Referral programs are an excellent way to get new members and create a strong, loyal membership base. These programs are meant to reward members when they spread the word about your organization, bringing in organic traffic and new members. Keeping that in mind, we'll discuss the ins and outs of referral programs and how you can best use them within your association.
What is a referral program?
Simply stated, a referral program is a rewards program for members to refer others to your association. It can also be used as an incentive for members to participate in other areas, such as educational events or networking sessions, or as part of your marketing strategy to attract both new members and suppliers.
Referral programs can help you grow your association, but they also offer benefits, such as:
- Generating more revenue by encouraging members and suppliers to refer others.
- Boosting participation in programs and events because members feel like they're part of a community.
- Provide a way for members to network, which helps build camaraderie within your association. (This is especially important for smaller associations that might not have the resources of larger organizations.)
- Data that helps track who is referring others to get a sense of what they’re looking for. This information can be used to plan future events, programs, and initiatives that appeal to your members' interests.
How to create a referral program
A good referral program starts with a strong value proposition. What do you want your members to get out of their participation in the program? Will they receive discounts on services or products? A free one-year membership? Maybe it’s more about feeling like they are part of something bigger than themselves. Whatever it is, make sure that your members know what they stand to gain from participating in the program.
Next, you need to decide how you want your members to refer others. Do they have to be current industry professionals? Can they be students looking into the industry? Would a simple recommendation from someone who is already a member qualify as a successful referral? Or do they need to be on the same professional level as the person they are referring? All these factors will impact which type of referral program will work best for your association.
The next step is developing a strategy for measuring the success of your referral program. You may want to track how many new members are referred by existing members over a certain period. Once you've determined what to measure, start small and test your referral program. Set a baseline for how many referrals you expect from existing members, then track them over time. If you're seeing results, continue with the program. If not, try tweaking it.
Now that you have a referral program in place, it’s time to encourage your members to refer their friends and colleagues. There are many ways to get the word out about the program. Some easy ways to start are:
- Having referral cards or other promotional materials on hand at events, such as board meetings, chapter meetings, and annual conferences.
- Sending out an email blast or post on social media asking your members if they know anyone who would be interested in joining the association.
Why referrals are key for associations
Referrals are a great way to spread the word about your association, grow membership, and increase revenue. They can also help you make an even bigger impact as an association by engaging members and stakeholders in ways that may not have been obvious before.
Conclusion
Referrals don't have to be complicated--you can start small with just one or two rewards for participating in the program. If you want it to succeed long term, then consider developing a strategy around referrals that includes multiple levels of participation and reward options depending on how much time people spend promoting your organization through their own networks.
