At Genius Referrals
, we knew from the start that we needed to implement our own referral marketing program to increase our customers acquisition through referrals. Referrals marketing programs are key to acquiring new loyal customers
and increase sales
. That's why we have created our own refer a friend program using our SDKs
and decided to put together a use case so that you can learn how to implement your own one. You can see our live referral program on this link
. The Problem:
Because most marketing tools (TV ads, radio ads, billboards, Internet ads, etc.) only target new random customers, the high cost of acquiring new customers and the lack of loyalty of the new customers. Genius Referrals had the need to find new ways to acquire:
- New customers with a higher contribution margin.
- New customers with a higher retention rate.
- More valuable customers in both the short and long run.
After researching different ways of increasing customers acquisition, the Genius Referrals team decided that a referral program is the way to go when you want to acquire new highly loyal/valuable customers at a reasonable
cost. Research shows that
new customers acquired through a referral program are more profitable and more loyal than other customers
. The average value of a referred customer is at least 16% higher
than a non-referred customer with similar demographics and time of acquisition. The Refer a Friend program:
We decided to implement a Refer a Friend program to stimulate our customers acquisition and sales.
The marketing campaign associated with the program stated the following:
- Give 15% of the money a customer spends on Genius Referrals Platform to his referrer.
- Give bonuses for first 90 days after the customer is been registered.
For developing the program, we first defined the requirements we needed to meet to have a successful refer a friend program. Then we designed the main user interfaces and finally implemented the program using our SDKs
. The Requirements:
The refer a friend program must meet the following requirements:
The design (mockups):
- Allow advocates to refer the platform services through social networks (Facebook, Twitter, Linkedin, WhatsApp and Pinterest), email, and any other printed media (posters, fliers, business cards, etc.).
- Allow advocate to earn bonuses through valid referrals. A bonus must be given after the referred customer completes a payment on Genius Referrals Platform.
- Allow advocates to redeem their bonuses as cash or credit. The minimum allowed amount per redemption request is $20.
- Allow advocates to review the analytics of his referral programs.
Before jumping into the implementation phase, we put together the following mockups to be implemented by our development team. We decided that with 4 tabs we could meet all our requirements. Tab 1: overview
This tab helps our customers (advocates) to get familiarized with the program and motivate them to start sharing Genius Referrals services with their friends.