Even in an age of high-tech
communication, the most powerful and effective means of
generating new business is also the oldest:word-of mouth.People
naturally turn to trusted friends or colleagues for
recommendations regarding product or service providers.You've
probably used it yourself when searching for a mechanic, making
major purchases, or weighing an outlet to promote your small
business.
And because word-of-mouth referrals are free, you can't be
the return on investment that a positive referral can generate.
While a successful word-of-mouth marketing chain can
sometimes start on its own, don't assume that the phone will
start ringing off the hook.Any successful marketing
tool—word-of-mouth included—requires a proactive, patient
approach to ensure that the right message gets to the right
people.
A good way to get started is to create a simple marketing
message that is easy for people to pass along. If it's not
simple, it won't pass the test. But make it specific to a real
benefit or need, not something vague or general. If you can,
include success stories or testimonials from real customers.
These can have a tremendous pass-along impact.
To stimulate word of mouth, you might also consider asking
customers for referrals and recommendations. And put your
networking efforts into high gear. If you network and get to
know people in your community or industry, they will think of
you when they need your product or service. Join networking
groups and local business organizations, and attend conferences.
Donating your products or services to local charities can
generate goodwill and get your name around.
Consider introductory discounts or free samples. People are
more willing to try a new product or service if they can do so
economically. Many small companies have jump-started sales
through carefully controlled giveaways.
Above all, perhaps recognize that people will happily spread
the word about your business if you treat them well. Tales of
negative experiences or poor performance can be difficult to
correct once they are passed on.That's another important reason
why it's important to continually provide superior service,
address problems quickly, and anticipate your customers' needs.
Those are the things they'll remember—and talk about.
To learn more about marketing your small business, contact
SCORE "Counselors to America's Small Business." SCORE is a
nonprofit organization of more than 10,500 volunteer business
counselors who provide free, confidential business counseling
and training workshops to small business owners. Call
408-288-8479 for our SCORE chapter in San Jose, or see our
website at
