It is a fundamental strategy for the company. It happens when customers are satisfied with what they bought from the brand and then recommend it to people close to them. It is a free action and, therefore, generates credibility for the business.
Furthermore, it can be done in person or through digital channels, for example, through positive comments, reviews, testimonials, among others.
External and paid
This is a type of referral marketing that is gaining more and more ground. It occurs when a company finds the ideal representative for its brand and pays to establish a partnership. This means being referred by that person.
To identify the right partner, the organization needs to be present on jamaica mobile database social media and find a good influencer who has a strong influence on the business's target audience. To do this, you can search on Instagram , YouTube, Facebook, among others, and get a good understanding of the profile of the figures who really know how to influence people.
It is important to make this clear to the public when these paid partnerships take place. This way, although it is not a free action, it is understood that the influencer would not agree to recommend a brand or product that they do not trust.
Practical example
Imagine the following scenario: you need to buy a carton of lactose-free milk, something you have never tried before. So, you receive a flyer from brand B, which makes the product. Then, you meet an acquaintance and tell him what you need. He recommends brand C, which has a line of quality lactose-free milk.
The question is: which brand would you choose? Probably C, since it was recommended by a trustworthy person.
Referral marketing allows consumers who are satisfied with their purchases to pass on the good services offered. Its effectiveness lies precisely in the practicality of making these people practice real and reliable advertising.
Discover the benefits of referral marketing
Referral marketing can bring several benefits to your business that will provide a great competitive advantage. Here are some of them:
increase in the number of fit customers ;
increase in the number of sales;
reduction of customer acquisition costs;
increase in business margin;
loyalty of current and referred customers.
Regardless of the purpose chosen when adopting referral marketing , it is essential to establish metrics to assess whether the actions are generating the expected effects and adapt the strategies according to the data collected.