8 Telltale Signs You Need a Word-of-Mouth Strategy [A Checklist]

8 Telltale Signs You Need a Word of Mouth Strategy

The best way to grow ANY business is for your customers to grow
it for you. That’s where word of mouth comes in: customers going
out of their way to tell other people (prospective customers) about
your products and services.

Since the cavemen days, this has been the most effective and
cost-effective form of customer acquisition. Yet today, even though
(and perhaps because of the fact) we are surrounded by advertising
options, we almost reflexively design marketing programs that talk
TO customers, instead of letting the customers talk with each
other.

At Convince & Convert, we believe that every company
in the world could benefit from
a better word of mouth strategy
. But some companies need word
of mouth more acutely. Are you among them?

Here’s our quick checklist that helps determine if you
really need a word of mouth boost:

1. Your Customer Acquisition Costs are Going Up

One of my favorite sayings isn’t ENTIRELY true, but it’s
true enough. It’s from Robert Stephens, founder of GeekSquad:

Advertising is a tax, paid by the unremarkable.

If you have to buy every click, every lead, and every sale you
simply are working too hard to get new customers.

Advertising is a tax, paid by the unremarkable.

Click To Tweet

2. Your Sales Team Has to Tell Your Entire Story, Every Time

This one is more B2B than B2C. If potential customers show up
and don’t know ANYTHING about your company or your offerings,
it’s because nobody told them about you first; they just
parachuted into your funnel, probably from Google. Unless you have
an incredible sales team, those cold leads are the hardest and most
expensive to close.

3. You Have Low Branded Search Traffic

Speaking of Google, if very few people are searching for the
name of your company or your products/services, it typically means
(unless you’re new) that you have insufficient awareness and
brand-name demand. That can at least partially be solved with a
strong word of mouth strategy.

4. Your Budget Allocation is Lopsided

A report from Adobe said that approximately 80% of the average
B2B company’s revenue comes from existing customers, in some
form. Yet, those companies spend approximately 2% of total budget
on
customer experience
and customer service — the very things
that create word of mouth and referrals.

If your marketing and operations budget for customer acquisition
is dramatically larger that the budget for CX and retention, you
probably need better word of mouth.

80% of the average #B2B company’s revenue comes from existing
customers.

Click To Tweet

5. You’re Losing Deals on Price

If your potential customers are looking at you vs. competitors
and consistently going with the lowest price, you aren’t giving
them anything psychological or emotional that justifies the
economics. This is one of the great benefits of word of mouth
strategy: real people make recommendations that make it okay for
other people to make a purchase.

Look at Peloton, the wildly popular exercise bike/treadmill and
online classes system. Peloton word of mouth is so strong, it’s
almost cultish. But the raving fans are what powers the brand.
Taken out of context, and absent that word of mouth, it would be
tough to justify the expensive bike + the ongoing fees.

6. You Don’t Have a Consistent Differentiator Bubbling up in
Social or Reviews

One thing we know to be true is that competency doesn’t often
create conversation. Customers expect you to be competent, so
meeting that expectation isn’t particularly talkable. What
creates word of mouth are elements of your experience that are
OUTSIDE the norm; things customers do not expect.

When you have something like that (we call it a
talk trigger
, and have a whole strategy system for creating
them for our clients), it shows up consistently in social media,
and
online reviews
.

For example:

Have you ever been reading something and you
read it like 6 or 7 times and you have that revelation that
you’ve been reading the same page over and over and haven’t
comprehended anything. And then you realize its the Cheesecake
Factory menu and your whole table’s pissed at you

— Bert Macklin (@NighthawkSmash)
December 25, 2018


(here are a bunch of others)

7. You Have Poor Social Media Engagement

There can be other reasons why your social media is mediocre or
worse. But one consistent element of companies that have strong
word of mouth is that their organic social gets engagement.
Customers WANT to interact with the business, and they WANT to tell
the story to their friends.

8. You Have High Employee Turnover

Like social
engagement
, there can be other culprits here. But, we find that
companies with strong word of mouth have a culture aligned around
the customer experience, and making it talkable. It’s no accident
that those businesses also work hard to create an outstanding
experience for their personnel. This is all about the values of
company leadership, ultimately.

Because if your employees aren’t your biggest
advocates, you have problems much bigger than word of
mouth.

It’s possible to have strong word of mouth without a great
corporate culture, but a lot less likely.

So there you have it: our checklist for whether
you need word of mouth in your business
. If we can help you,
ask us for a free call to discuss.

And, we have two Webinars next week (no cost) on this topic.
Tune in!


How to Grow Your B2B Business Without Wasting Money on
Ads


How to Grow Your B2C Business Without Wasting Money on
Ads

The post
8 Telltale Signs You Need a Word-of-Mouth Strategy [A
Checklist]
appeared first on Convince and Convert: Social
Media Consulting and Content Marketing Consulting
.

http://bit.ly/2H43ekZ