McKinsey recently published an article on measuring word of mouth marketing. Its a great read on the power Word of Mouth Marketing (WOMM) has on purchases. We found the following paragraph notable:
Indeed, word of mouth1 is the primary factor behind 20 to 50 percent of all purchasing decisions. Its influence is greatest when consumers are buying a product for the first time or when products are relatively expensive, factors that tend to make people conduct more research, seek more opinions, and deliberate longer than they otherwise would. And its influence will probably grow: the digital revolution has amplified and accelerated its reach to the point where word of mouth is no longer an act of intimate, one-on-one communication. Today, it also operates on a one-to-many basis: product reviews are posted online and opinions disseminated through social networks. Some customers even create Web sites or blogs to praise or punish brands.
Such research and praise coming from such a trusted source tells us more brands are seeking ways to leverage WOMM. RevenueNation seeks to offer easy tools for brands to leverage WOMM with a simple, turn-key solution. By empowering our RevenueNation brand advocates to share and recommend brands and product to their followers and networks, Brands benefit from effectively crowd-sourcing recommendations to trusted and trained Brand Advocates that seek out relevant areas to suggest products and services.
As we continue to build out our Nation of Brand Advocates, we hope to provide more insight and data on just how effective this marketing channel is at generating purchases!