For the sake of this discussion we’re going to use word of mouth as our key terms.
Sound like a plan?
Great. Glad you agree.
Before we go any further and get started. Here’s why you should read this blog post from start to finish.
- We discuss the facts – statistical data on this form of marketing and why it’s effective.
- Also, how to maximize this type of marketing in your business for new customer acquisition.
Here is some statistical data on word of mouth marketing. You’ll find these enlightening for sure.
- Word of mouth drives $6 trillion of annual consumer spending. (Source: CMO)
- 20% to 50% of purchases are the result of word-of-mouth recommendation. (Source: AdAge)
- 92% of consumers around the world say they trust earned media, such as word-of-mouth or recommendations from friends and family, above all other forms of advertising – an increase of 18% since 2007. (Source: Nielsen)
- 74% of consumers identify WOM as a key influencer in their purchasing decision. (Source: AdWeek)
- 62% of marketers in the U.S. , UK, and Canada are satisfied with the business value of their word-of-mouth marketing campaigns. (Source: Forrester Research)
- Brands that inspire a higher emotional intensity receive 3 times as much word-of-mouth as less emotionally connected brands. (Source: Keller Fay)
- 28% of consumers say word of mouth is the most important factor in strengthening or eroding brand affinity. (Source: Kentico Software)
- 30% of U.S. Consumers rely on word of mouth from family and friends when researching medications. (Source: Orc International)
- Marketing-induced customer-to-customer word of mouth generates more than 2 times the sales of paid advertising. (Source: McKinsey)
Based on what I have just shared with you.
What are your thoughts?
[tweet_box design=”default” float=”none”]I think it’s fair to say word of mouth is without a doubt your most effective form of marketing for new customer acquisition.[/tweet_box]
Wouldn’t you agree?
I would say so.
I touched on this topic a little bit some time ago in another blog post which included some stories that you might be interested in reading.
Recommended Reading: The Secret Sauce in Growing Your Online Business
Just think about your own life for a moment.
How do you find out about a new restaurant that is really good?
So on and so forth.
Word of mouth.
Why is word of mouth so effective?
Because whoever is telling you – spouse, family member, close friend you can pretty much trust with your life.
As a result you take what they say as gospel for lack of a better word.
That is why word of mouth is so freaking effective.
It’s safe to say word of mouth must be
Part of your new customer acquisition strategy
So how do you implement word of mouth or take advantage of it for your small business?
Even though it is hard to quantify, it’s rather simple.
Wait. What did you just say.
[tweet_box design=”default” float=”none”]It’s rather simple to maximize the effectiveness of word of mouth.[/tweet_box]
What do I mean by that?
Everything you do in your business contributes to word of mouth.
- How you interact with your customers.
- The customer experience you provide.
- Whether you always make them feel special.
- You provide prompt, and timely customer service.
- The quality of your product/service is impeccable.
- The vibe you give to your customers.
Meaning you’re genuinely interested in helping your customers with any issues they’re having with your products/services.
You’re not trying to hurry up and go to the next one.
Your customers feed off of that vibe and sometimes that can work against you if your customer detects any form of insincerity.
So, don’t be in a rush.
I thought so.
Let’s continue on. Shall we.
- Treat all of your customers like they’re your kids.
You won’t let anything bad happen to your kids or make them have an unpleasant experience if you can help it.
Think of your customers in the same light.
Trust me if you do that, word of mouth will work like a charm.
- If you’re considering making a change – adding a new product/service. Ask your customers first.
Ask your customers for their thoughts. Let them be part of the process. If you do that, then the statistics we discussed earlier will be blown out of the water.
Remember – without customers you have no business.
- Keep the surroundings/office/website whatever your place of business is fresh.
Always be looking to change things up so you appear up-to-date. If you have an office it should reflect 2016, not 1999.
If you have a blog it should reflect 2016, not 2004.
If you appear up-to-date than that means you’re the one to do business with.
Perception is reality!
Make sense to you?
- Offer new cutting edge products/services that your customers will need or want.
Customers remember that new gadget that was used at their dentist office that improved their customer experience.
As a result what happens?
Word of mouth spreads like wildfire!
Also, who did I say is most likely to be spreading that information by word of mouth?
Spouse, family, close friend.
Which is why word of mouth is so effective for you new customer acquisition plan.
You need to focus on all of the things we’ve discussed today for word of mouth to work correctly.
Word of mouth needs to be emphasized in your customer acquisition marketing efforts.
Can you see how to maximize word of mouth in your business?
Does it make sense to you now why word of mouth is so effective in customer acquisition, even though we live in the digital era?
Do you have a customer acquisition process in place for your business?
Is that process working?
If you could improve that process would you?
If you’re answering “Yes” to all of these questions then my hats off to you. Business must be awesome!
Otherwise you and I should talk. Let’s see how I can get you to where you want to be.