According to the new study by Satmetrix Inc, (WOM) orr words of mouth has a financial impact to the growth and fall of a certain business. The most concern in the industry is around technology especially wireless industry and customer acquisition, there isn’t a lot of energy spent in customer loyalty. Vince Nowinski, the director of Satmetrix Inc. said that “you can’t really overcome having people saying bad things about you.”
Study shows that a certain promoter or person who recommends a product is worth about half a new customers if words of mouth is based. A negative words of mouth spread affects a business. If consumers find Customer Service poor, they would tell their families and friends about their experience.
There are a lot of factors that contributes to a positive words of mouth. The two factors that mostly affects in the wireless industry are the product and the ease of doing business or service . Both of this factors increased the sales, network capabilities and avoiding less friendly consumer policies. Consumers who are satisfied with their products and services continues business with them. This made them locked their consumers into a long term contract which is also their way to success.
