Word Of Mouth Marketing John N. Pierce Regional Sales Manager

What Happen To Your Customer Base? Year 1Year 2Year 3Year 4Year 5 Customers1, Retention Rate85% Frequency Avg. Visits Per Yr Spending Rate Avg. Per RO $200 Referral Rate Total Revenue$400,000$340,000$288,800$245,.200$248,400 Approx. $1.5

Word Of Mouth Marketing… What Is Word Of Mouth Marketing? 1.Marketing Is What You Do; Not What You Say. 2.Rules For Word Of Mouth Marketing

What Is Word Of Mouth Marketing? 1.Marketing Is What You Do; Not What You Say. –It’s all about the second “M” –Why now? –It’s more than just marketing 2.Rules for Word of Mouth Marketing Be interesting Make it easy for people to talk about you. Make people happy. Earn Trust and Respect. Advertising is the price of being boring.

Word Of Mouth Marketing… Everyone Is Talking About You Already! 1.Customers Are In Control. 2.The Permanent Record. 3.Word Of Mouth Marketing Has Always Been Your Best Marketing; You Just Didn’t Know It.

Everyone Is Talking About You Already! 1.Customers Are In Control. –We are reviewing everything we buy. –People are talking to people just like you. –What we say goes everywhere; mass dissemination of information. –Traditional Media and “Word of Mouth” are forever intertwined. 2.The Permanent Record. –It’s not just the Internet. –Word of Mouth Marketing makes us more honest. –Your customers want you to join in and be part of the conversation. 3.Word Of Mouth Marketing Has Always Been Your Best Marketing; You Just Didn’t Know It. –We just never called it by its real name. –Word of Mouth Marketing is your best Marketing value.

Word Of Mouth Marketing… Talkers; Who Will Tell Their Friends About You. 1.Three Reasons Why People Talk About You. 2.How To Stop Word Of Mouth. 3.Who Are Your Talkers 4.Finding Your Talkers 5.How To Recognize Good Talkers

Talkers; Who Will Tell Their Friends About You 1.Three Reasons Why People Talk About You. –They like you and your service. –Talking makes them feel good. –They feel connected to a group. 2.How To Stop Word Of Mouth. –Prizes and Rewards –Forgetting why people talk about you. 3.Who Are The Talkers? –Talkers are people just like us. –Talkers aren’t always big spenders, 4.Finding Your Talkers –Happy customers-- On-line Talkers –Logo Lovers-- Eager Employees –Listeners-- Fans and Hobbyists –Professionals

Lifetime Value Year 1Year 2Year 3Year 4Year 5 Customers1,000 Retention Rate85% Frequency Avg. Visits Per Yr. 2.0 Spending Rate Avg. Per RO $200 Referral Rate 150 Customers 150 Customers 150 Customers 150 Customers 150 Customers Total Revenue$400,000 Approx. $2.0M