You’re Not Competing In The Category You Think You Are! (The 5 Steps to Category Identification)

The first step of any business is to identify the category in which they are competing. This may surprise you, but you’d be amazed just how many brands are not in the category they think they are. When was the last time you checked how your customers saw you?

Just think about the consequences of an incorrect attribution; you would be concentrating on competitors that your customers never compare you with! And you would waste resources defending yourself against the wrong brands. Talk about squandering valuable resources! That’s why I decided to dedicate a whole post to this important topic.

But before I get started, I suggest you first read the post (Customer Centricity is Today’s Business Disruptor, Insights its Foundation) as background information. In it you’ll discover the full description of the seven steps of the CATSIGHT™ process, which I know will also be useful to you. In the article, I summarise the very first step of Insight development, that of category definition, like this:

C = Category

Whenever you want to develop an insight, the first task is to decide on the category you want to study. This may seem obvious to you, but in many cases, it isn’t as clear as you might have thought.

For instance, suppose you are planning on launching a new fruit-flavoured soft drink. You may think that you are competing with other juices or perhaps other soft drinks. But rather than just assuming the category in which you are competing, I highly recommend that you check; you may be very surprised.

Identify the category by zooming in

In working with one client who was in this exact situation, we actually found that their main competitor was an energy drink!

The reason for this was because this category is seen as being for lively, energetic, fun-loving people who need a boost. Whether this comes from the caffeine of an energy drink, or from the added vitamins and minerals of real fruit juices, which was my client’s offer, it didn’t seem to matter.
If we’d only looked at other fruit-flavoured soft drinks, we would have missed a whole – and much larger – segment of potential category consumers. By starting our analysis as wide as possible by looking at all beverages, and then slowly zooming in as we learnt more, we were quickly able to discover this perhaps surprising positioning for the new drink.
This shows the power of taking the consumers’ perspective, especially when segmenting a market. But more about that in a moment. 
The above example is a great start. But so many clients ask me to help them with their own category definitions, that I decided to detail the five most important steps in defining your category, so that you can do it for yourself for each of your brands and products.

Step 1. What is the category definition you are currently using? 

In any process, we should always start by identifying where we are today. In the case of your category definition, it should be the … Click to continue reading

How People Recognise Brands: I Can Guarantee It’s Not What You’re Thinking!

How do you think people recognise brands? And yours in particular? Is it by its logo, its colour, its pack, its jingle? Well, you may be surprised to learn these are all only pieces of the puzzle. A brand is a combination of elements, that together make it recognisable. But consistency and compatibility are often the two missing parts that are most often forgotten in building a brand.

Before I get started, I would like to suggest that you read a highly popular post on the topic of brand image here on C3Centricity, if you missed it before. It’s called “What Every Marketer Needs to Know about Brand Image, Equity, Personality & Archetypes” and will give you some great background information.

It covers the topic of brand image metrics in quite some depth, so is a great primer. But I feel that there is so much more to brand recognition that needs to be considered, than the elements that I mentioned in that post.

For example, more and more brands today additionally rely on a face, a voice, an aroma, a unique packaging style, a slogan or a sound that immediately identifies them. And when they do, their brand image gains in depth as well as emotional engagement.

In fact I believe that brands that lack connection with their customers are missing these powerful additions. They rely on mere basics to build their brand’s image, but they are no longer sufficient in today’s online -dare I say virtual? – world.

So here is my very personal perspective on some of the best examples in each of the additional areas I just mentioned. Feel free to add your own in the comments.

FACE

Progressive’s Flo and Dr Rick

Some of the faces which represent brands are of celebrities, while others are of unknown people who become celebrities thanks to the brand’s advertising.

One of the first faces I think of for a brand is Flo from Progressive. She won the hearts of Americans, ever since she was first introduced in 2008, with her helpful but quirky discussions with potential customers.

Flo made insurance less confusing and more friendly through her “girl next door” looks and sparky attitude.

