Who benefits from using referral marketing
Posted: Wed Jan 29, 2025 8:56 am
Experience shows that referral marketing is useful primarily for companies focused on online sales, in particular:
online stores;
online showcases of retail chains;
offline businesses that attract customers online (Internet providers, sushi delivery, etc.).
By collecting referral recommendations online, you will allow users to easily and quickly share a review of a product on a social network page. To launch such a campaign offline, potential customers must act more consistently, and in practice, the audience is much more difficult to perceive this method of advertising.
When is it better to use referral marketing to promote your business? Remember: in fact, this is the same loyalty program. Accordingly, the process should be continuous. The main thing is to choose an offer that will interest the buyer, professionally and competently convey it, using referral marketing tools. But, of course, there are more common ways to use it.
Most often, it is used by companies that sell goods with a large markup, such as stores selling clothes, shoes, and accessories. But providing a 10% discount for a recommendation is not suitable for everyone: for some, even the markup barely reaches 10%, while others simply do not want to cut their profits. In this case, there is only one possible way to use referral marketing - providing a gift for a purchase. Many stores have stale goods, and they are ready to give these products even for free if this stimulates people to buy.
It is better not to use this method if the advertiser is not ready for it. If he works at the limit, he cannot ship products from suppliers or stock in the warehouse in larger quantities. But then the question of the company's efficiency arises. In other cases, referral marketing is a good solution. Even large sales volumes can always be increased, and if the offer is really interesting, referral marketing solves this problem perfectly.
Recommended articles on this topic:
The company's marketing concept: as you name the ship, so it will float
Types of Remarketing: What You Should Know About Them
32 methods of finding and attracting clients
How to Start Referral Marketing
If referral programs are philippines email list ineffective, they most likely lack information support. This is exactly what happens with most small and medium business programs. Competent implementation of a referral program involves not only creating texts, preparing publication sites and conditions, but also active promotion, delivering the message to potential clients through all communication channels.
Launching a referral marketing program on a website consists of several stages:
First, you need to decide on the type and size of the reward , taking into account its attractiveness to the potential client. Consider the level of marginality and the size of the average check. It is better for a regular online store to use a two-way program.
Next, you need to choose a location for the program information so that it can be easily found on the site. It is best to create a separate page with a link from the cross-cutting menu and the user account. You can also use the following elements:
banner on the main page;
link in the main menu;
ribbon;
product card;
order confirmation page;
page after payment.
Create markup on pages in accordance with the Open Graph standard. When users share, you will receive a beautiful preview in any social network or messenger. It is optimal if you prepare a special promo post with 2-3 hashtags in advance. Thanks to this, you will be able to track publications even through a simple search in the social network.
And most importantly, it is necessary to inform buyers about the launch of the program. To do this, you need to:
send them emails briefly describing the program;
post a message in the website’s news feed and social networks;
add a link to the terms of the referral program to standard trigger communications;
Don't forget to send out email newsletters every 1-2 months.
In addition, you can speed up the emergence of a referral network. To do this, it should be actively promoted through paid advertising channels and with the help of opinion leaders.
Methods for finding opinion leaders:
search for them yourself through paid social network analytics services;
search independently through blogger search programs (GetBlogger, EpicStars);
outsource the promotion of your referral marketing program to a specialized service.
Conditions for launching a referral program:
A favorable offer for referrers (we are talking about the amount of reward).
Clearly defined terms of the affiliate program (the essence of conversion, restrictions, method of reward payment).
Effective advertising of a referral marketing program (quality promotion).
A quality landing page about an affiliate program.
If done correctly, referral marketing will become an easy and profitable tool for attracting new clients. And if you use an affiliate program together with advertising tools, the effect can be excellent.
online stores;
online showcases of retail chains;
offline businesses that attract customers online (Internet providers, sushi delivery, etc.).
By collecting referral recommendations online, you will allow users to easily and quickly share a review of a product on a social network page. To launch such a campaign offline, potential customers must act more consistently, and in practice, the audience is much more difficult to perceive this method of advertising.
When is it better to use referral marketing to promote your business? Remember: in fact, this is the same loyalty program. Accordingly, the process should be continuous. The main thing is to choose an offer that will interest the buyer, professionally and competently convey it, using referral marketing tools. But, of course, there are more common ways to use it.
Most often, it is used by companies that sell goods with a large markup, such as stores selling clothes, shoes, and accessories. But providing a 10% discount for a recommendation is not suitable for everyone: for some, even the markup barely reaches 10%, while others simply do not want to cut their profits. In this case, there is only one possible way to use referral marketing - providing a gift for a purchase. Many stores have stale goods, and they are ready to give these products even for free if this stimulates people to buy.
It is better not to use this method if the advertiser is not ready for it. If he works at the limit, he cannot ship products from suppliers or stock in the warehouse in larger quantities. But then the question of the company's efficiency arises. In other cases, referral marketing is a good solution. Even large sales volumes can always be increased, and if the offer is really interesting, referral marketing solves this problem perfectly.
Recommended articles on this topic:
The company's marketing concept: as you name the ship, so it will float
Types of Remarketing: What You Should Know About Them
32 methods of finding and attracting clients
How to Start Referral Marketing
If referral programs are philippines email list ineffective, they most likely lack information support. This is exactly what happens with most small and medium business programs. Competent implementation of a referral program involves not only creating texts, preparing publication sites and conditions, but also active promotion, delivering the message to potential clients through all communication channels.
Launching a referral marketing program on a website consists of several stages:
First, you need to decide on the type and size of the reward , taking into account its attractiveness to the potential client. Consider the level of marginality and the size of the average check. It is better for a regular online store to use a two-way program.
Next, you need to choose a location for the program information so that it can be easily found on the site. It is best to create a separate page with a link from the cross-cutting menu and the user account. You can also use the following elements:
banner on the main page;
link in the main menu;
ribbon;
product card;
order confirmation page;
page after payment.
Create markup on pages in accordance with the Open Graph standard. When users share, you will receive a beautiful preview in any social network or messenger. It is optimal if you prepare a special promo post with 2-3 hashtags in advance. Thanks to this, you will be able to track publications even through a simple search in the social network.
And most importantly, it is necessary to inform buyers about the launch of the program. To do this, you need to:
send them emails briefly describing the program;
post a message in the website’s news feed and social networks;
add a link to the terms of the referral program to standard trigger communications;
Don't forget to send out email newsletters every 1-2 months.
In addition, you can speed up the emergence of a referral network. To do this, it should be actively promoted through paid advertising channels and with the help of opinion leaders.
Methods for finding opinion leaders:
search for them yourself through paid social network analytics services;
search independently through blogger search programs (GetBlogger, EpicStars);
outsource the promotion of your referral marketing program to a specialized service.
Conditions for launching a referral program:
A favorable offer for referrers (we are talking about the amount of reward).
Clearly defined terms of the affiliate program (the essence of conversion, restrictions, method of reward payment).
Effective advertising of a referral marketing program (quality promotion).
A quality landing page about an affiliate program.
If done correctly, referral marketing will become an easy and profitable tool for attracting new clients. And if you use an affiliate program together with advertising tools, the effect can be excellent.