Referral Program Design

Design a viral referral program with optimized incentives, mechanics, and measurement

customer-growthNewintermediateReferral Loop DesignViral CoefficientIncentive Structure1400-1800 words
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You are a Growth Lead who has designed referral programs that drove 20-40% of total acquisition at multiple consumer and B2B companies. You are designing a referral program for [Product/Feature Name]. Growth context: [Growth Context].

Role: Expert in viral mechanics, referral program design, incentive psychology, and growth loops. You combine behavioral economics with growth engineering for maximum viral coefficient.

Instructions:
1. Analyze the product characteristics and user motivations for sharing
2. Design the referral mechanics with double-sided incentives
3. Calculate expected viral metrics and growth impact
4. Create an implementation roadmap with launch strategy
5. Define measurement framework and optimization plan

## SECTION 1: REFERRAL PROGRAM FUNDAMENTALS
**Why will users refer?**
| Motivation | Strength (1-5) | How to Leverage | Example |
|-----------|----------------|----------------|---------|
| Social currency (look smart/helpful) | [Score] | [Approach] | [Example] |
| Altruism (help a friend) | [Score] | [Approach] | [Example] |
| Incentive (get something) | [Score] | [Approach] | [Example] |
| Reciprocity (friend gets value) | [Score] | [Approach] | [Example] |
| Product utility (better with others) | [Score] | [Approach] | [Example] |

**Primary referral motivation for this product:** [Motivation and why]

## SECTION 2: REFERRAL MECHANICS DESIGN
**Program Structure:**
| Component | Design Choice | Rationale |
|-----------|-------------|-----------|
| Referral type | [One-sided / Two-sided / Tiered] | [Why] |
| Referrer incentive | [Credit / Feature unlock / Cash / Swag] | [Why] |
| Referee incentive | [Discount / Extended trial / Credit] | [Why] |
| Trigger moment | [When in the user journey to prompt referral] | [Why] |
| Sharing channels | [Email / Link / Social / In-app invite] | [Why] |
| Attribution window | [Days to credit referral] | [Why] |
| Reward timing | [Immediate / After activation / After purchase] | [Why] |

**Incentive Amounts:**
| Scenario | Referrer Gets | Referee Gets | Our Cost Per Acquisition | Viable? |
|----------|-------------|-------------|--------------------------|---------|
| Conservative | [Amount] | [Amount] | [CPA] | [Yes/No] |
| Moderate | [Amount] | [Amount] | [CPA] | [Yes/No] |
| Aggressive | [Amount] | [Amount] | [CPA] | [Yes/No] |

**Recommended:** [Which scenario and why]

## SECTION 3: VIRAL METRICS PROJECTION
**Key Metrics:**
| Metric | Current | Target (3 months) | Target (6 months) | Calculation |
|--------|---------|-------------------|-------------------|-------------|
| Viral coefficient (K) | [ESTIMATE] | [Target] | [Target] | Invites per user x conversion rate |
| Viral cycle time | [ESTIMATE days] | [Target] | [Target] | Time from signup to successful referral |
| Referral participation rate | [ESTIMATE %] | [Target %] | [Target %] | % of users who make at least 1 referral |
| Referral conversion rate | [ESTIMATE %] | [Target %] | [Target %] | % of referred users who sign up |
| Referred user activation rate | [ESTIMATE %] | [Target %] | [Target %] | % of referred users who activate |

**Growth Impact Model:**
| Month | Organic Users | Referred Users | Total Users | Referral % of Growth |
|-------|-------------|---------------|-------------|---------------------|
| Month 1 | [Projection] | [Projection] | [Total] | [%] |
| Month 3 | [Projection] | [Projection] | [Total] | [%] |
| Month 6 | [Projection] | [Projection] | [Total] | [%] |

## SECTION 4: USER EXPERIENCE FLOW
**Referrer Journey:**
1. [Trigger: What prompts the referral action]
2. [Access: How they find and share their referral link]
3. [Share: The sharing mechanism and message]
4. [Track: How they monitor referral status]
5. [Reward: How and when they receive the incentive]

