Examples of Viral Integrated Marketing Campaigns in Action
Integrated marketing campaigns have proven to be one of the most effective strategies for achieving high engagement and strong ROI. Below, we explore several notable examples, highlighting their innovative strategies and the impact they had on their respective markets.
Dropbox
What do they do: Host personal files online in a secure and easily accessible way from various devices.
Referral Program Strategy: Dropbox is often cited as the epitome of referral marketing, primarily due to their innovative implementation that dramatically cut customer acquisition costs. Initially, Dropbox spent an average of $300 per customer through advertising for their $99/year software service. By implementing their referral program, they saw a 60% growth in users. This means they lowered their average customer acquisition cost (CAC) from $300 to $123. Let's break down the math using the numbers:
Dropbox initially spent $30,000 for 100 users. These 100 users referred 60 new users. Those 60 new users referred 36 new users, and so on, creating a chain reaction.By stacking rewards for both referrers and referred users, Dropbox not only achieved viral growth but also lowered their churn rate. Their success is a testament to the power of a well-integrated referral program that provides tangible benefits to users.
SugarSync
What do they do: Host personal files online in a secure and easily accessible way from various devices. SugarSync competes with Dropbox.
Referral Program Strategy: SugarCRM uses a slightly different approach, offering a double-sided reward system but rewarding only paying customers. They give out 10GB of free storage for each referred paid customer and up to a maximum of 40GB in total rewards. This strategy is more focused and might lead to fewer referrals but a better return on investment (ROI) overall. The simplicity of the reward makes it easier for users to share without getting overwhelmed by the incentives.
Typeform
What do they do: Build conversational forms, surveys, quizzes, and landing pages.
Referral Program Strategy: Typeform’s refer-a-friend program is exclusive to PRO customers, offering a free PRO account forever for every 10 successful referrals. This strategy is very focused and exclusive, ensuring that only committed customers are driven to spread the word. While this exclusivity might lower the chances of free users referring, it could lead to increased loyalty among PRO users. The reward stacking system adds an extra layer of stickiness, as users can earn discounts on future purchases the more they refer.
YesWare
What do they do: An email tracking tool for salespeople.
Referral Program Strategy: YesWare provides 100 free tracking events for every successful referral and uses a reward stacking technique to further engage existing users. The referral campaign is deeply integrated into their web app, making it easier for users to share by simply typing in multiple email addresses and hitting send. The simplicity and intuitiveness of their referral program contribute to its success.
Dollar Shave Club
What do they do: Everything you need in the bathroom – from razor blades to grooming products – automatically delivered to your door.
Referral Program Strategy: Only members can refer friends, and successful referrals earn credit points redeemable in future purchases. The simplicity of the program, with every referral earning a credit that can be used later, makes it easy for members to participate. The campaign was designed to create a viral loop from the start, helping to increase conversions by encouraging members to refer their friends.
Uber
What do they do: A peer-to-peer ridesharing taxi, food delivery, bicycle-sharing, and transportation network.
Referral Program Strategy: Uber implemented a double-sided reward strategy, where both referrer and referred users receive free rides. This innovative approach not only increases demand but also encourages repeat purchases. Additionally, they tried a driver supply referral campaign to attract Uber drivers from Lyft, offering incentives for both parties. This dual strategy aimed to address both sides of their platform.
Lyft
What do they do: A rideshare service where a friend with a car is available when you need one.
Referral Program Strategy: Lyft combined passenger and driver referral campaigns to increase demand on the platform. They offered 5 per passenger off their first 3 rides, encouraging repeat purchases and hooking new users to the Lyft ecosystem.
Airbnb
What do they do: A marketplace for lodging, primarily homestays or tourism experiences.
Referral Program Strategy: Airbnb focused on leveraging the power of referrals by developing an in-house system to track referrals and referrers. They implemented a variable reward system to make referrals more appealing in cities with high demand. Additionally, they allowed users to import their contacts from various address books to send massive amounts of invites, driving attention and growth.
RobinHood
What do they do: An app that helps you invest in stocks, ETFs, options, and cryptocurrencies all commission-free.
Referral Program Strategy: RobinHood managed to build a massive waiting list of over 1 million emails in just one year, primarily through the fear of missing out (FOMO). Their referral marketing campaign was a huge success, driving strong engagement and growth among potential users.
In conclusion, these integrated marketing campaigns demonstrate the power of well-designed referral programs that align with the company's unique value proposition. By focusing on simplicity, exclusivity, and incentivization, these companies were able to achieve significant growth and establish themselves as market leaders.