Word of Mouth Marketing Influences Business Growth, Says Romil Ramgarhia
The competition in the market is fierce. Businesses are adopting new methods of marketing since having a simple web store is not enough to create an impression. To stand out, you must not ignore any powerful medium to expose the business name. Word of Mouth marketing is one such effective technique with immense potential.
What is Word of Mouth Marketing?
This is a traditional technique when a customer’s interest in a particular brand increase after another person’s recommendation. It is reflected in daily conversations and discussions. A kind of free advertising, this process gets initiated by the customers and their experiences. Companies encourage this further by hosting various publicity activities from the company’s name. The main aim is to facilitate consumer to consumer and consumer to marketer communication.
Romil Ramgarhia says that word of mouth marketing can be emotional, happening on social media through viral videos, posts and buzz. It is a powerful tool and constitutes 92% of advertising. This is impactful when compared to tv or online ads. Working on mouth-to-mouth references promotes seeding. It does not stop at the first conversation. Rather it continues and spreads with other gossip and talks.
Traditionally, this form of marketing spread from one person to another based on recommendations.Modern-day marketing implies targeted efforts and naturally occurring instances. Here, the users share experiences and ideas about a particular company and their satisfaction levels.
Benefits of Word-of-Mouth Marketing
1. Buyers trust referrals
Buyers/customers tend to trust those who provide business referrals. You assume that the person is happy after using those particular products or services. Otherwise, they would not have offered the referral in the first place. According to the reports by Neilsen, 92% of people take suggestions from friends and family members. 74% of consumers identify this method as having a key influence on purchasing decisions.
Hence, the vetted referrals are influential and break down the scepticism people feel before approaching a new brand.
Word of mouth marketing will help your business gain trust from the consumers. A large mass of people does not blindly trust advertisements. Instead, they will find your referrals trustworthy.
2. Drives consumer decision
Since people trust other people, word-of-mouth marketing helps them make important decisions. After brand awareness spreads, the customer can quickly decide instead of suffering from choice paralysis. So, the method can drive decision making in the best manner possible.
Romil Ramgarhia says, “You will gain trust in the company and get satisfactory services. Eventually, you will recommend the brand name to another person. Likewise, the cycle will continue.”
3. Low-cost method
This means of marketing is more cost-effective than online and offline marketing campaigns. Word of mouth marketing is an inexpensive strategy that costs nothing. It only requires the customer to share positive details and highlights about the company. However, it needs to hit the right chord with consumers to ensure amplification. Hence creative communication and execution becomes important, needless to mention the impact of customer service.
Conclusion
According to Romil Ramgarhia, this is how the technique has proved to be a holy grail for marketers. It is a gift that rewards business entrepreneurs in multiple ways. All this is possible by incurring little or no cost by the company. When widely adopted conversations about any brand skyrocket, it reinforces trust and credibility. It reaches the target audience across geographies, and the company can benefit from high ROI.