Referral marketing is one of the most powerful forms of marketing that exists. This type of marketing is also called word-of-mouth marketing. Essentially, the way referral marketing usually works is that someone who has used your product or service recommends it to someone else. Sometimes, someone who hasn’t used your product – but knows the value of it – will also recommend it because they enjoy being a resource to people within a certain audience.
Referral marketing can have a useful effect on your reach. Imagine if each of your customers referred your product or service to just one of their friends or colleagues? And each of them referred you to one of their friends or colleagues? What would this mean for your business? The problem is, most people are too busy.
They simply don’t think about referring you unless it comes up somehow. Therefore, if you create a vibrant referral program, you can seriously explode your business growth. In fact, some businesses eventually earn virtually all their customers or clients via referrals. This is especially true in the service industry. But it works great in any industry and is often a tactic used by companies that are in the startup phase and don’t have a lot of money for paid advertising.
Let's expand on 6 ways to get more referrals:
1 – Provide Top-Notch Customer Service
If you are known for providing amazing customer service, people will talk about it. Due to this conversation, you’ll get referrals just by the nature of them talking about it with others.
2 – Encourage Referrals
A great way to get people to refer you is to ask them to share information on social media. Share something relevant every day and always ask your audience to share. Send the information directly to your customers as well by tagging them when appropriate.
3 – Make Asking Part of Your Follow Up Process
Another way to get people to give you referrals is to ask them. When someone buys from you, you already follow up with them via email, perhaps a phone call, and in other ways. Why not add one extra message to the series? Invite them to sign up for your affiliate program and to recommend you to their family, friends, and colleagues that might be interested.
4 – Publicly Thank Your Best Referral Partners
When you get good referrals and it’s appropriate to do it, thank them in public. Ask for a picture, make an attractive meme, tag them, and share it across social networks and even in email.
5 – Be a Good Source of Referrals
If you want people to refer you, it’s a good idea for you to be a good source of referrals to others. Send only good people that are right for them their way and they’re going to think of you when it comes up.
6 – Offer Referral Incentives
If you have an affiliate program, it’s easy to add a program for people who aren’t affiliates but who want to refer you and earn a little extra money or even points toward more purchases. If you don’t have anything formal in place, send them a coupon for a percent or specific dollar amount off for a future purchase.
Just imagine what would happen if each customer referred you to just one of their friends or colleagues? In six months, where will your business be? In a year? Adding referrals to your marketing program can make a huge difference. Don’t miss out on this source of amazing – and typically lifelong – customers.
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