Looking forward to higher app downloads and ROI this year? Leverage Referral Marketing.
Referral marketing is an organic form of marketing and it’s considered to be one of the most successful forms of app marketing. For instance, Uber, Airbnb and Evernote could attribute their success entirely to its referral marketing programs.
Dropbox witnessed 3900% growth, thanks to customer referral marketing programs. The company had 100,000 registered users in 2008, and within fifteen months it touched to a jaw-dropping figure of 4M users. Referral marketing is that powerful when used rightly.
Some facts and figures about App Referral Marketing
- App Referral Marketing is the best vehicle for word-of-mouth publicity and helps accelerates app downloads. According to a study by appvirality, in-app referrals increase downloads by 36%.
- According to Journal of Marketing, the lifetime value of referred customers is 16% higher over a non-referred customer.
- A referred customer tends to spend more than a non-referred customer. This is great news for cab or ride sharing apps with regard to revenue generation.
- According to research, 80.59% of the users try a new app if it’s suggested by friends or family.
- According to a Nielsen survey, word of mouth marketing is 92% more effective than any other form of marketing.
Tips to Leverage Referral Marketing For Apps
Focus on market segmentation for your referrals
Narrow down your audience to specific segments. Then among them, identify the highest lifetime value influencers, specifically those with highest number of social followings and engaged users.
Segmenting customers will help you build stronger networks for your referral programs.
Offer Reciprocal Incentive for More Referrals
Remember one thing, no matter what, customers would speak good about your company only if they get something back in return.
The very idea of giving your customer something back in return for a positive public referral is called reciprocal incentive. Say, for instance, Uber offers a powerful reciprocal incentive for its referrals. It offers both the referrers and the recepients a free ride.
Referral links should be personalised
This is important. That is, the personalization of referral links and codes. Referral links ensure that the user clicks on the link without much ado, thanks to known names referring the program to you. You could even try coming up with a landing page that displays the image of the referrer. These two simple tricks will add more weight to your app referral program.
In-app referrals should be promoted
Referral programs should be backed by proper promotional campaigns. Without proper promotion of your referrals, things might not work for you. Through push notifications, social media activities, promotion on websites and mobile sites, SMS, email newsletters and all, you could promote your in-app referrals.
Nail down the influencer for your referral programs
Nailing down the key influencer and then rewarding them in a huge way would give a definite boost to your in-app referral program. Take the help of known mobile app marketing/mobile app development companies to help you identify a key influencer for your app referral programs.
Nail down In-app analytics
In the case of in-app referrals, some metrics hold more weight over others. These could include invites sent by the referrer, clicks, installs, revenue generated and more could be tracked with the help of an app marketing agency.
Optimize your App for All Devices
A developer should ensure to optimize their app for all devices. More important than that, ensure that their feature is visible on the app’s home page as well.
Match your Referral Marketing with Industry Data
Mobile app trends keep changing at a significant pace. According to an Econsultancy post, ‘How consumers behave on ecommerce apps,’ higher chances of conversion for iOS apps is on Friday, while for Android apps it’s on Saturdays. This data should be borne in mind while promoting apps through different channels, be it through push notifications, emails, sms among many others.
Apps are the new website. Nearly 85% of shoppers choose an app over a website. Meaning, even your competitor is focussed on developing an app. So, the only way for your business to survive and thrive is to focus on the app and its promotion. And app referral marketing is one of the proven ways to promote your app and boost app downloads. It’s one of the crucial cogs of the app promotion and retention wheel.