Potential customers will typically hear about your business in one of two ways. Either you are telling them about your business in some way (email, advertising, marketing, or calling), or other people (like coworkers or friends) are telling them about your business. The latter is what we call a referral. As you might imagine, potential customers who are referred to your business from someone else convert at a significantly higher rate than those who are not. Most great businesses benefit from this phenomenon, even if they aren’t actively encouraging it. However, your can dramatically amplify this effect by creating an effective referral program. Dropbox, for example, famously went from one hundred thousand registered users to four million registered users in fifteen months, largely due to a referral program. So, how do you encourage your customers to refer you to their friends? This Webinar by Dan McGaw will walk you through the three elements that the best referral programs generally have in common:
- Happy customers.
- Reciprocal incentives.
- Reproduction.