Word of Mouth Statistics
- Nielsen’s study revealed that 92% of people value advice from friends and family more than advertisements.
- Besides friends and family, 88% of individuals have faith in online feedback from other customers as much as they trust suggestions from personal contacts.
- HubSpot’s data shows that 75% of people do not trust ads, yet 90% rely on recommendations from family and friends, and 70% value customer reviews.
- 49% of buyers would shop online more if they felt more certain about delivery, and 57% are hesitant to use a retailer again if the delivery is delayed.
- People are 90% more inclined to trust and buy from a brand recommended by a friend
- 88% of purchasers depended the most on personal recommendations from acquaintances.
- 75% of folks do not rely on paid promotions.
- In the USA, only 4% of people trust content sponsored by brands.
Word of Mouth Marketing Statistics
- Over the last three years, Google observed a 1500% rise in searches related to “influencer marketing.”
- More than 80% of marketers consider influencer marketing effective in their plans
- 63% of individuals aged between 18 and 34 stated that they “trust what influencers endorse about products more than what companies state about themselves in their ads.”
- 17% of firms will allocate over half of their yearly marketing funds to influencer marketing drives
- 60% of young adults are more prone to take suggestions from YouTube influencers over conventional media personalities
- 86% of women turn to social networks for shopping recommendations
- 130 million users on Instagram tap on shopping posts for product details each month
- 80% of buyers have bought something because of an influencer’s advice
- 41% of shoppers explore new items through influencers weekly
- About 3 in 4 customers would spend up to $629 on purchases influenced by influencers
- 22% of significant buying choices by people aged 18-34 are swayed by influencer endorsements
- 71% of marketers believe the quality of visitor traffic from influencer marketing is better than other sources
ROI of Word of Mouth
- 74% of customers recognize word of mouth as a significant influencer in their buying choices.
- When specific cases were examined, researchers noticed a 10% surge in word-of-mouth (offline and online) leading to a sales increase ranging from 0.2 – 1.5%.
- Word of Mouth marketing outcomes result in 5 times more sales compared to paid media appearances
- 64% of marketing leaders believe word of mouth is the most efficient marketing form.
- 70% of survey participants aim to increase their online word of mouth marketing budget, and 29% plan to raise their offline word of mouth marketing budget.
- 82% of marketers use word of mouth marketing for boosting their brand recognition, with 43% expecting it to enhance their direct sales.
- Word-of-mouth generates $6 trillion in yearly global expenditure and contributes to 13% of all transactions.
- Word-of-mouth is even more potent than paid commercials, leading to five times more sales.
- 64% of marketers acknowledge word-of-mouth as the most potent marketing strategy.
- Majority of marketers (83%) utilize word-of-mouth marketing because itboosts knowledge of your brand.
- 43% of marketersutilize word-of-mouth marketing to raise sales.
- Word-of-mouth marketing generates5 times more purchasesthan paid advertisements.
- The return on investment from influencer marketing is11 times greaterthan banner ads.
Statistics for B2B Word of Mouth Marketing
- When small businesses purchase business software, 46% choose based on recommendations from colleagues and other industry companies.
- 8% of B2B marketersconsider word-of-mouth marketing effective for promoting live marketing events.
- In the United States, word-of-mouth marketing is considered as48% of businesses’ most effective marketing tool.
- Word-of-mouth is a major traffic driver forsmall businesses involved in affiliate marketing.
- 20% of businessesplan to include word-of-mouth marketing in their annual marketing strategy.
- Many businesses learn about new artificial intelligence technologies through colleagues, networking, and observing other companies using them.
- In the United States, word-of-mouth marketing is considered the best marketing tool for48% of businesses.
Stats on Word of Mouth Marketing and Customer Loyalty
- Bain & Co estimates that increasing customer retention by 5% can improve a company’s profits by 75%.
- 65% of consumershave stopped engaging with a brand due to a single negative experience, emphasizing the importance of creating a positive customer journey.
- Emotionally engaging brands receive3 times more word of mouth promotionthan less emotionally connected brands.
- 28% of consumersconsider word of mouth as a vital factor influencing brand loyalty.
- 28% of peoplebelieve that word-of-mouth enhances brand affinity by reflecting a customer’s shared values with a specific brand.
- Customers referred through word of mouth tend tospend 200% morecompared to an average customer.
- Brands establishing an emotional connection receivethree times more word-of-mouth visibilitythan those lacking such a connection.
Word of Mouth Marketing Figures and…Discovering Brands
- Millennials are38% more inclinedto discover new brands through recommendations from friends and family.
- In Australia,42% discover new brandsthroughsearch engines, and38% viaword-of-mouth referrals.
- Generation X predominantly discovers products through word-of-mouth, with18% regularly finding productsthis way.
- For Generation Z, only12% discover new productsthrough word-of-mouth recommendations.
Word of Mouth Data and…Offline vs. Online Impact
- 70% of marketersaim to increase their online word-of-mouth investments, while 29% focus on offline strategies.
- For Amazon Prime Day in 2020, most consumers learned about it through Amazon’s website. However, 17% heard about itfrom friends and family.
- 23% of Singaporean shopperspurchased items in physical stores in 2019 based on friends’ recommendations.
- 37% of Americanschose restaurants based on word-of-mouth referrals.
- Similarly, 31% of electronics purchasesare greatly influenced by word-of-mouth suggestions.
- 20% of North Americansimmediately buy a product after learning about it through word-of-mouth.
Word of Mouth Figures and…Negative Feedback
- According to word-of-mouth statistics, 96% of dissatisfied customersdo not complain to the company after a bad experience; they share it with around 9-15 people.
- About13% of dissatisfied customersshare their negative experiences with 20 individuals.
- In contrast, a happy customer typically tells3 peopleabout their positive experience.
- An overwhelming91% of dissatisfied customerswillnot purchase from a company they’ve had a negative interaction with again.
- Undoing the harm caused by 1 negative review requires approximately 40 positive customer experiences.
- Over half of customers (about 53%) expect brands to respond to negative reviews within a week.
- Only around 1 in 25 consumers will express dissatisfaction with their experience with a brand.
- It necessitates almost 40 favorable customer experiences to counteract the impact of a single unfavorable review.
- 96% of brands take a prolonged amount of time to respond to customers’ mentions on social media.
This article is part of our Martech stats series, which compiles key data and trends. Other series include: