#marketing #business #referral #advocacy #social #media #customers #growth #online #digital #era #crypto #rewards #knightsbridgedao
“We all know this from these other terms: word-of-mouth marketing and/or advocacy marketing“– Paul Ebeling
Word-of-mouth marketing is an old way of marketing where people used to recommend their friends and family.
But now in the crypto era we are getting digitized and can recommend these products through online modes.
So word-of-mouth marketing evolved and became referral marketing for businesses.
Some Key facts
• According to Neilson, 92% of customers are likely to follow their friends and family over the advertisement.
• Recommendations or word-of-mouth marketing leads to 20-50% decision making of the customers.
• Customers who joined after reference have a 16% higher lifetime value.
• People who got referred are 4X more likely to buy those products that are recommended by their friends.
Reliability is the main factor behind every referral program. Businesses use their loyal customers who can promote their products and services. Loyal customers know your company very well, and they have trust in your product. It is a fact that when we like any product or service, we strongly recommended it to others. Therefore, the referral program allows them an opportunity to become your advocates while earning rewards in return.
The referral program is not a 1 time thing. It benefits not only in the short term but also in the long run. Once you have launched a referral program, your referrer will start referring to the friends. Once their friends started using your services or products, and also like your products or services. Then they will even begin to promote your business. So, next time when you will be launching a new campaign for your product, they will also contribute to improving your business growth by becoming advocates as their friend did previously.
The trust factor is a Key part of the referral marketing program, so make sure that customers have trust in your products. Know your customer’s choice and then make it best for your customers.
In referral program strategies, incentive is an essential point you should decide while planning. It can be difficult for businesses to decide on which kind of incentive they should offer, either a cash benefit or discount.
It depends upon the nature of products and services. If a customer goes for repeat purchases, then you should go for a discount incentive.
And if a customer is going to purchase it for once and do offer cash benefits because cash benefits will attract customers for future purchases as well.
Make sure whichever benefit you give make sure it is an appropriate reward to your customer.
Referral programs should be straightforward. People like to share referral programs on social media platforms, make sure that your referral campaign includes social media marketing channels to make it easier for customers.
Implementing a customer advocacy marketing strategy can do a lot for your business’ growth.
When it comes to making decisions, people are all influenced by various factors, especially with acquiring or purchasing a product or service. To help you streamline your processes.
Keep an open mind about learning and Implementing different strategies that align with your vision and goals, whether short-term or long-term.
Have a prosperous day, Keep the Faith!