The Referral Engine

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The document outlines John Jantsch's referral engine system for teaching businesses to market themselves through referrals. The system includes developing an authentic marketing strategy focused on an ideal customer and core message, creating educational content to build trust and educate customers and partners, developing customer and partner communities, executing referral processes, and following up on leads. The goal is for businesses to generate referrals by delivering great customer experiences.

Business

The realities of referral @ducttape - #dtmtexas

#1 People make referrals because they need to @ducttape - #dtmtexas

#2 All business involves risk @ducttape - #dtmtexas

#3 Nobody talks about boring businesses @ducttape - #dtmtexas

#4 Consistency builds trust @ducttape - #dtmtexas

#5 Marketing is a system @ducttape - #dtmtexas

Definition of Marketing @ducttape - #dtmtexas

Digital interactivity is now at the center of marketing @ducttape - #dtmtexas

The funnel is broken “When it comes to lead and referral generation, customer experience is the new black.”

The Marketing Hourglasssm @ducttape - #dtmtexas © Duct Tape Marketing – all rights reserved

Filling the gaps – product and process questions @ducttape - #dtmtexas © Duct Tape Marketing – all rights reserved

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We’re going to cover best practices that top brands use to drive referrals and customer acquisition: The following best practice examples come from companies that actually sell something. ! People always ask: “How do I get more referrals?” ! That’s easy. ! Focus on two things that really move the needle. ! User participation & Optimization Again, two things really ‘move the needle’ for referral program performance. User Participation Optimization User Participation Location matters Homepage & Navigation Best practices: ! • Site-wide • Highly visible (upper-le#) Order Confirmation Page Best practices: ! • Pop-up overlay • Varied offers User Account Page Best practices: ! • Embedded • On button click - if you have to • PURLs Stand Alone Referral Page Promote / drive traffic from: ! • Homepage & Navigation • Dedicated email blasts • Trigger emails & newsletters • Social following • Customer service follow up • Email signature Dedicated Email Blasts Best practices: ! • Single call to action • Clear offer • Schedule (monthly / quarterly) Your ‘reach’ may be bigger than you think… Optimization Increase sharing rates and referral conversion rates What to measure Shares ! Widget Impressions ! = Sharing Rate Conversions ! Referral Visits ! = Referral Conversion Rate Referral Visits Sharing Rate - optimize call to action Best practices: ! • Clear call to action • What’s in it for them • What their friends get (if double-sided) • Address book importing Sharing Rate - optimize design + 42% sharing rate • Red, italic headline • Background image A B C • Purple bracelets • Green bracelets • “Expires in 24 hours!” • Woman on beach • “Expires in 24 hours!” + 35% Gain Doubled referral visits and referral sales Welcome overlay • Friend incentive • Email capture • Reveal code Session-based • Dynamic message Dedicated landing page • No distractions 1 Offers for sharer & friend 2 Calls to action for sharer & friend 3 Shared content (copy & images) 4 Shared email subject line Elements for testing 5 Referred visitor experience Calls to Action - quick tips Tip 1: Verb + What’s in it for me? Tip 2: “I want to ___________.” • Get $10 in store credit. • Get a free month. • Give $10, Get $10 • Share and earn $10 Referral Benchmarks How are you doing? Sharing Referral Visits Referred Visitors Cost Per Acquisition CPA Revenue Lift Examples of Campaign Metrics Example companies by size Where to start optimizing (30 day snapshot - 3 companies) a Rockin’ b Work on sharing rate c Work on conversion rate Party Foul ! The biggest mistake people make . . . Don’t force a login or registration 90% drop off! Recap Follow best practices and avoid common pitfalls.

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