Testimonials: “Word of Mouth” Marketing that Works

“I’m building my business by ‘word-of-mouth’.”  Lots of us have heard that phrase – and even said it.  (Once a guy told me he got all his business by “mouth to mouth” but I think – and fervently hope – he was temporarily confused.) Anyway, let’s take a closer look to see if we really believe that word of mouth is all it’s cracked up to be and how to get more of it. 

Frankly, for some, the phrase is just a delicate way of saying they’re lazy.  Yes, I just said that. For others, it means they don’t want to invest the time or money in an effective marketing program that increases their professional image, generates leads, increases profits and builds their business.  And because of these, it’s not a “real” marketing effort… and they don’t put any time into it.  Bad choices all the way around. 

But we’ve all been told that “word of mouth” marketing is the best deal in town, and highly effective. It’s just painfully difficult to know if there are any mouths spreading the word… and if so, is it good?

Smart marketers should take steps to control and promote word of mouth, instead of leaving it to chance.

Why?

• 65% of major purchasers (over $1000) say they'll ask a friend about it first.
• 57% say a friend’s advice influences purchase.
• 40% say this advice is their main buying reason.

And in your service business, the numbers are even more impressive…

• 37% say the relationship with you is the most important reason they buy.
• 22% say it is because they own another product of yours.
• 14% are referred by friend or family member.

So, word-of-mouth is incredibly valuable. No disputing that. It is just painfully, horrifically slow for the growth-oriented contractor. Plus, since people are 7 times more likely to repeat a story with a negative consequence than a positive one, it’s not so reliable. I mean, how do you know when you’re going to make a mistake with Mr. Complaining Loudmouth Person and suffer the effects for years? You don’t. That’s why you market for the advancement of referrals.

From the above sets of numbers, let this fact sink in: Your outbound marketing gets the first sale. Your continued relationship gets continued sales and referrals.

Basically, you can tell your prospects all day long how great you are, but it means a lot more when others say it. So, how do we continue the relationship, get the referrals, and turn one sale into many?

That’s where testimonials come into the picture. 

Next to their own experience, people tend to rely on the experience of others.  For this reason, testimonials are very powerful, and seriously underused in contracting.  Your prospects get to see that someone else – given the same circumstances – chose you and benefited. 

Plus, there is a strong implication that testimonials from real people are “true and unbiased” whereas a salesperson’s claims are often perceived as neither.  Remember that if you make a statement about your service or superiority, it’s a claim.  If a customer who has used you says the same thing, it becomes a fact.

So, if you’ve got a happy customer, put it in writing… and you’ve got a testimonial. 

Where do testimonials come from? 

You have far, far more happy customers than the praises you get. So when someone does say something glowingly great, you must realize it represents dozens if not hundreds of users. So you must spread those around.

The problem with testimonials is that many people say they’ll give them, but never find the time.  They got busy.  They meant to.  They would, but it’s just that… oh, phooey, the phone rang, the cat was at the door, my hair caught on fire, whatever.  Don’t worry.  There are easy ways you can help them find the time.  In fact, you’ll do it for them. 

Say What?

Gathering testimonials is an ongoing process.  Pay attention.  Whenever something nice is said about your business, jot it down and ask permission to use it.  Be concise, let them know they can change, add, or delete anything from ‘your’ version of their testimonial.

Have you gotten e-mail messages or a letter from satisfied customers?  Send a thank you note back requesting permission to use their comments in a testimonial. 

Do you have a place on your invoice to write a comment?  Make one, and you’ll see testimonials flow back with no cost or effort.  This “open channel of communication” is appreciated either way. 

A strong assemblage of testimonials will undoubtedly increase the credibility you deserve while settling unspoken fears.  For wide effect, use them in your advertising.  And on the sales call, include a stack of 15+ in your presentation folder.  Let others sing your praises and watch your profits soar.

You can build your business by word of mouth, if you’ll wisely multiply the positive effects through intelligent marketing. Low cost and low effort can bring you high leads and image. Not a bad trade off.

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Does This Happen to You?

Happy Old Year!

Every year for 28 in a row, my dear wife and I have had a New Year’s Eve Dinner, almost every time at home. (This year, we’re breaking that tradition for a family vacation.) Though I’m decidedly not a creature of habit – though she is -) we have the same format, and for the last 15 years the same meal:

Osso buco, risotto, plus something liquid and red to complete the Italian pretense. I get hungry just writing the words. The format is: a) what we did in the previous year and b) goals for the coming year. A more revealing discussion is: c) What we accomplished from the previous year’s goals. Aha!