In 2012, an animated box was added to their campaign concepts, to represent the company’s products in what was hoped to be a more fun and young-spirited way. Apparently, the vast number of ads with Flo – over 100 – had resulted in a “love her or hate her” relationship, but the box didn’t have the success of Flo.

About five years ago Progressive finally found the answer to attracting younger adults, coming out in 2017 with the “Group session” ads, one of which you can watch below. These were later morphed into self-help sessions with a group leader called Rick, who comes back in 2021 as Dr Rick (see more below). 

Dr Rick claimed to help the younger adult target group Progressive wanted to attract by claiming to help them from becoming … Click to continue reading

10 Ways to Immediately Improve Your Customer Centricity

We all know that adopting a customer-first strategy is essential for business growth and profitability. However, customer centricity has become even more important today, as a result of all the changes in our customers’ behaviour following the global covid lockdown. We are now even more impatient and demanding of businesses, and quick to complain publicly when things go wrong, or rather when we are not totally satisfied.

All companies need to put their customers clearly at the heart of their organisation. But I know that many struggle, even in more normal times, to be customer-centric. They just don’t know where to start. Am I right? If you’re in this situation yourself, then this article is for you. In it I share ten simple actions to accelerate your organisation along its path to an improved customer-first strategy.

 

#1 Review & Revise the Description of your Target Audience

Do all your brands have a clear description of their target audience? These days we tend to speak about personas or avatars.

Complete this 4W persona template for customer centricityIs it as complete as it should be? If not, then regular readers will know about and probably use the C3Centricity 4W™ template for storing all this information. You can download it and get the accompanying workbook for free here.

In your avatar, you must include not only your customers’ demographics and consumption / purchasing habits, but also information about where they do these things, what values they have that you can tap into and what emotions motivate them to purchase and use your brand.

 

#2 Assess the Optimum Way of Connecting with Your Customers

Do you know the best way to contact your target customers, as well as their preferred place and time to connect?

Review how you communicate with your customers and what information exchange there is at that time. Is it one-way or two? Are you in a monologue or a dialogue?

Obviously the second is what it should be. You can learn far more about your customers by listening, especially when they are ready to share their information with you.

For an original take on engaging your customers see “You’re missing out on a Free Communication Channel!” (Any guesses what it is?)

#3 Identify the Needs Your Brand is Addressing

Maslow's hierarchy of needsDo you know what needs your customer has and which of them you are tapping into?

They certainly have more than one need, but you must identify and address only one at a time.

If you attempt to address more than one and especially if they are not sequential, your customer may be confused.

Mixed brand messages on what the brand can do for them, will leave your customers perplexed. This will, in turn, reduce the likelihood that they will be convinced your offer can meet their needs and objectives.

Knowing where your brand sits on Maslow’s hierarchy of needs has one additional benefit. It can increase the success of regional and global launches by identifying cultures with similar levels of a specific need.… Click to continue reading

Your Brand has an Image, but Does it Have a Great Personality?

Your brand is not what you think it is! It’s what your customers think it is; its brand image, personality and value to them.

I was lecturing at Miami University a few years ago on brand image and personality. These topics created a lot of interest and discussion, which they should, being two vital elements of branding. They need to be clear and consistently represented in all brand communications.

If you’re having issues with your own brand in either of these areas, you’ll find the following article both interesting and valuable.

 

Why We Buy Brands

According to Wikipedia, a brand is:

“a set of marketing and communications methods that help to distinguish a company from competition and create a lasting impression in the minds of customers.” 

Although this definition in my opinion, is a little sterile for something as exciting as branding, I do appreciate that it mentions customers. However, for me, a brand is created in both the minds and hearts of its customers.

There has been so much said about the importance of emotions and resonating with the customer, that we shouldn’t forget it. But be honest we often do! And this is where image and personality play vital roles. They are both more or less created in the heart, rather than in the mind of the customer.

We usually buy brands without even knowing why we buy them. We can, of course, provide a clear, reasoned answer if asked, but explanations come from the mind. The heart is what makes us buy.

