Word-of-mouth advertising refers to advertising efforts which occur organically, person to person, when consumers discuss a company’s product with their family, friends, and/or peers.

Word-of-mouth advertising uses a third party (a buyer or customer) to inform others of your company’s products, services, or offers. This type of advertising can be facilitated via company engagement on social media, influencer marketing, and other tools to compel consumers to talk about your brand.

Word-of-mouth advertising is powerful and effective, as consumers are generally more likely to trust a friend or acquaintance rather than a traditional, paid advertising effort. This form of advertising is more like a review or a testimonial, spreading your company’s brand organically and embedding it in the minds of prospects to influence their future purchases.