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Word-of-mouth marketing is a tried-and-true tactic, used for years before the entire world went digital. While there isn’t much space for word-of-mouth campaigns in a digital world, some tactics are still effective for generating leads and building brand awareness. A customer referral program is a powerful tool built to attract new leads to your business that are a good fit for your brand and your products. With a program like this, you can ensure that you are getting the right people's attention. Below, we discuss how to build an effective customer referral program.

Building a Customer Referral Program


Set Specific Goals

The first step of establishing an effective customer referral program is to set specific goals for what your program should accomplish. Are you looking to improve customer retention? Are you more focused on growth and revenue? Do you have to “prove” the worth of your product? Once you can confidently answer these questions, you can begin to build your referral program.

Decide What a “Good Fit” Looks Like

Can you define your ideal customer? You have an opportunity with a referral program for your existing customers to refer leads that will be the right fit for what you provide. Instead of giving you a list of cold names, you will have a better opportunity to make a sale with the right fit. Defining what you perceive to be an ideal customer gives your current customers a better picture of who to refer.

Identify Referral Incentives

How can you incentivize your current customers to refer new leads? This kind of program shouldn’t only benefit your business. You should look for ways to thank your customers for referring your business! You need to ensure that the referrer gets something out of the deal, whether that’s a discount, coupon, or some other kind of reward. If you can properly incentivize your current customers, your referral program will be much more successful! 

Follow Up Quickly

While it’s likely that referrals will be a warm lead, you shouldn’t assume that they aren’t looking at your competition. Make sure that you follow up on the information that your referrers provide so that you can quickly finalize the sale. The sooner you make your impression, the more likely it will be for your business to finalize a deal.

How Marketing Eye Can Help

Marketing Eye is a full-service marketing agency specializing in elevating small to medium-sized businesses' marketing operations. Our team works with you to develop a marketing strategy that addresses all of your obstacles and challenges with our consultative approach. Contact Marketing Eye today to learn how we can help your business.

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The Marketing Eye Atlanta team has a combined 35+ years experience in marketing and communications. Marketing Eye Atlanta is well-known for high performance, technology-driven marketing campaigns that deliver results. The team members are experts in all facets of the marketing mix including strategy development, content marketing, branding, website development, public relations, social media, digital marketing, SEO, lead generation, direct marketing, etc.

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