Modern Word-of-Mouth Marketing: Advantages and Techniques

This Guest Post is by Tara Hornor of Creative Content Experts

There was a time when word of mouth marketing could only move at the speed of human speech. Business owners handed out stacks of business cards to customers for their referral program. Neighbors leaned over fences to discuss the finer points of various products and services. Life was about keeping up with the Joneses. Oh, how times have changed.

Radio and television sped up this marketing technique significantly. Word of mouth marketing grew exponentially as use of the Internet became more popular. Now word of mouth marketing moves at the speed of social media, which sometimes seems faster than the speed of light.

Consumers are more likely to make a purchase or use a service if the product or service has positive reviews from family members, friends, acquaintances, even fellow consumers who are otherwise strangers. While word-of-mouth marketing sometimes just happens, there are a few techniques you can employ to help encourage and speed up the process.

Here are a few of the advantages of Web and social media powered word-of-mouth marketing follow by some useful tips to help you get the most out of your efforts.

Can’t Avoid Word of Mouth Marketing

Studies confirm that word of mouth marketing drives 20-50 percent of purchase decisions. First time purchases are especially affected. Purchases that offer a higher risk benefit the most from word of mouth exposure because consumers have much more at stake. For example, if your company is new, try to get some reviews of your products. This acts as a word of mouth reference for peers.

Consumers trust friends more than ad campaigns. Of course, circles of trust now include virtual friends as well as real friends. Word of mouth marketing offers businesses a host of tangible benefits, including:

Stand Out in the Crowd

Consumers are faced with abundant choices. Everyone is competing to be heard. Word of mouth marketing silences the competitors more easily by using trusted recommendations. This is where reviews, Twitter tweets, and Facebook posts about your products and services are priceless.

Leverage Authorities

Savvy business owners who cultivate and nurture relationships with influential bloggers and commenters can leverage their authority. With the right tools and incentives, businesses can turn influencers into brand advocates. Having an influencer who authentically puts their weight behind your products and services can easily be the difference between a sale and a click away from your site.

Speed Up Sales

Word of mouth marketing enables consumers to decide faster. Input from trusted sources allows consumers to put aside any reservations and take a chance on a new product or service. Instead of “thinking about it” and maybe coming back to your site, with some word of mouth support an immediate sale is far more likely.

Modern Word of Mouth Advertising 101

The Internet offers an almost infinite number of hubs for virtual meetings to occur. Today’s version of the “fence out back” encompasses the entire world. Businesses can create virtual storefronts and communities for visitors to socialize in. The corner store has now housed itself in social media. Businesses can easily build brands by following a few simple word of mouth marketing techniques:

  • Put audience interests in the forefront by engaging them with interesting posts and updates.
  • Use photos and videos to show audiences, instead of telling.
  • Design all content around the interests of the target market, focus on their agenda, nor yours.
  • Show people using products, not just product still life images.
  • Integrate reviews, likes, shares, and tweets from various social media resources.
  • Encourage customers to write reviews on your site as well as via review sites such as Yelp.
  • Provide incentives for reviews, both negative and positive, such as a discount or free gift.
  • Make sure to include negative reviews with the positive, as this validates reviews.

Bonus resource: If you want more info on how to engage “influential talkers,” here’s a useful educational video via WordofMouth.org -> Ant’s Eye View’s Jake McKee on how to work with influential talkers

The typical social media user has an average audience of 100 or more. For the average person, that’s 4 times the immediate influence than in days gone by. Word travels much faster than it used to. Therefore, get customers excited about and involved in your company by engaging them on social media sites, your website, and blogs with interesting and helpful information.

Social media tools provide an excellent vehicle for businesses to connect with more consumers more efficiently. The modern water cooler conversation now takes place on social media sites and through product reviews. So get involved with your customers on these sites and be a part of the conversation. As the buzz around your business grows, keep an eye out for an increase in sales to increase alongside of your success with word of mouth marketing.


Tara Hornor has found her niche writing about marketing, advertising, branding, web and graphic design. She writes for PrintPlace.com, a company that offers online full color printing for business cards, catalogs, posters, brochures, and promotional postcards. Connect with @TaraHornor on Twitter.

Roger McNamee Sees a Future that Empowers Content Creators

Thanks to a tweet by thought-leader, publisher, Tim O’Reilly, I was drawn to a video interview and then a TEDx talk from last summer, both by the very successful Silicon Valley venture capital investor and real life touring rock star, Roger McNamee. Both videos (and soon my concise video commentary via TheTVNews.tv) are embedded below for your viewing convenience.

Bottom line, McNamee illuminates, among other things, why HTML5 is so important and how Microsoft, social media, and I say traditional network TV, are all on the decline. In their place there will be a wave of “highly differentiated content,” and the thusly-empowered creators of this new breed of content will quite literally own their own stores—and, just to be clear, those are media “stores.”

In other words, as if we couldn’t already, HTML5, iPads and mobile distribution will enable those of us with our own “bands” (teams & other creative resources) will be able to seize the controls of our own destiny, in the web sense at least. (And, along these lines, I love McNamee’s concept of “full contact investing” where he uses his rock band’s marketing as an experiential testing ground.)

Obviously, content marketing has laid some of the ground work here, and so has blogging. But his vision is bigger than that.

Content creators with the hutzpah and the resources to develop real destination websites can include new, highly integrated forms monetization to produce extraordinary opportunities in the very near future. The time is now to act on these phenomenally potent changes. Please watch the videos below to understand more.

I’ll certainly be doing my best to do so as well as to educate you how to take advantage of these changes via NewMarU.com. So please STAY TUNED! 😉

If you prefer to read a text summary of some of McNamee’s key points, check out Facebook Investor Roger McNamee Explains Why Social Is Over

Here are the videos:

The first is via Sarah Lacy’s PandoDaily blog and this post:
Roger McNamee on the New Web: “Everything That Mattered Over the Last Eight Years Won’t Matter Anymore”

And the other video is Roger’s TEDx Santa Cruz talk (where he even paces like a rock star)
entitled, “Disruption and Engagement”

Please let me know what you think, via the comments below or any other channel. Are these insights useful to you?