Updated: 5 days ago
Consultant Proficiency Resources Level Up series continues with Leveling Up your business for 2024. One method to level up is to implement an organization's Referral program. Referral programs are effective based on the endorsement approach that is built on trust. People are more than likely to trust their friends, colleagues, and family words more than an advertisement or promotion. Referral programs are a great way to increase customer acquisition and retention. While at times, it pays to ask your customers for referrals, other times if you render high value products or services, the customer will advocate on your behalf without even asking.
One of the best parts of referral marketing is a program that can be easily automated to run alongside other marketing efforts and listened to if you render high value. Today's post highlights "How to Create Your Customer Referral Program for Your Business" courtesy of Entrepreneur 2023. The below summarizes the steps to launch your very own referral program in time for 2024.
1-Think about Your Goal Tesla had more than sales in mind when it created its unique referral program. The company wanted to add to its allure and buzz by being known as a business people talk about. Moreover, they also intended to reward their best customers with precious gifts. And yes, they wanted to increase sales.
2-What is your pillar or value statement grounded in?
For CPR, its trust and competence. Understanding that you are contracting with an ethical organization is the first step; the next step is to promote your area of expertise. So yes, your brand can be tied into your Referral program. Check your business plan for your value statement or pillars. If you do not have one, modify your business plan before proceeding.
3-Check, Check, and Check So start with the end game in mind. What are your goals? What do you hope to achieve with your referral rewards program? 4-Think about Your Customer Before you look for new customers, you need to know who your current ones are if you will create a referral program that they like and want to take advantage of. Who are your best, most satisfied customers? What is it they like about your business? Your best customers need to be the target of your nascent referral program. 5-Offer Real, Valuable Rewards This is based on your customer profile. What is it that would incentivize your customers to act on your behalf? It cannot be minor and should not be cheesy. Your rewards are part of your brand and marketing; they must dovetail easily with both. If you have not seen our Level Up series on YouTube or listen on WONIRADIO, we hope you will take advantage of the free resources. Tapping into your creativity allows the leader to be creative when launching a referral program. Based on the article, rewards can be almost anything: discounts on their next purchase, a gift card, recognition, you name it. The goal is to create a Win-Win scenario. The best programs are those that reward the referrer and the referred. Refer a friend, and you both win! Also, make your referral program as easy as 1-2-3. Customers are busy and are not likely to follow through if your landing page doesn't make sense. Please keep it simple, easy, obvious, and transparent. Customers must understand how to sign up and what they will get if they refer someone to you.
You can undoubtedly follow CPR's progress in launching its referral program as we Level Up for 2024.