Customer Referrals

A referral is a trusted recommendation from another individual. Understanding what drives your customers is important for satisfying their needs.

By creating an army of happy customers, you’ll be able to spread the word about your business through the mouths of others. Customer’s referrals drive your profits at a low price.

The best way to get referrals is to offer exceptional products and services.

When you impress your customers, they’ll be happy to refer you to others. However those happy customers don’t always spread the word unless prompted, so if no one asks they may never tell. This is when the referral plan comes into play. A referral program not only rewards your loyal customers but also the person they are referring. This encourages people to spread the word as they get something in return for doing so.

So now the question is how to build a referral program that successfully works for your business.

To figure out what type of referral program will work with your customers, think about what they would benefit from most. Would they like receiving a free product or sample for making a referral? Or perhaps they would prefer account credit, or the ability to access a paid feature for free? Keeping in mind that the most beneficial programs offer something not only for the current customer but also the person they refer. Another effective way is to increase the rewards as to how many people that one person refers. It may be that they earn more credit or receive a promotional item for reaching a certain number of referrals. But remember when your designing your referral program it needs to be something that works for your brand. So getting to know your customers is important, to offer the rewards they would want.

Building your customer referral program can be time consuming but if done well, the benefits are likely to outweigh the costs by far. So making sure your referral program is easy to use and extremely clear for customers to understand is important, as no one likes to put their details into something that isn’t clear and they don’t trust.

There are a number of ways to build your referral program.

Hold a Contest

Holding a contest is a great way to bring out that competitive spirit in your customers, offering prizes for first, second and third for the highest number of referrals will get the ball rolling quickly.


Having a yearly anniversary event or discount coupon referrals on holiday promotions such as Christmas, Mother’s/Father’s day, Valentines and Easter.  It’s helpful to see successful examples from other brands to see what ways are most effective.

Referral programs have the power to take your business to the next level.

Bringing new customers directly to your door. So if you don’t have a customer referral program in place its worth giving it a try to increase your business and profits at a low cost. If you’re unsure try something small and simple at first but don’t ever be afraid to try something new and make a statement.

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