Why Referral Marketing Is A Superpower

The marketing industry is a sphere that keeps on giving and of course, changing. There are countless tactics and strategies to consider, and a vast array of methods to combat and address pain points. We find ourselves in a position where consumers want to avoid banner and pop-up ads; where buyers prefer listening to the people they know and trust – Most of the time, that would be family, friends, peers, colleagues, and influencers/celebrities that they have built their trust around.

Studies have indicated that consumers and clients wish to seek referrals, but they also choose to act on it. Referral marketing is one of those countless strategies used to encourage passionate customers (and advocates) to directly refer their network to a certain business. Organic and altruistic forms and natures of referrals provide brands with the platform and the tools to incentivize and manage the factors of referral marketing that structures a campaign.

Perhaps you have become aware, or even participated in a referral program. Most companies have seen the value that lies within the core structure of referral marketing and how it reaches new clients, customers, and value, yet there is still some confusion about the actual scaling of this strategy.

With that all said, let’s dive into the top 8 reasons why referral marketing is something that has stood the test of time but has also proven to be a stable and effective channel to harness the power of authentic word-of-mouth in the aim to drive a steady stream of high-quality referrals to your business (and initiate growth in revenue as a result).

92% Of Respondents Trusted Made Use Of Referrals From People They Know

• How to gain new customers while reducing CPA.
• Choose proper techniques – which referral strategy is right for your business? How to choose the right incentive?
• What metrics to track.
• Set up the tracking system.
• Utilize leveraged marketing – a referral is highly leveraged. Acquire valuable new users while reducing CPA and increase LTV.