if you’re dumping money into ads before taking care of this, you’re doing things in the wrong order! the platform that crowdsourced this data is called Science Says - highly recommend #socialmedia #marketing #wordofmouth #marketingtips #referrals how to get referrals, how to grow your business organically, word of mouth marketing

This data blows my mind and it comes from a study that was just released last year in the Journal of Marketing Research. Researchers out of UC Berkeley discovered the one psychological trigger that turns one sale into seven and costs you zero dollars. This study was conducted across 51.7 million customers and it found that referred customers were 36 percent more likely to make a referral. So customers that come from referrals are higher value and better quality typically. Here's a really important point. When a group of 10 million referred customers were reminded that they joined through a referral and that they and the person that they referred would receive some kind of reward, their referrals to others, additional people, increased 21 percent. So what does this mean for you? Well the platform that I got this data from, Science Says, says it's better to offer a product-related gift versus cash for a referral. You want to have an incentive for the person that got referred and also the person that did the referring. The research also recommends setting up a tiered system so that people get progressively larger gifts the more people that they refer. And lastly setting up some kind of like email template that's automated will make your life so much easier. Your homework is to get started like yesterday.