How to create a referral programme for your business
Let's say you created one of the most amazing products or you have a great service. But has anyone heard of it? If not, then it’s probably because people aren’t sharing your business to their peers.
We run to our friends and family for advice. There’s already a solid trust and relationship so we take their word for almost anything.
Word of mouth is a powerful and trusted tool in marketing. If you're going to self-promote too much, it may sound narcissistic which can hurt your business. Satisfied and happy customers are your key to advocate your business. Use incentives and encourage them to refer friends and to you through a referral programme.
What is a referral programme?
A referral programme is a way to generate leads. But not just any leads - they’re highly-qualified and specific leads with a higher chance of resulting in sales.
The programme rewards existing customers for sharing your business to other people (usually through word of mouth), and incentivise new customers for trying the product or services. A customer gained through a referral are often more loyal and valuable than other customers.
Why are referral programmes important?
Make your referral programme accessible to your customers because they are one of the most important growth drivers of your business. You have to let the customers know what's in it for them to entice them more.
Here are the benefits of referral programmes to your business:
Leads you acquire will trust you more
Customers gained through referrals have a higher chance of buying from you
Referrals are more likely to become loyal to your brand
You’ll get an idea of who your loyal customers are
Increased marketing reach, brand awareness, and reputation
How to start a referral programme
We need to make sure that our referral programme fits our brand. Here are the ways you can start your programme:
Identify your goal - Have a clear vision of what you want to achieve with your referral programme.
Create a list of your possible referral sources or advocates - This can include past or present customers, industry leaders, your employees, and anyone who has been connected to your business.
Reach out to your customers - Narrow your advocate list by segmenting them to people who know what value your business has and would refer you with and without incentives then ensure that the timing is right when you reach out to them.
Know your possible incentives - There are incentive and non-incentive program. Also remember to give the advocate something in return. Some incentives are discounts, cash, credit, items and gift cards.
Use resources to send to your customers/alerting customers - Use the programs you think will work well in alerting your customers and start promoting.
Track the results - Things you can track for the referral programme are:
Who was referred and who the advocate was
When they were referred
Whether or not they converted
How you're going to nurture them
You can use CRM (customer relationship management) like Dubsado to track these people. This contributes to your customer success so it's best not to neglect it.
Lastly, don’t forget to thank the advocate for the help (you can also give the incentive here) and the person referred for accepting.
Where can you mention your referral programme?
You don't want to appear hungry for leads when asking requesting for a referral to your customers. You might scare them away. Make sure they're happy with your brand's services first.
These are some of the places where you can mention your referral programme:
Email body and mages
Side menus or website footer (or ad space on your website)
On that note, we have a NEW REFERRAL PROGRAMME!
Access the link anytime in the footer of our website or any of the places above. We practice what we preach!
We value each and everyone of our clients. You make this dream job into a reality and working with you on building your business is a great opportunity for us.
And we’re here to share bits of our love for your projects by creating a referral programme! This is my way of saying thank you for volunteering my name to your friends and loved ones.
Interested in participating? It's as easy as 1 2 3:
Refer a friend below.
If they end up working with us, we will send you $89NZD via PayPal.
When the client completes their project, I will get in touch with you prior to sending the payment.
Be an advocate
Referral programmes are important to businesses because it has so many benefits like gaining more loyal customers and increasing brand awareness.
Our new referral programme is our way to thank people for helping us and staying with us until now. Start referring your friends and loved ones! We can’t wait to work with them.
T & C's: please note you need to have a PayPal account for us to send you the referral fee. If you don't have one, Paypal will help you set one up for free. There are no limits to how many people you can refer. For the referral fee to be paid, booked jobs need to be $1,000 and over.
Let’s work together
Got an amazing business idea you need help bringing to life? Time to refresh your existing brand? Ready to get serious and connect with your customers with a stunning Squarespace site?