Word-of-Mouth Marketing

Word-of-Mouth Marketing: Definition and Business Applications

May 10, 2023CategoriesTags

When a consumer's interest in a company's product or service is reflected in their regular conversations, this is called word-of-mouth marketing (WOM marketing). Essentially, it is free promotion brought on by consumer experiences, which are typically above and beyond their expectations. 

Through various publicity initiatives put up by businesses or by providing possibilities to promote consumer-to-consumer and consumer-to-marketer communications, word-of-mouth marketing can be upgraded. Buzz, viral, blog, dynamic, and social media marketing are all examples of WOM marketing, also known as "word-of-mouth advertising."

Recognizing Word-of-Mouth Advertising 

Word-of-mouth marketing, sometimes known as "seeding," differs from organic word-of-mouth recommendations of a company's goods and services. Instead, it may emerge from a company's promotion, encouragement, or influence. 

Word-of-mouth advertising includes situations like when a customer has a pleasant dining experience because expectations were fulfilled and tweets about it later or when a user has a terrific product experience and tells everyone they know about it. Additionally, word-of-mouth advertising usually results in other interactions after the initial one. 

A company's support could come in a variety of shapes. But, of course, the ideal strategy is to give people a reason to talk, like exceeding expectations or offering insider knowledge or information about a product. 

Other strategies are offering customers fresh ways to spread the word about a business's goods and services and connecting and interacting with them, such as by providing exceptional customer service. In addition, social media-based customer care, which allows for seamless sharing and promotion, is beneficial.

Advantages of Word-of-Mouth Advertising 

Compared to other kinds of promotion, 88% of people worldwide indicated they trust recommendations from friends and family (earned media). This demonstrates the power of word-of-mouth advertising. 

When customers believe that a business is paying attention to them, they become more emotionally attached to it. Because of this, many companies will have sales reps speak with customers directly or over the phone to solicit feedback about their goods and services. This form of contact can pique interest in a company's product, as can promotional activities. 

The temptation to fake word-of-mouth advertising is vital. So the Word of Mouth Marketing Association (WOMMA) developed an industry code of ethics checklist. As a result, the best word-of-mouth marketing techniques are credible, social, repeatable, measurable, and courteous, and there is no justification for dishonesty. 

Expert in WOM marketing Andy Sernovitz has condensed the WOMMA code of ethics into three essential guidelines to prevent problems: 

  • Tell us who you are speaking for (always disclose a relationship) 
  • Only express what you believe (be honest with an opinion) 
  • Never misrepresent your identity (be open about your identity) 

What Are a Few Illustrations of Word-of-Mouth Advertising? 

Marketing strategies used by businesses to encourage customers to express their levels of satisfaction with their services or goods are referred to as word-of-mouth marketing. These tactics include gifts, competitions, and sponsored influencers. In addition, brand loyalty programs reward customers for returning business and provide them with forums to express user feedback. 

What Is Word-of-Mouth Marketing's Digital Replacement? 

Digital word-of-mouth marketing uses technology, primarily the Internet. Consumers frequently utilize review sites, social media platforms, and blogs to discuss their positive and negative experiences, and these shared testimonies significantly impact what people buy. 

What Is Word-of-Mouth Marketing in the Digital Age?

Word-of-mouth advertising is crucial since it boosts sales, advertises goods and services, raises brand awareness, and cultivates a loyal client base. Many businesses use tactics to encourage customers to share pleasant experiences and endorse their services and products. As a result, companies act as the spark that ignites a flurry of consumer conversation. Since studies show that most people trust the opinions of friends and family, relying on word-of-mouth marketing can be more advantageous and cost-effective than other forms of advertising


Word-of-mouth (WOM) marketing is when customers tell their friends about a product or service they like. WOM marketing is beneficial for organizations since it brings in customers without adding to the expense of marketing. However, companies might actively support attempts at word-of-mouth promotion.

Talk to a KLB Solutions team of professionals to increase the exposure of your business. We are a committed marketing company that can help your business succeed.

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