Why Word-of-mouth Marketing Is Perfect for Your Online Store

By QuickBooks Canada Team

2 min read

A strategic word-of-mouth marketing strategy can help increase traffic to your online store. It is a proven method for effectively marketing your business because of its authenticity and naturally occurring nature. It has the ability to increase your sales while keeping your marketing budget in check.


Using word-of-mouth marketing is a cost-effective way for your online retail business to attract new customers. Satisfied customers frequently discuss products that have been useful to them, or that they believe are good value, with family and friends. For example, a mother may tell her daughter about an online shoe store that stocks shoes that help avoid blisters. Free unsolicited word-of-mouth advertising is beneficial for your online business if you don’t have a large marketing budget for a social media, print, radio or television campaign. To encourage word-of-mouth advertising, utilize your online business blog to get customers discussing your products. Ensure the content on your blog is easy to share on social media platforms, such as Facebook, Pinterest and Twitter.

Provides Credibility

Word-of-mouth marketing instills trust in your online store. Recommendations to purchase products from your business carry more weight if they are received from an unbiased customer; roughly 84 percent of consumers have indicated that they trust recommendations from their friends, family and colleagues. For example, if consumers receive a recommendation from a co-worker to check out a new stylish coffee table at an online furniture store, they are more likely to look at it, rather than if the recommendation came from the store itself – especially if the co-worker is known for having a good fashion sense. Give your loyal customers a discount on their next purchase if they generate a referral sale or leave positive customer feedback on a product review site.

Helps Establish Your Brand

Your online brand can be enhanced by word-of-mouth advertising. Customers that discuss your products favourably through their network help increase awareness of your brand. This is particularly useful if customers frequently associate with your target market. For example, you may own an online software business that specializes in accounting software for millennials; existing customers who operate their startups from coworking spaces in close proximity with other millennials can spread the word about your products. Giving away free samples gets consumers talking about your offerings, helping to establish your brand.

Drives Excellence

Using word-of-mouth marketing helps you remain focused on providing a favourable shopping experience to encourage positive discussions between consumers. For example, if you own an online store that sells home automation products, you may focus on providing the latest payment solutions to help develop a reputation for innovation. Word-of-mouth marketing encourages your online store to keep finding new solutions for your loyal customers to ensure they are satisfied and continue to tell people about your products. Customer service is likely to improve as your reputation for assisting customers becomes an area of focus.

Information may be abridged and therefore incomplete. This document/information does not constitute, and should not be considered a substitute for, legal or financial advice. Each financial situation is different, the advice provided is intended to be general. Please contact your financial or legal advisors for information specific to your situation.

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