Measuring influence in social networks

I found this Harvard Business Review article by Sinan Aral very instructive.  Please note particularly:

“We studies the adoption of a mobile service product among 27 million users in a Yahoo instant messaging network and used statistical techniques to separate influence (specifically, how a friend’s use or recommendation of the product affected another person’s decision to use it) from homophily and other confounding factors. We found that traditional models overestimated the power of influence by a factor of seven and that half of perceived influence was really just homophily and other confounds. We also learned that overestimates of influence were particularly extreme early in the product’s life cycle. That’s because early adopters are more likely to be similar to one another than late adopters are. If you want to see this in action, go to an Apple store the next time a new iPhone is released and look at the people camped out in front.”

About Arie Goldshlager

Customer Insight, Customer Strategy, and Innovation Consultant
This entry was posted in Influence, Social Networks, Viral Marketing. Bookmark the permalink.

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