Are you using the wrong marketing strategy?
Here’s a story
Barclay Prime, a luxury boutique steakhouse in Philadelphia, was once facing the problem of running off customers for many reasons — the food is expensive, there were many competitors around the corner, etc.
Howard Wein, the owner of Barclay Prime, knew that delicious prime steak and a fantastic atmosphere are not enough for him to operate the steakhouse in a place that is full of expensive steakhouses. He knew he needed to generate buzz—something unique to the brand and something people would start talking about.
Wein then decided to make a hundred-dollar Philly cheesesteak, which was available for four or five bucks at hundreds of sandwich shops. Of course, he used the best ingredients such as Kobe beef, truffles, Maine lobster, and champagne.
It worked! People were not only going to Barclay Prime for the sandwich but they were excited to tell others. As a result, Barclay Prime became the best steakhouse in Philadelphia and won various food awards.
The importance of “word of mouth.”
Barclay’s success was attributed to the conversations Wein created. People love to share stories, information, restaurants with their friends.
We share more than 16,000 words per day, and every hour there are more than 100 million conversations about brands. —Jonah Berger
That’s the reason why products, ideas, and behaviors catch on.
For example, recently, I’m obsessed with Kirkland’s nonfat Greek yogurt. Why nonfat Greek yogurt? Why Kirkland? I chose it because the Youtuber I followed recommended it! The Youtuber introduced it as a high protein, low calories, rich and smoothy dairy. It’s exactly the product I was searching for! Plus, I trusted the Youtuber’s taste, so I decided to try it right away. That’s the power of “word of mouth.”
Why “word of mouth” works better than advertising?
The reason is straightforward. There are two main reasons. First, Companies paid to have advertisements, so there wouldn’t be any disadvantaged information provided. However, our friends would tell us the actual pros and cons of the product. Second, it is more targeted. Advertising is challenging to target many people interested in the product despite companies working hard on it. On the other hand, “word of mouth” targets the right consumers precisely — like we would recommend the Japanese restaurants to friends who like Asian culture because they will probably have a bigger chance of trying it!
Content inspired from the book, Contagious: Why Things Catch On by Jonah Berger.