10 Things You Didn't Know About Referral Programs

10 Things You Didn't Know About Referral Programs

By Holly Millar Icon comments Tags: Marketing, Referrals

Ever get the feeling your ad campaigns aren’t working? Does cutting through the noise online seem impossible?

If your business is struggling with growth and promotion marketing, try implementing a referral program.

According to Nielsen, about one third of online advertising campaigns don't work — they don't generate awareness or drive any lift in purchase intent.

With an effective referral program in place, you can increase profitability, lower customer acquisition costs, drive sales, etc.

Customers acquired through referrals are 16% more profitable that those acquired through other channels (Harvard Business Review).

Here are some compelling reasons why your marketing strategy needs a referral program today. See the infographic below:


Referral Program Infographic

To run an effective referral program, it isn’t enough to expect customers to start talking about your business. Asking the right customers at the right time is a crucial element of a successful referral structure.

You might hesitate to ask your customer to promote your brand, but with the right reward and well-designed referral program, you will quickly see the return on investment.
When to ask for referrals

If your company has a powerful referral solution in place, setting up an effective referral program should be easy to implement. Please get in touch if you have questions about the right referral software for scaling your business.

Sources:
http://www.nielsen.com/us/en/insights/news/2013/under-the-influence-consumer-trust-in-advertising.html
https://salesbenchmarkindex.com/insights/the-rise-of-social-selling/
https://hbr.org/2011/06/why-customer-referrals-can-drive-stunning-profits
https://www.wharton.upenn.edu/
https://www.forbes.com/sites/pauljankowski/2013/02/27/quick-what-are-they-saying-about-your-brand/#2891814c209a
https://www.bcg.com/

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