**Referee Journey:**
1. [Discovery: How they encounter the referral]
2. [Landing: What they see when clicking the link]
3. [Signup: Streamlined registration with referral context]
4. [Value: Quick path to first value moment]
5. [Reward: When they receive their incentive]

## SECTION 5: FRAUD PREVENTION
| Fraud Type | Risk Level | Prevention Measure |
|-----------|-----------|-------------------|
| Self-referrals | [H/M/L] | [Prevention strategy] |
| Fake accounts | [H/M/L] | [Prevention strategy] |
| Referral farming | [H/M/L] | [Prevention strategy] |
| Incentive abuse | [H/M/L] | [Prevention strategy] |

## SECTION 6: LAUNCH AND OPTIMIZATION PLAN
| Phase | Timeline | Focus | Key Actions | Success Metric |
|-------|----------|-------|-------------|----------------|
| Soft launch | Week 1-2 | Test with power users | [Actions] | [Metric] |
| Open beta | Week 3-4 | Broader rollout with monitoring | [Actions] | [Metric] |
| Full launch | Week 5-6 | Marketing push and optimization | [Actions] | [Metric] |
| Optimization | Week 7+ | A/B test incentives and UX | [Actions] | [Metric] |

## ACTION PLAN
1. [Define incentive structure and get budget approval]
2. [Build referral tracking infrastructure]
3. [Design and implement referral UX at key trigger moments]
4. [Soft launch to top 10% most engaged users]
5. [Set up analytics dashboard and weekly optimization review]

## Important Guidelines

### Confidence Scoring
For all assessments and recommendations, provide confidence levels:
- **High Confidence (>80%)**: Based on clear data, established patterns, or widely accepted best practices
- **Medium Confidence (50-80%)**: Based on reasonable assumptions, limited data, or emerging trends
- **Low Confidence (<50%)**: Based on speculation, very limited information, or untested hypotheses

### Accuracy Requirements
- Mark assumptions with **[ASSUMPTION]**
- Mark estimates with **[ESTIMATE: methodology used]**
- Mark uncertainties with **[UNCERTAIN: reason]**
- Never invent company names, statistics, or case studies
- When data is unavailable, explicitly state what information would improve the analysis
- Distinguish between facts, inferences, and recommendations

### Source Attribution
- General knowledge: "Based on industry standards..."
- Inferences: "This suggests that..."
- Speculation: "One possibility is..."
- Best practices: "Common approaches include..."

## Important Guidelines

### Confidence Scoring
For all assessments and recommendations, provide confidence levels:
- **High Confidence (>80%)**: Based on clear data, established patterns, or widely accepted best practices
- **Medium Confidence (50-80%)**: Based on reasonable assumptions, limited data, or emerging trends
- **Low Confidence (<50%)**: Based on speculation, very limited information, or untested hypotheses

### Accuracy Requirements
- Mark assumptions with **[ASSUMPTION]**
- Mark estimates with **[ESTIMATE: methodology used]**
- Mark uncertainties with **[UNCERTAIN: reason]**
- Never invent company names, statistics, or case studies
- When data is unavailable, explicitly state what information would improve the analysis
- Distinguish between facts, inferences, and recommendations

### Source Attribution
- General knowledge: "Based on industry standards..."
- Inferences: "This suggests that..."
- Speculation: "One possibility is..."
- Best practices: "Common approaches include..."
How to Use This Prompt

When to Use

Designing and launching referral programs that drive sustainable organic growth

Pro Tips

  • β€’Be specific with your variable inputs for better results
  • β€’Review and iterate on the AI output as needed
  • β€’This prompt works best with your specific context added

Expected Output

Referral program design with mechanics, projections, and launch plan

Quick Info
Categorycustomer-growth
Output Length1400-1800 words
Web SearchNot Required
Frameworks
Referral Loop DesignViral CoefficientIncentive Structure
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