It has been understood that customer acquisition can be extremely effective if existing customers are leveraged. For this an effective referral marketing strategy needs to be in place. One of the methods to go for this is to set up stirring invitations. These invites must typically be extended to stakeholders already in connect with the brand such as employees, business partners and past or present customers. Besides, even prospects may be sent such invites. For an effective promotion strategy, the proper digital marketing tools need to be used up. This includes the rather older method of email marketing, as that has been proven to be most effective. Plus banners and buttons must be inserted at relevant places. In-product reminders such as pop-ups may also be tucked in to promote this referral programme. For existing customers who refer proactively, persuasive incentives need to be provided so as to hook them to the trend. These must be relevant to the user base but also something they value and not be seen as any frivolous attempt by the marketers. Such rewards must also be well timed depending on market scenario and trending topics. Finally, in order to have a compelling referral marketing plan, it is advisable to have personalized content. As brand advocates will be advertising the product to people they know very well, customized and not mass content will create a greater emotional connect.

Source:http://customerthink.com/how-to-master-your-customer-referral-marketing-strategy/