You can throw all the money you want at your marketing campaign — spend tens of thousands of dollars on branding, landing pages, funnels, Facebook, sales letters and postcards — but the single-best new customer is — a ‘referred new customer’.
(According to a study conducted by The New York Times, 65 percent of companies’ new business comes from referrals.)
– And a study done in 2011 by The American Marketing Association, involving over 10,000 customers at a well-known German bank, discovered that referred customers spend more on their first visit, stay customers longer, and have an overall 16 percent higher lifetime value than non-referred customers.
One of the best parts about getting a referral is that referred customers spend more than customers gained via cold media.
The question therefore is… how best to go about maximising the number of referrals?
Rely on a satisfied customer telling another person. Rely on a satisfied customer having a great memory about your business details. Rely on a satisfied customer having your business card with them ready to pass on. Sounds like ‘a big dose of hope’ to me. Lots of uncertainty for sure.
You can maximise business growth and returns and build certainty by passing on your digital business card – straight to your customers mobile phone. It appears as an App and when the occasion arises your sms digital card can be passed on. A Free version is available for your consideration by clicking the link below. To your success.
How to Motivate your customers to Refer others!
- You need to motivate your customer to refer.
- Typically this is done via a monetary reward, but it has to make an impact.
- Companies fail at this when they don’t provide a reward with a high enough value to encourage their customers to sing their praises.
- If you want more referrals, now is not the time to be cheap.
Frequently asked questions!
- What are the set up costs? Less than $5 a month.
- And there`s a Rewards program you can opt in to as well. It has potential to earn good money, it depends on your efforts of course.
SMS cards are Mobile based! Simply smart and so easy to use! Who do you know does not have a mobile?
(best of course on Mobile)
If you want to know more about growing a business with referrals, check out, “The No B.S. Guide to Maximum Customer Referrals and Retention” by Dan Kennedy.
Reference for the base article: https://www.entrepreneur.com/article/276605