Case Study: Boosting Customer Loyalty and Sales with Referral Marketing
Project Overview
BlissLights, founded in 2006, was known for creating mesmerizing and energy-efficient laser light projectors that transform any setting into a magical experience. Despite their popularity, the brand faced challenges in creating brand loyalty with the rise of cheap laser knock-offs and hoped to create brand ambassadors while also boosting year-round sales.
Challenges
- Brand Experience: Conveying that BlissLights is not just about lights but about quality and an enchanting experience.
- Direct Sales: Encouraging customers to buy directly from the BlissLights website instead of third-party knock-offs.
- Target Audience: Shifting focus to attract more year-round customers, as their current customer base primarily consisted of females aged 55-65 shopping for the holidays.
Objectives
- Increase customer loyalty and direct sales through the BlissLights website.
- Enhance brand perception as a provider of unique and memorable experiences.
- Expand the customer base to include more male customers and year-round customers.
Strategy and Execution
The referral marketing campaign primarily ran through email marketing and social media. The goal was for the campaign to remain organic as possible leveraging existing customers during the launch phase.
Tactics: Storytelling, Referral Marketing, User Generated Content Marketing, E-commerce, Email Marketing, Social Media Marketing.
Leveraging Referral Marketing
- Referral Program Setup: Implemented a referral program offering a 20% discount to advocates and a 15% discount to referred friends.
- Customer Incentives: Provided additional attractive coupons and allowed these to be combined with other deals to motivate continued purchases.
Utilizing Marketing Tools
- Hootsuite: Used to monitor and schedule social media posts, ensuring consistent engagement with followers.
- Google Analytics: Employed to identify target audiences and retarget visitors who showed interest but did not complete a purchase.
- ReferralCandy: Monitored customer sharing activity and rewarded customers for referring friends and family.
- Additional tools used: Facebook, Instagram, Constant Contact, Shopify
Customer Engagement Initiatives
- Social Media and Contests: Ran contests where customers could win products by liking posts, sharing them, or signing up for the referral program, increasing participation and awareness.
- Customer Testimonials: Highlighted stories of customers using BlissLights for parties and events, showcasing the product's impact through word-of-mouth referrals.
Results
BlissLights successfully enhanced customer loyalty and increased direct sales through the strategic use of ReferralCandy. By focusing on the customer experience and leveraging the power of word-of-mouth referrals, BlissLights strengthened its brand and expanded its customer base. The referral program not only incentivized existing customers to share their love for BlissLights but also attracted new customers, solidifying BlissLights' reputation as a provider of magical lighting experiences.
Key Results
- Increased Customer Loyalty: The referral program fostered a loyal customer base, with 10 out of every 100 purchases driven by word-of-mouth.
- Higher Direct Sales: Incentives and attractive discounts encouraged more customers to purchase directly from the BlissLights website.
- Expanded Audience: The strategic use of social media and referral programs helped reach a broader audience, including more male customers.
Read our success story on Referral Candy's Website: www.referralcandy.com/blog/lighting-referral-program-examples-blisslights