Class 17: Community 11/5 Session Overview: how firms can encourage and profit from community, how various community levers fit into the Marketspace Matrix.

What is the definition of community?

It’s a relationship that has been build on share interests and needs that get satisfied.

What are the criteria that define successful community?

The membership is the choice of the individual. Members feel trust – safety is felt among members and their transactions, that their information will be safe. Members gets benefits from the community. The roles among members are not imposed and they are not hierarchical. Efficiency in interaction is maximized  this is done through mailing lists, live chat rooms, and bulletin boards. It is easy to navigate through the community, so visitors can explore without trouble.

What are the different types of internet that form the foundations of community?

Activity-driven- individuals share their interests. Information-driven- this is when individuals share their interests in information and they seek to exchange this information. Commonality-driven-  these individuals share their interest through their professions, lifestyle  stages, and ethnicity.

What are the different ways in which communities function?

Asynchronous formats- this is when there is a delayed in communications from the time the message is sent to when its being answer, through mail. Real-time system – this is when there is no delay when the message is sent – read – and answered to, such as through texting, aiming.

What are the three primary ways in which value is created within a community?

User to Administrator-  the user (customer) makes money for the firm through the purchase of products, usage fees, content fees, advertising sales and also through commissions. Administrator to user – the firm creates the content like reports, exclusive research, events. User to user – the user makes content like articles written by them, and opinions.

What are the benefits that community can generate for a parent firm?

Benefits are: Revenue- deepen customers relationships, increase customer segmentation, and an increase in branding.  Cost – reduces cost from a decrease of product flaws and marketing mistakes, reduces customer service.

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