Word-of-mouth marketing (affectionately known as WOMM) can determine the success or failure of your business. It has the power to build you up or tear you down faster than a reality TV star. If you execute word-of-mouth marketing effectively, you’ll practically eliminate the need for an advertising budget. Your customers will become your advocates, sharing tales of your exceptional service at every gathering imaginable, which surpasses any billboard advertisement.
The widespread popularity of platforms like Yelp, Angie’s List, and even specialized ones like Healthgrades for the medical field highlights the enduring significance of traditional word-of-mouth. Although anonymous online reviews are abundant, discerning users recognize that these reviews can be manipulated or fabricated, making personal recommendations still the most influential form of endorsement.
The WOMM wombat shares its opinions with friends
At its core, word-of-mouth marketing leverages the satisfaction of your customers to promote your business. The objective is to deliver a product or service so exceptional and fulfilling that customers can’t resist spreading the word to friends, family, colleagues, and even the friendly stranger they encounter daily.
Imagine customers enthusiastically handling your marketing efforts! However, they’ll require some guidance, particularly in today’s digital landscape where word-of-mouth marketing has undergone significant evolution. Traditionally, it referred to verbal endorsements, but today, it encompasses a broader spectrum:
Facebook likes
Twitter mentions
Reviews on platforms like Amazon, Yelp, and similar sites
Customer testimonials
Blog posts
Brand mentions
Online forums
And, naturally, good old-fashioned conversations
Word of Mouth Marketing Statistics
The effectiveness of word-of-mouth marketing is well-established; it’s a fundamental aspect of marketing. However, if you need to persuade colleagues or acquaintances, here are some compelling statistics from a study done by Lithium.
92% of consumers place more trust in recommendations from friends and family than any other advertising method. [Lithium]
20% to 50% of purchases originate from word-of-mouth recommendations [AdAge]
Only a mere 10% of consumers place their trust in brands. [Lithium]
70% of consumers consult online customer reviews before making a purchase decision. [Lithium]
81% of consumers are influenced by what their friends share on social media. [Lithium] These figures present a compelling argument in favor of word-of-mouth marketing. So, how can you tap into this potent force? Let’s explore the possibilities.
5 Steps to Enhance Your Word of Mouth Marketing
Word-of-mouth marketing isn’t a magical solution for instant results; it’s a continuous process with substantial rewards, provided you’re willing to put in the effort. Embark on this rewarding journey by following these five steps.
Step 1. Exceptional Service, Exceptional Staff: Give People a Reason to Rave
Word-of-mouth marketing thrives when brands prioritize customer satisfaction. This means delivering an outstanding product or service coupled with exceptional customer service. While a strong product is crucial, it’s equally important to have a top-notch team interacting with customers.
A picture of genuinely content staff [Image via reedigitalphotos.net] Honestly, positive human interactions are what truly resonate with people. In a world often plagued by subpar customer service, encountering exceptional service feels like a breath of fresh air. This holds particular significance when marketing local businesses.
Step 2. Embrace Uniqueness: Let Your Distinctive Qualities Shine!
One effective way to generate word-of-mouth buzz is by making your business truly stand out. There are various approaches to achieve this, such as offering:
a unique, one-of-a-kind product
a distinctive and appealing company culture
innovative and imaginative marketing campaigns Consider the example of Old Spice. They generated significant word-of-mouth marketing with their “The Man Your Man Could Smell Like” campaign, which we’ve previously discussed in the context of successful YouTube advertising. Sometimes, embracing a touch of unconventionality can yield remarkable results.
Being different, whether quirky or nerdy, has its advantages. Well, maybe not so much during adolescence… While it’s cost-effective to be different solely for strategic purposes, if your business genuinely possesses a unique company culture or an unconventional brand identity, don’t shy away from showcasing it! People gravitate toward authenticity, and you’ll attract followers and word-of-mouth attention simply by marching to the beat of your own drum.
Step 3. Establish Yourself as an Industry Authority
If you want people talking about your brand, position yourself as an industry thought leader! This demands considerable effort on your part. You’ll need to actively engage with prominent figures and key players in your industry while staying abreast of the latest news and trends. Once you possess a deep understanding and unwavering confidence, start sharing your own insights and predictions based on industry patterns. However, ensure you can back up your assertions with solid evidence!
It’s not the easiest path to take, but the long-term benefits of becoming an industry leader are well worth the dedication and hard work. When people begin to view your brand as a thought leader in your field, you’ll find yourself inundated with more word of mouth marketing than you can handle.
Free Guide: Step 4. Cultivate a Positive Reputation
People value businesses that operate with integrity and fairness. Steer clear of shady tactics. Instead, build your reputation by treating your customers with respect and delivering on your promises. Don’t attempt to exploit them, and they’ll express their gratitude in return.
Avoid resorting to deceitful practices with your customers
Step 5. Foster an Active and Engaged Social Community
You can also nurture word-of-mouth marketing by cultivating a close-knit online community. Here are some effective strategies to build a thriving online community:
Encourage open and meaningful conversations
Organize engaging contests
Host events both online and offline
Implement customer loyalty programs The most successful word-of-mouth marketing powerhouses convince consumers that by choosing their product, they’re making a statement about themselves and joining an exclusive group. Passionate enthusiasts might even refer to their beloved brands as “family” as certain products or services become intertwined with their identity.
