Meta description: Do you perform referral marketing for your business? Here are some great ideas for a Referral Plan by Business Sector.
A Referral campaign idea is a way to promote a product in a systematic approach. Your clients will recommend your product or service to their friends, family, companies, or contacts. Of course, they do this because of a powerful incentive that motivates them to recommend your brand.
For this to be successful, a referral campaign idea must follow certain conditions:
- You must have great things to recommend.
- You must create a simple referral mechanism that is easy to follow
- You must reward the referral with a proper incentive for market value.
- You must communicate the mechanism of referral and the reward.
- Finally, of course, you must announce that you have it and honor your word.
Where to Start Your Referral Strategy
The specific objective of a Referral campaign is to get recommended by others. The recommendations are usually one of the most important factors by which a new client arrives at your door. Hence, the strategy that invites the market to speak well about will eventually invite others to try your service.
Create an attractive incentive
We know that Word of Mouth (WOM) is a powerful tool, which can occur naturally based on the experience of using a satisfied customer. However, there are also satisfied customers who need a "little push." A type of client that you can enhance by creating a beneficial incentive for both parties.
Ex: "Receive a special discount for you and a person of your choice."
If this catalyst is attractive enough to mobilize and allocate part of its time in referencing, you will be starting a network that will feedback with each interaction.
Do it in the right place and with the right emotion
You must simplify the operation of your referral program as well as how it will be executed. Remember that in addition to competing with your client's short time, there are other brands, perhaps from different sectors, that try the same. The design and implementation of the mechanics of the program should be simple and appear in every communication, interaction, or message you have with the client.
Some brands, for example, take advantage of the moment in which the product/service is delivered. Therefore, this "emotion" to refer their friend works as a catalyst. This opportunism is used by some companies to include in the packaging of their deliveries (other companies even use the same packaging).
A thank you note that, at the same time, encourages the customer to share a photo of their purchase on social networks.
Manage your efforts and resources
According to The New York Times, in the US 65% of new businesses come from referrals, and Nielsen says that people are four times more likely to buy if the direct reference comes from a friend. Therefore, it is essential to know very well who you are addressing. In most companies, and especially in the service sector, about 80% of sales come from referrals or references from somewhere.
The problem is that the remaining 20% require almost 80% of marketing efforts, especially for those who continue to use traditional marketing tactics. Therefore, focus your efforts and resources on generating memorable experiences and communicating them well; this can become your best return on investment.
Here are some other interesting facts that will inspire you:
- 85% of Facebook brand fans recommend these brands to others. - Syncapse 74% of consumers identify word of mouth as a key influence factor in their purchase decision. - Bigcommerce
- 71% of consumers are more likely to make a purchase based on social media referrals. 92% of customers rely on references from people they know. The duration value of a new referred customer is 16% higher than the average customer. Nielsen
- Consumers rely on word of mouth ten times more than the means of payment. - Boston Consulting Group
- 79% of people say that their main reason for a "Like" on a company's Facebook Fan Page is to get discounts. - Market Force
It is essential that before considering a referral strategy, you should review your product/service and test the entire process of your Customer Journey Map. Why? Because a referral strategy works with the products and services that sell! It may seem obvious, but many ignore it.
The "Ads" accounts are full of companies that spend a lot of money on online marketing, thinking that "being where they are all" is already a guarantee of success. They do not realize that perhaps, it is the offer that fails, not their marketing. Your offer must first be unique.
It must be outstanding for most people who tried it. Even if your marketing budget is low, the happy customers build more trust and continuous client flow.
Referral Campaign Ideas by Business Sector
Here are some ideas by type of business that I hope will serve as a basis for new ideas that you can think of.
The plan that has worked for most schools is a discounted invitation by the Flyer. In this strategy, all enrolled students are invited to recommend a friend via a Flyer with an attached heel. The Flyer contains information about the promotion and is for delivery to your friend.
On the heel, they write the school the name of the person they recommended and who recommended it. If the supported person is enrolled, both have a significant discount on registration, not less than 20%. Another referral plan that has worked a lot is in schools where you partner with Realtors to recommend the College with its clients.
Many families come to different cities and do not know well about schools, shops, doctors, etc. Here, the exchange of benefits can range from scholarships, training, or even sales commissions to agents who recommend and enroll.
