Word Of Mouth Brings The Best ROI Of All!

Copyright (c) 2009 Richard Seppalawould drag in their friends and family and make
The "Ins and Outs" of WOM Marketingthem try the food. "In-N-Out" fostered the cult
Word of Mouth (or WOM, if you can handleby having secret "off-menu" items at restaurants
another acronym) has long been seen as one ofthat only the regulars knew about.
the most effective ways to increase ROIBut many a quality product has foundered
inexpensively. It's the concept behind most of thethrough lack of marketing expertise. In this case,
social networking marketing going on todaythe management knew how to use their
through Facebook, Digg, Twitter and other Webcustomers to their best advantage.
2.0 applications.In the 80's, they pulled off a relatively inexpensive
But before you or I ever heard of the internet -marketing campaign that tapped into their
and when computers were closer to the size ofgrassroots WOM appeal - and hit the ROI bulls
the offices they now sit in - one Southerneye by taking the franchise's cult status into the
California franchise built its success on WOM, asmainstream. Periodically, they would give away
well as increasing their marketing ROI from their"In-N-Out" bumper stickers to customers. They
small-scale advertising campaigns. "Business Week"would then send out spotters to write down the
writer Stacy Perman recently wrote a book onlicense plate numbers of cars with the bumper
how the "In-N-Out Burger" chain achieved cultstickers on them and hold drawings to award
status by, first, being the real deal, and second,prizes such as trips to Hawaii, video recorders,
using its very satisfied customer base to spreadmicrowaves, etc. It was a tremendous success.
the word and increase sales.At the time, a restaurant trade magazine wrote,
Let's talk about the first part - being the real deal."The burger Goliaths doing business in Southern
"In-N-Out" insisted on putting only fresh qualityCalifornia must surely envy the kind of hometown
ingredients into their burgers. Not only that, butcustomer enthusiasm which can turn little David in
imagine a fast food franchise paying employeesthe form of In-N-Out into a self-advertising car
more than minimum wage, and throwing in greatcult."
benefits to boot. That's what "In-N-Out" was allWOM, used the right way, is way more
about from the beginning - treating both workersinexpensive and delivers way more powerful ROI
and customers as well as possible. And because itthan any conventional marketing techniques. By
was a privately-owned family operation, therethe way, if you've never had the chance to have
was no stockholder pressure to lower standardsan "In-N-Out Burger" and you're wondering just
in order to improve profit margins. The familyhow good they are, let me give you an idea. You
was free to build on its quality formula from theknow Gordon Ramsey, the notoriously
beginning when they opened the first restaurant inshort-tempered and world-acclaimed chef who
1948.slices and dices contestants on a regular basis on
Over the years they built up an insanely happy"Hell's Kitchen?" One time he stopped by an
group of customers that visited the limitedIn-N-Out for the first time, had a Double Double,
number of carefully-located sites regularly.drove away - and five minutes later, came back
Celebrities began openly touting "In-N-Out Burger"for another one!
in interviews without being paid to do it. Patrons