What is Word of Mouth marketing and how it can increase your sales

word of mouth marketing

A guest post by Shivani Goyal. 

Word of mouth marketing has produced miraculous results in boosting sales and overall business productivity in comparison to other marketing strategies.

A marketer performs all the promotional activities and goes beyond his limits to fetch customers, because he knows marketing is run by and for the customers. During the process, he may waste a lot of money on useless efforts, which could take him nowhere. He might be doing everything, but still getting something or maybe nothing productive.

Word of mouth marketing is the crux solution of all his marketing efforts in such a scenario. At least he is sure to some extent that his customers won’t disappoint him. Trust is the base and foundation for a word-of-mouth marketing strategy. You trust your customers, and the potential customers trust your customers who become referrals.

Who is the catalyst of the word of mouth marketing?

Your customers are the catalysts to boost your marketing strategies. They are the ones responsible for bringing in potential customers.

Word of mouth marketing is a never-ending cycle where your loyal customers promote your product through talking about your brand, and the potential customer might be doing the same with his friends or acquaintances.

Now that you have got a bit of an idea of what is the word of mouth marketing. Let’s jump over to the word of mouth definition.

Word of Mouth definition

Word of mouth marketing is the motivational boost a loyal customer gives to his friend or acquaintances. It raises a brand value and enhances awareness amongst potential new customers.

It can also be spread publicly through the activities undertaken by the brand on social media. Many times the companies encourage the customers to promote the brand by creating specific contests or giveaways.

Advantages of the word of mouth marketing:

  • Affinity: Trust plays a pivotal role in word-of-mouth marketing, as we discussed above. People usually trust their friends and acquaintances before they decide to buy a product. Your loyal customers influence potential customers and bridge the gap between you and them.
  • Accessibility: Previous marketers used to incorporate a calling strategy to pull in customers, of which many people just block the number or put in a do not call registry. Word of mouth marketing is the best way to reach such people via social media and referral programs.
  • Long-term value: Your loyal customers intuitively board on to promote your brands. Potential customers trust them blindly because they know the reviews are coming in from a close friend or an acquaintance. They have already seen the results, and therefore have more chances to stick by the brand than they do through other means.
  • Low-cost strategy: Your customers are your ultimate brand ambassadors. They are already doing promotion on your part, by unconsciously raising your brand value by telling the brand’s USPs to potential customers. Compared to traditional promotional methods, word of mouth marketing is inexpensive, as you can easily promote through email marketing campaigns and social media where you access to more potential customers at a lower cost.
  • Brand value: Established brands have worked hard to get to this point. Brand awareness comes more naturally with a word of mouth marketing strategy. Existing customers create positive feelings amongst potential customers about your brand. They spread useful tips, articles and information through social media posts, enhancing your brand value.

Why is Word of Mouth marketing important?

Word of mouth marketing is an inevitable and essential marketing strategy which a marketer must never ignore. Let’s see what makes it so essential and crucial:

Recurring cycle: Word of mouth marketing is a recurring cycle with repeating events. Suppose a customer gets plenty of benefit from your product for many years. He would repeatedly pass on what he thinks of it to his friends and acquaintances. As well as promoting it physically, he can also talk about it on social media.

Ways to promote a brand:

  • Brag it: Customers have a habit of bragging about their latest stuff on social media. Whether it’s buying their favourite dress or popping over to their favourite destination. All this helps spread the word about your brand. This bragging becomes word-of-mouth marketing.
  • Tagging:  You can ask the customers to tag your brand through running a contest, or ask them to refer to the brand by reporting customers’ catchy offers in return.
  • Create a buzz: If you are promoting a brand on a massive level, create a buzz around the product. Present the USPs of your brand and the unique experience a user can receive from it, and how it differs from other products.
  • Long-lasting trust: You can never achieve customer trust in only one day. The process takes time. You have to serve them unconditionally to win their loyalty. Only loyal customers give recommendations. According to survey statistics, 92% of people believe in advice from their friends, and 72% of people believe in social media posts.
  • Gain customer loyalty: Be loyal to your existing customers so they stand by you in every scenario. Serve them unconditionally by hearing and solving their queries, thereby improving customer service, which helps gain customer loyalty. The same applies to potential customers, good reviews provide a positive signal. They believe the referral and they retain the same loyalty as your existing customer does.

