Why Community Based Marketing is Making a Comeback
by Holly Ripley, on 18 September, 2020
What is Community Based Marketing? To break it down: CMB or Community Based Marketing is the approach to drive consumer behaviour towards a product or a service based on direct contact with people and carried out within a community.
I know, like we need another marketing technology buzz word...
As many modern marketing teams continue to be driven by automation, alongside the emotional impact that COVID-19 is leaving behind, it’s no surprise that Community Based Marketing appears to be making a comeback.
As innovation in automation goes up, there’s a greater risk that human communication continues to go down. While replacing manual tasks and forms of communication with an automated alternative may seem like a dream come true for the team, it’s important to consider the impact it’s going to have on your customer.
And although 24/7 service and no mind-numbing hold melody may be music to a customer’s ears there comes a time when humans just want to speak to humans and not be perceived as just another number in the database.
Throughout the carnage of COVID-19 the pandemic has highlighted the value of close-knit communities in times of need. In a world that is becoming more unpredictable day by day as we long for a little more security and stability in our daily lives, there seems to be a global desire for a sense of belonging and staying connected.
Not to mention the rise in customer expectations, and the decreasing trust consumers now have in common marketing practices such as paid advertising and influencer marketing – the promises of a deeper, more authentic connection between brand and consumer has never looked more appealing.
However, building a marketing community is a long-term process and by no means a quick fix. A successful community should tap into the social and emotional needs of the audience in order to build stronger relationships and develop trust. But trust us, it’s worth the wait…
Top 3 Benefits of Community Based Marketing:
- Cut Through the Noise
In today’s digital world, we are constantly being bombarded by blogs, webinars, emails, podcasts, and social media marketing, so it’s no wonder the cost of customer acquisition is rising.
As conversion rates collapse and customer acquisition costs increase it’s becoming more important than ever before to cut through the noise and create a more personal, emotional bond with your customer.
- Provide a Better Customer Experience
Online communities are not a new concept. Your favourite social media channels are built on engagement and have proven the power of a community.
For your customers, Community Based Marketing provides an authentic and personal experience to interact with the brand and other community members. For you, the community can provide more accurate insights into your audience’s behaviour, wants and needs. A better customer experience often results in a better ROI.
- Increase Customer Loyalty and Higher Retention Rate
By building a strong community, personal and consistent relationships can be formed with your customers. This gives you the ability to create an effective customer loyalty programme and reduce churn.
The higher your customer retention rate, the higher your Customer Life Time Value (CLTV).
The perfect community can vary depending on the business goals. A typical B2C marketing community is built broad and shallow. While they often have thousands of members, their engagement is often low. But when it comes to B2B communities, relationships are often much lower in volume but higher in value, so it’s important to not only drive the audience in, but ensure they actively stick around.