 

Branding Elements

A brand is made up of a number of components, with which people learn to identify and recognise it. These include its logo, colour, pack, shape, taste, aroma, sounds and feel. There may also be other things that are directly associated with the brand, such as a celebrity, an event or a cause it supports.

A brand needs to have a clear image, personality and equity in the minds of its customers. These come not only from these branding elements but also from the customer’s own personal experience with it.

All these factors must be respected and complementary to build a strong brand with which customers can identify themselves. Therefore, It is vital for marketers to know and understand what their brand means to its customers, not just to their organisation.

 

Brand Image Essentials

A brand is associated with many thoughts and ideas, that we translate into statements or attributes for measurement purposes. These are what current and potential customers think or feel about it. They may have developed from exposure to its communications, as well as from their own personal experiences.

These elements are usually grouped into three types: the rational/functional benefits, the subjective/emotional elements and the cultural/relational factors.

The third group was added by David Armano of Edelman Digital more than 15 years ago. I like his additional idea because the relationships a brand builds with its customers have become vitally important in today’s social-media-dominated world. I have … Click to continue reading

Five Brilliant Ideas to Boost your Insight Development

Insights are the pot of gold that many businesses dream of but rarely find. Why is that? Are you one of them? If so then I have some practical ideas on how you can get much, much better at insight development.

 

#1. Insights rarely come from a single market research study

Management often thinks that insight is “just another word for market research”. I remember one of my previous CEOs saying exactly that to me just before he addressed the whole market research and insight global team at our annual conference. I’m sure you can imagine what a panic I was in as he walked up to the mike!
Core Strength Training and Three of Its Benefits for Your Back – Canadian Chiropractic Association (CCA) – Association chiropratique canadienne single dumbbell chest press free download pdf owner’s manual for image imtl99000 home gym.
Insights are demanding to develop and are rarely, if ever, developed from a single piece of market research. Each market research project is designed to gather information in order to answer one or more questions. Whilst it may enable a business to make a more informed decision based upon the objectives, insight development is quite a different process.

Insight development involves integrating, analysing and synthesising all the data and information you have about a category or segment user. Then summarising it into knowledge and turning that knowledge into understanding. Only then are you ready to develop an insight.

All brands should have (at least) one insight on which its image, personality and Big Idea (for communications) are built. For example

  • AXE (Lynx in UK): (young) men want to attract as many beautiful and sexy women as possible. This is one of their newer ads, where the seduction is a little less in your face and more subtle – but still there.

 

  • Haribo Starmix: There’s a child inside every adult. This “Kid’s Voices” campaign has been running for years and manages to surprise and delight with each new episode. Which is your favourite? Please add a comment below.

 

  • Dulux sample paint pots: I love to decorate my home, but I don’t want to look stupid by choosing the wrong colour. Although these are now a standard offer for many paint brands, Dulux were the first to understand the problem facing potential home decorators.

Dulux sample pot example of insight development

Insight development will provide the basis on which you will define the actions that are needed to change the attitudes and / or behaviour of your target audience. It also provides a solid framework on which to build your Big Idea for your communications’ strategy.

 

So there you have them, the five ideas and numerous examples that will help you to develop better insights more easily.

Although you probably already have your own process for creating them, I know from experience how hard it can be to find insights from all the information you gather.

I hope this short article has assisted you in your search for those “golden nuggets”. Do Click to continue reading

24 Factors to Consider in Pricing your Product, Service or Solution.

We have a treat for you today. It’s a guest post from the highly respected global expert on customer centricity, Alan Hale of Chicago.

He writes about the importance of getting pricing right and generously shares twenty-four (!) factors to consider when pricing your product, service or solution.


Over the past several decades, I have managed over 250 projects, and am currently serving as the President of Consight Marketing Group. During that time,  I have noticed that some of these clients experienced customer erosion or profit sub-optimization due to poor pricing practices. The following article discusses some of the issues seen, as well as other pricing challenges described in other marketing journals and textbooks.