Types of Word of Mouth marketing

  • Buzz Marketing: Word of mouth marketing can be extended through other marketing strategies which are, in a way, another type of word of mouth marketing. Word of mouth marketing compels the consumers to spread awareness about the product. Buzz marketing uses online traffic to boost sales. Also a brand can hire influencers to create attention-grabbing content such as popular videos carrying some humour or valuable information.
  • Viral marketing: Viral marketing is like a virus which is contagious and spreads quickly. An example is a video which carries unique or awful content which soon becomes the talk of the town. You can create exclusive content regarding your brand and ask your influencers to spread it. It works better if it’s funny, as people relate to it and share it more and more.
  • Blog marketing: Bloggers or vloggers are playing an essential role in spreading awareness about a brand. You can collaborate with any blogger or a vlogger who is willing to post videos and content about your brand. They share positive things about their experience with it. Remember to collaborate with famous vloggers who are already popular amongst potential customers.
  • Social media marketing: Social media has already become a hub for successfully promoting products. When people read shared posts from someone whom they relate to, this gives them an idea of the brand when they listen to reviews from people they know.

How Word of Mouth marketing boosts sales

Watch out some of the best ways to enhance and boost your sales through word-of-mouth marketing:

1. User generated content

User-generated content on social media never disappoints your targeted customers. Users share their first-hand experience, which is honest:

  • Content indicates the excellent quality of the brand.
  • The videos boost sales by 20%.

How can you generate content?

  • Create a unique hashtag related to the content created by your customers.
  • Give your customers some incentives for sharing video clips or pics on social media, such as discounts, offers or gifts.
  • Remember to put all the content on your social media profile or website.

2. Share customer reviews or comments

Half of the population trusts customer reviews and testimonials as much as they trust their friends and acquaintances. Testimonials are evidence which show other potential customers they have used the product and gained a lot of benefit from it. It’s a reassurance it is safe to buy.

You can post these reviews and testimonials on your website’s pages, such as the homepage or landing pages.

3. Give incentives to customers

It’s a good idea to give your customers some sort of benefit or motive to encourage your customers to refer your brand to other users. They would be delighted to receive them. Customers usually like getting discounts on their favourite products. So, offer them either a free product or a product with catchy discounts.

4. Create a referral program

You can create a referral program for known referrals and referrers. This helps spread your word of mouth easier and quicker. Remember to track the referrals and understand the results of your campaigns. You can automate the incentives given to both parties with the help of automated software.

5. Connect with the influencers

Influencers are keen personalities who have already built their reputation in the market. People listen to what they say and believe them, because their word of mouth means a lot to them. As a result if they recommend a product, this means it must have a unique value.

  • Create a contact by tagging them.
  • Feature them in your products.
  • Ask the users to try your products for free.

6. Provide a unique experience

Last but not least, offer your users a unique experience to make sure they remain loyal to you. Give them something memorable, and they will stick to your brand.

For example, Fab bag offers an exclusive range of beauty products to women. You simply have to buy a year’s subscription to receive a cute bag containing exquisite makeup products every month at your doorstep. It also includes newly launched beauty products. Women simply adore them!

Similarly, photo-sharing contests on Instagram are one of the big things which are quickly accessible on social media. Customers share their photos with brands and tag the product, which catches the attention of potential customers.

These unique experiences add a thrill and excitement in a user’s life, which makes them feel attracted to your brand.

Conclusion

These are some of the highlights in word-of-mouth marketing to boost your sales. Apart from all this, you can provoke emotions out of the customers, which will help you strengthen your relationship with them and enhance your sales too.

About the author

Shivani GoyalShivani Goyal is a content writer at InviteReferrals. She writes SEO articles, blogs, and guest posts for businesses to improve website ranking on SERP. Shivani follows a balanced approach for the quality of content and its marketing. She loves to do creativity, although she had an English major in her graduation.  

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