Why is word of mouth important? Consumers trust the comments about a product from their friends. That is why marketing by word of mouth is the most valuable tool that you can get. Although word of mouth is usually in one place, the internet has changed all that.
KEY TAKEAWAYS:
- Word of mouth has the unique ability to increase brand awareness and loyalty than any other ad campaign.
- The oldest and most effective marketing method is word of mouth.
- Word of mouth relies on the casual social interaction between people about your product or brand to promote it indirectly.
Now, thanks to social media, your video can reach millions of viewers at the same time. In addition, those who listen to the video will recommend it to their networks and friends, improving the visibility of your brand or message.
But what makes word of mouth so impactful is the level of trust it possesses. You may want to know more about why trust is important in business. The Nielsen report backed the impact of WOM by stating that 92% of people trust word of mouth above any other types of advertising. So anytime someone hears a friend or family member raving about a specific brand product/service, they will most likely buy it or check it out.
What is Word of Mouth (WOM) Marketing?
Word of mouth advertising is the strategy a company uses to motivate customers to talk about the brand’s products or services. Word of mouth marketing is also the actions of consumers who share their experiences as they recommend others on their behalf.
If you are in Business, WOM means that customers are promoting the product for you. In addition, they are marketing through their networks, which makes word of mouth more effective, cheap, and highly valuable.
When a customer has a good experience after using a product or service, word of mouth is always triggered. So, invest in excellent customer service, gifts, or come up with your way of making the customer appreciate your service.
How Reviews Impact Word of Mouth Marketing
One of the best ways for customers to market your brand for you is through positive customer reviews. Approximately 90% of people read online reviews before purchasing something. Additionally, 72% will only buy a product after reading the reviews. This is why consumers and business owners need to learn how to spot fake reviews.
Insider Tip
Word of mouth advertising is the strategy a company uses to motivate customers to talk about the brand’s products or services.
F.A.Q.S
Is offline word-of-mouth marketing better than reviews?
Offline word of mouth is more credible to consumers than any other form of advertisement.
Even today, with all the social media platforms available, word of mouth is still king, according to most business owners. But, unfortunately, online reviews do not have the same weight as your brother raving about getting the best haircut from a particular barbershop.
Why is word-of-mouth marketing critical in a winning brand strategy?
The experiences and thoughts of other people about your product or service are valuable sources of information. Since people write reviews from a personal perspective, potential customers trust them because they represent independent opinions. Additionally, unlike public product reviews, word-of-mouth recommendations come from a familiar source, i.e., friends and family.
Why should anyone care about word-of-mouth marketing?
Ideas like building an engaging social media ad or using AI in e-commerce seem like options to help you achieve your goals faster. But a good foundation that you can use to build your ideas upon is coming up with a strong word of mouth strategy.
STAT: Word of mouth has the potential of increasing the number of loyal customers to your brand. According to a Wharton School of Business study, referrals are between 16%-24% more loyal. (source)
REFERENCES:
- https://www.investopedia.com/terms/w/word-of-mouth-marketing.asp
- https://en.wikipedia.org/wiki/Word_of_mouth
- https://pubmed.ncbi.nlm.nih.gov/26368303/r
- https://www.researchgate.net/publication/324762036_THE_IMPORTANCE_OF_WORD_OF_MOUTH_COMMUNICATION_ON_HEALTHCARE_MARKETING_AND_ITS_INFLUENCE_ON_CONSUMERS’_INTENTION_TO_USE_HEALTHCARE
- https://journals.sagepub.com/doi/abs/10.1177/0022242921991798
