Envision a typical scenario: Julian contemplates purchasing a tumbler. Upon sharing his intended purchase with a friend, the friend advises a superior alternative. This casual conversation sways Julian’s decision, and he opts for the recommended tumbler.While this may seem like a straightforward illustration, it underscores the potent influence of word-of-mouth in everyday consumer choices. To capitalize on this, investing in word-of-mouth marketing is crucial, a strategy designed to foster positive discourse about your brand.Discover the profound impact of this marketing approach by exploring our compilation of 51 compelling word-of-mouth marketing statistics!Additionally, for more insights into digital marketing, subscribe to our Marketing Manager Insider newsletter, and have valuable content delivered directly to your inbox.Are you pondering the effectiveness of word-of-mouth marketing? You’ve likely heard anecdotes similar to Julian’s, yet you seek empirical evidence.In essence, word-of-mouth marketing is exceptionally effective due to its trust-building nature. Consumers tend to place more faith in peer recommendations than in brand communications.
Here are some statistics highlighting the impact of word-of-mouth on consumer behavior:
92% of consumers trust recommendations over a company’s messaging.
Nearly 83 percent of consumers trust recommendations over branded ads.
Globally, 88% of people trust personal recommendations the most of all channels.
Recommendations are trusted by 50% more people than other channels, such as banner ads and SMS messages.
70% of consumers believe the opinions of other consumers.
Word-of-mouth marketing is 37% more effective in retaining customers than other advertising methods.
73% of Millennials feel accountable for guiding friends and family to the right purchases.
People discuss brands an average of 90 times per week.
73% of online shoppers agree that user-generated content boosts their confidence in purchasing decisions.
These figures underscore the significant role word-of-mouth plays in consumer purchasing patterns and its potential impact on your business’s bottom line.
These statistics illustrate the profitability of word-of-mouth marketing for your business:
Word-of-mouth marketing generates twice as many sales as paid ads.
20% to 50% of purchasing decisions are influenced by word-of-mouth.
Influencer marketing yields an ROI of $6.50 for every dollar spent.
Friend referrals increase the likelihood of a purchase by four times.
Referral programs generate substantial leads for 60% of marketers.
For 78% of B2B marketers, referral programs produce good or excellent leads.
Referred customers contribute 25% more to a company’s profit margins daily than non-referred customers.
Referred customers have a 16% higher lifetime value than non-referred customers.
These figures are undoubtedly impressive.However, how can you cultivate this word-of-mouth? Word-of-mouth manifests in various forms, but online reviews are among the most prevalent.
Customers rely on reviews as a pivotal component of their decision-making process, making it imperative to encourage and manage your reviews as part of your word-of-mouth marketing strategy.
Below are statistics that demonstrate the importance of reviews for businesses:
93% of buyers read online reviews first.
91% of adult consumers under 35 trust companies with positive reviews.
59% of people use Google to find reviews online.
73% of consumers prioritize reviews from the past month.
Online reviews dissuade 94% of people from engaging with a business.
Online reviews alter 80% of shoppers’ purchase decisions.
Local companies receive an average of 39 reviews.
97% of consumers read local business reviews.
74% of local businesses have one or more reviews on Google.
A company’s star rating matters to 54% of U.S. shoppers.
Products with at least 50 reviews generate greater returns.
A trusted review makes 92% of B2B buyers more likely to purchase.
When local businesses request reviews, 68% of consumers comply.
Reviews, alongside social media, are pivotal channels for word-of-mouth marketing. The era of in-person recommendations is fading as customers now share their experiences on platforms like Facebook, Twitter, Instagram, and beyond.These social media statistics reveal how frequently brands are discussed and the role social media word-of-mouth plays in consumer purchasing decisions:
Friends’ social media posts sway 81 percent of people’s purchasing decisions.
Social media offers 80% of users advice on product purchases.
78% of social media users discuss brands they follow.
53% of U.S. users share positive social media comments about companies.
35% of U.S. users share negative social media comments about companies.
65% of TikTok users enjoy seeing creators share brands or products.
TikTok creators assist 35% of users in discovering brands and products.
Discussing social media word-of-mouth, it’s impossible to overlook the influence of influencers. Influencer marketing has surged in popularity, and for good reason. Explore these word-of-mouth advertising statistics to understand the impact influencers can have on your business:
8-10% of consumers are considered “influential.”
Influencers’ product and brand opinions significantly influence purchasing decisions four times more than other consumers’ opinions.
Brand reposts of influencer content outperform the brand’s original content by 10 times.
84% of marketers engage in influencer marketing.
81% of marketers find influencer advertising effective.
Using influencer marketing on Twitter increases purchase intent by 5.2 times.
The ROI of influencer marketing is 11 times higher than other Internet marketing strategies.
49% of people use influencer recommendations when making purchases.
While influencer marketing is a powerful tool for digital marketers, a comprehensive word-of-mouth marketing strategy must also consider customer service.Positive word-of-mouth for your business hinges on delighting your customers. Every interaction with your company presents an opportunity to leave a lasting impression, encouraging customers to share their experiences with friends and family.These statistics demonstrate how customer interactions influence word-of-mouth:
94% of those with a “very good” customer experience are likely to recommend the company.
72% of consumers discuss positive experiences.
46% of people talk about negative experiences.
76% of those with a “friendly interaction” with a brand on Twitter are likely to recommend the brand.
82% of those with an “unfriendly interaction” with a brand on Twitter are unlikely to recommend the brand.
A personalized interaction with a brand on Twitter results in a recommendation from 77% of people.
These 51 word-of-mouth marketing statistics highlight the strategy’s importance for your business. Are you ready to embark on a word-of-mouth marketing journey?Every digital marketing channel offers an opportunity to generate positive word-of-mouth. To leverage the power of recommendations and encourage brand discussion, begin with a robust digital marketing strategy.Ensure a cohesive, delightful customer experience across your website, social media, and other online touchpoints. Learn how to create a meaningful customer experience across all channels with our free digital marketing guides.Our guides cover topics such as:
Enhancing your online presence
Executing social media marketing
Search engine optimization (SEO)
Web design
And more
After reading the guides, you’ll be well-equipped to delight your customers online and earn the positive word-of-mouth necessary for business growth!
