Shopify apps make running an e-commerce business easy and more profitable. 

With hundreds of apps to choose from, this week we have gone with one of the most popular referral apps there is: ReferralCandy.

In this review, I'll discuss:

  • how ReferralCandy works and its pricing,
  • its benefits and features, and
  • which e-commerce brands it's best suited for (it's not for everyone).

How ReferralCandy works and its pricing

ReferralCandy is a Shopify app that allows customers to refer your business to their friends.

The app comes with its own analytics dashboard showing you which customers refer the most and the result in sales. You can also set the cash or coupon incentive as you wish.

It works like this:

  1. A customer buys something from your store
  2. ReferralCandy sends the customer a coupon code which they can share with their friends via social media or email
  3. Once the customer's friend places their first order, the customer automatically receives the reward for doing so

It's simple really. It alerts customers on a regular basis to refer friends and get rewarded for doing so.

ReferralCandy's pricing starts at $49/month plus a monthly commission on sales, or you can opt for their enterprise plan.

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If you have never used ReferralCandy before, you can take part in their 30-day free trial.

Benefits and features of ReferralCandy

ReferralCandy's unique selling point is the ability to unlock the word of mouth marketing channel for your business, and show you statistical data on how this channel performs for your store.

Of all the word of mouth avenues, family and close friends have the biggest impact to win your store more customers.

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ReferralCandy states that 83% of customers would tell their friends and family about your business, but only 29% of them end up doing so.

The biggest benefit to your business is opening up a new way to acquire customers and driving new prospects to your store. Prospects who visit via word of mouth will be more likely to order as they have been referred by a friend.

ReferralCandy features include the following:

WYSIWYG – You simply upload your store's branding materials and ReferralCandy will create color emails. Everything is done through a graphical user interface, and no coding skills are required.

Here is an email sent from ReferralCandy that includes a store's branding material:

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You can also use a referral widget and post purchase pop-ups to engage with customers.

ReferralCandy review 5.pngFully automated – Once you create your referral funnel, the rewards and payments are done automatically without the need for manual input. Emails can be configured to send based on your own frequency needs.


You can scale
– ReferralCandy can support as many customers as you have. There is no cap on how many customers can engage with the app.

Analytics – Within the dashboard you can view metrics such as overall referral rate, total revenue from referrals, emails sent and viewed, social media shares, and which customers are referring you to their friends.

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(Source)

You'll also be able to see who your top referrers are and how your business is comparing against others in your industry. All in all, the analytics provided by ReferralCandy will clearly tell you how your campaign is performing and where you could improve.

Who is ReferralCandy for?

ReferralCandy is best suited for e-commerce businesses that meet both of the following requirements:

1. Large customer base (500 customers or more)

2. Good repeat order rates

If most of your sales are coming from one-time purchases, then there's a good chance that they aren't going to refer friends to your business. A person's reputation is at risk when they refer a friend or family member to a specific business, so having a strong re-order rate provides validation that consumers like your product and will be happy to tell others.

If you have fewer than 500 customers, you may not be able to get the full benefits of ReferralCandy. For smaller e-commerce stores it might not be profitable or ideal to spend $49 per month and give 5% commission per sale.

I'd personally wait until you have at least 500 or more customers before paying for this app.

ReferralCandy is awesome – but is it right for your store?

It doesn't matter what you sell online, word of mouth is a powerful marketing strategy for every industry.

ReferralCandy is one of the most popular referral apps for Shopify because it does exactly what it states: it unlocks word of mouth advertising and puts it on steroids.

The only question you have to ask yourself is whether your online store is in the right position to start using this app.

Website: www.ReferralCandy.com