The science of referral marketing

The Science Of Referral Marketing

As the world’s most advanced referral marketing platform, we spend all day every day digging into what makes people share invites to their favourite brands and retailers and what makes their friends shop. Over the years, we’ve acquired a vast wealth of insight... now it’s time to share it with you.

In this dispatch from our labs, you’ll learn which sharing channels, rewards and incentives work best. We’ll identify which kinds of customers refer the most, the best time to get them involved and how long their referrals can take to come in. And we’ll debunk a myth or two along the way.

All the data in this guide is gathered from studying the results and trends across our hundreds of clients over the 12 months leading up to June 2017.

Ready? Just put your lab coat on and click through the slides below to get started...



Download as PDF (2.MB)

If you're thinking about launching or improving a referral programme, or you fancy even more insight from our experts, just get in touch. We've got a


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Data: digital retail's top three priorities for 2014

 Digital Retail Priorities 2014

Following a mixed Christmas - overall gloom leavened by the occasional boom - 2014 is shaping up to be a year of radical change for the digital retail industry. More so than ever, those who can't adapt won't survive the lean Q1 months ahead, so what changes lie in-store now that the tinsel's down and the profit warnings are looming?

We surveyed over 200 Heads of eCommerce and Heads of Social from across Europe and the United States to gauge their top strategic priorities for 2014. What changes will they be making? How will they be spending their budgets? What are their goals for the year ahead? Below are their top three responses: smarter promotions, innovative customer acquisition and generating real ROI from social. But, first, here are a few surprises from the survey.

  • Is this the end for old social? In previous years, we’d have expected to see lots of digital retailers and marketers focusing on growing their social audiences by adding 'Likes' and followers. But our survey indicated that only 4% of respondents regarded this as critical goal for the coming year, with the emphasis shifting towards monetisation of that audience instead (see below).

  • Money talks. Two


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Analysis: How Amazon’s App Store Can Use Co-Buying To Overtake Google & Apple

Analysis: Amazon’s App Store Is On The Cusp Of Overtaking Google & Apple

If phones were cars, the screen would be the dashboard, the CPU would be the engine, the battery would be the gas tank. And the apps? The apps would be the wheels. Without apps, you’re going nowhere. With them, the world’s your oyster.

That’s why the global app market is already worth $27 billion – a massive figure that’s set to grow by 30% within the year. That’s why the world’s most popular app, Facebook Messenger, has over 700 million users. And that’s why each and every one of us has about 22 apps on our phones (in fact, if you’re an Apple muncher, that’s likely to be more like 37).

You’ll know Apple’s App Store and Google’s Play Store, but our own favourite is Amazon’s Appstore for Android – a modest player comparatively, but one with massive potential and some genuinely innovative advantages over its behemoth rivals. From its Test Drive feature (where, thanks to Amazon’s cloud computing grunt, you can try an app out on your PC before you buy it on your phone) to that 1-click checkout with 14 years’ worth of ready-to-roll customers. Plus,


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How to offer discounts without trashing your brand

How to use discounts without trashing your brand

"The only statistics you can trust are those you falsified yourself," said William Churchill and, given that he reputedly drank 42,000 bottles of Pol Roget champagne in his lifetime, you'd hope there's some truth in that. Here's a little nugget of purest nonsense we stumbled upon recently, based on research carried out by The Logic Group and Ipsos MORI.

According to their survey of over 2,000 customers, people are more likely to be motivated to shop by earning loyalty points (27%) than they are by discounts (11%) or offers (9%).

We smell a rat. A fishy rat. We're not saying that the survey isn't 100% accurate, but there's no way those 2,000 people answered that question that way, so maybe something's been lost in translation (from English to... um...). Loyalty schemes are great, but no one's going to accrue rewards tomorrow instead of reaping benefits today. It's just not going to happen.

But here's where we do agree with The Logic Group (quoted here): “Brand Britain has become eroded as a result of rampant discounting across the board. By ‘flogging’ merchandise through widespread discounting, the prestige of many British brands is being compromised.” That's absolutely true because,


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Microsoft utter the unspeakable truth about Facebook likes

The Unspeakable Truth Of Facebook Likes

We've been saying it for a long time. Our clients have privately admitted to us that they feel the same way. But, finally, Philippa Snare, Microsoft UK's chief marketing officer, has publicly said what everyone secretly thinks about brands who hoard Facebook Likes in the same way that old people on that cable show hoard junk and filth and slimy stuff that makes you go: 'Groooooo!"

Rather charmingly reviving the spectre of old-school Facebook pokes (of course, the word has recently been co-opted by Zuck's Snapchat rival), Snare told this week's Direct Marketing Association Integration Summit: "I'm hearing about how many 'likes' you get, how many pokes you get. I don’t care how many pokes I’ve got if it’s from people I don’t want to talk to, but I really care if I’ve got four or five high quality likes from significant influencers."

She added that her board share her utter lack of desire to chase Likes, and went on to say that Microsoft were busy trying to identify metrics which truly measure social engagement, with an emphasis on "rewarding quality over volume".

And that's the interesting bit. Because Snare and Microsoft are by no


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