Marketing by Referral

February 9, 2010

We all know the value of building business through referrals: it’s one of the best forms of advertising and there are no obvious monetary costs.  A recent article at the Entrepreneur.com – 7 Ways to Get Great Referrals – has some great suggestions and ideas for generating word of mouth buzz.  One of my clients could be a case study for that article; placing extra emphasis on service and client care.

857924_captivating_eyesHandle the Client, not the Transaction

My most important ongoing task for this particular client is in customer care.  Every single order is responded to with a personal email, thanking the customer and making sure they know who to contact if they have any questions or concerns.   Then, after the order has been received and the client has had an opportunity to use the product for a couple days, they receive a 2nd email, checking in on their satisfaction.

All of this done without the intent to upsell or market more products.  Each email is personalized and is not part of an autoresponder.  Why?  Sure, it would save time, absolutely, but as my client pointed out, those receiving the autoresponder emails (which are in place for other marketing efforts) know it’s not authentically personal.  His intent is specifically to make the customer’s experience as personal as possible.  Did I mention all transactions are done online?

Now, don’t get me wrong; as a VA, I’m a huge fan of autoresponders, and I’m not suggesting that this is the best route for everyone.  But this method is working for this particular client.

I get email responses and phone calls consistently, praising the wonderful customer service.  Word of mouth is this client’s only form of advertising (beyond the website).  The great thing I see, is in the response to the personalized emails – the customers return multiple times to purchase the product for their friends and family.  They tell me that they, of course, love the high quality product (#1 in Bob Reiss’ post at the Entrepreneur.com), but more importantly, that they love the company and want to support its growth.

The customer loyalty that this client has developed is absolutely amazing.

All of this customer service leads into word of mouth referrals.  Blog posts, tweets, using the product itself and referring admirers to the website.. the advertising  happens naturally and is automatically delivered to the target market (those that are interested in this type of product).

Word of Mouth advertising or Marketing by Referral does have a cost; time.  In my client’s case, the cost is in retaining my virtual assistant services specifically to handle the customer service aspects for his business.

Like many online solopreneurs, he does not have in-house staff; he relies on the value my services and expertise bring him and his business.  He’s invested in my time to learn his business – to the core.  He is now free to concentrate on product development and the growth of his business, knowing that the integrity that he has worked diligently to build for his company is sustained.

What are your thoughts on the value of customer service and the value of word of mouth?  Do you have a great story to share?  Comment below!

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