You’ll be surprised at the amount of business that can be generated by something as simple as a referral.
Oscar Wilde once said: “The only thing to do with good advice is to pass it on. It is never any use to oneself.”
This is more than true in the business world, especially for SMEs. Word of mouth (WOM) is a brilliant way to drum up business and acquire new customers.
Why is WOM so effective?
It’s simple; people naturally trust their family, friends and colleagues’ recommendations. When a business is in need of a product or service there is nothing better than someone close recommending a company to satisfy this need.
When a business is in need of a service or product choosing a company can be stressful, so many questions circle in our minds: Is this a trustworthy company? Am I getting value for money? Will the service I receive be satisfactory? With WOM all of these worries are eased, not only is the referrer a trusted individual but they have experienced the service/product they’re recommending first hand.
Who benefits from WOM?
Every single business and person involved will benefit.
The person who has recommended a company will benefit as they will have strengthened their relationship with two separate businesses. A business referral is always appreciated.
The business in need
As mentioned above, receiving trustworthy advice relieves stress, time and worry. When a company discovers they have been referred they will make extra effort to live up to expectations, guaranteeing a great service.
The business being referred
The business providing the service/product will have the chance to work with a new customer. Their aim would be to satisfy the needs and expectations of this customer in order to build a strong business relationship.
Spread the word
So what are you waiting for? If you know someone in need of a product or service, recommend a company who has provided you with a great service.
It works both ways, when you have provided your customers with an outstanding service; encourage them to spread the word about your business.
WOM is a very powerful method of generating business, make the most of it.