In today’s time, referral marketing is one of the most potent ways to reach out to your targeted customers – by utilizing the power of word of mouth and trusted recommendations – from your existing customers.
It may seem simple, but this process can be time-consuming and challenging to keep an eye on every referral in practice, particularly for businesses that are expanding rapidly.
When it comes to a referral program, running a successful referral marketing program relies on an effective system and excellent customer service. As you understand, when you have numerous customers and many links in the chain, it can be not easy to keep track of everything. Therefore, this is where a referral marketing strategy comes in – when you have a strong strategy in place, you have a solid foundation for success.
An excellent referral marketing strategy should be easy to develop. However, some of the best strategies are the simplest ones. Today, in this blog, we will discuss how to develop a referral strategy. Although the referral program is different for different brands and companies, the strategy’s bases remain the same.
Now, without any further ado, look at six things you need to consider while developing a referral marketing strategy.
How to create a referral marketing strategy
1. Building Brand Affinity
Those customers who are participating in a referral program want to endorse your brand. They’re placing themselves beside your brand and asking people to see. It’s crucial that doing so makes them look great to their peers.
Brand affinity occurs when your company’s values and those of your consumers line up. They believe like you share their worldview, and you interpret what their core values are all about.
It usually involves the purpose of why you make that product. Make sure you highlight what your brand stands for and your company employs in a way that makes your customers look good.
If you’re an environmentally conscious company and make donations or planting trees on your customer’s behalf, then you have to make that information sharable.
It is crucial to note that it should be transparent and authentic. Let your consumers understand exactly what your company is all about. You can highlight the viewpoints that speak to them individually but keep it precise. People understand when you’re not authentic and only inform them what you believe they want to hear.
2. Making it Easy and Make Everything Sharable
To make your referral marketing strategy successful, you need to make it effortless for customers to participate. Ensure that Signing up, referring friends, and claiming rewards processes are easy if you want people to do it!
Your customers should be clear about rewards, and the following rewards they can get should also be clear and straightforward. Make it as simple as possible so that you can understand what to do next and how it will benefit them.
Your website, social media pages, and referral program pages must be readily accessible and ready to use. No multi-step processes, no long forms, no slow loading pages.
Also, you have to make sure that referrals and reviews are sharable on social media. Social sharing plays a massive part in daily life. Making sure that your program is simple to share on social media is crucial! Be sure to incorporate engaging visual content for customers to share too.
Another excellent way to maximize social media sharing is to enable your customer’s personalized items to share on their pages. Do things that make your customers look good. A certificate acknowledging the donation you made on their behalf to a charity is a great example of this.
Giving them something to share that makes them look good and has your branding on it is an incentive too!
3. Building Strong Customer Relationships
Whenever you ask your customers to refer you to a friend, you’re urging them to spread your word as their reputation is on the line here. You have to ensure that you have a healthy relationship with them to trust you and are positive in your company. You also need to make sure that they understand exactly what you’re asking for, what it will mean for them, and the person they refer.
While asking them to refer you, make sure your timing is suitable, and your request comes with a reassuring incentive, affirming their importance to your company.
You can offer them access to a VIP club or a higher level on your loyalty program or referral program is an excellent way to do this. It tells them that they’re important to you, not just for their referral. Also, this offering should be as personalized and customized as possible too.
4. Make it exciting and engaging
It is an important aspect of your referral marketing strategy. Remember that referral marketing programs are voluntary. However, making it interesting and fun, as well as rewarding, will go a long way to boosting participation.
Make sure you use relevant themes, switch up the incentives repeatedly, create challenges, or provide special prizes to dedicated participants.
For making it more exciting, you can also gamify the process and enable users to compete for points on a leader board, with bigger prizes or incentives for those who make the most referrals in a given timeframe.
Despite how you do it, remember that the purpose is to keep customers involved and to have fun. Therefore, the techniques you use should not make it difficult to participate or more laborious to earn rewards.
5. Make it About Them and Make it Personal
One of the primary yet important things that you need to keep in mind while preparing a referral marketing strategy is to make things personal. Whenever a customer engages with your brand or company frequently, it is important to make sure they feel acknowledged and appreciated.
Customer relationships need to be cherished like any other relationship – utilize your referral marketing data to maintain that personal connection with your customers and strengthen the relationship.
The personalized message, product recommendations, birthday messages and gifts, congratulations on an anniversary with the company, or a milestone accomplished – these are all small ways to connect with your customers and show them that you appreciate them as individuals and value their loyalty.
6. Combine Your Referral Strategy with Influencer Marketing
When you intend to make your customers look and feel good while promoting you through your referral program, influencers can make a tremendous impact!
Collaborating with an influencer, big or small, positions your customers alongside them when they’re sharing on social media. For instance, an honored and celebrated person promoting the brand makes your customers look good and will urge them to share as publicly as possible!
In this blog, we have seen some important aspects you need to understand while developing a referral marketing strategy so you can get started with your successful program.
Shivani is a content writer at InviteReferrals & NotifyVisitors. She writes SEO articles, blogs, and guest posts for businesses to improve website ranking on SERP. She follows a balanced approach for the quality of content and its marketing. She loves to do creativity, although she had an English major in her graduation.