Insurance marketing: Why referrals are so important
It's one of the oldest clichés in marketing and business to say that word of mouth is the most effective form of advertising. There is a lot to be gained from asking your customers to refer you to people they know.
But unlike many of the old rules of marketing, this one still holds true.
People are more likely to take advice from friends, family and co-workers than they are some billboard they see or a TV advertisement or a radio ad. Trust is timeless.
In fact, business gained through customers referring you to the people they know may be more important now than it's ever been.
Why? Because with the growing power of social networking and the Web, there are so many more venues for people to discuss and recommend businesses they like (or to pan businesses they do not like).
Certain websites, such as Yelp.com, Google Maps and Yahoo! Local give users the ability to rate and review businesses they like or don't like. More and more, people moving into a new area check those sites to see whom they should trust and whom they shouldn't, based on other customers' experiences.
So now new aspects to insurance marketing are emerging. It's very important that you try to get high ratings on those sites, as well as give your customers reason to tell the people close to them that your insurance agency is the place to go for the best possible service.
More on benefits of referrals: