Free tool

Referral Program Generator

Describe your product and customers. You get eight referral program ideas, each with the reward, the ask and the channel that makes most sense.

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Short answer

Referral Program Generator: what it does

A referral program works when the reward is something both sides want and the ask happens at a moment the customer is already happy. A discount for a friend is usually better than cash for the referrer, because it keeps the referrer in your ecosystem.

Last updated 3 August 2026

Worked example

Here's one we ran earlier.

A £29/month booking app for independent UK hair salons

Give a month free to the salon and the friend
In-product · low cost
When a salon books their 50th appointment, prompt them to share a month-free link. Reward is simple, costs less than CAC, and both sides win.
Partner with salon suppliers for a co-branded offer
Channel partner · scalable
Colour wholesalers already visit salons. They hand out a flyer with a referral code and get a kickback per signup. The channel is trusted and the ask is offline.
Local salon group leaderboard
Community · high engagement
A regional Facebook group of salon owners competes for a free year by referring the most salons. Creates social proof and urgency, but needs careful management to feel fair.

How it works

Three steps, no account.

Step 1

Pick the right moment to ask

The best time is right after a customer got value: a completed booking, a successful outcome, or a positive support interaction. Asking on signup is too early — they haven't proved you work yet.

Step 2

Make the reward equal on both sides

The referrer gets something, the friend gets something. One-sided rewards feel like a sales pitch; two-sided rewards feel like sharing a good thing.

Step 3

Keep the ask small

A referral program that requires the customer to write a paragraph will fail. Give them a sentence to copy, a link to share, or a button to press.

Questions

Common questions.

What reward should I offer for referrals?

For subscriptions, a month free for both sides. For services, a discount or a bonus. For marketplaces, credit that can only be spent on your platform. The reward should cost less than your CAC.

When should I launch a referral program?

After you have at least 50 happy customers and a measurable NPS above 30. Before that, you don't have enough happy users to make it work, and the program can surface bad experiences instead.

How do I promote the program?

In-product after a success moment, in your email footer, in the post-purchase flow, and in a one-off email to your best customers. Don't make it a permanent banner — it trains people to ignore it.

What is a good referral rate?

2–5% of active customers referring someone per month is strong. Consumer products can be higher; B2B products are usually lower. The best benchmark is whether it beats your paid CAC.