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Case Study: Leveraging Social Referrals for Hair-raising Results

By: Trevor Legwinski
Posted: February 1, 2012, from the January 2012 issue of GCI Magazine.

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The Offer

Creating a unique and compelling offer is integral to a social referral program’s success—it is the fundamental driving force. Like many retailers, Folica promotes a number of offers at any given time, from special deals to discounts on the latest hair products. Thus, Folica needed to develop an offer structure that was rich enough to encourage current customers to share Folica with peers and would not be overshadowed by other offers being advertised on the site. The offer also had to be a win-win for both the referrer and the friend.

Promotion

The promotion of the program also plays an important role. It is at the top of the referral funnel and represents the biggest lever in campaign optimization. 

The owned media channel is often overlooked, with retailers focusing most of their attention on paid and earned media. What retailers are neglecting to realize is that their brand’s websites and e-mail databases are one of the most important places, if not the most important places, to engage their consumers and encourage them to become social advocates. Folica knew this and properly executed the promotion of the program by leveraging all of its owned media channels. Placements on its website, Facebook page, Twitter feed, and e-mail blasts all contributed to the success of the program.