Intro #
YoRefer (yorefer.com) is a web application which lets you design and run customer referral programmes with ease.
A digital referral programme offers referrers an incentive for existing customers to share their referral link with family and friends. Any new customers that complete a qualified sale having been successfully referred will make the referral eligible for payout. Shortly after the referrer and/or the new customer will be paid out their incentive.
The editor #
YoRefer offers a simple visual editor to create referral programmes. No coding or technical knowledge required.
The incentives #
YoRefer supported integrations from:
- Runa: for digital giftcards which could be redeemed at over 200 shops in the UK
- Stripe: for direct cash payouts
Additionally, custom rewards are supported, should the referral programme owner wish to provide a custom reward like cash, an in-store discount, or even swag.
The referral flow #
- Customer signs up for the referral programme, generating their own unique link
- Customer shares their link to family and friends
- Prospect signs up via the link
- Nurture if needed (via their provided contact details)
- Pay out the incentive in the event of a qualified sale
Closing thoughts #
Word of mouth is a powerful marketing channel when executed effectively. It benefits from the low cost of acquisition for a couple of reasons:
- It is pay on result by nature. You don’t pay referrers for sharing their link, only for completed sales
- You can scale the rewards relative to the offering. It works particularly well with high ticket, service based businesses. Even if you pay out multiple hundred £s as an incentive, this is still only a small fraction of the profit
I actively use referral programmes and refer friends and family to services and products I use. It is a classically proven model and continues to be a lucrative business model and would recommend it to all small to medium businesses which sell a service commonly recommended via word of mouth.