Why Word of Mouth Marketing is still a go-to-strategy for Small Businesses?

Word of Mouth Marketing is a form of promotion where a user of a certain product or service recommends it to others. The traditional form of word of mouth used to happen face-to-face. Lately, though, we have been giving WOM recommendations online too – via social media, forums, product reviews, etc.

It is a process of actively encouraging conversation (either offline or online) about your brand, service, event, etc. There are various techniques that marketers apply to achieve the goal – have people build your brand’s awareness themselves.

Word of mouth recommendations are a powerful tool you can use to drive sales. Websites that feature reviews or ratings influence purchasing decisions – 63% of visitors are more likely to buy after reading one.

Consumer Behavior in Present Scenario

Consumer behavior has experienced a whirlwind of change during the pandemic. At first, customers were uncertain, faced with the new normal of lockdowns and self-quarantine, followed by remote working. Social distancing regulations instantly changed the way people shopped, and businesses were forced to adapt.

So, what changed?

Online shopping boom – From the outset, COVID-19 closed down shops. Businesses who weren’t online had to scramble to set up e-commerce sites and develop a digital marketing strategy. Those that were already online needed to refurbish their sites to ensure an efficient and streamlined customer journey.

New delivery methods – Restaurants, retail stores, and grocery chains needed new ways to reach customers, and to do so safely. One of the most common was curbside delivery, allowing in-store staff to shop for customers and drop off their purchases outside the store.

New purchase priorities – Immediately, essential items like toilet paper saw skyrocketing sales while nonessential goods took a tumble. Businesses had to quickly identify what consumers needed and refocus their stocking efforts to match.

In these VUCA times, people are looking for brands that sell community, not just commodities, and the small business owners can do to promote that, the more likely they are to see loyal customers.

Steps to incorporate the WOMM in your Business

So how can small business owners use this fact to their advantage and create great word-of-mouth marketing?

Use the Care Principle – People want to know that small businesses are putting their health and safety first. Show your customers that wellness is number one for you using social media. In fact, have your people speak about you!

Community Involvement – Customers are interested in not just how they can support local, but how their favorite local businesses are supporting each other as well. Get the message out about how your small business is giving back by posting on social media or pitching a story to radio, print or social media.

Special Offers & Promotions – Providing discounts to healthcare workers? Offering special deals to delivery staff? Providing freebies to BPL population? Those choices can show your customers that you recognize the struggle the community is going through and are willing to take a hit to your own pocketbook to help out.

Conclusion

Even with social distancing restrictions keeping people away from each other, the importance of word of mouth has actually increased during the pandemic and was up by 2% between April and July 2020 over the previous year.

This statistic is made all the more valuable when you consider that “consumer conversations have been shown to motivate 19% of consumer sales.

After all, a customer talking about their experience with you is worth ten times that which you write or say about yourself!