Referral programs: their types and advantages for business
Posted: Mon Apr 21, 2025 4:34 am
What is a referral program?
A referral program is an effective marketing tool that encourages customers to recommend the company's products or services to their friends. An affiliate program is a mutually beneficial cooperation: the company gets new customers, and the customer gets a reward for attracting them.
In the era of digital technologies and the rapid development forex data of social networks, referral programs have become especially relevant. In the coming years, we expect to see more diverse formats of referral programs that will be adapted to different niches and target audiences. In addition, referral programs will increasingly integrate with other marketing tools, such as loyalty programs and gamification, and will serve as a reliable basis for the development of subsequent MLM business, giving participants the opportunity to build their own business and earn money on recommendations.
Let's see for ourselves with statistics for 2024. Research confirms that companies that invest in referral marketing see an 86% increase in revenue per year. This growth is due to the fact that referral customers are three times more likely to make purchases and stay with the company 37% longer than customers acquired in other ways. This allows for a significant reduction in the cost of attracting new customers and makes referral programs one of the most effective tools for increasing sales in the long term.
A referral program is an effective marketing tool that encourages customers to recommend the company's products or services to their friends. An affiliate program is a mutually beneficial cooperation: the company gets new customers, and the customer gets a reward for attracting them.
In the era of digital technologies and the rapid development forex data of social networks, referral programs have become especially relevant. In the coming years, we expect to see more diverse formats of referral programs that will be adapted to different niches and target audiences. In addition, referral programs will increasingly integrate with other marketing tools, such as loyalty programs and gamification, and will serve as a reliable basis for the development of subsequent MLM business, giving participants the opportunity to build their own business and earn money on recommendations.
Let's see for ourselves with statistics for 2024. Research confirms that companies that invest in referral marketing see an 86% increase in revenue per year. This growth is due to the fact that referral customers are three times more likely to make purchases and stay with the company 37% longer than customers acquired in other ways. This allows for a significant reduction in the cost of attracting new customers and makes referral programs one of the most effective tools for increasing sales in the long term.