Especially when you are starting a new business, word-of-mouth referrals are extremely successful in aiding developing your business and your brand.
Obviously having a great product/service is essential in spreading a shoot of word-of-mouth referrals, the other understandable thing is the great customer service. But aside from the noticeable techniques to start a word-of-mouth, there are various methods that you can do.
Why is it important?
- 76% of consumers recommend a company they trust to their friends or colleagues.
- 92% of consumers will act upon recommendations from friends and family over any other form of advertising.
- 88% of people trust online reviews written by other consumers as much as they trust recommendations from personal contacts.
The Types of Word of Mouth
- Experiential:This happens when a customer experiences a product or service firsthand and offers their feedback. According to McKinsey, this first type encapsulates between 50-80% of WOM interactions.
- Intentional:This WOM concept covers campaigns like paid celebrity and influencer endorsements. This method isn’t implemented as much because of its difficulty to track and measure effectively.
- Consequential:This WOM type is generally a customer’s response to your brand’s marketing initiatives. According to McKinsey, brands often see better results from consequential WOM marketing than from direct advertising.
How to increase the Word of Mouth
1- Offer Referral Bonuses
Offer a bonus that’s time-bound — say, a two-week window — with a specific discount or gift offer. That way, your customers can take a couple minutes to think through who could use your service and make introductions right away.
2- Make how you would like referrals clear
Simply asking for referrals leaves too much up to your customers’ imagination. Have a specific process in place.
3- Engage Your Online Ambassadors
Pay attention to customers who share your products on their social media networks. Send surprise gifts or discounts when someone mentions your products.
4- Partner With Industry Influencers
Another way to tap into WOM marketing is to reach out to top bloggers. Tapping into an influencer network is a key way to get high-quality reviews written on your products so that more customers can discover your brand.
5- Do something unexpected after the engagement
Even if your relationship with a customer has at some point hit a snag, the last impression you leave with is often the longest lasting.
5- Automate all reminders and referral processes
While dealing with everyday crises, onboarding new customers, and dealing with a thousand other things, it can be easy to lose track of referral processes. Make sure that your CRM or calendar generates reminders to get everything you need out at the right time.