A while back, we did a report on Goli, a nutritional gummies brand that makes millions in revenue each year.
While Goli does a lot of things well—particularly in their paid advertising campaigns—we noticed one tactic they could have left out.
After we purchased their product, Goli immediately asked us to refer them to a friend in exchange for a $10 gift card.
While we love referral programs, this is one of the worst times you can ask someone to refer your product to a friend.
When you ask someone to refer immediately after they buy, it’s a lose-lose.
They’ve already paid, so they’re not getting a discount off their order. And if they’re a new customer, they don’t know whether or not they’ll buy from you again.
Our advice? Offer your referral incentive both before, and a couple weeks after, a customer places an order.
Here’s why:
- If you ask someone to refer your product for a gift card before they buy, you’re offering them a discount on their first order, which incentivizes them to buy, evokes a positive emotion with your brand, and creates brand awareness.
- If you ask someone to refer your product for a gift card a week or two after they buy, they’ve had enough time to try your product and likely know whether they want to order again. If they do, you’re incentivizing them for a discount off their next order.
See? Much better times to ask for referrals.