One of the surest ways to acquire a valuable long-term client is to be referred by an existing client. This can save 20–50 percent of typical new customer acquisition costs and eliminates the time-consuming and challenging three-way bid process most companies engage in because the prospect already trusts your ability to effectively handle their challenges.

Interestingly, only 30 percent of all industrial companies have a formalized referral program. To join their ranks and grow your business, here is an outline to help create a stream of regular referrals.

  1. Define goals for your referral program—what type of prospects are most desirable?
  2. Create a database of satisfied customers.
  3. Develop a communication strategy that encourages customers to provide referrals.
  4. Delineate what your expectations are for referrers/ambassadors.
  5. Provide them with simple messaging to communicate.
  6. Determine incentives for referrals—this could be a discount on future services, a cash reward, or a dinner coupon.
  7. Measure the impact of different incentives to determine what’s most effective.
  8. Reward referrers/ambassadors throughout the year with simple thank-yous, swag, and other helpful items.

Customer referrals are important to your company for many reasons and almost always have a positive effect on your bottom line. For more information regarding referral programs for manufacturers, visit

Written by Woody Stoudemire


Request a Consult

Industrial Marketing Company - Gotham | NC, SC, GA, TN, VA

905 Hwy 321 NW Ste. 218 | Hickory, NC 28601

Located in Hickory, North Carolina, Gotham is an industrial marketing firm providing advertising and marketing for manufacturers nationwide, as well as locally the Hickory, Charlotte, Greensboro, Raleigh, Greenville and Spartanburg, NC, SC, VA, TN and GA regions.

Site designed by Industrial Marketing Firm: Gotham, LLC