  1. Pricing needs to cover your costs. Pricing needs to cover COGS (cost of goods sold), and contribute towards an allocation of fixed costs like rent, utilities as well as profit. Selling a high volume of products does not guarantee a profit. “We will make it up in volume” does not make sense.
  1. It is related to capacity, the economic supply and demand. If you have strained capacity like oil pipelines, prices are substantially raised. Conversely, if a contractor has no backlog, they might be willing to discount prices. For you econ majors, it is the intersection of the Marginal Revenue and Marginal Cost curves.
  1. Price according to the Market Lifecycle. Early adopters in the growth stage pay more than laggards in a mature or declining market. A major computer manufacturer used to price their line of PCs 10% higher than the competition due to their brand, perceived status and support. As PCs became more commoditized, the pricing premium came down. If you have a well-known brand name with a high amount of loyalty, you can charge a premium. If it is a mature/commodity item it is difficult to charge more. Would you pay 50 cents more for a pack of nails on the retail shelf?
  2. Price insensitivity is positively correlated with ROI. Cost is not as important in the business arena if there is a high ROI. Look at ERP (Enterprise Resource Planning) systems that can cost millions upfront over the first few years with consultants and implementation. But it saves the organization tens of millions over many years.
  3. Pricing depends on the amount of the cost of the components versus the total cost of the product. Bottling companies fill bottles with cola or other liquids. These polypropylene bottles are significant to the costs, and contract prices are negotiated heavily every year or contract period.
  1. Pricing is dependent on selling to the MRO (maintenance repair and operations) channel or OEM (original equipment manufacturer). Because of volume OEM’s can demand much lower pricing. Car manufacturers can buy tires at a much lower price than the customer off the street for example.
  1. Pricing is related to value. I have been privy to many research and consulting proposals. Some companies do a cost-plus calculation, the labour will cost so many hours, at an average
Click to continue reading

Should CMOs Concentrate on Brand Building or Business Growth?

Which is more important, brand building or business growth?

Do you remember when Coca-Cola did away with their CMO in favour of a Chief Growth Officer? Then two years later they brought back the position. At the time, I asked if they were wise or foolhardy to make such a change, but they answered the question themselves!

In an interview with Marketing Week, their global vice president of creative claimed that it had “broadened” the company’s approach to marketing. Obviously, this didn’t live up to their optimistic expectations. I think that other companies who followed suit, also realised that they need a CMO after all. However, their role has changed significantly. 

 

HOW MARKETING HAS CHANGED

Marketing is an old profession. It’s been around for hundreds of years in one form or another. If you’re like me and are fascinated by how change happens, then I’m sure this complete history of marketing Infographic by Hubspot will be of interest.

With the arrival of digital marketing in the early 80’s, many companies began to take a serious look at their marketing. They realised that their primarily outbound strategy had to change. Their consumers didn’t appreciate being interrupted in their daily lives. However, with the creation of inbound marketing, they still irritated their consumers with spammy emails, popups and “subtle” cookies for following their every move. No wonder the EU felt inclined to develop its GDPR (General Data Protection Regulation).

What has changed over the past five years is marketing’s deeper awareness of, if not complete adherence to, what customers like and dislike. The major trends that we have seen and their impact on marketing, include:

  1. Chatbots, especially through Facebook Messenger and WhatsApp, to catch consumers on the go with highly personalised messaging.
  2. The use of voice. With the battle between Amazon, Microsoft and Google in the voice search and commands domain, customers can get answers just by asking. This is a huge challenge for businesses because being on the first page of search results is no longer enough; you have to be first!
  3. Video is taking over social media, with its rapid rise on YouTube, Vimeo, Twitter and Facebook.
  4. Influencer marketing is giving way to customer journey mapping with the increased detail that IoT can provide. Many organisations have moved their marketing plans to mirror their customers’ path to purchase. Or rather paths, as personalisation continues to trump mass engagement.
  5. Zero-party data. As social media platforms have seriously reduced the collection of their subscribers’ data, brands are increasing their direct engagements with their consumers. Through polls, quizzes and competitions, they openly ask for consumers’ details, bypassing the need for cookies.

