According to Erik Qualman word of mouth is the most powerful and effective form of marketing in a traditional (b2b, b2c) sense. In his book Socialnomics he states that social media is like
“Word of mouth on digital steroids”
Where traditional word of mouth experiences spread and travel slowly, digital word of mouth spreads at lightning speeds around the social networks of your customers. The good or not so good experiences’ that customers are having with your brand, products, or services will be shared with their friends, family, and associates within their social networks instantly. Scarey stuff. The fact is that customers are more likely to trust the words and experiences (the social influence) of their friends, family, and associates then those spread by any organisation no matter how persuasive the messages are or how much money is spent delivering it.
Consider this, while in Rod & Gunn Joe tweets to his followers about the awesome customer service that he just received and the huge sale that’s on, in-store directly from his smartphone (iPhone 4). What if he had a negative experience? Social media will drive more transparent customer focused experiences’ because companies will be held accountable by customers on Facebook and Twitter.
Organisations are going to have to consider the impact that social commerce will have on their business functions. Better yet have a strategy and pathway in place to help them engage with their customers utilising social media. Make, deliver, or create awesome experiences’ and your customers will (Twitter, Facebook) your praises. Social commerce = better business.