By: Larry Dickman, TAB facilitator and Coach
The “Cheesecake Factory” depends on word-of-mouth advertising. It’s been their primary tool for building business since beginning in 1978. When it comes to marketing and advertising, there’s great value in having customers share their emotions and experiences about a great company, product, or service. There’s no better sales tool than having a satisfied customer inspire another with a word-of-mouth referral.
The cost of a word-of-mouth referral is insignificant compared to the value generated. While traditional advertising methods can be very expensive, a referral costs very little. Receiving referrals means you’re already doing a good job. Well-trained team members provide great products and services with exceptional customer attention, done fast and consistently. With a little extra effort, and having fun in the process, word of mouth can bring bottom-line results.
Here are five fun tips to increase word of mouth marketing results…
Give something first. Compliment, comment positively about them or their business, offer a referral, make a purchase. Demonstrate that you’re willing to help build their business before you ask for their help. Word of mouth advertising is a sharing proposition. “I’ll refer business to you, hopefully, in exchange for you referring business to me.”
Ask with enthusiasm (not just your customers) … You’re not imposing. You’re excited, enthusiastic, passionate about your business. Get in the habit of asking everyone for referrals. People you do business with; Friends and relatives; People you meet socially. Being direct and excited will inspire referrals and referral marketing is a win-win-win. The person referring looks knowledgeable and caring. The person being referred feels connected like they have an inside track. You win with new business.
Eat lunch. Share a meal or cup of coffee with someone you just met. Ask and learn about their business and what kind of referrals they would want. Here are questions that will help you make better referrals: How you differ from your competition? What do you offer that’s unique in your field? How do you add or increase value for customers? Who is an ideal referral customer for you?
Follow-up as a reminder; re-contact; reset. This is the opportunity to solidify a relationship. Develop a strong referral source by reminding them how you might help each other, regularly. Consider using a notebook or software to keep notes on prospects and referrals. Thank referral sources, even if the referral didn’t result in business. You want them to refer again.
Collect and share testimonials. Document, videotape, record the positive comments you receive. Share them in e-mails, or on your website. Hearing comments from other customers helps prospects connect the dots, “That’s the same problem we’ve been having. Sounds like a great solution!” It gives a face (or voice) to the words. Real people using real words… instant credibility.
Referrals get results and are less costly than traditional marketing/advertising tools. With more attention and some fun, use more referral marketing to add to your bottom line.