How to Build a Simple Referral Program

A referral program is one of the most impactful (and often overlooked) ways to grow your esthetics business using clients you already have. Referral marketing is a strategy that uses word-of-mouth techniques to encourage and reward clients advocating for your business and your brand.  

The magic of referral programs is twofold. Your best and most loyal clients know people who are just like them and who are likely also a great fit for your services. You’re also deepening those important relationships on both sides of your business—existing and new clients.  

Here’s five simple steps for building a scalable referral business: 

Step 1: Define the Reward 

Start with creating a reward framework that can grow with your business and doesn’t negatively affect your margin or your profit. Remember, it doesn’t always have to be a discount. Consider offering a free add-on service when a client sends a certain number of referrals. A complimentary retail product or a small branded or personalized gift are also great ideas.  

Step 2: Make it Easy to Share 

Don’t make clients think about how to refer their friends to you. Give them a custom code, a ready-to-send text message, or a link to book an appointment that they can share with their friends.  

Step 3: Celebrate the Referrer 

Acknowledging the client is an important part of making sure people will continue to champion your business. The referral gift is important, but recognition and appreciation can be even more powerful. Whether publicly or privately, make a big deal about your clients taking the time to share your business with others.  

Step 4: Set Goals and Track Your Progress 

As with any business initiative, you’ll need to understand what you hope to gain with your referral program to set yourself up to be able to track it. Use your booking software, a spreadsheet, or even pen and paper to make sure that you’re able to quickly deliver on your referral rewards. 

Step 5: Promote the Program 

Now you need to decide on which channels you will use to promote and share your new program. Your promotion plan will vary depending on how you run your business  and which marketing channels you’re already using. You don’t want to begin using a new channel just to promote your referral program. Use marketing that meets your audience (and your audience demographic) where they already are.  

The fastest way to grow your business isn’t chasing strangers or creating cold leads en masse—it’s turning your best clients into your biggest advocates.