Word of mouth marketing (WOM) is another name for getting your satisfied customers to spread the word about your small business to their friends and family. Essentially they are marketing your business for free. And because recommendations from other people carry a lot more weight than paid advertising, it’s one of the most effective forms of marketing there is.
WOM increases trust and credibility:
Word of mouth marketing is important for every business, large or small as its a great way of gaining trust and credibility. There’s a ton of statistics out there that prove this point:
- 92% of consumers believe suggestions from friends and family more than they do from advertising.
- 72% of consumers said reading positive customer reviews increased their trust in a business.
- 74 % of consumers said word of mouth was one of the key factors that influenced their purchasing decisions.
WOM builds a sense of community
Another benefit of WOM is that it can create an engaged ‘fan base’ around your small business. And engaged customers tend to be more loyal, buy more and have more repeat purchases than standard ones. Which small business wouldn’t want to encourage that?
WOM is marketing without any spend
As a small business, you probably have a limited marketing budget that doesn’t seem to stretch all that far. But, it doesn’t need to if you can get your existing customers to spread the word. A single recommendation from a satisfied customer can make a huge impact, increasing your sales without any spend.
How to encourage WOM
It goes without saying that you need to always nail your customer experience by providing great and personalised customer service every time. You can also:
- Encourage your customers to share their own content on your business, products or services. This is called user-generated content and it’s incredibly powerful.
- Engage with your fans on social media – this helps build relationships and encourages a sense of community.
- Simply ask your customers to review or recommend your business! The best of these can be developed into testimonials and case studies for your website.
If you’d like any more information on marketing and how it can help your small business, contact us at [email protected] for help.