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How to Choose the Right Referral Incentives For Your Referral Program (With 20+ Examples!)
Our guide helps you choose your referral program incentives (with 20+ real examples!) and explains referral offers vs rewards.
Are you struggling to grow your email list? Referral marketing might just be the secret weapon you need!
You can tap into the influence and trust of your existing subscribers and customers to attract new subscribers to your list. This is the power of social proof and word-of-mouth. The best part is, you’re more likely to convert your new subscribers into loyal customers. This is because they share common interests with your current subscribers.
That said, in this article, you’ll learn practical tips to grow your email list using a referral strategy. So, whether you're looking to grow an email list from scratch or boost the growth of a current one, this article is for you. Let’s dive in!
Referral marketing is a marketing strategy that relies on the power of social proof to attract new customers. Simply put, the process involves incentivizing your current customers and subscribers to refer their friends, family, or colleagues to your brand.
Referral marketing can take many forms, such as a referral program, affiliate marketing, or influencer marketing. Each of these forms, however, shares one thing in common: they encourage people to share a company’s product information and become active participants in the marketing process of growing an email list.
Referral campaigns are highly effective because they leverage the trust and credibility your existing customers have built with their network. People are more likely to trust and act on a recommendation from friends and family than on a random brand ad or marketing message.
Secondly, it’s a win-win strategy for both the company and its customers—the company grows its email list using a referral, and the customers get rewards or discounts.
An email list is a collection of the email addresses of people who have opted in to receive communications from your business. These people can be existing customers, prospects, or anyone who has shown interest in your products or services.
Besides the email addresses, your email list can include personal details like names, locations, and gender.
An email list is a critical component of email marketing for ecommerce, SaaS, B2B, and other types of businesses. It allows you to build a relationship with subscribers over time. With those email addresses, you can share newsletters, promotional offers, and other types of content to engage and nurture subscribers.
To get the most out of your email marketing list, you require a high-quality email subscriber list with active addresses that interact with your emails. Use a good email finder tool like Voila Norbert to confirm that you still have the correct and active email addresses on your list.
Then, to track the level of interaction you're getting from your email list, monitor key email marketing performance indicators. These include open rates, click-through rates, and unsubscribe rates.
Now that you understand email marketing and referral marketing, the question is, how do you grow your email list with referral marketing? Here are three ways:
The simplest way to grow your email list using a referral marketing strategy is to ask your existing subscribers to refer to their networks. With this strategy, you simply bank on your subscribers’ brand loyalty. You don’t offer incentives.
To get started, just create and send an email to your current email list. Remember, you’re not offering any rewards. So, your copy needs to be really good to get your subscribers to take your desired action. Check out the example below:
Betterment, an American financial advisory company, uses humor to get subscribers to click on that Refer a Friend button.
Make sure you personalize your message, too. Address your subscribers by name and refer to their previous interactions with your brand. These strategies will add a personal touch that makes subscribers feel valued. This way, they’ll be more likely to refer your brand to their friends and family.
Also, include a call-to-action (CTA). Ensure the CTA uses relevant text and is prominently placed, as in the example above.
There’s another way you can grow your email list using a referral marketing strategy: add a forward link to your other marketing emails. A forward link allows subscribers to easily forward your email to their network. They don’t have to leave the email page to find the link or keep confirming they’re using the correct link.
The good thing about this strategy is that your subscribers get to choose which email to forward to their networks. It’s safe to assume this is the email that is more likely to pique the recipients’ interest. That means you increase your chances of them subscribing to your mailing list.
Once your subscribers click on the link you provide, they should be directed to a tab where they fill out their network’s name and email address and click on “submit.” Some of the opt-in invite forms will also include the option to add a personal message.
To get the most from a forward link, ensure the anchor text you use for your link is clear and concise enough to communicate the purpose to your subscribers. For instance, use phrases like "Share this email" or "Forward to a friend.”
Also, make sure your forward link is visible and easy to find in your email. Place it at the top or bottom of the email. Or you can use a button or icon to make it stand out, as shown below.
If you place your forward link at the bottom of your email, consider including a simple message that encourages most email subscribers to share your email. For example, you could include a line that says, "Enjoyed this email? Forward it to a friend!"
Quite a number of email service providers will allow you to add a forward link at the bottom of your email. So consider this when choosing the provider to use.
Setting up a formal referral program is a highly effective way to grow your email list. Subscribers refer their network to your email list in exchange for rewards. These rewards include exclusive content, invites to exclusive in-person events, freebies, and discounts.
