Word of Mouth Marketing Pays Big For Small Businesses

Word of mouth marketing...what would we do without it? Especially in these tough times as small businesses close their doors, word of mouth marketing pays big for business owners who compete daily for new customers just to stay ahead.

I live in a small town in the foothills of northern California. We have a few "box" stores here, but I try to support my local businesses as much as I can. Word of mouth marketing goes a long way in a small town and it pays (especially if I am your customer!)

My laptop took a nose dive last weekend, and I ended up buying a new laptop with upgraded 2011 technology. I could have easily bought the laptop online or at a box store, but based on 'word of mouth' from my mom (she bought the same laptop from a local computer store) I took my laptop into their store for a repair. First, they didn't charge me an arm and a leg just to look at my computer, and they figured out it was a failing hard drive. There was no hard pressure sales to upgrade my laptop (another plus in their favor), but they were running a sale this month on the exact laptop I wanted to purchase - great timing!

This local store gets an A plus - they understand the importance of word of mouth marketing and they practice what they preach. And my mom's "word" goes a long way since she used to teach college computer classes and has been around computers for a long time. As a result of my mom telling me about her great customer experience with this local computer store, I turned into a new customer who bought a laptop from them. That sale was based strictly on word of mouth marketing. Sure, I know about the store since I've had other family members take their computers there, but my purchasing decision was based on the positive experience my mom had with the store.

I'm not putting down box stores, but I've had less than favorable experiences with the larger corporate chains. If anything, these bigger chains could take a page or two from smaller businesses who know how to effectively market via word of mouth.

As a business owner myself, I am really busy so It's nice to know I can go to a local store if I run into any problems with my laptop. Not to mention, they threw in a discount card for their store.

As a result of my positive experience, I plan to write favorable online reviews about this local computer store to help spread the word. As important as social media marketing is for your small business, don't forget about your customers and word of mouth marketing. Look at your reviews online and remember to thank your customers for favorable reviews (and thank them in person too!) Word of mouth marketing could pay big for you in the near future.

I've been fortunate to receive referrals from past clients and landed new clients in the process. 

What has been your experiences with word of mouth marketing? Did word of mouth help land you new customers? Sales?

The Fastest Way to Lose Your LinkedIn Connections

I participate in a lot of LinkedIn groups and moderate industry groups. But there is one word missing from some of these groups lately: "help."  I'm leaving LinkedIn groups because of how many annoying sales pitches that flood the discussion groups. Believe me, I understand how competitive it is right now. But people are going about LinkedIn the wrong way. 

Would you go up to Mr. Joe Smith on the street and say, "Hi, Mr. Smith, you don't know me or know anything about my company, but would you like to buy my latest and greatest product?" You wouldn't do it to a complete stranger, so why are LinkedIn professionals using this same tactic? 

The fastest way to lose your LinkedIn connections is to directly sell to them without FIRST knowing them and building trust. Back in my fundraising days, I couldn't walk into a company and just ask them for a $10,000 sponsorship -  the big suits who write the checks would have been laughed me out of the room. These companies didn't know me nor did they know anything about my cause/non-profit. Why should they invest in my cause? Why should they hand over their corporate dollars to ME and my organization? They shouldn't. 

LinkedIn is about building solid, genuine relationships - it's not about blatantly selling/advertising your products and services. Yes, you can massage the "soft sell" pitch later AFTER you get to know your LinkedIn connections. But if you blast your groups with sales pitches 24,7 and don't actively participate in groups and engage in conversation, I guarantee that people will get turned off and you might even be kicked out of groups. Who wants to be seen as "that spammy salesperson" on Linkedin?

Do not treat LinkedIn as your personal virtual ad billboard. Think about sales basics; it always comes down to putting customers first. Why have LinkedIn users forgotten this simple fact? How can you sell to someone you don't really know? 

Research their profile and get to know more about them - ask questions, find common interests, etc. When was the last time you actually asked your LinkedIn connections how you could HELP them?

What are the 3 easiest ways to HELP people on LinkedIn?

1. Answer questions. Offer your help and expertise to other LinkedIn members. Search for topics that are related to your area of expertise/professional industry. Don't come across as egotistical or holier-than-thou. Be REAL and honest when answering questions - people can spot a fake a mile away. 

2. Participate in groups and offer feedback, advice and if you link to content, link back to your blog and not your website. People don't want to read another sales pitch on your website, but they do want to read information, articles, watch videos, etc. that will make their life easier and solve their problems. Always remember to be professional and courteous. Even if you disagree with another person's opinion, put your best "face" forward. 

3. Get to know people FIRST. After you build rapport and trust, offer them value first. Offer them a free download, report, etc. Think about the sales funnel. Even if people visit your site or blog, they won't opt-in unless you offer them valuable content FIRST.  Don't expect your LinkedIn connections to buy your product or service right off the bat. A valuable freebie allows them to learn more about your products/services. Give them value and they will come back for more (and you will probably make that big sale the next time around).

