gmtPLUS09 | live from Seoul » 3 automakers top ‘word-of-mouth’ study

3 automakers top ‘word-of-mouth’ study

June 10th, 2005 | J Lee | Branding, Marketing, Cars

A new survey by NOP World consulting says most Mercedes-Benz, BMW and Toyota customers are considered “active brand advocates”, who will by word-of-mouth recommend the respective brands to friends and relatives. But more interesting is that these brands is the best word-of-mouth of all global brands, not just automakers.

53315Consumers
in 31 countries, including the United States, were surveyed last year.

More than 90 percent of Americans say word-of-mouth is their
best source of information about products and services, NOP says.
Personal testimonials are twice as important to those consumers as
advertising or editorial content, NOP says.

This is great proof to what they say about empowered consumers. Simple ingredient is to provide high-quality goods and make every effort to resolve customer complaints and concerns, which count to be a exceptional and/or distinguished customer experience. And this inspires customers to go beyond the effectiveness of any PR event.

Automakers can also encourage this type of guerilla marketing by engaging customers in on- and off-line car clubs and offering special events such as road rallies. Such promotions will keep customers remembering and talking about the brand.

Word-of-mouth promotions are a significant measure of
a brand’s success. Customers who talk up a brand are most often repeat
customers. They also tend to spend more money with the
companies they advocate.


Vehicles tend to inspire more brand loyalty than other
consumer products because automobiles are the most expensive of all consumer goods and likely considered an investment, and purchasing a vehicle is likely to be both
time-consuming and exciting.

As Tim Wragg, global director of NOP World’s customer management center says, “People are emotionally tied to their car.”

NOP World’s “advocacy multiplier” study is designed to measure
consumer commitment to various brands. The research defines four levels
of commitment:

1. Indifferent: The customer has little or no brand loyalty.

2. Fulfilled: The customer is willing to consider buying the brand again.

3. Committed: The customer is predisposed to the brand.

4. Active Brand Advocate: The customer is a walking advertisement for the product.


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