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How to Transform Your Direct Selling Customers Into Brand Advocates

customer referral marketing

In the direct selling business, customers are the most important part of the business that has purchased, experienced and understands the quality and reliability of the products and services you offer. So it is no secret that customer referrals are the best source of new prospects and customers to your business.

Since knowing your brand well, this makes them much more likely to buy from you again in the future and recommend your business to others. So it becomes inevitable that you can turn these advocates into true brand ambassadors by implementing a direct selling customer referral program for your company.

Incorporating customer referral programs into your direct selling business has many benefits. It builds and improves the trust and confidence customers have on your brand. This is mainly because customers have the word of mouth feedback about the products and services of the company from the person who referred the brand to them. Customer referral programs also increase the cross selling and up selling opportunities of your direct selling brand. Increasing brand awareness as well as brand loyalty in organical methods is important in any business, and customer loyalty programs play a major role in that. These programs also encourage your customers to bring quality leads and this can largely influence the quality of your customer base. Another advantage is customer acquisition cost (CAC) is much lower for referral programs. 

The success rate of implementing customer referral programs in direct selling business can be supported with some statistics. There is an increased retention rate of 37 percent among customers referred by other customers. 82 percent of new businesses bought in small businesses are by referrals. A positive experience from a brand prompts 83 percent of consumers to refer their business to their friends and family. Word of mouth advertising is considered two to ten times more reliable than paid advertisements by customers. The conversion rate of leads and prospects brought in by referrals is 30 percent higher compared to the leads generated from other marketing channels such as social media, email marketing, landing pages, etc. Referred customers have four times more chances to refer your brand products and services to others.

This article was published on 04.11.2022 by Noufal P Bava
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Epixel MLM Software - MLM Software, Free to join

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