5 Reasons why Referral Programs work for your business
Everybody has asked friends, family, colleagues, etc. at least once for references about products or services that we wish to consume or buy, as they help you feel secure about a purchase decision that needs to be made.
Any kind of reference is a handy and reliable source when it comes to looking for great prices, searching for a unique place or a new service that we wish to acquire. Humans are more likely to trust a real testimonial from somebody that has already used a product or service over a marketing pitch.
Based on these facts and our own experience, creating a referral program for your business could be more beneficial than what you may think, as it is not only a great way to position your products and services but also an opportunity to increase your profits and customers base.
If you are still not very convinced, find below 5 reasons why referral programs work for your business:
1) Referral programs are an inexpensive marketing tactic: A really good thing about referral programs is that they are an effective way to promote your business without sacrificing your budget. Optimally, you should offer some rewards to your loyal customers to thank them for their recommendations, but at the same time, this is not a must. If you decide to motivate your customers by rewarding them, we are pretty sure that your investment will pay off big in the end.
2) Referral programs reach is pretty wide: Commonly, customers refer people who they think could be interested in your products or services; if you cause a positive effect on them, they will share your information with other people and so forth. This gives you the opportunity to eventually have an endless list of referred customers requesting for your products and services.
3) Referral programs help to build a good brand reputation: When somebody is recommending a product or service, is because it is good and they love it, and this is one of the biggest and most important assets that a business can have as this helps you to build a good brand reputation and this means that consumers trust your business and they are willing to become in returning buyers and of course brand advocates that will promote your products and services with more people.
4) Referral programs promote business loyalty: This marketing tactic can help you to set up a relationship with your customers, especially when there are incentives as a reward for promoting your business. People love to feel appreciated or emotionally invested in your business, that their effort is recognized.
5) Referral programs are social media friendly: We are always likely to share good or bad experiences by social media, and this means that happy customers will brag a satisfactory experience with their network. Don’t be afraid about encouraging your customers to provide social proof.
As you can see referral programs can give your business multiple benefits with a very low budget. If you are already receiving recommendations, you should start customizing your own program. Another advantage of the referral programs is that they could be implemented in any kind of business; for example if you own a wireless store you can motivate your customers by offering them a gift or a merchandise discount every time they recommend your business; or even better you can create a rewards program in which the more people they referred to the more points they get, the ones they can be exchanged for products from your store.
If you are considering implementing a referral program at your wireless store but you are also thinking about what merchandise to offer in reward? Empower has an online store, where you can buy wireless and non-wireless products such as cell phones, SIM cards, and audio equipment with exceptional quality at a very low price.
Also, if you want to experience yourself the benefits from a referral program, Empower rewards its dealers when they refer to another dealer. If you would like to receive more details about Empower’s dealer referral program, please send an email to firstname.lastname@example.org or contact our sales team.