Referral Marketing

Unlocking the Growth

Ali Sheibani X Mohsen Ashrafi
 Introduction —————————————3

Impact on Customer Acquisition — — — — — — 4

Importance of Referral Marketing — — — — — — 5

Why Referral Marketing Works — — — — — — — 6

Agenda & Overview

Statistics and Data — — — — — — — — — — — 7

The Referral Process — — — — — — — — — — 10

Examples of Successful Referral Programs — — 11

Measuring Success — — — — — — — — — — 13

Common Challenges and Solutions — — — — — 17

Tips for Referral Marketing Success — — — — 19

Introduction to Referral Marketing
Encouraging and leveraging existing customers, to refer new customers

Satisfied customers become advocates, who actively promote a brand, helping

to drive new customer acquisition
Impact on Customer Acquisition

● Increased Customer Base

● Faster Growth

● Reduced Customer Acquisition Costs

● Higher Conversion Rates

Importance of Referral Marketing

● Trust and Credibility

● Cost-Effectiveness

● Higher Quality Leads

● Improved Customer Loyalty

Why Referral Marketing Works
People tend to trust referrals due to several psychological factors:

● Social Proof

● Familiarity and Comfort

● Reduced Risk

● Emotional Connection
Statistics and Data for Referral
Marketing Effectiveness

● Higher Conversion Rates

● Word-of-Mouth Impact
Statistics and Data for Referral
Customer Loyalty: referred
Marketing Effectiveness
●
customers have a 37% higher
retention rate than non-referred
customers.

● Social Media Influence: 83% of

consumers trust recommendations
from people they know, while 66%
trust online reviews posted by
strangers.
Statistics and Data for Referral
Marketing Effectiveness
● Increased Customer Lifetime
Value: referred customers have a
16% higher lifetime value than
non-referred customers.

● Cost-Effectiveness
The Referral Process
1. Identification of Target Customers
2. Development of the Program: detailing the rewards, tracking methods, and terms.
● Understand the Power of Incentives
● Types of Rewards
● Tiered Rewards
● Gamification
● Personalized Rewards
● Timely Recognition
3. Communication of Referral Program
4. Customer Engagement and Referral
5. Tracking and Management
6. Rewarding and Recognition
7. Feedback and Optimization
Examples of Successful Referral Programs
Airbnb - Travel and Hospitality:
“Give $40, Get $40”

Uber - Ride-Sharing:
“Refer Friends, Get Rides”
Examples of Successful Referral Programs
Ramzinex:
“Invite your friends for 30% discount on your commission fee”

Blu Bank:
“Invite your friends for 300,000 IRR”
“Invite 10 friends for Black Card”
Referral Programs on CryptoCurrency Exchanges
1- Discount on Commission Fee

2- Free Amount of Different Coins (Usually Shit Coins!)

3- Referral Program and Affiliate Program?!

4- Frauds…
How to Measure Referral Marketing Success?
1. Quantifying Success

2. Informed Decision-Making

3. Identifying Weak Spots

4. Optimization Potential

5. Efficiency and Effectiveness

Measuring Referral Marketing Success
Key Performance
Indicators(KPIs)

Customer Acquisition Cost

Conversion Rate
(CAC)

Customer Lifetime Value (CLV) Return on Investment (ROI)

Referral Program Participation

Referral Source Tracking
Rate
Steps to Measure Referral Marketing Success
➔ Clear KPI Benchmarks

➔ Align with Business Goals

➔ Continuous Monitoring

➔ Adapt to Change

➔ Measuring Impact
Common Challenges
1. Limited Customer Participation

2. Complex Referral Processes

3. Ineffective Incentive

4. Tracking and Attribution

5. Compliance and Regulations

Common Challenges’ Solutions
Enhance Customer Engagement

Simplify the Referral Process

Incentive Optimization

Advanced Tracking Tools

Compliance Framework
Thanks for your attention :)