How To Build a Killer Referral Program at Your Home Improvement Company

With the right approach and technology, collecting more customer referrals can be a breeze.

For most home improvement companies, customer referrals are one of largest sources for new business. Think about it: How many times have clients used your products or services because they had a friend refer them? Most likely, the answer is: a lot. And while you may already know this, referrals are some of your best customers. Not only are they virtually no cost to acquire, but when someone is referred to your business by someone they trust, that trust will translate to your home improvement company. And with trust already established before the sales process begins, you’re likely going to have an easier time selling to that person than to someone who has never heard of you. The point is: referrals are valuable, and one of your priorities as a business owner should be to get as many referrals as possible.

 

Creating an Effective Referral Programreferral program

While there are plenty of customers out there who provide referrals without being asked, you shouldn’t rely on solely on those same individuals for referred business. You likely have plenty of customers willing to provide referrals – all you need to do is ask the right way. And lucky for you, that’s something technology can help with. To learn how to execute an effective referral program with the help of improveit 360, the leading industry-specific CRM system built for home pros, consider the following:

 

    • Be Punctual

If you’re waiting months after you’ve completed the work to ask the homeowner for referrals, you’re doing it wrong! It’s best to ask for referrals when the project is fresh on their mind, and they can speak to their experience with whomever they’re referring.

How improveit 360 can help:

You can easily configure improveit 360 to automatically send a communication to a homeowner when their project has been marked completed in the system, thanking them for their business and asking them for referrals.

 

    • Include a Valuable Offer (and don’t forget to follow through!)

How you reward customers for their referrals matters, especially for those who are less willing to provide them. Incentivizing your customers with something of value – like a $100 Visa gift card or discount on their next purchase – can make all the difference when it comes to your success with asking for referrals. Just be sure, however, to follow through on your end of the deal!

How improveit 360 can help:

improveit 360 is a customizable platform, which means you can tailor the system to track whatever information your little heart desires. So, by creating a field to track when the referring customer received their reward, you can report on who has received their reward and who isn’t and avoid dropping the ball!

 

    • Regularly Measure Your Referral Program’s Performance

Having the ability to track information about your referral program and who is participating in it can help you manage and optimize your process, and ultimately take it to an entirely new, more successful level.

How improveit 360 can help:

Naturally, improveit 360 records key information about your customers such as how you acquired them, their demographic, their project history, and other data that you can use to gain insights into their behavior. By looking at this information as well as who is responding to your referral program and who isn’t, you can determine which types of customers are better fit for your future efforts. 

 

Finally, be sure that when you do collect referrals, thank your customers! A simple thank you goes a long way (and that’s a life tip, not just a referral program tip) and can help show customers that you appreciate their participation. And while you can certainly use improveit 360 to automate a thank you note to your customers, a good old fashioned phone call is always a nice touch.

Ultimately, improveit 360’s industry-specific CRM system can help you build a more effective referral program and help you manage it like a professional. Plus, improveit 360 was built to help home improveit 360 businesses scale, making it the perfect tool to use when your company gets a big influx of referred lead.

To learn more about how improveit 360 can help you build a killer referral program and scale your home improvement business, schedule a demo with one of our team members today!