Trust by Proxy

Trust by proxy is the idea that when someone you trust recommends a product or service, you are more likely to trust that product or service as well. This is the psychological principle behind word-of-mouth marketing.

Word-of-mouth is one of the most powerful forms of marketing because it is:

• Credible: We are more likely to trust a recommendation from a friend than an advertisement from a company.
• Targeted: People are more likely to recommend products and services to people who are actually interested in them.
• Cost-effective: Word-of-mouth marketing is essentially free.

For a _Company of One, word-of-mouth is a particularly powerful strategy. It allows you to compete with larger companies without having to spend a lot of money on advertising.

To generate word-of-mouth, you need to:

• Create a great product or service.
• Provide exceptional customer service.
• Make it easy for people to share your business with others.
• Incentivize referrals.

By harnessing the power of trust by proxy, you can turn your customers into a powerful sales force.