Word of Mouth Marketing

New research questions the role of word of mouth promotion in predicting movie revenues. Some recent studies argue that postings on various internet sites such as Yahoo or IMDB drive revenues higher. 

The new paper by Abraham Ravid, economics professor at Cornell University’s Johnson School shows that it may be the other way round, that is, if many people see the movie there are more postings, and that postings themselves are not a significant predictor of revenues. He presented the study on November 3rd, at the Ninth Annual Business and Economics Scholars Workshop Summit in Motion Picture Industry Studies that was held during the American Film Market.

The DeSantis Center Scholars Workshop Summit was held in Los Angeles, November 2^nd and 3^rd.