Have you taken these megatrends on board and adapted your marketing accordingly? If not, why not? 

 

BRAND BUILDING

In the past decade or so, many large CPG companies such as P&G  and Nestle renamed their Marketing departments as Brand Builders, in the hope of adapting to this new world. They failed, miserably.

I believe the reason they failed … Click to continue reading

The Good, Bad and Downright Ugly Parts of a Head of Marketing Job

Did you know that the average tenure of a Head of Marketing continues to fall, reaching just 41 months according to the latest Spencer Stuart research published by the WSJ?

It is still one of the shortest average terms of office of any chief in the C-suite, according to a recent report by Korn Ferry. But one piece of good news in the past year is that although conditions for CMOs have become more difficult since the coronavirus pandemic, “In many cases, CMOs are not being removed, but it’s been pretty dramatic layoffs beneath them” said Greg Welch, practice leader for marketing, sales and communication at Spencer Stuart.

So just how long have you been in your position?

The Bad News

A global survey by the Fournaise Marketing Group provides one possible explanation for the continued decline in tenure. It highlights the ongoing tensions between CEOs and CMOs. A huge 80% of CEOs don’t trust or are unimpressed with their CMOs, compared to just 10% for their CFOs and CIOs. Why is this?

Perhaps it’s because CEOs don’t understand the role of a CMO or is there still an issue with the ROI of the marketing budget? I’ll let you be the judge of this in your own situation.

Another piece of research by HubSpot reported that Marketing as a career suffers credibility issues as well. It ranked the most trustworthy jobs, with Doctor ranking number one and near the bottom, just above Car Salesman and well below Barista, was “Marketer”. Car salesmen? Really? That is scandalous!

The Opportunities

Let’s start at the beginning. What opportunities are there, for marketers to keep their jobs? Despite the short lifespan of a CMO, and while the position is plagued by high turnover, this could also be because CMOs are highly visible.

Therefore they can be targets for promotions or a steal by their industry competitors. Nice to feel wanted, isn’t it?

It is understandably important that a new CMO quickly makes an impact. More so than any other c-suite function, bar the CEO of course, who sometimes faces almost immediate criticism by shareholders and the financial world, upon being named.

Another piece of good news for the head of the marketing function is that being on the executive board they have access to resources. The bad news is that as the CMO is a member of the EB, management expects them to make (profitable) changes fast.

And even more so if they have just been hired! The board trusts the new CMO to analyse the situation, identify what needs to be done, develop the plan to do it and then take actions. And all of this in their first 3 months or so!

Are you or have you yourself ever been in exactly this situation? If you have, then you understand how tough it is, don’t you?

That’s why many CMOs hire a supportive advisor or sounding board such as myself to accompany them on this stressful early part of their … Click to continue reading

A Winning Marketing Plan: 9 Questions Every Marketer Should Be Able To Answer

What does it take to write a winning marketing plan? Every marketer writes a marketing or business plan each year don’t they, so how difficult can it be, right?

Well, writing a marketing plan isn’t hard at all, but writing a winning marketing plan is very difficult. And time-consuming. And getting it approved by your executive board is perhaps the most challenging part of all.

And it’s not only in the formal marketing plan presentation that you need your “A” game. Management is renowned in most organisations for “innocently” posing questions when passing marketers in the corridor or while socialising at a company event.

Answer the CEO’s questions to their satisfaction and you will stand out from the crowd. Provide an incomplete or, worse still, no answer at all, and they might just wonder if it isn’t time to restructure the marketing group!

So here are my 9 actionable tips on how to write a winning marketing plan, so you can answer any question your CEO or boss throws at you – EVERY time.

The simple rule is to NEVER say you don’t know, but also to never drown them in a long-winded answer. Neither will win you brownie points. Make sure you have an answer like those proposed below and your name might just be on the next list of promotions. (Do I congratulate you now?!?)

