collaborate

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How consumers now buy

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Companies used to just shout and interrupt consumers

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Companies used to just shout and interrupt consumers

One way for news flow about brands

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The web changed the rules

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Business is now open

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How we now buy

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Consumers love this new power

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It can influence the next US President

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They can vent their rage

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Consumers talk back – with passion!

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The online conversation about health clubs

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“It has a great range of facilities available, staff are really friendly and helpful, I would thoroughly recommend it”

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“The Management team are extremely poor, they only have their own interests at heart and do not support the members”

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“Because I supposedly didn't give 30 days' written notice, I'm being forced to pay another month for a membership I'm not using”

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Customer Type

Positive opinion

Negative opinion

Current 40% 60%

Past ? ?

Prospective ? ?

All types 36% 64%

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Positive opinion

Negative opinion

Past members

5% 95%

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Positive opinion

Negative opinion

Prospective members

47% 53%

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Do clubs care?

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…yes, during the tour

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‘the best salesman ever’

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‘I remember how friendly the sales lady was in trying to get me to join up’

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…but after the honeymoon period

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‘After the initial session, they have never checked how I was over two years of membership’

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‘Clubs are not interested in their members’

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Membership factors: 87% negative

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‘I was not aware of the 12-month contract until I tried to cancel’

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Chandler wants to leave the gym

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Friends video

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Would you recommend this club to your family and friends?

1 in 10 (10%) promoter rate for 6 large club chains

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22% highest chain

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7% lowest chain

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Little positive word of mouth

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Little positive word of mouth

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Who is Ray Algar?

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Presentation www.oxygen-blog.blogspot.comArticleswww.oxygen-consulting.co.uk

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Questions