The past year has been challenging for businesses in every industry. SaaS (Software as a Service), the software licensing subscription model, is no exception.
Like most businesses, SaaS companies are seeking ways to increase referrals, and a successful customer referral program may offer the solution.
The team at Perxi is ready to help with these tips for promoting a successful software as a service (SaaS) customer referral program and the tools to handle referrals in a positive and timely manner.
The Benefits of a Customer Referral Program
For any company, including SaaS companies, increasing customer referrals and converting those referrals into loyal customers and advocates for your brand is one of the keys to success. There are lots of ways to market your SaaS company and your brand, but customer referrals always tops the list of successful marketing strategies. Why?
Potential customers trust the reviews of existing customers (actual product and service users) regarding your services and your products. Your users are real customers who your target audience can relate to and trust. These loyal customers are your brand’s biggest assets, marketing your brand among colleagues, friends, and family.
Building this loyal customer base through referrals helps to drive your success, the problem is customer referrals aren’t going to magically happen, but they can be optimized through planning. Just like all operations planning, you can turn your loyal customers into advocates for your brand and help you add more loyal customers to your base. Once you do, you’ll reap the benefits of customer referrals.
As mentioned, loyal customer referrals are highly valued marketing tools, a key influences in consumer purchasing decisions. Providing an exceptional customer experience is a great foundation for building a long-term positive relationship with customers, which in turn can lead to customer referrals.
A customer referral program can encourage these customer referrals. An effective customer referral program should create an easy-to-follow procedure, with valuable rewards. Here’s how to create and promote a successful SaaS customer referral program.
Promoting Your SaaS Customer Referral Program Successfully
The planning and creation of your customer referral program and its ultimate success is dependent on your satisfied customers. Only satisfied customers, those with whom you have built a lasting, successful relationship, will recommend your business to others. This means going out of your way to ensure your customers’ success.
Your customer referral plan should encourage your customers’ participation while being cost-effective for your business. Once your customer referral program is created, here are some tips for promoting it successfully.
- Encourage ALL your current customers to participate. For most, inviting them via email can get the process started. Be sure to explain the value they receive for participating in the customer referral program as well as the benefits for those they refer to your company.
- Make your Customer Referral Program clearly visible with a powerful call to action. When an existing or potential customer visits your website, they should immediately understand your business offers a customer referral program that is beneficial to them! Access to the program should be visible and easily accessed from everywhere on your site.
- Make Your Referral Link Persuasive and Easily Shared – Customers are often unwilling to share referral links which tend to look like spam. When creating your referral link, make it persuasive and simple to understand. In addition, you want a referral link that is easily shared from a variety of platforms including but not limited to email, Twitter, Facebook, SMS, or a simple copy and send format. The easier your referral link is to share, the more successful it will be.
- Have Your Employees Mention the Customer Referral Program at Every Touchpoint. The most easily applicable point of contact is during the checkout process whether at your brick-and-mortar location or online.
- Engage with Customers who Provide Positive Feedback/Reviews. Whenever a customer leaves positive feedback or a positive review, reach out and thank them and remind them of your value-packed customer referral program, tailoring your message based on their participation in the program or inviting them to join in if they haven’t already.
- Invite New Referrals to Become a Part of the Customer Referral Program. When you are in receipt of a new referral, reach out and tell them what the friend who referred them is earning as well as what they receive when they become a customer and invite them to join in the customer referral program.
- Always Remind Those Who Refer Customer of Their Benefits. When an existing customer makes a referral, remind them what they have earned, encouraging them to refer new customers again and again.
- Keep Your Customers Happy and Successful and Keep Promoting Your Customer Referral Program. The key to the ultimate success of your program is keeping your existing customers satisfied and successful.
Put these Tips into Practice and Watch Your Business Grow
You may find some of these tips are more successful than others with your customers, so don’t be afraid to adjust your customer referral program strategy to achieve the greatest success.