Word-of-Mouth marketing has become one of the most powerful and effective forms of marketing in today’s digital world.
In fact, it is estimated that 84% of consumers trust Word-of-Mouth recommendations from family and friends over any other form of advertising.
With this in mind, it is essential to understand and take advantage of the power of Word-of-Mouth marketing in order to fully leverage its potential for your business.
This article will provide an overview of need-to-know Word-of-Mouth marketing statistics for 2022, highlighting customer-brand interactions & influencer statistics, social media & review statistics, as well as the business impact that Word-of-Mouth can have on businesses.
Additionally, this article will provide some general statistics about marketing and answer FAQs.
By the end of this article, you will have a better understanding of the power of Word-of-Mouth marketing and how to best leverage it in order to maximize its potential for your business. Let’s get started!
Table of Contents
Best Word-of-Mouth Marketing Statistics For 2023
Customer-brand interactions & Word-of-Mouth statistics:
Brands are spending more and more of their budget on customer interactions. According to Statista, in 2022, global companies are projected to invest over $81 billion in customer experience solutions.
This figure is expected to grow further in the coming years as companies focus increasingly on improving customer satisfaction.
Word-of-mouth marketing continues to be a powerful and effective tool for getting customers’ attention.
A survey by BrightLocal found that 97% of consumers read online reviews before making a purchase decision, and 88% of them trust Word-of-Mouth recommendations from friends and family over any other form of advertising.
Additionally, 84% of respondents said they would be more likely to purchase a product or service if it came with positive customer reviews.
- 77% of users are inclined to endorse a brand after a customized engagement on Twitter.
- 82% of Twitter users who had an “unfriendly contact” with a company are inclined to suggest it to no one.
- A brand will probably get a recommendation from 76% of individuals who had a “pleasant engagement” with it on Twitter.
- 46% of individuals say they will discuss a bad experience.
- Consumers will discuss a positive experience in 72% of cases.
- A “very excellent” customer experience increases the likelihood that 94% of customers will refer the business.
Influencers & Word-of-Mouth advertising statistics:
As more and more people turn to social media platforms for entertainment, brands are increasingly tapping into influencer marketing campaigns as part of their Word-of-Mouth strategy.
A survey by Rakuten Marketing found that 56% of marketers were already investing in influencer marketing in 2021, and this number is expected to grow further in 2022.
The same survey also revealed that 84% of consumers feel that influencers have an influence on their purchasing decisions. Moreover, 92% of consumers trust recommendations from influencers over any other form of advertising.
This indicates the immense potential of using influencers for Word-of-Mouth marketing campaigns.
- 49% of consumers rely on recommendations from influencers to make purchases.
- Influencer marketing has an ROI that is 11 times greater than other Internet marketing techniques.
- When businesses employ Twitter influencer marketing, their customers’ desire to buy improves by 5.2 times.
- 81% of marketers believe that influencer marketing is successful.
- Influencer marketing is practiced by 84% of marketers.
- Reposted material from influencers performs 10 times better than original content from the company.
- Four times more than the opinions of other customers, these influencers’ views on products and brands have an effect on consumer choices.
- Consumers who are 8% to 10% influential.
Social media & Word-of-Mouth statistics:
Social media continues to be a major platform for Word-of-Mouth marketing.
A study by Sprout Social found that nearly 50% of consumers are likely to share feedback about their experiences with brands on social media platforms such as Twitter, Facebook, and Instagram.
The same study also revealed that 74% of consumers are likely to recommend a brand if they have had a positive experience, while 64% would do so if the company offered excellent customer service or support.
This indicates the importance of providing good customer service when it comes to leveraging Word-of-Mouth marketing through social media channels.
- 35% of TikTok users get brand and product recommendations from producers.
- Sixty-five percent of TikTok consumers like it when producers share companies or items.
- 35% of American consumers post critical remarks about brands on social media.
- 53% of American users mention businesses favorably on social media.
- Social media users discuss the companies they like in 78% of cases.
- 80% of consumers get suggestions regarding a product purchase from social media.
- 81 percent of people’s shopping choices are influenced by their friends’ social media postings.
Reviews & Word-of-Mouth marketing statistics:
Reviews continue to be a powerful tool for Word-of-Mouth marketing. A survey by BrightLocal found that 93% of consumers read reviews when researching a local business, and 90% read between 1 and 6 reviews before they trust the business.
This shows how important it is for businesses to have positive customer reviews in order to build trust with potential customers.
The same study also found that 88% of consumers consider reviews as being just as trustworthy as personal recommendations, while 85% said they would hesitate to purchase something if there were no reviews available.
This indicates the importance of collecting customer reviews in order to boost sales through Word-of-Mouth marketing.
