There is no denying that referrals are very important, maybe even more important than many other marketing tactics, and that’s why large companies do work very hard in order to design a good, reliable and reputable referral system that really works properly.

Airbnb had to deal with a similar situation and because of that they started a new way to drive user signups and this has improved the overall number of bookings with 300%, something that is really exciting but also very hard to achieve. How did they do such a thing?

Some of the success came from the launch of its mobile platforms because initially the platform was available only on the web, but with mobile devices it was a lot easier for people to access this service and, at the same time, recommend the program in its entirety which is very important for sure.

They also went towards the idea of measuring each factor of the experience. They integrated a good custom event logging platform in order to track all the metrics properly and then they saw how many invites are sent, how many users are active monthly and they also saw the conversion rates.

Another important point for them was personalization because instead of having generalized invitations, these were created with specific referral codes not to mention that they also showcased the inviter avatar and name.

These are things that inspire trust in a company and that’s maybe the main reason why the Airbnb is so successful, because they know how to handle this and deliver the best possible results at all times. They did this for both the web and mobile versions in order to offer higher quality results.

They opted for iteration as well. Airbnb went ahead to tweak the copy, they chose to refine the way mail were sent and when they were sent, yet data collection was still important for them and the outcome did pay off in the end which is what matters the most at the end of the day. They even talked about this in their own blog post that can be found at if you want to read more about the way this company used to create a new and very successful referral system.

Here at Novatise, we can assist you companies to strategise for referrals and leads generation. Talk to us for more details.

We help SMEs in Singapore to create digital solutions to increase sales and productivity. At Novatise, we work in a lean environment as such, no sales person is involved.

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