Is Referral a good marketing strategy?

Not only do referrals multiply your customer base, studies have shown that word-of-mouth recommendations are trusted above any other form of advertising. A strong referral marketing campaign can strengthen existing customer relationships, bring in new leads, and grow your business.

What is referral marketing example?

Dropbox. Dropbox referral marketing program is probably one of the most famous referral marketing examples but also one of the most known growth hacking examples. Dropbox is a famous online storage company and they began a referral campaign through offering free 500MB space for both the referred and advocate.

How do you motivate referrals?

7 Effective Ways To Boost Valuable Business Referrals

1. (1) Provide jaw-dropping customer service.
2. (2) Encourage social media sharing.
3. (3) Showcase your best sources of referral.
4. (4) Give referrals to others.
5. (5) Offer a referral incentive.
6. (6) Make a game of it.
7. (7) Ask.

How do you reward customers for referrals?

Launch your referral rewards and incentives

1. If your customers are making infrequent or big-time purchases, it’s best to reward them with cash, swag, gift cards, or donations.
2. If your customers are making frequent or repeat purchases, consider offering discounts, store credit, a free subscription service, or donations.

What makes a good referral?

A good referral has an immediate need, and the prospect is willing to accept a phone call from your associate. Even if the individual does not have a direct or immediate need, securing permission for your colleague to call gives the individual an opportunity to develop a new relationship.

How do you give a good referral?

The Art of Giving Good Referrals

1. Be a good listener.
2. Use the phrase, “I know someone who can get that done.” As a rule, people who have a need won’t necessarily ask you for a referral.
3. Share your experiences about the person you are referring.
4. Give a business card of the person you are referring.