If you use LinkedIn because you think it's an easy way to sell your products and services to customers, then have completely missed the point behind LinkedIn. You will also quickly lose out on building real, genuine relationships with potential prospects. You put your company brand in jeopardy by coming across as an in-your-face salesperson, and word spreads quickly  on LinkedIn networks.

Your first step to LinkedIn success? Change your sales philosophy. Replace the word "sales" with "help." Offer your help first, and develop trustworthy, solid relationships with your LinkedIn connections. 

 

 

 

 

 

 

5 Steps to Avoid Negative Posts About Your Business

Before social media, a business could still be successful without being perfect. If customers were left unhappy or unsatisfied, then it was unfortunate but business owners didn’t necessarily lose sleep over it.

With social networking, it’s a completely different ball game now when it comes to customer service. With an endless supply of social media sites at their fingertips, the average (and sometimes spiteful) customer can now post scathing reviews that can easily keep away new customers.

If your business and/or employess fail to perform at your customer’s standards, then people will complain – that’s a given. And unfortunately, it’s a possibility that employees will get fired because of these negative complaints. As the saying goes: hell hath no fury like an ex-employee scorned.

It takes more than a few positive reviews online to effectively combat online negativity. Here are 5 easy steps to keep your online professional reputation intact.

#1 Never ignore complaints. All it takes is one negative tweet to that person’s 700 “friends” to bring an abrupt halt to visitor traffic on your site. And remember, people online feel like they have a cloud of anonymity to hide behind, so they won’t hold back. Respond to complaints immediately and always act professional - don't engage in online battles with customers.

#2 Offer compensation to unsatisfied customers. If conducting business with you was somehow an unpleasant experience, make sure you offer them reparation in the form of a freebie, refund, discount, etc. to encourage their future patronage.

#3 Develop a group of positive, loyal customers that are willing to make positive posts about your business. It might seem like cheating, but they are your real customers who really like your business, so why not?

#4 Send small tokens of appreciation to your more loyal customers who post positive comments. It’s amazing how much people value even the smallest gift when it’s unexpected - and it shows you really appreciate your customers' loyalty to your company.

#5 Make sure your terminated employees receive an exit interview. Sometimes employees just don’t work out and need to be let go. No one is more potentially harmful than an ex-employee when it comes to posting scathing comments. Exit interviews are critical, because it gives that person a chance to clear the air and vent complaints. You don’t want a disgruntled employee airing their grievances in a rash of angry tweets or Facebook posts.

Don’t wait until it’s too late. Just one negative post from an angry customer or ex-employee could be your demise. By following these five steps, you’ll always be ten steps ahead of what’s being said about you online.

How to Bring Back the Personal Touch in Your Emails

I wanted to share an example of great customer service and follow-up that happened to me this weekend. It reminds me of how much the personal touch goes a long way. You can't survive with "template" emails anymore. Email campaigns are great but if you forget the personal touch in your correspondence, you are doomed.

I am reading "The Wealthy Freelancer" (every freelancer should read this book). I can't put this book down and wanted to let the authors know how much I loved it. I also tweeted about how much I enjoyed it as well. I received a personal message on my Twitter from one of the authors, and then received a personal email message from the other co-author.

My first thought was: "Wow, these authors really care about their readers and our thoughts!" Not only do they care, but they really appreciated my feedback and took the time out of their busy schedules to respond personally to me. They could have easily sent one of those annoying responder emails: "Sorry, we have too many questions and we might not be able to answer your question personally." That's usually when I opt-out of newsletters or stop subscribing to the website. It's a huge turn off and it makes me wonder if they really care about their customers and clients.

It's also nice to know that Pete Savage and Ed Gandia (the authors who personally responded to me) practice what they preach in their book. Instead of paying lip service, they walk the walk and talk the talk. They really want fellow freelancers to succeed and are REALLY there (beyond the scope of the book) to provide encouragement and support. It made me feel like someone was finally taking us freelancers seriously and that my opinion DOES count!

So what can you learn from this example and how can you apply it to your own business? The personal touch goes a LONG WAY - even if it's just a quick "we haven't touched based in awhile, how are you doing?" email to let clients know you are thinking of them. Instead of blasting out template emails when people send you positive feedback on your website or blog, take a few extra minutes to send a personal email. In this crazy, busy world people still want to feel appreciated and "heard."

You can also take it beyond personal emails with your customers and clients:

• Send hand-written thank you notes and cards for referrals, etc.
• Follow-up with emails that include articles or helpful tips
• Pick up the phone and call them - remind them that you are there for them and ready to help them!