ABSTRACT

The objective of this chapter is to reach beyond existing theories and conceptual

frameworks of communities’ developmental processes in an attempt to search for new

insights regarding the role of rituals in these processes. Although electronic communities

(also called online communities, Internet communities, or virtual communities) are in

their infancy, they are predicted to exercise significant power in the future (Bickart &

Schindler, 2001; Hagel & Armstrong, 1997; Venkatraman & Henderson, 1998). Online

communities are among the most trafficked Web sites. For example, statistics have shown

that 6 of the 20 most trafficked Internet domains are primarily community based (Ward,

2000). Moreover, a study from McKinsey & Co and Jupiter Media Metrix (Brown,

Tilton, & Woodside, 2002) found that one third of the visitors to e-commerce sites used

community features such as chat rooms and bulletin boards. Furthermore, these users

make two thirds of all purchases at e-commerce sites. Also, site visitors who contribute to

community features are nine times as likely to come back to that site, and twice as likely

to make a purchase. Even users who read, but don’t participate in, the community

sections of an e-commerce site tend to come back more often and buy more often than

those who do not visit the community features at all. Thus, as the importance of online

communities grows, one of the most profound challenges for marketers is to understand

the dynamics of the relationships among community members and to develop appropriate

mechanisms as part of their business strategies.