Harness the Power of Referrals

By Carole Pivarnik
Posted Friday, August 6, 2004

For many businesses, asking customers, vendors, or employees to refer friends is a common practice. Real estate agents, recruiters, car dealers and many other types of businesses have figured out that referrals are the best prospects. Why? Because we are all more likely to use a product or service that is recommended by someone we know and trust.

Businesses with a Web presence have also figured out that their visitors are a good source of referrals. A search on
"refer a friend" returns thousands of sites that let visitors refer others. Sounds great. But...how do you integrate
referral submissions into your Web site? How do you avoid accusations of spamming when you contact referred persons? Should you reward referrers, and if so, with what? How do you set up your site to enable referral submissions?

Integrating Referral Submissions

If you want your Web site visitors to stop and take time to submit referrals, you must make it convenient, easy, and
comfortable.

Make it convenient by providing a link to your referrals page in numerous locations. That way, you are less likely to lose referrals because visitors weren't able to remember where to submit them.

Make it easy by asking for the least amount of information possible. You shouldn't need more than a name and contact
information for any referral, or a name for the referrer. Asking your visitors about friends' preferences or other details is overkill. Get that information yourself when you follow up--IF you really need it.

Make it comfortable by reassuring visitors that the folks they refer will not get spammed. Tell them how and when you
plan to contact their referrals, as well as what information you'll be sending. Be sure to state clearly that personal
data for both the referrer and the referrals will remain confidential. Keep your credibility intact by honoring that promise.

Avoid Spamming

Everyone who uses email is sensitive to spam, and many are willing to take legal or other action to stop it. Simply
blasting out your marketing message to a referral could be considered spamming by some. As Terry Dean, Internet
marketer and publisher of the popular Web Gold newsletter (http://www.bizpromo.com) observed in a recent email to me, there is often a thin line between spamming and legitimate email contacts.

Here are some tactics that can help you avoid being being accused of spamming:

Personalize your message and send it to each referral individually, mentioning who referred them and why they might be interested in your product or service. To boost positive response, offer a free report or other incentive.

Provide a way for referrers to send personal email to those he or she is referring, perhaps to say something positive about you or invite them to check out your site themselves. This lets you avoid having to make first contact at all.

Rewarding the Referrer

Your site's visitors are doing you a huge service when they refer others. Consider rewarding them for doing so. A free
e-book, report, or other information product is easy to produce and can encourage even more referrals.

Enabling Referral Submissions

There are many ways to enable referral submission on your site. You might:

Provide a description of the information you want and the email address to which it should be sent.

Integrate a third-party database application, such as the ones offered by SureCode Technologies, Inc.

Install and customize a third-party CGI script on your Web server.

Pay someone to develop a custom solution for you.

Develop a custom solution yourself.

The solution you choose will depend on the time, skills, and budget you have. Small businesses with few resources and technical skills will probably focus on the first two options. Webmasters and others with greater technical ability are likely to choose from the last three options.

Conclusion

Referrals are an important part of finding new customers and growing your business. Increase your prospects today by letting your Web site visitors refer new customers to you right on your Web site.

ABOUT THE AUTHOR
Carole Pivarnik manages audience development and affiliate programs for SureCode Technologies, Inc., which offers full- featured, customizable Web databases that plug right into any site with no programming. She has expertise in software, courseware, CBT, and Web site design/development; technical writing; and marketing. Email her at carole@surecode.com. Sign up for her free newsletter, Working Web Sites, or learn more about SureCode at (http://www.surecode.com).