Word-of-mouth marketing is a strategy that encourages current customers to tell their family and friends about products they like. The goal for retailers is to create something worth spreading the word about.

This type of marketing generates $6 trillion in revenue for retailers each year. It is estimated that it accounts for 13% of all consumer sales. Shoppers in electronics, groceries, and clothing rely heavily on word-of-mouth recommendations.

Are you ready to capitalize on word-of-mouth recommendations? In this guide, we’ll show you how to use word-of-mouth marketing to boost revenue in your retail business.

What exactly is word-of-mouth marketing?

Word-of-mouth marketing is a promotion that relies on satisfied customers and fans to promote a brand organically. This can be accomplished through various media such as images, videos, vlogs, and so on. 

Word of mouth marketing is an excellent way to promote your product because those who create organic content genuinely care about it. Offering a high-quality product that is easy to capture and describe can sell itself to your customers. This type of marketing is free and can result in additional sales without requiring your staff to do anything.

What Is the Importance of Word of Mouth?

There are numerous advantages to word-of-mouth marketing, but why is it so important? According to SDL, nearly half of all consumers (58%) share their positive experiences with a company on social media.

What exactly does this mean? It means that your customers engage in online word-of-mouth promotion after purchasing from your store or interacting with your brand.

It could be as simple as posting a photo of a package they just received or taking a selfie while wearing your product. They may tag you in a post to express their gratitude or showcase their product.

Customers not only share their experiences, but their networks are also more likely to trust those recommendations. Organic Because word-of-mouth marketing is not forced like word-of-mouth advertising, it is easier to interact with.

As a result, word-of-mouth marketing can be an effective way to help you build your brand and customer base.

The Upsides of Word-of-Mouth Marketing

If you’re on the fence about increasing your word-of-mouth marketing, these benefits will persuade you to give it a shot.

1. Free marketing: Unless you’re doing word-of-mouth advertising, word-of-mouth marketing is completely free. You’ll still need to work hard to get customers and establish a strong relationship. However, their word-of-mouth promotion is free unless you purchase a loyalty app from the Shopify app store. For the most part, if you provide a shopping experience worth talking about, some customers may begin raving about your brand to their friends over time.

2. Increased Sales: You benefit from the additional sales generated by your customer’s free referral. However, you may receive a few sales from the customer who recommended your brand. Why? Because if a customer likes your brand enough to tell their friends about it, they’re likely to keep shopping with you. Discover how I earned $743.65 from a customer loyalty program.

3. Increase brand awareness more quickly: Word-of-mouth marketing includes a viral marketing component. If you create enough buzz around your brand or create an epic experience for your customers, a popular customer may help your brand go viral. When you first start, word of mouth may only result in a couple of sales. 

However, as your brand grows in popularity, you may notice that more people begin tagging friends in your social media posts, forwarding emails to friends, and doing other things. Over time, your brand will grow faster than if you only rely on Facebook advertising or social media marketing.

How Do Customer Reviews Lead to Sales on Shopify?

Word-of-mouth marketing is undeniably effective for retailers.

Here’s how to create your word-of-mouth strategy to generate positive brand conversations, expand your potential customer base, and increase revenue.

Make an unforgettable experience

In the e-commerce business, competition is fierce, and you need to create a great experience for your customers if you want to leave a lasting impression. Customer expectations have risen, and simply having a nice-looking website will no longer suffice. Consider your customers’ entire purchasing experience:

Your online shop: Is the website simple to navigate? Is it compatible with mobile devices? Is the user interface modern and well-designed? Do you accept a variety of payment and shipping methods?

Your Offerings: Do you sell high-quality goods? Are the product description and images easy to understand? Do you have any product feedback?

Connections you make

Do you communicate with your customers in any way? Do you have a loyalty program and award points for special occasions such as birthdays?

There are far more details to the purchasing process than we can cover in a blog post. But our point is that you should not only meet your customers’ expectations but also surprise them with your creativity. These special moments when you go above and beyond prompt your customers to leave a positive review – it’s so exceptional that they feel compelled to share it with the rest of the world.

A reminder message is sent automatically.

A simple message asking for your customer’s feedback and reminding them to leave a review on a platform you prefer can be effective. You can include a small survey in this email asking if the clothes fit, if they enjoyed the shopping experience, if they liked the product, and if they would recommend it to their friends.

Discounts or coupons for future purchases

It’s always a good way to persuade satisfied customers to purchase more in the future. In exchange for leaving a review or comment, they will receive a coupon or discount to share with their friends and family.

Bottom line

Creating a word-of-mouth marketing campaign can help you increase brand recognition and sales. It’s not easy to turn your customers into raving fans. However, you can use the word-of-mouth marketing ideas in this article to help you get your customers talking.