For example, you could offer a 10% off discount code to both the referrer and the referred for every successful referral. You could also provide additional referral incentives for multiple referrals.
To set up an email referral program, choose a referral program software solution that is easy to use. It should also have the features you are looking for. These features include automated reward fulfillment, pre-populated email templates, auto-generated referral codes or custom links, and performance reports.
ReferralCandy is an example of a great software solution you can use to power your email referral program.
Once you’ve chosen the tool, decide on the rewards you’ll offer your email subscribers and their referrals. Ensure the rewards are compelling enough and affordable for your business at the same time.
Then, you can generate unique referral links for subscribers. Don’t forget to create a landing page with your signup form, and set up reward fulfillment.
Promote your referral email program to your current email list, as shown below:
In your email, highlight the rewards at stake so they’re the first things your recipients see. Also, make sure you lay down the instructions for joining the program.
Promote your referral program on social media channels and through other forms of marketing as well.
Finally, remember to track your successful referrals and the general performance of your program on your software. Use the data to optimize your program and make the required adjustments.
Referral marketing is a great way to grow a healthy email list. By leveraging the trust your current subscribers and customers have in your company, you can attract new subscribers. These are people you can also convert into loyal customers.
To start growing your email list using a referral email marketing strategy, follow one or more of the strategies you learned from this article. You can ask your existing subscribers to encourage their networks to sign up for your email list. Also, add a forward link in your other marketing emails. Finally, set up a formal referral program with relevant incentives for both the referrer and the referred.
Implement these tips now and reap the best results. Good luck!
Then, take a leaf out of some of the most beautiful websites that exist on Shopify.
We highly discourage any copy and paste of these designs because 1) those sites were customized for the brands themselves, it might not work best for yours, and 2) customers appreciate some individuality and originality when they browse your site, so do what's best for your brand!
What we do recommend though, is for your to scroll through the different website designs we've compiled and "do research" on how they combine stunning photography, sexy copy, and a beautiful design to bring out the best in their brand—and motivate their customers to make a purchase at their store.
Especially with Shopify introducing Online Store 2.0, there are massive opportunities for Shopify merchants to explore and discover the best design for your very own brand.
Some interesting insights from the announcement last June include the following:
(NOTE: Some of the ecommerce brands listed below use ReferralCandy as their referral program software. If you're interested to learn how to set it up for your own Shopify store, here's a quick setup guide.)
Rothy's is a store that sells washable ballet flats made from recycled materials.
(NOTE: Rothy's uses ReferralCandy for their referral program!)
DeathWish Coffee sells the world's strongest coffee.
Endy Sleep sells mattresses.
PopSockets is a stylish phone accessory that allows you to do more with your phones.
DockATot sells a multi-functional lounging, playing, chilling, resting, and snuggling dock for babies.
(NOTE: DockATot uses ReferralCandy for their referral program!)
Guava Family sells travel cribs.
Fit Tea sells all-natural detox tea.
Koh sells eco-friendly universal surface cleaner.
Bison Coolers sells coolers.
Kuna is a smart home security system that prevents break-ins.
(NOTE: Kuna uses ReferralCandy for their referral program!)
Triangl sells bikinis.
Meller sells sunglasses and eyewear.
(Meller is also using ReferralCandy for their referral marketing efforts.)
Keen Home creates smart zoning for your home and helps you achieve the perfect temperature in any room.
Pipette sells skincare and bath essentials for both babies and moms.
Yoga Democracy sells yoga leggings and sports attire.
Jake and Jones sells apparel made by emerging designers.
St. Frank sells beautiful, handcrafted home decor.
The Coucou Club sells beauty tools, accessories and skincare.
Grub Club Pets sells hypoallergenic insect-based dog food.
NewSmile sells teeth aligners.
Blanqi sells nursing and maternity clothes.
Dona Jo sells women's workout clothing.
The Ghostly Store sells clothing, music and art by Ghostly International.
The Ollie World sells swaddles.
(NOTE: The Ollie World uses ReferralCandy for their referral program!)
HOP WTR sells sparkling water infused with adaptogens and nootropics.
Sakura Wada sells medicinal tea.
Soso Sake sells a Japanese beverage that is usually referred to as "Japanese rice wine".
RIFRUF sells quality dog shoes.
Smyle sells toothpaste tablets.
Youfoodz sells a meal delivery service.
(NOTE: Youfoodz uses ReferralCandy for their referral program!)
JRINK sells cold-pressed juice delivery.
Love Ya Guts Box is a subscription-based box that includes supplements meant for better gut health.
