Referral marketing is a widely used strategy that involves business owners encouraging their clients to refer their services to their friends and family.
While it usually involves some form of incentives such as free class or a special discount, it is still a very cost-effective way for fitness businesses to expand their consumer base.
Why are client referrals important?
Advertising your fitness business through social media ads or print can be expensive and time-consuming.
An easier yet effective way to promote your business is to have a friend, relative, or client recommend your service to someone.
Client referrals are like modern-day word of mouth that requires almost no financial investment and brings in valuable leads.
Here are 3 reasons why referrals work well in helping businesses attract new customers
1. Low to no cost
Unlike Google ads, Instagram ads, or Facebook ads, client referrals, when done correctly, are inexpensive.
Referrals cost you nothing to acquire and are a powerful driver of sales for your coaching services.
2. Lead to more trust
When you meet a potential client for the first time, you need to be someone who could be trustworthy.
Referrals are “borrowed trust.” A new client would likely trust you more as, after all, they know a friend or family member who had a good experience with your service.
3. Referrals breed growth
Clients who come on board with referrals can, in turn, give you more referrals. And since many clients will give you multiple referrals over time, your business growth is exponential.
In this way, you turn each client into a brand representative without investment.
Fun fact: According to research, only 3% of people trust marketers, and only 4% trust ads.
Referrals are the most valuable form of marketing. It can help in many ways, particularly at the beginning of the relationship with a new client.
Once you establish a way to harness your fitness business through referrals, you'll be able to do so much without spending a lot of money.
Now that you understand the importance of referral marketing, it's much easier to convert someone who is already familiar with your brand than it is to try and convince a stranger.