2. Beauty Salons
One of the most straightforward and most successful among many marketers is to make Free Hairstyle cards. You give all your customers such a card to give it to their friends or family. It is valid for a hairstyle by appointment.
Most people, especially women, are fussy about who cuts or inks their hair. Therefore, changing aesthetics is a decision we do not take lightly. As a result, the hairstyle offer works better.
It is something less risky In the beauty market. People who follow this promotion are treated extraordinarily since they are aware that it is their only opportunity to build trust. In case the promotional card becomes effective, the client who delivered it also earns a Hairstyle.
If they are satisfied and have significant social media following, you can offer them a cashback for posting about your beauty salons.
Strategic alliances are great for any consultant. Working as a team helps you optimize and optimize resources. You should look for companies that have the same market as yours but are not competition.
For example, you can associate with Accountants, Lawyers, IT Developers, etc. Then, you organize events to which you invite your and their respective clients. This way, you can have new potential clients showing up as well as your friend.
Keep in mind that the services of the consultant with whom you associate should have a philosophy similar to yours. Remember that your clients will associate you with your friend has to offer.
Make attractive and didactic Tourist Guides for the people who have visited your Hotel. This can be done by creating an App and send it to all your current customers. You can ask for their help so they can recommend it to their family and friends.
It must be a guide to the city, not of your Hotel. To download it, people must register with their email and name.
Organize alliances with child's schools, prepare VIP Cards for all parents of that school, which will always have a special discount on your consultation. Sometimes, when your client earns the recommendation from the children, it is more powerful rather than from the parents.
6. Law Firms or Accountants
Organize webinars with influential characters in your business sector. You can ask them to recommend your services in their talks. For webinar registrations, you can collect subscription data such as email and name so that you can then work with email marketing campaigns to them.
7. Clothing Store
Offer all your customers a Discount Card (minimum 20%) for their Best "Friend." Therefore, they can give it to whoever they want. If the person arrives at your store and makes his discount claimed with his purchase, your referral also gains a 20% discount.
All new dinner customers who are happy and congratulate your meal deserve a "Happy Customer Card." With this card, they earn a 20% discount on their next visit for one time. Plus, you will give them another Recommendation Card, which they can use to refer to his friend. Waiters must be very well trained so that they only provide these cards to people who are satisfied with your service and food.
9. Real Estate
Every time you sell a house, the real estate organizes an "Open House" for friends, family, and neighbors of the buyer. A small party in which the buyer shows his new house and the real estate company details benefits to all the people who attend. Of course, you must prepare to leave your card or brochures to everyone present.
The floral arrangements of their Wedding sponsor all customers who buy engagement rings. This partnership benefits both the business. For example, once the client purchases the engagement ring, they will get 20% OFF when purchasing flowers on the referred store.
How to Enhance the Power of your Referral Campaign Ideas
Now, it is interesting to analyze how all this can be enhanced. Therefore, below, we share some essential points to improve referral marketing ideas.
You must provide a good shopping experience
The first step for people to refer to the brand in their social circles is to give them a good reason to do so. This point also includes the quality of the products and the quality of customer service.
Monitor the analytics
Platforms such as Google Analytics have sections created specifically for the analysis of references. Therefore, it is necessary that a company always keep them in mind to know where some visitors come from. With the information obtained, it is possible to work on obtaining more mentions to Generate more references.
This point does not refer exactly to placing social media buttons, that come in the next point. What I mean here is more likely related to your product packaging. Considering this aspect as a part of the experience is a good way to encourage user-generated content.
Of course, that is a great way to create a reference for the brand.
Make it easier for customers to refer to:
Whether on the company's website or email marketing campaigns, it is important to give people the option to share what they see with their friends and acquaintances. The social media buttons or even the sections created specifically to refer are helpful, especially when working with a good Call To Action.
Finally, Encourage more referral
Finally, this last way to improve references is to promote or encourage them through the use of programs that provide benefits every time people present the brand to their acquaintances. In the market, there are several tools that can be integrated into the website or e-commerce and manage this in a simple way. For example, you can use the cashback module, a referral discount link generator, and more.
As always, I hope this brief information will be useful. I would love to have your comments and know if you can help us with more ideas.
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