Generate buzz for your business with referral marketing

By September 21, 2015General

Numerous studies have shown that referral marketing is one of the best forms of marketing when it comes to sales and conversions.

Referral marketing – a subset of word-of-mouth marketing, is a method of promoting products or services to new customers through referrals, usually via word-of-mouth.

It’s a powerful marketing channel because people trust the opinions of people in their lives and people they respect, whether that be family, friends, social media influencers or celebrities. And thanks to the prevalence of social media, with a simple Facebook post, tweet or selfie, the average consumer can now share their positive (or negative) opinions about products they use and brands they like with hundreds, if not thousands or friends in a matter of seconds.

This kind of social reach is exactly why referral/word-of-mouth marketing has gotten bigger over the last ten years.

In this post, we will give you three fundamental reasons why word-of-mouth marketing is so powerful, and how it can build a powerful viral marketing engine for your business.

How can you use and implement word-of-mouth marketing?

Implementing a referral strategy isn’t difficult. Here are three tactics you can use to get your customers talking today:

Product, Service, Experience

At the core of every successful business is great products, exceptional customer service and a great overall buying experience. This is fundamental to any word-of-mouth marketing campaign.

To start, evaluate the buying experience of your own business. Look at it from a customer’s perspective and ask yourself what’s worth sharing with your friends.

Make it easy for customers to refer you

Make it as easy as possible for customers to share information about your products and brand.

There are many ways you can do this. MeUndies Underwear has done it on their site by placing the referral link on their main menu bar – nice and prominently.

This shows that referrals are important for them, and likely a key generator of business.

Set up a Referrals Programme

Sometimes people need a nudge. Providing rewards for referrals can be just the thing to get customers sharing your brand.

One of the most successful referral programmes of recent times was Dropbox’s scheme, which awarded both the referrer and the friend up to 16GB of free space, when a new account was setup.

The refer-a-friend campaign permanently increased signups by 60%, with users sending 2.8 million direct referral invites.

You can generate word-of-mouth marketing by offering rewards through your own referral or loyalty program.

Hotcow is a non-traditional creative agency that specialises in experiential marketing that goes viral. Our campaigns generate buzz through crowd participation, PR and content sharing. Contact us on 0207 50 30442 or email us on