20 Word-of-Mouth Marketing Statistics You Should Know

Diversifying Ad Spend

time to read 4 MIN READ
20 Word-of-Mouth Marketing Statistics You Should Know

The rise of Community Commerce springs from a revival of word-of-mouth amidst a boom of creators matching every niche, lifestyle, and aspiration. 

People buy, then people talk about it. Likeminded buyers flock together and are not ashamed to take product recommendations from each other, even when a brand recommendation post carries #sponsored. What Community Commerce shows us is that when people feel connected, they don't just listen, they take action. - CIPIO.ai, Community Commerce: What is it?


Ad resistance is one of the fastest-growing consumer trends in the 21st Century. And it's brands that invest in their community of brand fans who win. Here are 20 word-of-mouth marketing stats that will inspire you to decrease your dependence on paid ads and adopt a Community Commerce approach.

20 WOMM Stats That Will Make You Rethink Paid Ad Spend

1. Over 80% of buyers depend on opinions from people on social media to inform their purchases.

(Source: Businesswire)

Social commerce makes online buying easier than ever. Unfortunately, that also means it's easy to get scammed. Trusted information sources become one of the biggest considerations for modern consumers. Social media connections become consumer community relationships that drive trustworthy brand recommendations.

2. Word of mouth positively impacts 74% of consumer purchasing decisions.

(Source: Review42)

Even if a paid ad drove the conversion, chances are that positive word-of-mouth had something to do with a consumer clicking an ad link. As marketers grow more savvy with the latest in multi-touch attribution analytics, they recognize that word-of-mouth is nearly always the biggest common denominator in any purchasing decision.

3. Only 10% of all purchases occurred without a recommendation by a friend, family member, or influencer.

(Source: Semrush)

Trusted product endorsements save people from buyers remorse and obnoxious returns.

4. Almost 90% of buyers discover new brands through peer reviews online.

(Source: Podium)

Word-of-mouth marketing impacts "full funnel" metrics, such as generating initial brand awareness, inspiration, and any audience nurture tactics.

5. 85% of small business are discovered by customer word-of-mouth.

(Source: Review42)

It's become "cool" to patronize small business over the bigger brands. And that's why so much word-of-mouth revolves around brands that few have heard anything about. Consumer communities chatter over "hidden gem" brands and products.

6. Every year, word-of-mouth drives more than $6 trillion in consumer purchasing.

(Source: SaveMyCent)

Watch out, because this number is rising fast!

7. Half of U.S. buyers will travel farther and spend more money to buy from a business with high customer reviews.

(Source: Podium)

It's true. Buyers would rather go the extra mile for a product or service that their peers recommend.

8. Consumers are 20% more likely to trust recommendations from people over branded content.

(Source: Businesswire)

It's not that your brand messaging doesn't matter (because it does!). But what matters so much more is what paying customers say about you to other potential buyers.

9. Nearly 80% of buyers are excited to share about their purchases online with friends, family, and followers.

(Source: Semrush)

Often the biggest struggle for brands wanting to harness word-of-mouth is not having any positive chatter online, it's knowing who is talking about their brand and how to activate those people as brand promoters.

New call-to-action


10. More than 1/4 of Millennials will not even consider a new product/service unless recommended by someone they trust.

(Source: SaveMyCent)

In many industries, it can feel impossible to grow your business without the kind of momentum that only word-of-mouth can bring.

11. Word-of-mouth marketing is considered the most promising method of marketing by 2/3 of marketing executives.

(Source: Review42)

As return on ad spend crashes, brands are altering their marketing budgets to include Community Commerce capabilities. This approach helps them find and activate influential people within their brand community to grow their brand organically.

12. Word-of-mouth increases someone's willingness to buy by 400%.

(Source: Nielson & Referral Rock)

An authentic referral can turn a cold lead into a hot lead in seconds.

13. 50% of U.S. consumers actively seek out opinions from people they trust when they want reliable information.

(Source: Convince & Convert, Forbes, Review42)

Once again, social commerce allows anyone anywhere to sell you anything you can think of. Such entrepreneurial potential is a great thing, but it also makes things dicey for conscientious buyers. Trusted referrals build trust immediately.

14. Less than 10% of Americans feel ads are reliable sources of information.

(Source: HubSpot)

In addition to feeling annoyed at ads, U.S. buyers flat-out distrust ads.

15. More than 20% of consumers immediately think less of a brand after hearing/reading about a negative experience.

(Source: ThriveMyWay)

Word-of-mouth can be a two-edged sword, especially for brands that don't take customer feedback seriously.

16. The average buyer talks about brands 90 times a week.

(Source: HubSpot)

Experts tell us that some brand is on the tongues of millions of buyers on a daily basis. 

17. Word-of-mouth is 5 times more powerful than paid ads.

(Source: Invesp, New York Times, Review42)

For obvious reasons, word-of-mouth consistently outperforms paid advertising. Trust elevates buyer confidence, and peer recommendations offer that trust.

18. Brands that build emotional connections with their audience receive 3 times more word-of-mouth than other brands.

(Source: Journal of Marketing Research & Everyonesocial)

Authentic media builds trust with buyers by making the effort to relate to them. Buyers respond in kind and are far more likely to promote your brand to friends, family, and followers.

19. Customers referred by their peers spend twice as much as the average buyer.

(Source: Referral Candy)

With that halo effect of trust comes a willingness to spend more with your brand.

20. Marketers consider word-of-mouth referrals to be the highest quality prospects and leads.

(Source: ReferralRock)

For all the reasons described above, it's hard to deny that word-of-mouth offers your best the berst quality prospects and customers over any other marketing and sales strategy.

That's the Power of Community Commerce

Community Commerce is a strategy that brings people together around shared values and goals for genuine connection, relevant content, and a more fun and trusted buying experience.


More than ever before, community-driven growth is critical for brands. While there are a million solutions offering better paid advertising, influencer marketing, and more, the key ingredient in any successful marketing approach will be a shared sense of unity around your brand.


New call-to-action


Recommended for You