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Word-of-mouth marketing is a pioneering marketing tactic that is proven to be effective even in the digital world. Consider this: would you prefer to listen to an infomercial person or straight advice from your business mentor? In this post, we'll define word-of-mouth marketing and show you how to use it effectively in your business today.
In this post, we'll define word-of-mouth marketing and show you how to use it effectively in your business now! Let's get this started.
What Exactly Is Word-of-Mouth Marketing?
Word-of-mouth marketing, abbreviated as WOM or WOMM, is also known as word-of-mouth advertising. The natural marketing process is when people initiate conversations about a company's products or services with friends, family, and networks.
Consumers trust their friends 92% more than traditional media, making word-of-mouth marketing one of the most potent types of advertising. Traditional marketing frequently takes the form of paid advertising, in which firms pay to get their brand message get seen by the audience. That is commonly known as 'push' marketing. But word-of-mouth marketing solely depends on organic dialogues and user-generated content to sell your company.
What Is the Importance of Word of Mouth Marketing?
The advertising environment is evolving. Advertisers can't just throw money at TV ad locations and expect it to work. You may be identifiable, but there is no way to create a connection with your clients.
Successful marketing extends beyond the transaction and delights your clients to the point where they will advocate for you — for free (kind of.)
The brand's duty in word-of-mouth marketing is to guarantee that your brand champions are empowered to communicate about your brand, are heard, and are amplified. Finally, people are growing more distrustful of advertising. 90% of consumers are more likely to trust a brand that a stranger has suggested. Naturally, individuals buy from others.
Three Reasons for Using a WOM Approach
Create Brand Equity
A successful word-of-mouth marketing strategy is long-term in nature. It takes time to raise brand recognition, express brand values, impact how your consumers see you and form deeper connections. It is accomplished by focusing on things that do not scale, such as offering exceptional customer service, creating a one-of-a-kind product, or producing an unforgettable user experience.
As a result, brands that have achieved this have developed tremendous brand equity and loyalty. WOM provides much more than monetary worth; it fosters emotional value, trust, and commitment.
Create Connections with Your Audience
A brand that listens is successful.
Two-way contact between the brand and the customer is required for word-of-mouth marketing. The brand must first and foremost listen to what they say to enhance their business to the point where they exceed their consumers' expectations. Customers will rave about your company after you've accomplished it.
Increase Your Profitability
Natural and unforced advertising will eventually produce income. We all know there's always a place for banners and Facebook ads, but few advertising strategies go as close to the bottom of the funnel as a WOMM campaign.
From a content marketing standpoint, sales teams frequently use video case studies and one-pagers to help with the sales process. People want to hear telling tales about how a company has benefited others like them, which isn't precisely WOM.
Statistics on Word-of-Mouth Marketing
Not sure if WOMM is really for you? Here is some recent data that persuade you differently.
- Consumers who receive recommendations from friends are four times more likely to buy.
- 90% of consumers believe recommendations from friends and family.
- Around 74% of consumers say word-of-mouth influences their purchasing decisions.
- Among the top five factors in purchase decisions, consumers seek recommendations before making a purchase.
- Word-of-mouth is 115% more influential on millennials than traditional advertising.
- Almost n83% of consumers say they absolutely or partially believe word-of-mouth recommendations, making them the most trustworthy source of information.
- Word-of-mouth is one of the most important sources of new business for 85% of small firms.
Word-of-Mouth Marketing Varieties
As mentioned, there are many ways to use word-of-mouth marketing. The following are the primary categories:
User-Generated Content (UGC)
User-generated content (UGC) is content developed and shared by customers. It is related to community marketing, in which consumers contribute films, blog articles, podcasts, and images of your products and services. Brands may encourage consumers to produce content by employing the following strategies:
- On social media, they pose controversial queries. In an intriguing approach, invite individuals to contribute their tales, experiences, and ideas about your product.
- Create and foster a vibrant community. Encourage your clients to participate in in-depth conversations using a forum or a Facebook group.
- Have a distinct point of view. You may establish yourself as a thought leader by presenting new and unique ideas that naturally spark engaging dialogues.
Marketing on Social Media
Social media is a powerful platform for executing a successful word-of-mouth marketing strategy, whether it's brand mentions, creating connections with influencers, or managing branded hashtags. Curating and sharing relevant and exciting material is only part of the battle. Here are a few possibilities:
- To find out what people say about your business, use a social listening tool to track every brand reference, tag, product shoutout, and related hashtag.
- Express sincere gratitude for favorable remarks and comments. On the other hand, ensure you have a procedure to handle complaints and unfavorable reviews quickly.
- Spread the good news, reviews, and comments on your accounts to amplify them.
- Create genuine connections with influencers in your field to help spread your message.
Employee advocacy can assist promote your message inside their particular networks if you don't have much social presence. You must do two things to make your staff motivated and active:
- Create compelling material that is both amusing and valuable. Allow them to share something they are proud of!
- Make the process of sharing as simple as possible. Whether you're giving employees writing ideas, assessing their social copy, or utilizing an employee advocacy tool, make it as easy for them to distribute your material as possible.
Word of Mouth Marketing vs. Referral Marketing
Many individuals confuse referral marketing and word-of-mouth marketing. In many aspects, the concepts are very similar. To promote traffic or sales, referral marketing uses a compensated network. Word-of-mouth marketing, on the other hand, is natural.
Putting It All Together
Word-of-Mouth Marketing is an obvious option for any business, but few do it properly. As mentioned in this post, ensuring your brand is shared with the globe requires a fantastic product, exceptional customer service, and community management. Word-of-mouth marketing, whether for a sponge, an automobile, or a cafe, may eventually help you develop your clients into lifelong advocates.
Allow KLB Solutions LLC to assist you.