Find out more about successful franchise digital marketing with our sequence of free e-books and templates.
Download our FREE ebook
Find out more about successful beauty salon digital marketing with our sequence of free e-books and templates.
Talk to Dani
Hi, Thank you for taking interest in talking to me. You can either schedule a call with me here or send me your query through the contact form and I will reply to you as soon as I can. Thanks and speak to you soon!
Dani Peleva,MD | Local Fame
Why Is Word of Mouth Marketing so Important?
by Local Fame on
Word of mouth marketing is having a new heyday since the advent of the Internet and social media.
It would be a mistake to gloss over word of mouth marketing as something which happens between people over their garden fences...
After all, “viral” content is essentially word-of-mouth marketing taken to an extreme level.
But beyond the initial exposure to your brand, there are several reasons why having a word of mouth marketing strategy is a good idea for any brand:
What is word of mouth marketing?
Word of mouth marketing (sometimes referred to as WOM marketing or WOMM) is the way a brand's products, services or actions encourage people to spread the word of the brand organically. WOMM is also a free form of advertising. Past whatever costs the initial action has, promotion of the brand happens through individuals who are willing to use their own social currency to promote yours. The only potential downside of word of mouth marketing is that it can also be caused by negative products, services or actions. This is why it's so vital to keep your customer service levels as high as they possibly can be. Jeff Bezos's famous Zappos brand has essentially made this the basis of their entire marketing strategy. It works!
Why is it different from referral marketing?
Referral marketing is word of mouth marketing on a more focussed, targeted level.
Instead of acting, speaking or serving your clients in a certain way and gently encouraging word of your deeds to spread, you target specific individuals and proactively encourage them to refer you to their friends.
This usually involves things like referral codes or vouchers to incentivise the referral process. In a way, referral marketing is a kind of WOM marketing.
In another way, it's completely different.
Why is having a word of mouth marketing strategy important?
There are several reasons why a word of mouth marketing strategy is good for your business:
1) You build trust
People trust their friends. If your friend tells you something is good, you are more inclined to try it for yourself – even if you normally wouldn't.
According to Nielsen, 92% of consumers believe their family and friends over other advertising
Even anonymous reviewers are believed 70% of the time – which means people trust potentially fictional strangers over your advertising
This is the major element of human nature which WOMM strives to take advantage of.
2) You encourage loyalty
Customers who have had your brand recommended to them by a friend are more likely to stay with you than those who haven't.
Goethe University did a study on the subject which seemed to show that people are around 18% more likely to stay with a brand that people in their peer group or friendship circles use.
It might be the continual reinforcement of the initial trust and belief in the brand that their friends' recommendation sparked. It might be subtle peer pressure or herd mentality to “be like everyone else.”
But the loyalty-enhancing effects of word-of-mouth recommendations have been proven to exist.
3) You make people talk
Sometimes called “buzz” or “spreading brand awareness”, planned and unplanned WOMM advertising events can get people talking about your business.
Plan to take advantage of every opportunity:
Offer fantastic products and service – and encourage your customers to show off what they do with them.
Provide great customer service – and be seen to be doing so. Know that every interaction you have online can potentially be a public relations disaster – or a gold mine.
In the interconnected world of today, where a single comment or experience can go viral if it's picked up by enough people, having a word of mouth marketing strategy is more important than ever before.
Do you find word of mouth marketing more like a game of Chinese whispers?
Local Fame helps franchises of all sizes create their word of mouth marketing strategy and execute it. Contact us today and tell us about your current WOMM woes.
Engage with your audience via multiple channels to send the most powerful message. Different channels allow you to engage on different levels while still keeping your message strong. Combine the following ideas into a cohesive strategy and make sure you’re conducting truly cost effective franchise marketing: 1.Display Advertising and Pay-Per- Click Advertising (PPC) Paid advertising…
All of the most successful franchise marketing plans have certain things in common. Avoid common mistakes and get the best results with your new plan by making sure that you: DOs 1) Have multiple smaller goals within your overall plan Achieving the overall goal of your franchise marketing campaign – which as always, should be…
Consistency gives your brand the power of being recognisable. Picture any of the biggest franchise names in the world. You’ll instantly be able to describe their logo and some of their values. Why? Because you’ve been consistently exposed to those values every time you come across one of that franchise’s locations, whenever you’ve seen their…
Use this list of prime franchise advertising locations to make sure that you’re promoting your franchise using the maximum number of channels. You might also find some locations that you hadn’t previously considered… Not every channel should be weighted the same in terms of budget and use, and some channels might be unsuitable for your…
‘It is not the Event, but how you React to it, that determines the Outcome’ Epictetus The Event Recent events around the global pandemic have undoubtedly changed not only the business environment, but the one that we exist in. More than half of humanity is under lockdown and in some form of working from home….