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MarketingNPV 

Calculating the Value of Referrals: Easier Said than Done 

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Published 7/31/2008 

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Summary

Current methodologies and research into word-of-mouth give us small glimpses of a great universe, but we still have no real point of reference regarding the total size of that universe (or the activity that’s taking place outside of our view). This article examines two emerging bodies of work that advance the discussion about the business impact of WOM. It also offers marketers five important takeaways who might, understandably, be struggling to get their arms around the best methods for calculating the economic value of WOM.

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