loader
image description

Referral programs have proven to be one of the most effective marketing strategies for businesses. They not only help acquire new customers but also provide a platform for current customers to advocate for a brand. However, the world of referral marketing is filled with a wide array of terminology, making it difficult for marketers to navigate and understand. To help clarify and simplify the concepts, this blog post provides an ultimate glossary of 50 key terms every marketer should know about referral programs.


Here is a list of 50 terms commonly used in referral programs:


  1. Referral link: A unique URL generated for each referrer to share with their network.

  2. Referral code: A unique code generated for each referrer to share with their network.

  3. Referrer: A person who refers a new customer or user to a company.

  4. Referral: A new customer or user who is referred by a referrer.

  5. Referral bonus: A reward given to the referrer for successfully referring a new customer or user.

  6. Referral rewards: Various incentives offered by a company to incentivize referrals.

  7. Referral incentive: A specific reward or offer given to a referrer for referring a new customer or user.

  8. Referral program: A marketing strategy where a company incentivizes referrals from current customers or users.

  9. Affiliate program: A program where a company pays affiliates for generating sales or leads.

  10. Referral marketing: The use of referrals as a marketing strategy to acquire new customers or users.

  11. Referral campaign: A specific marketing effort focused on acquiring new customers or users through referrals.

  12. Influencer marketing: Marketing strategy where brands partner with influencers to promote their products.

  13. Viral marketing: Marketing strategy where a message spreads rapidly through social networks.

  14. Word-of-mouth marketing: Marketing that relies on personal recommendations from satisfied customers.

  15. Referral tracking: The process of monitoring and measuring the success of a referral program.

  16. Referral software: A platform that automates and tracks referrals for a company.

  17. Referral dashboard: A user-friendly interface that displays referral data and metrics for a company.

  18. Referral management: The process of overseeing and optimizing a referral program.

  19. Referral analytics: The analysis of referral data to better understand and improve a referral program.

  20. Referral history: A record of all referrals and their respective rewards for a company.

  21. Referral status: The current stage or progress of a referral e.g. pending, approved, rejected.

  22. Referral credit: A reward given to the referrer in the form of credit towards future purchases.

  23. Referral payout: The monetary compensation given to the referrer for a successful referral.

  24. Referral commission: A percentage of the sale earned by the referrer for a successful referral.

  25. Referral earnings: The total amount earned by the referrer from referrals.

  26. Multi-level marketing MLM: A marketing strategy where a network of individuals promote a product and earn commission on their own sales and the sales made by their recruits.

  27. Ambassadors: Loyal customers or fans who promote a brand to their network.

  28. Advocates: Customers who support and recommend a brand to others.

  29. Brand ambassadors: Influential individuals selected by a brand to represent and promote the brand.

  30. Loyalty program: A program that rewards customers for repeat purchases or brand engagement.

  31. Referral discount: A discount offered to the referred customer as an incentive to make a purchase.

  32. Referral offer: A special offer provided to a referred customer.

  33. Referral coupon: A discount code given to the referred customer to use on their purchase.

  34. Referral sale: A sale generated from a successful referral.

  35. Friend get friend FGF: A referral program where both the referrer and referred customer receive a reward.

  36. Bring a friend: A referral program where the referrer is rewarded for introducing a new customer.

  37. Referral network: The network of individuals involved in a referral program.

  38. Referral lead: A potential customer generated from a referral.

  39. Referral sale lead: A potential sale generated from a referral.

  40. Customer referral: A referral made by a current customer.

  41. Employee referral: A referral made by a current employee.

  42. Partner referral: A referral made by a business partner.

  43. Affiliate referral: A referral made by an affiliate.

  44. Influencer referral: A referral made by an influencer.

  45. Referral source: The origin of a referral e.g. friend, family member, social media.

  46. Referral rate: The number of referrals per unit of time.

  47. Conversion rate: The percentage of referred individuals who take a desired action e.g. make a purchase.

  48. Referral conversion: The successful conversion of a referred individual into a customer or user.

  49. Referral traffic: The volume of traffic generated from referrals.

  50. Referral acquisition cost: The cost associated with acquiring a referral, including incentives, marketing, and administrative expenses.


In conclusion, referral marketing is a powerful tool for businesses, but it's important to have a solid understanding of the terminology used. Whether you're a seasoned marketer or just starting out, having a clear understanding of these key terms can help you get the most out of your referral program. By familiarizing yourself with these terms, you'll be well equipped to create, implement and track the success of your referral marketing strategy. Whether you're working with affiliates, brand ambassadors or friends, this glossary provides a foundation to help you drive success and increase your bottom line.