Word-of-Mouth Marketing: A Low-Cost Tool to Drive New Business

Traditional advertising can be very effective at bringing in new business. It can also be very expensive. If your business doesn't have the budget to run a fancy ad campaign, don't despair. There is another proven method to promote your product or service: word of mouth marketing. In this video, we'll cover three ways you can use word of mouth to grow your business. Referrals can generate new business at little or no cost to you. One of the keys to generating referrals is to ask for them. The best time to ask for a referral is when your customers are feeling most satisfied with your brand or product. Consider asking your customers to refer a friend immediately following a purchase or after a positive social media engagement. Perhaps just as important, you shouldn’t ask for a referral out of the blue or after an unpleasant interaction, as this could appear pushy and generate ill will towards your business. Social media has greatly increased the power of word-of-mouth marketing because people can now talk to lots of other people all at once. A recent study showed that people are 71% more likely to purchase based on social media referrals. To encourage social media discussion about your business, make sure you have a presence on one or more of the key social media sites. On your company pages, make it clear what your company vision is, as this can help you stand out against competitors. Add posts on a regular basis, such as pictures or videos of your products and helpful tips on how to use them. To broaden your brand awareness, ask loyal customers to like and share your posts with their friends. The best way to get customers talking about your business organically is by giving them an experience that they’re excited to tell others about. For example, after a customer completes a transaction, consider surprising them with a special gesture like a handwritten thank you note or by offering a small discount if they purchase again within a specific timeframe. This will remind them to tell their friends about their positive experience in doing business with you. If you have a social media page, encourage customers to join it and post about their experience with your business. Word-of-mouth marketing can be a very effective, low-cost tool for generating new business. Follow these three tips and watch your business grow. For more ideas to help make your business successful, visit Santander Business First at business hub dot Santander Bank dot com.