“We don’t need to do any marketing. We get all our work through word of mouth!”
“We don’t need to do any marketing. We get all our work through word of mouth!”This is something we hear regularly and we absolutely agree that word of mouth marketing (WOM) can be highly effective, but let’s look at why marketing is essential to small businesses, even if most of their business comes via this route.
A few stats about word of mouth marketing
- 88% of people trust recommendations from friends and family
- 40% of Gen Z trust recommendations from their inner circle
- 99% of B2B sales are impacted by some form of WOM marketing
Brand control and positioning
When someone talks about your business, you have little control over what they say. You don’t know how they describe you and whether they communicate your key strengths effectively. Marketing, particularly your branding and storytelling, helps you shape the perception of your business in the eyes and minds of prospective clients.
WOM gets people looking, not buying
Someone talking positively about your business will get others looking at you. They’ll visit your website and check out your social media posts. It may even get them to pick up the phone and start talking to you. What it doesn’t do is get them to sign on the dotted line.
The marketing messages and stories they see and read on your website move them through your pipeline. The content on your LinkedIn/Instagram/Facebook (*delete as appropriate) supports your sales process, taking them closer to signing. Your sales team hands them the pen!
WOM is inconsistent
You also have no control on when people are going to talk about you and generate the next lead for you. Word of mouth marketing is inconsistent and may leave you rushed off your feet at times and twiddling your thumbs at others. Supporting this marketing channel with other marketing activities helps to smooth out the peaks and troughs in your sales pipeline.
What are your competitors doing?
Word of mouth marketing will keep feeding your pipeline, but if your competitors are doing more marketing, they will be getting noticed by the people being referred to you. Your competitors will make it onto the shortlist and are likely to take some of the business that should have come your way.
Marketing, such as search engine optimisation (SEO) and other digital channels, keeps your brand out there. It ensures you are seen alongside your competitors and that people are seeing what makes you the right choice.
WOM doesn’t build long term relationships
Word of mouth marketing gets you in the door. It gives you the opportunity to make that first sale, but that’s it.
Marketing builds the long-term relationship that generates more sales, particularly the other products or services the client doesn’t initially buy from you. Email marketing is a great tool for this. Your account managers may do some of communication work, but there is only so much of their time available.
Expanding Reach Beyond Your Current Network
When you move into new markets or start selling new products/services, Word of mouth marketing will not be enough. Nobody knows you in the new markets. Nobody knows what your new products are like.
Other marketing channels, such as search engine optimisation, social advertising and direct mail can help you break into the new markets, WOM can then follow on and help you build that market.
Are you amplifying your word of mouth marketing?
Most small businesses leave WOM to its own accord. They wait for the introductions and referrals to come in, but rarely ask for them. Asking for introductions, for referrals and for reviews/testimonials helps in two ways:
- It provides you with the reviews/testimonials that are a core part of the proof you need to convert WOM opportunities into sales.
- Asking for introductions keeps your advocates aware that you are always looking for more.
Email marketing and social media are great ways to amplify your word of mouth.
So, even if word-of-mouth drives a large portion of your business, marketing is necessary to ensure long-term growth, control your brand narrative, maintain consistency, and compete effectively in your current, and new, markets. It complements word-of-mouth by reaching new customers, reinforcing relationships, and helping your business thrive in an increasingly competitive market.
If you would like some help building a marketing programme that supports and enhances the results of your word of mouth marketing, call us on 020 8634 5911 or book a meeting here.
