Word of mouth marketing: what it is and why it is so important
Posted: Sun Dec 15, 2024 7:15 am
Take a minute to think back to the service providers you frequent most in your day-to-day life: your favorite gym, internet provider, streaming services, and brands you trust.
Now, how many of them were won over by advertising? And how many did you frequent because your peers, family, or even just an acquaintance recommended them to you? There’s a good chance the answer is the latter, because, let’s face it, everyone has had personal experience with these brands, meaning their opinion is likely to be more credible and less biased.
A survey by GlobalWebIndex indicates that word of mouth (WOM) marketing is one of the top five ways customers discover new brands, ranking fourth behind Google, digital ads, and TV. Even when customers discover brands through ads and TV, up to 74% still give word of mouth more probative value than other sources in their purchasing decisions.
So what's all the fuss about word-of-mouth bulk sms australia marketing and how can such an incredibly simple strategy impact your bottom line? Here's what you need to know.
What is word of mouth marketing?
Word of mouth is a form of marketing that relies on personal recommendations from satisfied customers to promote a product or service.
Unlike traditional advertising, where marketing messages are generated by the company itself, word of mouth is done by customers, making it a powerful marketing tool as it is more reliable and credible than conventional advertising.
Why is word of mouth important in marketing?
Last year, businesses and their marketing departments spent over $146 billion on advertising in Europe across digital and traditional media. That translates into thousands of ads competing for the attention of the same type of customers. Combine this with the current climate of media skepticism and you can see why paid ads are no longer as effective as they once were.
On the other hand, word-of-mouth marketing relies on the strength of pre-existing trust . There are no sales targets involved, meaning there are few or no sales barriers.
Typically, the person telling a good story about your business and the potential customer have established a relationship beforehand. When they recommend a product or service they have used and love, the potential customer is easily receptive. This “trust factor” is precisely why word-of-mouth should be a priority when designing your marketing strategy.
Now, how many of them were won over by advertising? And how many did you frequent because your peers, family, or even just an acquaintance recommended them to you? There’s a good chance the answer is the latter, because, let’s face it, everyone has had personal experience with these brands, meaning their opinion is likely to be more credible and less biased.
A survey by GlobalWebIndex indicates that word of mouth (WOM) marketing is one of the top five ways customers discover new brands, ranking fourth behind Google, digital ads, and TV. Even when customers discover brands through ads and TV, up to 74% still give word of mouth more probative value than other sources in their purchasing decisions.
So what's all the fuss about word-of-mouth bulk sms australia marketing and how can such an incredibly simple strategy impact your bottom line? Here's what you need to know.
What is word of mouth marketing?
Word of mouth is a form of marketing that relies on personal recommendations from satisfied customers to promote a product or service.
Unlike traditional advertising, where marketing messages are generated by the company itself, word of mouth is done by customers, making it a powerful marketing tool as it is more reliable and credible than conventional advertising.
Why is word of mouth important in marketing?
Last year, businesses and their marketing departments spent over $146 billion on advertising in Europe across digital and traditional media. That translates into thousands of ads competing for the attention of the same type of customers. Combine this with the current climate of media skepticism and you can see why paid ads are no longer as effective as they once were.
On the other hand, word-of-mouth marketing relies on the strength of pre-existing trust . There are no sales targets involved, meaning there are few or no sales barriers.
Typically, the person telling a good story about your business and the potential customer have established a relationship beforehand. When they recommend a product or service they have used and love, the potential customer is easily receptive. This “trust factor” is precisely why word-of-mouth should be a priority when designing your marketing strategy.