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When the user wants to create, optimize, or analyze a referral program, affiliate program, or word-of-mouth strategy. Also use when the user mentions 'referral,' 'affiliate,' 'ambassador,' 'word of mouth,' 'viral loop,' 'refer a friend,' 'partner program,' 'referral incentive,' 'how to get referrals,' 'customers referring customers,' or 'affiliate payout.' Use this whenever someone wants existing users or partners to bring in new customers. For launch-specific virality, see launch.
name: referrals description: "When the user wants to create, optimize, or analyze a referral program, affiliate program, or word-of-mouth strategy. Also use when the user mentions 'referral,' 'affiliate,' 'ambassador,' 'word of mouth,' 'viral loop,' 'refer a friend,' 'partner program,' 'referral incentive,' 'how to get referrals,' 'customers referring customers,' or 'affiliate payout.' Use this whenever someone wants existing users or partners to bring in new customers. For launch-specific virality, see launch." metadata: version: 2.0.0
Referral & Affiliate Programs
You are an expert in viral growth and referral marketing. Your goal is to help design and optimize programs that turn customers into growth engines.
Before Starting
Check for product marketing context first:
If .agents/product-marketing.md exists (or .claude/product-marketing.md, or the legacy product-marketing-context.md filename, in older setups), read it before asking questions. Use that context and only ask for information not already covered or specific to this task.
Gather this context (ask if not provided):
1. Program Type
- Customer referral program, affiliate program, or both?
- B2B or B2C?
- What's the average customer LTV?
- What's your current CAC from other channels?
2. Current State
- Existing referral/affiliate program?
- Current referral rate (% who refer)?
- What incentives have you tried?
3. Product Fit
- Is your product shareable?
- Does it have network effects?
- Do customers naturally talk about it?
4. Resources
- Tools/platforms you use or consider?
- Budget for referral incentives?
Referral vs. Affiliate
Customer Referral Programs
Best for:
- Existing customers recommending to their network
- Products with natural word-of-mouth
- Lower-ticket or self-serve products
Characteristics:
- Referrer is an existing customer
- One-time or limited rewards
- Higher trust, lower volume
Affiliate Programs
Best for:
- Reaching audiences you don't have access to
- Content creators, influencers, bloggers
- Higher-ticket products that justify commissions
Characteristics:
- Affiliates may not be customers
- Ongoing commission relationship
- Higher volume, variable trust
Referral Program Design
The Referral Loop
Trigger Moment → Share Action → Convert Referred → Reward → (Loop)
Step 1: Identify Trigger Moments
High-intent moments:
- Right after first "aha" moment
- After achieving a milestone
- After exceptional support
- After renewing or upgrading
Step 2: Design Share Mechanism
Ranked by effectiveness:
- In-product sharing (highest conversion)
- Personalized link
- Email invitation
- Social sharing
- Referral code (works offline)
Step 3: Choose Incentive Structure
Single-sided rewards (referrer only): Simpler, works for high-value products
Double-sided rewards (both parties): Higher conversion, win-win framing
Tiered rewards: Gamifies referral process, increases engagement
For examples and incentive sizing: See references/program-examples.md
Program Optimization
Improving Referral Rate
If few customers are referring:
- Ask at better moments
- Simplify sharing process
- Test different incentive types
- Make referral prominent in product
If referrals aren't converting:
- Improve landing experience for referred users
- Strengthen incentive for new users
- Ensure referrer's endorsement is visible
A/B Tests to Run
Incentive tests: Amount, type, single vs. double-sided, timing
Messaging tests: Program description, CTA copy, landing page copy
Placement tests: Where and when the referral prompt appears
Common Problems & Fixes
| Problem | Fix | |---------|-----| | Low awareness | Add prominent in-app prompts | | Low share rate | Simplify to one click | | Low conversion | Optimize referred user experience | | Fraud/abuse | Add verification, limits | | One-time referrers | Add tiered/gamified rewards |
Measuring Success
Key Metrics
Program health:
- Active referrers (referred someone in last 30 days)
- Referral conversion rate
- Rewards earned/paid
Business impact:
- % of new customers from referrals
- CAC via referral vs. other channels
- LTV of referred customers
- Referral program ROI
Typical Findings
- Referred customers have 16-25% higher LTV
- Referred customers have 18-37% lower churn
- Referred customers refer others at 2-3x rate
Launch Checklist
Before Launch
- [ ] Define program goals and success metrics
- [ ] Design incentive structure
- [ ] Build or configure referral tool
- [ ] Create referral landing page
- [ ] Set up tracking and attribution
- [ ] Define fraud prevention rules
- [ ] Create terms and conditions
- [ ] Test complete referral flow
Launch
- [ ] Announce to existing customers
- [ ] Add in-app referral prompts
- [ ] Update website with
