A great referral programme keeps work flowing
You spend money on marketing programmes and sales commission to attract new customers. You invest in installation and after sales to make sure your customers are happy, so a referral is confirmation you are doing things well.
Unfortunately most people never refer a friend or family member because they are so busy, so a referral incentive helps to get new enquiries from people who already know you do a good job.
Incentivising referrals boost your revenue
Incentives take many forms. To one person £50 worth of Marks & Spencer vouchers is enough to get them to promote your business to friends and family, and to others it doesn’t work. So the best form of incentive is a value that can be used however the referer wants to use it. An online voucher, straight cashback, free dinner for 2, whatever works for them will ultimately gain you business opportunity.
You can’t wait for your customers to refer you
Being passive will never get your name around. You need to incentivise your existing customers to become an advocate of your business so you gain referral work.
Communication is key to referrals, the ability to communicate with your customers to make them aware you are going to reward them for referring you makes the difference to the number of people who will actually bother to do it.