EVALUATION OF WORD-OF-MOUTH MANAGEMENT AT LBPP LIA SURABAYA WITH THE "THE EIGHT PILLARS OF WORD-OF-MOUTH MANAGEMENT" MODEL

Title: EVALUATION OF WORD-OF-MOUTH MANAGEMENT AT LBPP LIA SURABAYA WITH THE "THE EIGHT PILLARS OF WORD-OF-MOUTH MANAGEMENT" MODEL

Author: DHANTI PRAPTIKORASTRI

Affiliations : Master of Management Science Program, Faculty of Economics and Business, Universitas Airlangga , Surabaya, Indonesia

Publisher: Universitas Airlangga

Abstract

When considering purchasing or consuming services, consumers tend to look for information in the form of opinions or recommendations from other people, through word-of-mouth (WOM). The role of information conveyed through WOM is very important for companies that offer services, because services are intangible. Even though many organizations are unfamiliar with the role of WOM, not many carry out WOM management in a planned manner. To manage and utilize WOM optimally, you must know what things influence the emergence of information spread through WOM. The Eight Pillars of WOM Management model is suitable for evaluating and identifying practices that have not been utilized optimally by an organization in disseminating and controlling information through WOM. The research was conducted at LBPP LIA Surabaya, which is engaged in the non-formal education business (English courses). The aim of this research is to identify how LBPP LIA manages and utilizes WOM marketing, and to evaluate WOM management in the LBPP LIA Surabaya organization using The Eight Pillars of WOM Management model. Data was collected through interviews, observation and documentation. Interviews were conducted with 10 employees who play a large role in managing WOM in the LBPP LIA Surabaya organization, several LBPP LIA Surabaya customers (students), and former LBPP LIA Surabaya students. From this research, it can be seen that WOM plays a very big role in the LBPP LIA Surabaya organization, especially in acquiring new customers (students). In general, WOM management at LBPP LIA Surabaya is still less than optimal. The aspects included in the Customer WOM, Product or Service WOM / Brand WOM, and Organizational WOM pillars are quite good; What is included in Communications WOM and Employee Network WOM still requires improvement; Meanwhile, those included in the Key-influencer Network WOM, Referral Network WOM, and Supplier/Alliance Partner Network WOM still have very little use. It is hoped that suggestions that can be used to improve WOM management based on these pillars can become input and consideration for the management of LBPP LIA Surabaya.

Keywords: Word-of-mouth; Assessment; the Eight Pillars of WOM Management

Sources: http://repository.unair.ac.id/37230/