Successful Referral Program

‘Nothing inspires as much trust in people as a recommendation from a friend. Proven friends have more influence than the media.’ Mark Zuckerberg

Few people today don't use marketing tricks that motivate customers to recommend the product they buy by talking about the seller or the brand in general. How interesting is word-of-mouth marketing, or word of mouth? Halla System Korea specialists talked about working with a referral programme.

Referrals are trusted, so many companies use referral strategies to increase their customer base. Successful dropshipping referral programmes can be a powerful tool for attracting new customers, increasing sales and expanding your audience. Referral programmes should be simple and straightforward. The higher the cost of the product, the higher the referral reward. Low-cost products do not require high-cost programmes.

What are you suggesting?

Let's not be sneaky. Referral programmes are not suitable for everyone. What you offer the customer should be valuable, unique, unusual and of high quality, advise the managers of Halla System Co. Ltd. This can apply to both product and service. In other words, make sure your business is really worth the recommendation. Users will be willing to share if they appreciate what they already have.

Do a full business monitoring. Again, evaluate: the quality of the products, the website and its navigation, the customer support system, the warranty promises. Find a unique element (unique selling proposition) that can become the basis of a referral programme.

Remuneration

How and with what can you incentivise referrals? Some companies offer cashback in exchange for a recommendation, others offer discounts and bonuses, still others offer gifts and freebies. The reward should be meaningful and attractive to both parties: the recommender and the referral.

Ease of participation

Participation in a referral programme should not be difficult or complicated. The easier and quicker users can recommend a product to people they know, the more likely they are to participate. Having convenient tools for distributing referral links and ease of entry into the programme play an important role in attracting referrals. Make it as easy as possible to sign up, invite friends and earn rewards. Make sure that the programme you offer can be shared on social media at the click of a button.

Cost of customer acquisition

CAC (Customer Acquisition Cost) shows how much money a company spends to attract new customers through a referral programme. A successful referral programme should be cost effective and benefit the company. It is important to consider the cost of referral fees and balance it with the long-term benefits of referred customers.

How do you let customers know that you have a good offer for them?

It is easiest to send information and terms and conditions of the referral programme to an email. It's important to personalise the message. Describe in detail, with examples and figures, all the benefits the customer will receive. You can announce the referral programme on the company's website, make a link to a landing page with a clear call to action. Announce the reward programme on all social media platforms. Conduct a small survey or find out what customers think about the product to start a dialogue.

System and analytics

So, the referral process is up and running. Now how to control it? You need to develop a system to track participants: who referred a client, what he bought, how much he spent. Daily counting of the number of referrals will show the overall effectiveness of the programme. Be sure to use analysis tools to accurately monitor key profitability indicators.

Popular referral programmes with Halla Systems company

‘Dropshipping trust network for your items. Successful referral programmes play an important role in growing your dropshipping business. They can be a powerful tool for attracting new customers, increasing sales and expanding your audience. Halla Systems analyses offers and creates a pool of them together, implementing an accessible and understandable referral programme system.

Halla Systems develops joint referral programmes for partners and dropshippers:

Refer a friend (one-way programme): only the person who recommends a product or service receives a reward. This approach can lead to more recommendations, users are interested in being rewarded for their efforts.
Two-way programme: both the one who recommends and the one who uses the recommendation are rewarded. This type of programme can create mutual interaction between old and new customers, increasing engagement in both groups.
Value or charity programme: the company can donate a certain amount to charity or offer to help those in need in exchange for successful referrals.
Ranking or competition programme: only those referrals who bring maximum benefit to the company (make more purchases, attract new users) are rewarded
exclusive programme: access to closed communities, exclusive offers, unique services or products.