 

1. WHO ARE OUR BRAND’S CUSTOMERS?

There is far more information needed than just age and gender, to answer this question. Prepare a short description (often called a persona or avatar) of a typical user, in the same way as you would describe a friend. See 13 Things your Boss Expects you to Know about your Customers for further details on what you should already know about your customer.

Once you’ve checked out the above article, why not also download our 4W™ template? It will help you put everything in one place so it is always handy and more importantly makes it easy to update it whenever you learn something new about them.

GOOD ANSWER: “Our customers are middle-aged women, whose children are in their late teens or early twenties. She shops in local supermarkets and gets advice from friends on Facebook, about the best brands to buy and what’s on offer.”

If the CEO / your boss looks interested or asks for more, then continue with “She’s been buying our brand for over two years because it satisfies her children’s hunger when they get in from playing sports. That makes them happy and she then feels proud of being a good Mum. We call her Patty.”

With this answer, you will have given them a short summary of the most important elements of your persona. By adding the name you have given the avatar, you might get them to also refer to her in your next meeting. That’s when you know they listened to you and that you won an important step up in their estimation.

2. HOW

Click to continue reading

How to Cheat Your Customer – or Not!

Does your company try to cheat your customer?

Is it because you think they won’t notice? Or do you believe that enough people are willing to buy your brand for the first time, that you don’t need to worry about getting that second purchase?

Either way, you haven’t heard that the most important attribute a brand needs to build is trust!

With so many purchases being made online these days, there is a growing number of articles exposing the behaviours of organisations that obviously haven’t adopted a customer-first strategy. Companies who still think it’s OK to try to attract customers and entice people to make that all-important first purchase, with less than honest promises. 

I know that this has always been the case in some industries and companies. Brands try to convince people that what they have to offer is exactly what their potential customers need – even when it isn’t. However, in today’s socially connected world, it surprises me that many organisations continue to believe that they can “get away with it” whatever “it” might be!

Perhaps they are not aware of what they are doing. Perhaps they think no one else will notice. Whatever the reasons for such practices, I thought that it is once again time to call them out with some new examples of the more common behaviours. Some of them are even from large global multinationals who should know what they are doing! Such a shame – but it does make for some fun reading!

 

Dishonest labelling

In many cases, packaging is the first personal contact a customer has with a brand. Whether in advertising or on shelf, based on what they see, people will quickly decide whether or not your brand is worth investigating further. If so, they will read on, or if in-store they will pick it up and read the label, perhaps comparing it to competitive brands.

Here are some examples of the different tricks some brands play in the hope of attracting that first purchase. However, these tricks will only lead to a disappointed purchaser and will rarely lead to repeat purchases.

I know we’re currently in Winter in the Northern Hemisphere and most of us are in lockdown, but we are certainly already dreaming of the day we can get back out and enjoy family bar-b-qs.

And many of us will want a bright and happy design covering our table. This tablecloth looked perfect in the pack, but despite saying it is printed all over, the design is only on the border. It is packed so that only the design shows, so most would never even read the back of pack.

 

I’m a big fan of L’Oreal and regularly get drawn to their new products. Again I wouldn’t have checked the back of pack to understand the meaning of the word “new” printed on the front label, would you?

Obviously we need to pay more attention to what is written on packs as in this case, … Click to continue reading

How Understanding Shoppers Can Save Retail

Did you know that understanding shoppers has become a business essential in recent years? Do you want to know why? Because retail is in crisis!

Investment in brick-and-mortar stores has declined 30% in the US and a staggering 50% in Europe. In the UK 50,000 of the 500,000+, high street stores are empty, that’s a whopping 10%. But that level can even be higher, double or triple that in some parts of the country. The government in the UK upped its rescue fund to a billion pounds and slashed its rates in the hope of lowering rents last year.

And as if all that weren’t enough, the pandemic has been the final straw. With its lockdowns and restrictions, covid has pushed many shops over the brink and into bankruptcy. If retail as we know it is to return to “normal” – and many, including the HBR have already declared this to be near impossible – it is important to understand what is going on in our shoppers’ brains.

