(introduction) (technologies) (current trends of cgc) (future of cgc) (references)

<introduction>

It's a fact now that the average consumer is more knowledgeable about the products they are purchasing.  They understand their desires and wants from a product and have formed an opinion based off of the products that they frequently purchase.  Because of this increased intelligence in the consumer, traditional advertising techniques no longer work.  People have become almost immune to the effects of mass advertising and the advertising industry is going crazy trying to figure out what the next big thing is going to be.  How can Nike hope to bring sales up if all of their commercials have lost their “spark?”  How can Tide laundry detergent hope to distinguish between the many other brands that share the same market as they do?  Now has come the time where the advertisers stop telling consumers what to think.  The consumers are now speaking up and offering a new way of promotion.  This new movement is called consumer generated content and many believe this is the new direction of advertising.

Consumer generated content, or CGC, is a behavior that extends from the usage of Internet technology.  The network that the Internet provides has allowed many people to share opinions, experiences, and advice regarding companies, services, and brands.  The driving force behind consumer generated content is through word of mouth.  This is a marketing practice that many large brands and services hope to achieve because of the large buzz it can generate between consumers.  This marketing effort exists through person-to-person conversations rather than mass media advertising, including TV, publications, and radio.  With Internet communication extending all over the world, people now communicate through blogs, text messages, and online page profiles.  Word of mouth marketing has really picked up steam and is leading the way in the world of advertising today.

Joseph Jaffe, a leader in new advertising communication techniques believes that consumer generated content is the next big thing.  He makes a statement to say that brands have become part of everyone’s lives.  The average consumer is loyal to specific foods, cleaners, and even automobiles.  Through these loyalties, consumers have started to become vocal regarding their brands.  For example, many believe Coca-Cola is better than Pepsi.  (link to coke vs pepsi youtube link?) But why?  It is because people have fallen in love with their brands.  They have developed emotional ties to these brands and are more willing to voice their opinions regarding them.  Consumers now have the desire to interact and participate with what is associated with these brands.  Whether it is hatred or a love for a particular brand, consumers now have the voice to speak up and be heard.  Technology leads the way, and now, advertising agencies are listening to what consumers have to say.

In this e-paper, we will examine the technologies available that give the consumers the ability to create CGC.  This paper will also focus on the current trends of CGC, the future of CGC, and how marketers today take advantage of the CGC that is created from their loyal consumers.  If consumer generated content really is the next wave in advertising, there is no better time than now to prepare for what is sure to be the future.

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(matt papendorf) (adv 391k) (spring 2007) (professor j. leckenby)