Original Comic Con photo by Scott Sebring Achieving this level of devotion isn’t a walk in the park, but cultivating such unwavering loyalty is the ultimate marketing triumph. So, how do you reach that pinnacle? Well, creating a sense of exclusivity is crucial for developing a strong community. A community is defined not only by its members but also by those who are not part of it. However, this doesn’t mean you should immediately erect barriers to entry; finding the right balance is essential. You want to be welcoming to everyone while reserving a special embrace for a select few. Your community shouldn’t aim to appeal to the masses; instead, it should cater to a specific niche.
Some brands have mastered the art of leveraging the “community” aspect of their product. Let’s delve into some outstanding word-of-mouth marketing examples from brands that are truly excelling in this domain.
Word of Mouth Marketing Examples
Certain brands manage to cultivate a following bordering on cult-like devotion. What’s the secret sauce behind their success? How do they achieve such remarkable results? Let’s investigate.
Jeep
Jeep has solidified its position as the vehicle of choice for adventure enthusiasts, those who prefer not to be confined by something as trivial as designated roads.
Even more remarkably, Jeep has successfully positioned itself as the quintessential American brand. As Globe and Mail (interestingly, a Canadian news website) points out: Jeep resonates with the deepest, most powerful aspects of the American spirit. Americans embrace the notion of possessing qualities that set them apart – ruggedness, toughness, individualism, resourcefulness, capability, straightforwardness, and an indomitable spirit. Jeep directly taps into these admired traits that Americans hold dear…Jeep embodies the essence of American identity.
Spotted on the street while writing this post. Observe the prominent American flag. A prime example. Many Jeep owners strongly identify with this subculture of adventurous individuals and will readily explain why Jeep reigns supreme.
Zappos
Zappos is another company with an exceptionally loyal customer base. If you ask Zappos enthusiasts why they love the brand, their response will likely revolve around the company’s unparalleled customer service.
Zappos prioritizes customer service, training their call center representatives to be responsive, helpful, and genuinely human in their interactions. They take pride in offering round-the-clock customer service through US-based call centers, free of charge. It might not sound groundbreaking, but this level of service is a rarity in today’s business landscape. Just recall your last encounter with Comcast’s customer service (it’s alright, we’ve all been there; take a deep breath and reach for that stress reliever). There are countless stories of Zappos employees going above and beyond for their customers. One heartwarming anecdote tells of an employee who, upon discovering a delayed return shipment due to the customer’s mother’s passing, sent flowers to the grieving customer instead of an invoice. It’s this genuine empathy and concern for customers that has propelled Zappos to its current success. Zappos also understands that content employees translate into satisfied customers, which is why even entry-level call center staff are treated to company perks. They’ve cracked the code on how Zappos incentivizes workers and strive to make the workplace feel like a second home for their employees. Zappos exemplifies how a positive company culture naturally fosters word-of-mouth marketing.
Craigslist
Craigslist might be the most extraordinary word-of-mouth marketing success story. Its website design is remarkably minimalist, devoid of unnecessary bells and whistles. Craigslist doesn’t even have a logo. And their advertising budget? A grand total of $0. It’s so basic and unassuming that its design alone might raise suspicions, resembling those dubious Angelfire-style websites from the internet’s early days.
Instead of prioritizing revenue and ROI, Craigslist is laser-focused on its users. As CEO Jim Buckmaster notes stated, “Our sole focus is on addressing our users’ needs. That’s how we prioritize. Since our users haven’t requested ads, it’s not something we consider.” From a traditional business standpoint, this approach might seem absurd, but it has earned Craigslist immense admiration for staying true to its mission of “connecting the world for the common good.”
By adhering to its minimalist approach, Craigslist has become a household name, amassing over 50 billion page views per month users while relying solely on word-of-mouth marketing. Although Craigslist is an exceptional case, it highlights how redirecting resources and efforts toward fostering word-of-mouth marketing can benefit any brand. Businesses that prioritize building strong word-of-mouth often find themselves spending less on advertising. They’ve essentially created a self-sustaining marketing engine.
Etsy
Etsy holds a unique allure as an alternative to the mass-produced goods that dominate the market.
Just one example of the delightful items available on Etsy The platform markets itself as a haven for those seeking one-of-a-kind, handcrafted items that reflect their individuality. This strategy capitalizes on the growing desire among consumers to break free from mass consumerism and express their unique personalities. Similar to Craigslist, Etsy prioritizes word-of-mouth over traditional advertising. CEO Rob Kalin notes aptly stated: “When you offer a service that ignites enthusiasm, people become natural advocates and spread the word. If we were to invest in flashy magazine ads or television commercials, it would fundamentally alter how people perceive our company.” This doesn’t mean you should immediately abandon your advertising budget, but it emphasizes the importance of finding a balance. Your business will thrive by focusing on enhancing customer experience and building a strong community rather than solely relying on widespread advertising.
JetBlue
JetBlue receives rave reviews for its exceptional treatment of passengers. While other airlines nickel-and-dime travelers for in-flight entertainment, refreshments, and meals, JetBlue provides these amenities complimentary while maintaining a positive and customer-centric approach.
Often, it’s the small gestures that make a significant impact, and JetBlue has gained substantial word-of-mouth traction by demonstrating acts of kindness toward its passengers.
Word of Mouth Marketing: Unleash Its Power for Your Brand
Word-of-mouth marketing is an incredibly effective tool, but mastering it requires effort. To ignite customer enthusiasm for your brand, you need exceptional service, a unique identity, a stellar reputation, and a thriving community. Above all, prioritize your customers and consistently exceed their expectations. Surpassing their expectations will turn them into passionate advocates, spreading the word about your business far and wide.