To keep that last part from making me look like, “Mr. Dreamer Gets an F in Accomplishment,” my goal list has gotten more focused, more selective. (I dropped ‘Learn a second language’ and ‘Become dizzyingly tall’ a few years back.) Each year, we’re amazed at what happened, blessings bestowed, lives touched. Stuff crossed off the list.

In that time, we noticed a pattern that is contrary to what ‘most’ will tell you about accomplishment, though many have hinted. And we hit a goal this year I would’ve never, ever, thought reasonable. Let me encourage you to “do this and DO NOT do this…”

Using an old but reliable goal-setting model, we break them down into ‘business, personal, health, spiritual’. I lobbied to add a subcategory called, “Awesome cars and firearms” but my wife deemed that inappropriate. Yet there was a pattern that emerged of the ‘done’ and ‘undone’ list:

Many ‘done’ ones happened in one of two fairly odd, inexplicable ways.  

Either it just ‘happened’ as in circumstances lined up, people appeared and out of the blue (which we know is not true) situations aligned for their attainment. The serious experts in goal-setting will tell you, “When you put it down, talk about it, imagine it, it becomes real at that point.” Then, appearance is just an evolution, a manifestation from that seed. Seriously. I believe it.

Or, this happened –

After discussion, we’d make a move as if had happened. “As ifs” are very important. Then, an odd set of events would conspire to bring about reality. (I believe God knows what gifts are right for us, material or spiritual, way before we do!) One example:

We started ‘looking’ at lake houses long before we could afford a second home. We’d talk of styles, size, the view, you know, “just dreaming.” Before we knew it, we had a very patient realtor and a price range (though far below what it would take to get our inflated house idea to reality).

One night, we visited a friend’s house on a completely different part of the lake from where we’d looked before, and it had a very different topography. My wife and I looked out of the window of their gorgeous home and almost cried. It was a view we’d only seen in our minds. Our friend stepped over, noticing our jaws dropped, and began talking about how she too cherished this view.

She said, “You know, the lot next door is for sale, right?” Well, of course, we didn’t! And after we spoke to the realtor, it wasn’t for long. See, our price range was not close to enough for the house we’d imagined, but was perfect for a great lot. Those wheels were set in motion, and not long after, we began building the house we’d envisioned. We’ve since spent 7 great summers there with our kids, their friends, our friends, family, building cherished memories each time. None of this would’ve happened without a goal, a dream.

I encourage you to take your “Dream List” for 2014, share it with someone you love a whole lot, and watch what happens for you. Pick a couple items and make a move “As if” it were real. As if your business doubled this year; as if your family discord was resolved; as if your teenager became human again. Stranger things have happened.

WHEN – not if – you tell me what miracles came your way, I will be joyous, but not surprised!

Recently this got to me –

As is likely with you, we had a “goal” to eventually get free of debt. You know, education debt, car debt, house debt, all those things that bother men and women, disallowing full freedom of thought. I know you occasionally awaken with thoughts of “One day I’ll be able to…” The wall between today and “one day” for me seemed often to be debt-related.

Not any more.

Amazingly, we will retire our final debt – a mortgage payment - next week. Done. Over. Debt-free. A series of events just seemed to happen. (Right.)  And since I’m a goofball, I plan to retire it quite ceremoniously, inserting the paid document inside the newel post of the stair, topping it with a ‘mortgage button’ I gave my wife for Christmas. (Googling ‘mortgage buttons’ will explain this oddity if you’re unfamiliar, as I was.)

Interestingly, his stair is located in the lake house, where we just moved full-time. The thing that caused me such indebtedness has now become an instrument of freedom. New Year’s dinner this year will be unlike any before.

In truth, they are all unlike any previous! (If your years are starting to repeat themselves, then something is wrong!) Look at your 2014 as “The year you finally….” And put those wheels in motion. It’ll happen. Let me encourage you, here and now, this is your year, friend, I just know it.

Think of what would bring you joy. What would bring you freedom? What would allow that feeling of accomplishment to come alive in you? You are more than you’ve been. Don’t let ‘potential’ die inside you; share it with the world. It’s your time.

Tell me what YOU want to accomplish in 2014. I want you to look back in a year and say, “HAPPY OLD YEAR!” with an equal sense of accomplishment and gratitude.  Respond here. (If personal, I PROMISE not to republish. I just want to put all of you on the “Wish and a Prayer List.”)

Wishing you and yours a successful New Year,

Adams Hudson