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- Cointelegraph Formula offers various ad formats to 8 million monthly readers across 190+ countries, leveraging its trusted name in crypto.
Customer Referral Program Definition
A customer referral program is a marketing strategy that rewards existing customers for referring friends, family, or colleagues to a product or service. It leverages word-of-mouth marketing to generate qualified leads and new customers through trusted recommendations.
How Customer Referral Program Works
- Businesses create referral offers or incentives (discounts, cash rewards).
- Existing customers share unique referral links or codes.
- New customers sign up or purchase using referrals.
- Referrers receive rewards after successful conversions.
Example of Customer Referral Program
A ride-sharing app offers $10 in credits to both the referrer and the new user after the new user's first ride.
Why Customer Referral Program Matters in Advertising
- Drives cost-effective customer acquisition through trusted channels
- Increases brand loyalty and customer lifetime value
- Expands reach organically through personal networks
- Provides high-quality leads with lower acquisition costs
