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Referral Marketing
Create Extended Reward Definitions

Create Extended Reward Definitions

Marketing managers can design various reward types for your company's referral program, such as gift cards and cashback for both advocates and referrals. With extended rewards, marketing managers can add multiple reward types within a referral program that resonate with the target audience.

Required Editions

Available in: Lightning Experience
Available in: EnterprisePerformance, Unlimited, and Developer Editions with Referral Marketing

Before you define an extended reward, work with your admin to complete the prerequisites. See Extended Rewards Prerequisites.

Here are a few business scenarios where marketing managers can create extended reward definitions to reward advocates and their referred friends.

Business Scenario Extended Reward Example
An online streaming service aims to boost individual subscriptions by encouraging existing users to refer new subscribers. They offer rewards to both advocate and referred friend if the referred friend becomes a subscriber.
  • For the advocate and referred friend: Gift card
An advocate refers a friend who signs up for an annual subscription. The advocate and referred friend receive a $10 gift card.
A popular fitness app wants to expand its user base by encouraging active members to refer new users. They offer rewards for new sign-ups.
  • For the advocate: Exclusive Content Unlock
  • For the referred friend: Extended Membership for 2 weeks
An advocate refers a friend who downloads and activates the app. The member unlocks a new set of advanced workout routines. The friend receives an extended membership for 2 weeks.
An online fashion retailer aims to increase sales by rewarding customers for referring friends. They offer tiered discounts based on the referred friend's first purchase amount.
  • For the advocate and referred friend: Discount Percentage
    • If the friend's purchase amount is less than or $30, they receive 10% discount
    • If the friend's purchase amount is more than or $30, they receive 15% discount
A customer refers a friend who makes a $75 first purchase. Both receive a 15% discount code for their next order.

A gourmet coffee subscription service wants to grow its subscriber base by encouraging loyal customers to refer new coffee lovers. They decide to run a referral promotion as a part of their loyalty program. This means all members are automatically advocates, and any referred friends automatically become loyalty program members when they place their first order.

Their tiered reward system benefits both the advocate and the new subscriber. Advocate rewards are based on their total successful referrals, while referred friend rewards are based on their first order value.

  • For the advocate:
    • For first referral: 200 loyalty points
    • For next three referrals (2nd-4th): 400 loyalty points
    • For all other referrals (5th and beyond): 500 loyalty points and $10 Gift card
  • For the referred friend:
    • If the friend's order is $30 or more, they receive 300 loyalty points
    • If the friend's order is $15 or more but less than $30, they get 150 loyalty points

An advocate refers a friend who places a first subscription order worth $30

  • The advocate receives 200 loyalty points
  • The referred friend receives 300 loyalty points.

The advocate refers another friend who places a first subscription order worth $12

  • The advocate receives 400 loyalty points.
  • The referred friend receives 150 loyalty points.

Here are a few things to consider when you create extended reward definitions:

  • Unit Cost—The expense incurred by the company to provide one reward.
  • You can define extended rewards, but you must set up external systems to implement them. Use services like Flows or Apex to create processes for integrating with external downstream reward systems.
  • You can set up processes to determine criteria for offering advocates or their referred friends additional rewards. If they meet these criteria, you can provide higher payouts or extra rewards.
  1. On the Extended Rewards Definitions related list of your referral program, click New.
  2. Define your reward type, and select Active.
    Ensure that your referral program name reflects in the Source Reference field.
  3. Save your changes.

The extended reward definition is activated and is ready to issue rewards.

Example
Example The marketing manager at Cloud Kicks wants to issue a cashback of $5 to advocates when a referral signs up.

Here are the details of the extended reward definition.

  • Name: Earn a cashback
  • Description: Shop for $50, get a cashback of $5
  • Type: Cashback
  • Source Reference: NTO Referral Program
  • Partner Account: Ursa Major
  • Unit Cost: $5
  • Image: https://rewardimage.jpg

When marketing managers create a custom promotion template, they can configure an extended reward of $5 cashback for a shopping amount of $50. They can then design referral promotions using this template and issue the cashback reward to the advocates.

 
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