Vancouver, BC (PRWEB) April 07, 2014
RewardStream, a referral marketing software provider and the leading authority on referral marketing, today released new insights into the effectiveness of referral marketing in the financial services sector. Referral programs that run on the Spark™ refer-a-friend platform are acquiring new deposit account holders for banks and credit unions at a cost per acquisition (CPA) between $140-$170; less than half the cost of traditional marketing channels used for customer acquisition.
Referral marketing, or “refer-a-friend” as it is commonly called, uses rewards to encourage customer referrals through a structured program. Rewards are paid to both the referring customer as well as the new customer only when they are verified, making the cost of the initiative largely variable based on success. Details of the program results can be found in the whitepaper published on the RewardStream website (http://rewardstream.com/refer-a-friend-resources/)
“Financial services providers have amongst the highest CPA of any B2C industry, ranging between $300-$400 per new deposit account through marketing channels which are becoming increasingly less effective,” said James Christensen, CEO of RewardStream. “The concept is brilliant in its simplicity; pay your customers to find new customers. Our clients get new customers at a much lower cost and the customer is rewarded for their trust and advocacy; it’s a win-win.”
RewardStream’s proprietary refer-a-friend software, Spark™, has been customized for financial institutions and facilitates, tracks and rewards referrals across a broad spectrum of channels including Facebook, LinkedIn, Twitter, Gmail, and Yahoo Mail as well as in in-person referrals via word of mouth. RewardStream compliments its software with referral marketing insight and best practices developed over more than a decade of running referral programs for some of the world’s largest brands.
RewardStream was founded in 1999 and is a leading provider of referral platform solutions, operating in 39 counties globally. We focus on helping businesses grow their revenues by turning customer recommendations into a channel for acquiring new customers. RewardStream has processed over 20 million referrals and acquired millions of new customers for some of the world’s largest brands. For more information please visit http://www.rewardstream.com.