6 reasons to strive for customer advocacy
What is customer advocacy?
Customer advocacy takes place when satisfied and delighted customers proactively recommend and speak in favor of your brand and your products/services to other potential customers — so, basically, customers who are in love with your brand and willingly spread the good word about you to others on their own channels.
What is a customer advocacy program?
A customer advocacy program is a marketing program with the goal of turning your best customers into customer advocates or spokespeople and having them recommend your brand, product, and/or service. How do you do that? By incentivizing them, through the program, to take up certain behaviors that will get the word out about your brand.
Why are customer advocates important?
Consider the following statistics:
- 84% of people trust recommendations from people they know over any other form of advertisement. (Nielsen, 2013)
- Word of mouth is the primary factor behind 20 to 50% of all purchasing decisions. (McKinsey, 2010)
- Experiential word of mouth accounts for 50 to 80% of word-of-mouth activity resulting from a consumer’s direct experience with a product or service. (McKinsey, 2010)
- 74% of people go through social networks to help make purchase decisions. (Ogilvy Cannes, 2014)
- 49% of people make purchasing decisions based on influencer recommendations. (Twitter and Annalect, 2016)
- 96% of people do not trust the advertising industry — 69% of these people attribute their mistrust to advertisers needing to sell more. (IPSOS, 2015)
- With just a 12% increase in advocacy, on average, companies can experience a 2X growth in revenue. (Influitive)