Roster provides robust features for managing and optimizing referral rewards, allowing brands to express gratitude to advocates for driving word-of-mouth sales. This comprehensive guide will merge information from two articles to help you set up and maximize referral commissions and points within the Roster platform.
Section 1: Referral Rewards Overview
Roster's Referral Rewards feature is designed to appreciate advocates for their role in boosting word-of-mouth sales. If you're already using Sales Attribution to gauge advocates' referral performance, you're well-positioned to leverage Roster for generating referral rewards and compensating advocates seamlessly.
Section 2: Configuring Referral Rewards
Referral rewards are program-specific, giving brands control over eligibility and reward types. Roster offers two reward options: referral commissions and referral points, each configurable at the program level. Programs' strategies often dictate the choice between the two, and brands can even enable both simultaneously.
Section 3: Designing Your Referral Commission Structure
In establishing your referral commission structure, consider the two pivotal components: Commission Type and Commission Value. You have the flexibility to choose among three options: Percentage of Sale, Fixed Amount, or Tiered Commissions.
Percentage of Sale:
This option is widely favored by brands. It calculates commissions as a percentage of the order's subtotal (after discounts, pre-taxes, and shipping). For instance, with a Commission Value set at 10%, if a referred order's subtotal is $100, the advocate would earn a $10 commission.
Fixed Amount:
Brands with a limited product range often opt for this approach. It offers a fixed commission amount per order, ensuring a consistent experience for both the brand and the advocate. For example, setting the Commission Value at $25 results in a $25 commission, regardless of the order's total.
Tiered Commissions:
An effective strategy to incentivize your commission-paid ambassadors to increase their sales. With Tiered Commissions, you can progressively raise their commission percentage as they achieve higher sales milestones. You, as the brand, have the authority to specify the minimum number of referred orders required to trigger a commission percentage increase. Additionally, you can define the look-back period, determining the timeframe for counting total referral sales towards tiered commissions.
Conclusion:
Whether opting for referral commissions or points, Roster offers a flexible platform to express appreciation to advocates driving your brand's success through word-of-mouth sales.