Building an Effective Salon Referral Program: The Most Affordable Marketing Strategy
These days, salon owners have many roles to juggle and hats to wear. This gives them little to no time to spend on marketing. Thankfully, there are several effective ways these days to grow your business. We’re talking about a strong salon referral program. Nothing beats the power of word-of-mouth. When a salon referral program is well-designed, you can turn satisfied clients into unpaid brand advocates or ambassadors. A referral program can keep the chairs in your salon full. It’s pretty simple too. All you have to do is reward them for bringing in new faces. That’s it. It doesn’t require much effort and it’s affordable.
What is a Salon Referral Program?
A referral program is a marketing strategy that rewards loyal clients for bringing in or introducing new people. These people might include their friends and family. It is also a high-converting strategy which drives real growth. Also, in a referral program, both parties benefit through a discount, some sort of special offer or a freebie. It’s definitely a win-win strategy for your clients as well as your business. The freebie you offer doesn’t have to be your highest priced service. Even a low-cost service can have a high impact. In the service-oriented business, clients love anything that is free and if this can create a positive buzz for your salon, nothing quite like it. This completely eliminates the need to run large-scale marketing campaigns.
Did you know? 92% of consumers trust referrals from people they know and people are 4X more likely to buy when they’re recommended a product or service by a friend. This is actually the buzz that builds brands, and if you’re not capitalising on it, you are surely missing out.
Benefits of Running a Salon Referral Program
- Increases Client Retention
Referrals definitely aid in client retention. When you reward your existing clients, they feel valued and appreciated. This makes them want to come back to your business again and again. Even a tiny reward or small perk will make them want to come back for future appointments.
- Increases Client Loyalty
When you offer discounts or freebies, your existing clients are not just bringing in new clients. They are also increasing their loyalty with your business. Their overall spending from initial and return visits adds up over time. This enhances your client retention rate as well.
- Cost-effective Approach towards Customer Acquisition
Every salon owner wants to grow their salon. Compared to traditional marketing, referral marketing is pretty affordable. That is because you can leverage your existing client base to grow your salon’s reach. Although there are a few costs involved with it, you end up paying only when referrals turn to actual bookings.
- Network & Salon Expansion
Every referral introduces your salon to potential clients. This broadens your reach. Over a period of time, this might even lead to salon expansion. When certain clients can’t find you in their area or location, they might even request you to expand which can open up new opportunities for your beauty business. This is surely a good sign for your salon business and can lead to positive brand exposure.
