What is Referral Marketing?
Referral marketing is the act of using word of mouth, testimonies, and recommendations from existing?customers?to attract more customers. According to Jim Rohn “One customer, well taken care of, could be more valuable than $10,000 worth of advertising.” This implies that an efficient customer relationship can improve the business’s sales and attract more customers.?
Encouraging your customers to share reviews about your product among friends and on your website is one of the ways to improve your marketing. However, it is important to note before a customer would share positive remarks about your product, some level of satisfactions must have been derived. With referral marketing, you convert your existing customers into brand advocates.?
Let’s play a short game.
You want to get a product, and fortunately, you know one or two people who have used the product. But each said you should keep your money. While deliberating on this, you came across a compelling sales letter about it. It persuades and nudges you to go ahead and buy. Whose testimony would you believe??
Every day, thousands of people share reviews of products they use with friends, family, colleagues, and partners. This simple act can create the desire to buy or not in the listener’s mind. We are more influenced by customer reviews, recommendations, testimonies, and posts than by the business brand or sales letter. This is why referral marketing remains an effective marketing tactic.?