How Can You Measure the Success of Your Referral Program?
Measuring the success of your referral program is crucial to understand its impact and make necessary adjustments. Key metrics to track include:
Referral Rate: The percentage of customers who participate in the referral program. Conversion Rate: The percentage of referred individuals who take the desired action, such as making a purchase or subscribing to your email list. Customer Lifetime Value (CLV): The long-term value of customers acquired through referrals. Return on Investment (ROI): The overall cost of the referral program compared to the revenue generated from referred customers.