Web 2.0 and the varied technologies that accompany it offer businesses as well as customers opportunities to reach out to each other in ways that were never before possible. It has, in effect, turned the old marketing establishment on its head and created a new world that is characterized by horizontal innovation, absolute transparency and freedom of expression.

The internet is changing at an amazing speed. Understanding and embracing the new rules for Web 2.0 is imperative for any online business to survive and thrive in the next century.

The following 5 rules will help you grasp the Web 2.0 marketing phenomenon.

Rule #1- Maneuver community participation

Connecting with others who share a common interest and interacting with them develops long lasting bonds, not to mention loyalty. Studies show that attempting to directly influence customers has less impact than providing them the necessary support to interact with each other through activities on their brand community. This, in turn, could drastically increase their level of loyalty and commitment.

Marketers need to use this principle as the basis for their online communities. Customers who are already loyal to the brand's products or services will automatically be drawn to the brand's online community and participate in group activities.

This increases their likelihood of remaining attached to the community longer, buying more often and also recommending it to non-members.