The Effects of the Social Structure of Digital Networks on Viral Marketing Performance.

Author List: Bampo, Mauro; Ewing, Michael T.; Mather, Dineli R.; Stewart, David; Wallace, Mark;
Information Systems Research, 2008, Volume 19, Issue 3, Page 273-290.
Viral marketing is a form of peer-to-peer communication in which individuals are encouraged to pass on promotional messages within their social networks. Conventional wisdom holds that the viral marketing process is both random and unmanageable. In this paper, we deconstruct the process and investigate the formation of the activated digital network as distinct from the underlying social network. We then consider the impact of the social structure of digital networks (random, scale free, and small world) and of the transmission behavior of individuals on campaign performance. Specifically, we identify alternative social network models to understand the mediating effects of the social structures of these models on viral marketing campaigns. Next, we analyse an actual viral marketing campaign and use the empirical data to develop and validate a computer simulation model for viral marketing. Finally, we conduct a number of simulation experiments to predict the spread of a viral message within different types of social network structures under different assumptions and scenarios. Our findings confirm that the social structure of digital networks play a critical role in the spread of a viral message. Managers seeking to optimize campaign performance should give consideration to these findings before designing and implementing viral marketing campaigns. We also demonstrate how a simulation model is used to quantify the impact of campaign management inputs and how these learnings can support managerial decision making.
Keywords: digital communication; social structure of digital networks; viral marketing
Algorithm:

List of Topics

#234 0.237 social networks influence presence interactions network media networking diffusion implications individuals people results exchange paper sites evidence self-disclosure important examine
#67 0.103 production manufacturing marketing information performance systems level impact plant model monitor does strategies 500 unit present fortune integrated sales plants
#97 0.088 set approach algorithm optimal used develop results use simulation experiments algorithms demonstrate proposed optimization present analytical distribution selection number existing
#178 0.082 digital divide use access artifacts internet inequality libraries shift library increasingly everyday societies understand world initiative initiatives embedded community dimensions
#191 0.070 model models process analysis paper management support used environment decision provides based develop use using help literature mathematical presented formulation
#249 0.068 network networks social analysis ties structure p2p exchange externalities individual impact peer-to-peer structural growth centrality participants sharing economic ownership embeddedness
#0 0.063 information types different type sources analysis develop used behavior specific conditions consider improve using alternative understanding data available main target
#258 0.061 information proximity message seeking perceived distance communication overload context geographic dispersed higher geographically task contexts recipient face-to-face temporal safe dyadic