Binxy Baby sells baby shopping cart hammocks.
(NOTE: Binxy Baby uses ReferralCandy for their referral program!)
My happy flo sells vitamins to help with periods.
Coobie sells undergarments.
Noémie sells jewellery.
Noah's Box sells subscription boxes starter kits.
Label K sells jewelry for moms by a mom.
Acton sells electric skateboards and related gears.
(NOTE: Acton Global uses ReferralCandy for their referral program!)
Snuggs sells period underwear.
Pretty Litter sells health-monitoring cat litter.
Furbo sells interactive pet cameras.
Moxie Scrubs sells medical apparel for nurses.
Cheesies sells cheese-based snacks.
Thrive Causemetics sells cosmetics.
(NOTE: Thrive Causemetics uses ReferralCandy for their referral program!)
Player One Coffee sells coffee and cocoa beans.
Perfect Keto sells exogenous ketones.
RollinGreens sells plant-based food.
Christy Dawn sells dresses.
(See what Christy Dawn has to say about ReferralCandy here)
Trip sells CBD drinks and CBD oils.
Honeylove sells garments made for all body shapes and sizes.
(Honeylove is also using ReferralCandy to power their referral program)
Fleur & Bee sells skincare.
Don't just scroll through these websites and wait for inspiration to drop.
Observe and analyze carefully how these websites have managed to bring out their brand personality, nail their Shopify SEO and still motivate customers to buy, and buy more. Here are some good pieces of advice from experts:
The three most important pieces of information to the user are image, name, and price.
— Oddit 👀 (@itsOddit) July 12, 2022
Make sure you've got ALL three: pic.twitter.com/L50z8eLxly
Every homepage should have a "Why" section pic.twitter.com/HM66b93BW1
— Oddit 👀 (@itsOddit) July 8, 2022
As brands gain popularity they tend to neglect new users by not explicitly stating what makes them great.
— Oddit 👀 (@itsOddit) July 5, 2022
Perfect example 👇 pic.twitter.com/vWdqF49ZlY
Some other quick tips for your ecommerce sites:
Once you've identified these patterns of success, apply them to your website and soon, you'll have a beautiful + high-converting website to shout about.
Here are some articles that we think might be able to help you optimize your ecommerce website further:
P.S. If you enjoyed reading this, subscribe to our newsletter where we share our latest articles and helpful resources.
What are the best Shopify themes available?
We're always hearing from retailers and experts that getting the right theme for your store is one of the most important things you can do. Besides, there are some truly beautiful ecommerce websites out there that leave a great impression.
A good Shopify theme could make the difference between having your store be professional or frumpy, stylish or sluggish. It can literally make or break your online store.
Here are some of our favorites.
(NOTE: If you're interested in setting up a referral program for your Shopify store, try ReferralCandy free here, or perhaps your new domain needs a bit of optimizing, if so, check out our post on the best ecommerce tools for new ecommerce stores).
(Last updated: 20 March 2023!)
Shopify's very own free theme topping the charts in their theme store. Dawn serves as a chic and minimalist design so that products take center stage with large imagery, crisp lines, and simplified fonts that keep buyer attention focused on what matters. The best part is that Shopify constantly rolls out updates so you never have to worry about compatibility!
Pricing: $89
Reviews: 889
Rating: 4.99
Kalles is a Shopify theme that allows brands to build a robust online store that provides a smooth and seamless shopping experience for their consumers. Kalles is built for a variety of various online businesses, with a modern design, minimalist feel, and a variety of specific demonstrations. Display products in a stylish manner and make it simple for consumers to explore, choose, and buy.
Pricing: $290
Blum is a modern and minimalist Shopify theme designed for fashion, beauty, and lifestyle stores. It has an elegant design that showcases products in a professional and appealing way. If you're looking for a clean and modern Shopify theme that's easy to customize and has excellent support, Blum may be a great choice for your store.
Pricing: $99
Reviews: 653
Rating: 4.99
Gecko is Shopify theme that is jam-packed with incredible features, and with endless options, and unmatched versatility, easily create a store that suits the needs of your business, is in line with the brand, and exceeds expectations in a matter of clicks.
Pricing: $89
Reviews: 434
Rating: 5.00
WOKIEE Shopify 2.0 Theme is more than the usual theme. This is a powerful ecommerce solution. Updated for Shopify 2.0 CMS, optimized with good performance. There are a lot of predefined skins/layouts for your specific requirements—86+ homepage layouts with predefined structures for your specific needs, six product page variants, seven collection page variants, and more.
