As stated in the previous article, referral marketing is an instrument of new customer acquisition, which is carried out through word of mouth, reviews and references from customers.
Personal recommendations are recommendations directly in the circle of friends and in the social environment of the consumers. The greater the trust in the person, the more effective these recommendations are. Personal recommendations are probably the oldest form of advertising and are becoming much more relevant with digitization. It is still by far one of the most familiar forms of advertising.
Customers share their experiences with products and brands online, especially on social networks. Be it through the positive evaluation of a restaurant, the posting of the new shoes or through the reactions to rating portals and price comparison sites. Customers’ opinions on products promote trust in brands and improve website conversions. This does not mean influencers. With influencer marketing, you’re just imitating authentic content. UGC ensures trust and influencer marketing ensures awareness and reach.
There are online reviews for each product. They have become a decisive factor in the customer journey of all industries. People trust authentic reviews from existing customers on the internet much more than any brand communication. The number of reviews also plays an important role in increasing sales.
Free trials have already become standard for digital products, and free trial months are already a good thing in this industry. This trend is also spreading to other industries. Consumers are becoming more and more accustomed to being allowed to try out products before buying. We are developing into a “try-before-you-buy” society. For consumer goods, for example, product transfers in the circle of friends of the target group can be used excellently as an effective marketing tool.
Ratings and comparisons are a special form of referral marketing. These bundle the positive experiences and evaluations of the customers in the form of marketing key figures and thus build trust with the customers. This is especially aimed at customers who do not want to read and compare several hundred reviews individually. Seals on your own website and through clearly bundled customer opinions convince potential customers.