- 68% of customers who were invited to post reviews by local companies did so.
- 92% of B2B buyers are more inclined to buy after reading a reliable review.
- Products that have at least 50 reviews provide better returns.
- For 54% of American consumers, a company’s star rating is important.
- 74% of nearby companies have one or more Google reviews.
- 97% of customers browse reviews of nearby businesses.
- An average of 39 reviews are given to nearby businesses.
- 80% of consumers have had their opinions about a purchase affected by online reviews.
- 94% of individuals are persuaded to shun a firm by online reviews.
- Consumers value the recent month’s worth of reviews 73% of them.
- Google is used by 59% of users to discover online reviews.
- 91% of customers under 35 who are adults trust businesses that have good evaluations.
- 93% of purchasers start with internet reviews.
The business impact of Word-of-Mouth marketing:
Word-of-mouth marketing has a significant impact on businesses. A survey by CMO Council found that word of mouth is the most effective form of marketing, with 92% of respondents believing it had the greatest influence on their purchasing decisions.
The same study also revealed that Word-of-Mouth marketing was responsible for generating up to 54% of all customer acquisitions in 2021, while 66% of customers reported being more likely to try a business if they heard about it through a personal recommendation or review.
This indicates the immense potential of using Word-of-Mouth marketing as part of an overall marketing strategy.
- The lifetime value of recommended customers is 16% greater than that of unreferred consumers.
- A company’s profit margins are increased by around 25% more every day by recommended customers than by non-referred consumers.
- Referral programs help 78% of business-to-business (B2B) marketers produce strong or exceptional leads.
- 60% of marketers get significant leads from referral schemes.
- A person is four times more likely to purchase when a buddy recommends it.
- The return on investment (ROI) for influencer marketing is $6.50 for every dollar invested.
- Word-of-mouth influences 20% to 50% of purchase choices.
- Word-of-mouth advertising generates twice as many sales as sponsored advertising.
General Statistics About Marketing
Marketing continues to be an important aspect of business operations. A survey by Statista found that global marketing spending was estimated to reach over $1 trillion by 2022, with digital advertising making up 50% of the total spend.
The same study also showed that email marketing and social media were two of the most used channels for customer acquisition, with 46% and 45%, respectively.
This indicates the importance of leveraging these channels in order to maximize customer acquisition through Word-of-Mouth marketing.
- Online buyers, who made up 73% of respondents, agreed that user-generated material increased their level of confidence.
- Every week, people discuss brands 90 times.
- 73% of Millennials believe it is their duty to guide friends and family in making the best purchases.
- Word-of-mouth marketing is 37% more effective than other forms of promotion in keeping clients.
- The views of other customers are trusted by 70% of consumers.
- 50% more consumers trust recommendations than other methods, such as banner advertisements and SMS messaging.
- In the world, 88% of individuals believe that personal recommendations are the most reliable source.
- The majority of customers (almost 83%) prefer suggestions over brand advertisements.
- Consumers are 92% more likely to believe recommendations than marketing messages.
FAQs On Word-of-Mouth Marketing Statistics 2023
✔️ What is the most effective form of marketing?
Word-of-mouth marketing is widely considered to be the most effective form of marketing, with 92% of respondents believing it had the greatest influence on their purchasing decisions.
🤔 How important is customer service for Word-of-Mouth marketing?
Customer service is an important factor when it comes to leveraging Word-of-Mouth marketing effectively. A study by Sprout Social found that 74% of consumers are likely to recommend a brand if it offers excellent customer service or support. This indicates the importance of providing good customer service when it comes to leveraging Word-of-Mouth marketing through social media channels.
✅ What is the global spending on marketing?
A survey by Statista found that global marketing spending was estimated to reach over $1 trillion by 2022, with digital advertising making up 50% of the total spend. This highlights the immense potential of using various marketing strategies in order to maximize customer acquisition and sales.
👉 How much of customer acquisitions are driven by Word-of-Mouth marketing?
A study by CMO Council found that word of mouth was responsible for generating up to 54% of all customer acquisitions in 2021, indicating the immense potential of leveraging Word-of-Mouth marketing as part of an overall marketing strategy.
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Conclusion: Word-of-Mouth Marketing Statistics 2023
Word-of-mouth marketing continues to be an important part of any successful marketing strategy in 2023.
The need-to-know statistics outlined above clearly demonstrate the power of customer interactions & Word-of-Mouth recommendations, influencers, social media, reviews, and general marketing statistics when it comes to driving customer acquisition and sales.
By leveraging these stats, businesses can ensure they are making the most of their Word-of-Mouth marketing efforts in 2023.