Pricing: $56
Reviews: 1,600
Rating: 4.88
Also updated for Online Store 2.0, Fastor allows for better website performance even with more features. Sections can be added to all pages, not just the homepage, unlocking a range of new opportunities to personalize every aspect of your store.
Pricing: $59
Reviews: 216
Rating: 4.98
Shella is a responsive, fashion Shopify theme. It supports Shopify's Online Store 2.0 and has over 99 pre-designed pages for ecommerce operators to choose from.
(RELATED: Need help with marketing your Shopify store? Check out our Shopify marketing guide.)
Pricing: $99
Reviews: 255
Rating: 4.82
Porto is a powerful package that has everything you need for your Shopify store. It has all the required tools and features to create a super fast and responsive website with an amazing UI and UX experience. The theme boasts over 20 niche demos & layouts and styles that allow you to create your own modern Shopify store.
Pricing: $89
Reviews: 717
Rating: 4.82
ELLA is an all-in-one Shopify template supporting Online Store 2.0 with multiple layouts and styles that allows you to create different structures and any specific requirements as well as provide you with numerous varying themes for different kinds of business. This theme has over 22 homepage and skin layouts, more than nine stunning shopping pages, product pages, and styles of headers and footers.
Pricing: $240
Paper is an effortlessly beautiful and fully customizable Shopify Theme. It’s great for helping you show off your products in an easy-to-use and just seriously good-looking design. The theme is built with conversion rate optimization in mind - Paper comes with plenty of promotional sections to get your customers to checkout with ease.
Pricing: $79
Reviews: 401
Rating: 5.00
Avone is a fully responsive and powerful theme that is compatible with Shopify's Online Store 2.0 update. Avone features over 1000 theme options with over 28 stunning homepage designs and functionalities, making it the most customizable theme in the market. Avone is a favorite among industry professionals and experienced merchants.
Pricing: Free
Refresh is another free Shopify theme with a clean and modern design. The segments emphasize product details where brands can share testimonials, ingredients, quality information, special certifications, and more with adaptive section layouts.
Pricing: $240
Paper is an effortlessly beautiful and fully customizable Shopify Theme. It’s great for helping you show off your products in an easy-to-use and just seriously good-looking design. The theme is built with conversion rate optimization in mind - Paper comes with plenty of promotional sections to get your customers to checkout with ease.
Pricing: $89
Reviews: 219
Rating: 4.89
Electro is a clean, modern, user-friendly, responsive, and functional Shopify theme with a vertical menu. It is compatible with Shopify's Online Store 2.0 update!
(RELATED: Get inspired to succeed with your Shopify store by reading these Shopify success stories.)
Retina features beautiful testimonial sections, featured product callouts, and other features that help build brand trust. The theme also has a user-friendly editing experience and simple layout options making creating a professional-looking store as simple as possible.
Pricing: $240
Icon is a Shopify theme that allows merchants to promote products within products with meta fields to drive upsells, highlight complimenting products and increase the average order value. It also allows for increased product visibility with built-in Online Store 2.0 filtering with color swatches. Customers can break down large collections into manageable sizes.
Pricing: $79
Reviews: 269
Rating: 4.99
Minimog is created with the most modern and sophisticated design and catered to a number of popular niches like Clothing & Fashion, Food & Drink Pet, Home & Garden, Health & Beauty. It also comes with a Shopify app—FoxKit, which is packed with a bunch of free and integrated ecommerce tools such as Variant Group Images, Countdown Tools, Lucky Wheel, In-cart Suggestions, Chat Bot, and many more, to help your business boost conversions and maximize profit.
Pricing: $69
Reviews: 176
Rating: 4.88
KALA is a multi-purpose theme with responsive design and UI/UX mobile-friendly. Its UI/UX design on mobile is optimized and perfectly suitable for shopping on smartphones or tablets. This Shopify theme provides 70+ unique designed sections and product sections that merchants can easily mix and configure to build their own unique store.
Pricing: Free
Want to showcase your beautiful product photos on your homepage? Boundless is a minimalist theme that puts your photography front and center so you can show off your best products.
Pricing: Free
Running a Shopify store with a huge number of products? Check out Venture.
Pricing: $300
Reviews: 281
Rating: 75% positive
Designed and supported by Pixel Union, Empire is a theme meant for marketplaces. Perfect for large catalogs, this Shopify theme's visually appealing marketplace-inspired design is equipped to optimize large product catalogs for maximum conversions.
