In almost every industry, referrals are the gold standard of customer acquisition. Research has repeatedly shown that referred leads close faster, buy more, and stay longer — all with significantly less effort and at a much lower CPA than non-referred prospects. A University of Pennsylvania study[1] found that referred customers are more loyal and profitable — by a 16% margin — than their non-referred counterparts.

While word-of-mouth marketing impacts a tremendous amount of revenue for most brands, fewer than 1% of all companies have an actual word of mouth strategy in place. We all know word-of-mouth works, but for it to deliver results, we need to have a strategic plan for it.

In digital marketing where the landscape is changing at the drop of dime, it's important for marketers to lean on proven strategies - like how to create word-of-mouth marketing buzz - rather than staying on top of the latest trend that might negatively impact your bottom line, and eat up many of your resources.

Word-of-mouth marketing is all around us. Whether it’s in the form of reading product reviews or texting a friend for a referral before making a purchase, word-of-mouth marketing strategy now plays a large role in the buying process for consumers and businesses.

For centuries, word-of-mouth marketing (WOMM) has influenced purchasing decisions on everything from buying a new car to restaurant recommendations to software vendors. It’s no coincidence that you and your network share a few of the same favorite things. Who doesn’t love hearing about a great product or service from a trustworthy source? 

Before we dive into this blog post, we have some HUGE news to share: Ambassador has been acquired by West Corporation! via GIPHY We are honored to be partnering with such an established organization. West products and services extend to the customers of most of the Fortune 500. West is owned by Apollo Group, the world’s largest — and arguably most successful — private equity fund.

Word-of-mouth marketing has been impacting businesses for as long as commerce has been around. Especially today, with the prevalence of social media and mobile technology, a brand’s products and services - and value - are a reflection of what customers have to say about them. This is why, now more than ever, it is crucial for marketers to understand and harness the power of authentic relationships through word-of-mouth marketing strategies.