Everyone loves a referral. Customer referral programs can be very successful and rewarding. Creating an effective customer referral program takes time, but the return on investment can be amazing. Here are some important tips for setting up a successful referral program.
Benefits go both ways
The best customer referral programs benefit both the referrer and the referee. These programs must provide enough incentive for a person to talk to their friends about your services. Design your program to transform customers into enthusiastic advocates for you.
Pick the right time to ask
Wait to ask a customer for a referral until you’ve developed a relationship with them. Your customer must be able to refer you based upon a series of positive experiences. Sometimes you need to ask more than once, if so, consider waiting months or even a year to ask again.
Take your time
It may take weeks, months or years for a client to refer someone to you. Make it a practice to ask each new client how they learned about your company and then follow-up with the referrer (and your new client) and administer your referral gift in a timely manner.
Don’t forget to say thank you each time you get a referral. Make it a point to nurture the relationship with your referrers and referees. Your recognition makes people feel good about what they have done. That way they will refer you again.