 

Background

Shoppers, that’s you and me, are changing. We have an insatiable appetite for instant gratification and novelty. More clothes stores are shut down than any other category because sales have gone online. And eating at home is now the norm, other than cheap, fast food stores, so restaurants and bars are suffering too. Both of these trends have been further exacerbated by the pandemic of course.

So if brick-and-mortar stores are in difficulty, are we helping our customers to buy online? I don’t even think so. It seems as if we are trying to benefit from their desire to do so. Something rather sinister has been happening. Let me show you.

 

Capturing Customer Data

Online, even more than offline depends upon capturing customer data. Retailers need it to deliver products of course, but we all seem to have become data-mad! We collect masses of information from our (potential) customers and then probably do very little with it all. But in the process, we have surely alienated a few, if not many would-be shoppers, to the point of them abandoning their carts and buying elsewhere.

According to MarketingCharts.com, shoppers now believe that their data benefits companies and brands more than it does themselves.

In the Janrain report “Brand Trust Survey” 48% of US internet users try to buy exclusively from companies they trust to protect their personal data. But most don’t trust us with their data, and for good reason, it seems. As claimed by Thales, 75% of US retailers have experienced a data breach, 50% in the last year, up from 19% in 2017. Despite this high level and mistrust, one thing shoppers do agree on is that technology has made things better for them.

More than three out of five consumers say retail technologies have improved their shopping experiences, according to a survey by the National Retail Federation. Eight in 10 say that they’ve had better interactions as a result of these technology investments. This is further … Click to continue reading

The 7 Keys to Word-of-Mouth Marketing

Ever wonder how to get more people talking about your business? It’s simple.

Offer them incredible products and services that solve their problems and fulfil their needs and desires. Then when you have converted them into customers, continue to keep them satisfied and give them something to talk about by surprising them too.

Sounds easy, doesn’t it? But as you know it’s not. I realise that only too well in my own service offerings. Which is why I decided to write this article about the 7 key elements that will get people talking about us!

Every strategy comes with its own set of rules, and the same is true for word-of-mouth marketing (WOMM). Yes, this means that you can actually create a strategy to generate positive word-of-mouth for your business. In fact, this has become an essential part of marketing as people have started to lose trust in the reviews they read online – more on that later. Friends, family and trusted advisors are those they turn to for a valued opinion these days.

But first: why does Word-of-Mouth matter?

To start with, it is important to understand what cognitive dissonance is. According to Wikipedia’s definition, it occurs when

“a person holds two or more contradictory beliefs, ideas, or values; or participates in an action that goes against one of these three, and experiences psychological stress because of that. Coping with the nuances of contradictory ideas or experiences is mentally stressful. It requires energy and effort to sit with those seemingly opposite things that all seem true.”

In other words, people are always searching for ways to reduce their stress that is caused by cognitive dissonance when shopping and selecting brands. One of the ways they do this is by searching for confirmation that they have made the right choices. Receiving positive word-of-mouth opinions of products and services from friends or family members will reduce the dissonance, as it confirms people’s beliefs in what they have purchased.

Given that consumers need input to reduce the risks they take, especially when purchasing a brand for the first time, it is marketing’s job to provide a maximum amount of information to build trust. Whether this is through advertising or online customer reviews, it is important to show both transparency and popularity to enhance confidence.

This has become a challenge in recent years as a result of the exposure of significant fake reviews on many websites, including Amazon. There are now even services to highlight these paid or fake reviews, such as fakespot.com and reviewmeta.com. If you are interested in this topic, then I suggest the article on “10 secrets to uncovering which online reviews are fake.” by Catey Hill.

So how can we improve customers’ trust in what we offer? Here are seven ideas I came up with to include in your word-of-mouth marketing:

 

#1 Make Customers Delighted!

If you value your customers, offer them more than they expect! It’s not only the great product or service that generates loyalty … Click to continue reading

Latest Post

divider

[pt_view id=”999bb999ha”]

Join Global Customer First Strategists!

Get our latest posts before everyone else, and exclusive content just for you.

* indicates required