Political turmoil aside, election season is good for one thing: reminding us of the value of a favorable vote.
Politicians aren’t the only ones who want to be on a winning team; businesses are always on the lookout for creative ways to get customers to trust and engage with their campaigns. From social media and content marketing to direct mail and eCommerce, the list of successful marketing techniques is long and hotly debated. However, there’s one arena that always wins by a landslide, and that’s referral marketing.
There are countless statistics showing just how valuable a referred customer can be to your bottom line. Here are a few to keep in mind:
Referred customers are more loyal and bring 25% higher profit margins.
- 92% of consumers trust recommendations from people they know.
- Word-of-mouth improves marketing effectiveness by up to 54%.
- Referred customers spend 200% more than average customers.
Are you taking advantage of referrals? If not, it’s never too late start! All you have to do is encourage people to share their positive vote for your company:
- Let them know you want their opinion. According to a study by Texas Tech University, 83% of customers are willing to provide referrals, yet only 29% actually do. This is likely because many companies simply don’t ask for them. Make it obvious that you value referrals at every level of your organization. Encourage employees to add a referral message to the email signature lines, and share customer quotes and feedback in your catalog and on your website to show their opinions are a priority.
- Keep it simple. Make it easy for your customers to share positive experiences: Create a hashtag and QR codes, send follow-up emails with a link to a landing page, and incorporate review functionality into your app. Most importantly, make these things accessible, well-advertised, and easy to navigate.
- If you need to boost your referral program, consider offering incentives for referrals and reviews. This can range from discounts on future purchases to being entered to win a larger prize in exchange for sharing positive experiences. However, don’t let the size of the prize intimidate you: According to the American Marketing Association, while offering a reward certainly increases the chances of a referral, the size of the reward doesn’t always matter, so even a minimal marketing budget has the potential to churn out a robust referral program.
This November, take your customers to the polls and encourage them to vote for you. And remember — your catalog is already hard at work on the campaign trail, so if you’d like to include extra features that can boost customer engagement, then get in touch with The Dingley Press.