Pricing: $220
Parallax is a Shopify theme that allows your user to check out your store using a parallax scrolling effect. It also provides an easy shopping experience with features like a slideout cart, quick shop, promotional banners, and sticky dropdown navigation so that customers cart out faster.
Pricing: $320
If animation and videos are required to bring out the best in your store's products, then consider Motion. Every part of the store can smoothly animate into view, capturing customers' attention and conveying a premium look and feel.
Pricing: $250
As its name suggests, Fashionopolism is a sophisticated style for stores with impactful imagery and multiple collections.
Pricing: $59
Reviews: 256
Rating: 4.71
Basel is a minimalist AJAX responsive Shopify theme that allows you to use a drag-and-drop page builder to set up your store. It comes with many header variations that can be used on the website. Customization can also be done while using the header layout in addition to the options related to colors and backgrounds.
Pricing: $250
The Minion Shopify theme is compatible with Shopify 2.0. It is ideal for the pet industry with flexible features to fit more niches. This Shopify theme is great especially for ecommerce brands in the following categories: Pet Supplies, Baby and kids, Books, Music, and Video, Clothing, Electronics, dropshippers and high-volume stores. The theme provides versatile customizability with 24 sections and 3 different menu types to choose from and flexible design settings and customization options to achieve your professional look for your store. There's also a variety of predefined skins and layouts. It minimizes the resources required for building a powerful website.
Pricing: $79
Reviews: 36
Rating: 5.00
Optimal is the best multipurpose Shopify theme that you have ever seen which offers an exciting stylish design and exclusive features. Optimal is compatible with online store 2.0. This theme can be a perfect fit for anyone looking for a clean, user-friendly, high-performance website. Optimal is loaded with all the tools you need: speed, performance, flexible sections, predictive search, SEO, advanced product filters, and much more. Optimal design is suitable for all Shopify stores including Clothing, Fashion, Food, Health, Pets, Tools, and many more.
Pricing: $310
Reviews: 3
Rating: 100% positive
Tailor-made for fashion brands with a story to tell. Includes shop the look, image banner, and more dynamic sections.
Pricing: $180
Reviews: 67
Rating: 93% positive
Editions is a simple, spacious theme with a focus on featured products. Editorial-style sections and templates to showcase your brand messaging in style.
Choosing a good theme is critical to the success of your Shopify store.
Look through these popular themes, and carefully consider whether it fits the needs of your brand and products. Some of them are more suited for certain niches (like fashion or gadgets), while some are better suited for larger catalogs and marketplaces.
Make sure you select the Shopify theme that fits your store like a glove—not one that simply "looks good".
And remember, an aesthetically pleasing or ergonomic theme isn't the only marketing strategy you can use to increase your domain's conversion rates.
A good marketing strategy is a great place to start or, if you wish to hear from the pros, check out our post on the best ecommerce podcasts.
Now that your theme is in place, why not find the best apps and strategies to grow your Shopify Store in our Ultimate Shopify Marketing Resource.
Or start bringing traffic to your store using the strategies in our Step-By-Step Shopify SEO Guide.
Here are more articles we think might be insightful for you:
Our guide helps you choose your referral program incentives (with 20+ real examples!) and explains referral offers vs rewards.
A referral program is a deliberate, systematic way of getting people to make referrals to your business. Referral programs are often called word-of-mouth marketing, because they reward existing customers for sharing and incentivize new customers to try out your brand.
Setting up a referral program should not be hard. Here's how you can do it in six steps and start getting referrals!
We've been running referral programs for thousands of ecommerce stores for over half a decade now, making retailers almost $320,000,000 in referral sales.
We share 3 easy ways for you to grow your email list with referral marketing.
Stuck on your own Shopify website and need some inspiration to design something breathtaking? We can help. Check out all you need to know here.
What are the best Shopify themes available? Here are 29 of the most reviewed Shopify themes for 2023 based on our research!
This handy guide explains what to consider when planning your budget for influencer marketing. Read how to maximize your influencer marketing impact today!
An email drip campaign is a key strategy for generating results via email marketing. Learn more about creating a drip campaign for referral marketing.
Have your own pet peeves for the ecommerce industry? Maybe these experts share the same!
Still trying to find a way to retain customers after BFCM and the Christmas holidays? Here's what you can do.
What is referral tracking and why is it important? How to track referrals? We break down everything you need to optimize your referral program with a free referral tracking spreadsheet.
Boost sales and increase growth by narrowing in on your target market. Read our step-by-step process to define your target marketing with audience research.