Struggling to expand your customer base? This is one of the most common challenges companies face, especially SMEs that find it hard to get noticed when competing against the bigger, more established brands. Customer acquisition is essential for growth, revenue generation, and long-term success, so this can be a major issue for businesses. Fortunately, there is a highly effective strategy that you can use. Referral programs will enable you to expand your reach, tap into new markets, and build brand credibility with the help of your existing customers. Interested? This post will tell you all that you need to know.
What Is A Referral Program?
Essentially, this strategy involves getting your existing customers to recommend your business to people in their network. Digitally Unique offers a referral program that allows customers to enjoy a commission of 10% on the completion of an order - this means that existing customers are incentivised to recommend the company, making it mutually beneficial. The main steps involved include:
Contacting Digitally Unique to provide details of the business
Receiving a code and confirmation of the referral
Receiving a 10% commission when the referred company/individual completes an order
Why Referral Programs Are Effective
Businesses often find that referral programs are one of the most effective ways to acquire new customers. Essentially, this is because you are turning existing customers into brand advocates. People will always trust brand recommendations from those in their network, so you can leverage this trust to win over new customers.
Additionally, referral programs allow you to reach new leads you might have never found through other marketing strategies. Often, this enables a business to tap into new markets and build a much larger customer base. Of course, this can also result in a snowball effect where new customers sign up for the referral program - this could then see your customer base grow exponentially.
Referral programs can also be cost-effective compared to other marketing strategies. Although you offer a financial incentive to existing customers, the new business referral programs generate should enable significant ROI.
This all sounds great, right? Referral programs are an excellent way for a business of any size in any industry to grow and attract new customers, but there are a few key considerations.
First, you need to make sure that you are a brand that customers will want to recommend. This means you must provide a high-quality product/service and exceptional customer service at good value. At Digitally Unique, we do this by offering all clients:
Full communication with a dedicated project manager
Another critical consideration is the incentive. If you want your customers to refer your business to those in the network, you need to make it worth their while. You need to offer an incentive that will encourage them to not just refer your brand but actually encourage people to use your business.
As you can see, a referral program is an intelligent way to attract new customers and grow your business. Here at Digitally Unique, our referral program allows customers to earn rewards while spreading the word about our digital marketing services.