Word-of-mouth marketing, also called referral marketing, is a form of brand promotion, which consists of advertising made by consumers to other people. This network of contacts and referrals allows purchasing decisions to be made quickly regarding new products or brands.
It is one of the most credible forms of promotion, as it is not done in exchange for money or any other direct benefit to those who promote it.
One of the biggest challenges for entrepreneurs when using word-of-mouth marketing is to understand how it works and how to put it into practice to benefit the company, and that’s exactly what you’ll learn next.
What is word-of-mouth marketing?
Word of mouth marketing is the translation of buzz marketing, which was a tactic used in the US to promote a brand through “noise”, “buzz” and indications.
The tactic is opposed to mass dissemination, which is a traditional advertising strategy, and understands that the message, when delivered to each individual consumer, is more effective, as it makes the language personal and personalized.
It is one of the most effective methods. It is economical, because it allows you to reach the target audience precisely, and spreads the message in the same way as viral marketing, always multiplying if the product honors the offer.
What are the benefits of Word of Mouth Marketing?
You’ve probably already bought a product or service and liked it so much that you recommended it to someone, right? You may not even have realized it, but this is a representation of word-of-mouth marketing.
One of the main advantages of this type of marketing is the shortening of the user’s purchase journey. If the potential customer already had some interest in your product or a similar one, when they receive a recommendation or indication, their purchase decision is quickly made.
In addition, word-of-mouth marketing provides:
A satisfied customer tends to refer your business without asking for anything in return. A simple indication in a bar conversation between friends and family, for example, can be worth gold.
With the recommendation of your product by other users, they end up becoming voluntary sellers. It looks magical, right? But that’s how it works!
When you maintain a relationship with your customer and value the quality of your product, the comments will certainly be positive, including on social media.
It is possible to segment campaigns and target content to a specific audience, which, consequently, will be replicated to a similar audience.
This will be influenced by how you drive your customers and your company’s brand awareness.
When referral marketing happens, there is a demonstration that the customer believes in your product. This recommendation from a close, trusted person, such as friends and family, is usually more effective than a promotion made by the company itself.
This type of marketing has amplified power in the current scenario where people are connected through social networks and can reach thousands of users on the internet, bringing an expressive ROI and increasing reliability for the company.
Increase in sales
With the disclosure by its brand advocates, who are its satisfied customers, the number of sales tends to grow. This is due to reliability and recommendations.
In some situations, to close a sale, all it takes is a “little push”, and word-of-mouth marketing performs this role masterfully.
Who has never looked at the reviews or ratings of a product on the internet or asked a friend a question before making the purchase? This action is great.
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What are the best tips for using word-of-mouth marketing in your digital business?
Consumers and customers are daily bombarded with mass-communication such as flyers, banners, pop-ups, advertisements, and advertisements. Because of this, they are increasingly likely to hear the opinion of other users, and if they are acquaintances or friends, even better.
Although there is no recipe for applying word-of-mouth marketing, there are practices that can be adopted by many entrepreneurs:
Transparency is quality and also a consumer’s right when buying a product. When advertising a product, it is of the utmost importance that he honor the ad, otherwise the referrals made will fall apart.
Appreciate the quality of the product and be transparent with the consumer. Don’t promise x and y if you can’t deliver, as the effect of negative word of mouth can certainly be catastrophic.
Prioritize your customers’ experience
Serving customers well, in many cases, can result in new referrals as well as increased user satisfaction. As much as some dissatisfied customers comment negatively on social media, it is important to maintain control and not go to war with them.
Knowing the customer journey is one of the tactics that allow you to predict and adapt the user experience with your brand. All leads’ contacts with your company must be exceptional. They must be delighted with your company, from the commercial service to testimonials for your landing page on social networks.
Have quality content
This is valid for all company communication channels, such as blogs, social networks, and courses. The adopted message must be adapted to the persona so that the chances of sharing are greater.
The published content must also be of quality and transparent, from the writing to the theme addressed with content marketing in mind. Choose a language close to that of your audience, so that they feel welcomed by the company.
When creating content, be creative and innovative, giving the customer what they need to know about your product and your company objectively, but remember not to run away from what interests your persona.
Stimulate the interaction of your customers with your company
Your customer’s interaction with your company is a key factor for word of mouth to work and be positive. To encourage this, you can create hashtags for your customers to use on social media, for example.
A good practice is to promote campaigns to post photos of your customers as a form of gratitude. Then, encourage your customers to post pictures of them receiving the product or using it.
Plus, monitor and track all your customers’ comments and interactions, reciprocate feedback, answer questions, and appreciate compliments. This attitude demonstrates empathy and affection for your customer and helps in loyalty.
Don’t ignore negative feedback
With the increasingly intense use of social networks and platforms, such as Reclame Aqui, publicizing and viralizing a complaint or experience is getting easier every day.
No matter how hard an entrepreneur tries, negative comments can arise at any time. At these times, it is important to solve the problem as soon as possible and make it clear that, despite having had a failure, your company remains present to satisfy the customer and minimize the pain.
And remember: these mistakes should be used as learning, doing everything to avoid them in the future.
Take advantage of the Reclaimed Aqua response space, for example, to transform a detractor customer into a brand advocate and, in certain cases, other people can see the comment and understand the human character of your management (or that you are not only focused in cash).
Invest in your team
Your work team is your company’s contact with your customer. Therefore, it is important that it be a united team and aligned with the culture and mission of the enterprise. From this, the chances of employees themselves becoming advocates for your brand is greater.
It is also important to invest in your team’s knowledge and prepare them. For this, there are two options:
- hire experienced employees, who have knowledge about the areas of operation;
- train your employees to improve skills and add knowledge.
Over time, this investment will yield a positive return, making your team more efficient.
Digital influencers have a robust audience and influence different market niches.
In this way, choose some influencers correctly to promote your brand. Keep in mind that the chosen one must have an audience similar to your persona. If they are different, your strategies will not be as effective as they could be.
In this post, you learned that customer appreciation for your brand increases word-of-mouth marketing and builds loyalty, creating true brand advocates.
In addition, increased sales are a direct consequence of a well-planned and executed strategy. So, put the tips in this content into practice and become more remarkable to your audience every day!
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