18 Referral Program Global

Referral Program (Global)

> Word of mouth is the highest-LTV acquisition channel in every region. But the LEGAL framework around how you contact referred prospects differs HUGELY: TCPA (US, SMS), GDPR (EU, all channels), PDPA (SEA), LGPD (LATAM). Pick the right region variant or get fined.

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For newbies

Who is this skill for?

| Audience | Concrete example | |----------|------------------| | DTC brand wanting cheaper acquisition | Already at USD 30 CAC; want USD 10 CAC via referral | | SaaS adding viral loop | Existing PMF; want negative CAC growth | | Service business (coaching, agency) | High-LTV; want client referrals | | Subscription brand | High retention; turn customers into ambassadors | | E-commerce wanting AOV growth | Refer a friend = both get discount |

Who is this NOT for?

• Vietnam-only referral -> Use 18-referral-program (VN skill) — Zalo / Messenger optimized
• B2B enterprise sales -> ABM / partnership programs are different motion (not covered here)
• Brand ambassador / affiliate -> Use 27-personal-brand-monetize-global for influencer-affiliate (when available)

30-second pre-read

This skill produces ONE referral program design with 6 components: model selection (1-way / 2-way / multi-tier), incentive math (% of LTV), tracking infrastructure, anti-fraud measures, launch sequence, and KPIs (K-factor, viral coefficient). Pick 1 of 4 region variants — the variant tunes the LEGAL rules for contacting referred prospects (especially via SMS/email).

3 common errors

1. SMS-based referral in US without TCPA consent -> Up to USD 1,500 per text fines + class actions
2. Email-blast referred contacts in EU -> GDPR violation; referral programs touching EU prospects need explicit consent from the prospect, NOT just the referrer
3. Cash incentives that violate FTC endorsement rules -> "Refer a friend, get USD 100" requires disclosed material connection if referrer posts publicly

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Why do you need this skill?

Without proper referral design:

• US: Risk TCPA class action (USD 500-1,500 per message)
• EU: GDPR violation if you store referred-prospect data without their consent
• SEA: PDPA Singapore strict — most referral programs need both-side consent
• LATAM: Brazil LGPD treats referred contacts as data subjects requiring consent
• Universal: incentive math wrong -> losing money instead of growing
• Universal: no anti-fraud -> 30-50% of "referrals" are self-referrals or bots

Plan the legal foundation correctly, get the incentive math right, ship a working viral loop.

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Workflow

Step 0: Check global context file
    |-- exists -> read product / customer / region
    |-- missing -> suggest user run product-marketing-context-global first
Step 1: Pick region variant (US / EU / SEA / LATAM)
Step 2: Confirm prerequisites (NPS, AOV, LTV, customer base)
Step 3: Choose model (1-way / 2-way / multi-tier affiliate)
Step 4: Calculate incentive (15-25% of LTV)
Step 5: Set up tracking + anti-fraud
Step 6: Design referral flow (7 steps)
Step 7: Launch sequence (30-day plan)
Step 8: Measure K-factor / viral coefficient

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Step 0: Check global context

Check .agents/product-marketing-context-global.md:

• Yes -> Read product, customer, region. Do NOT re-ask.
• No -> Suggest running product-marketing-context-global first.

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Step 1: Pick region variant

Ask: "Which is your PRIMARY region: US, EU, SEA, or LATAM?"

Where do most of your customers (and their referrals) live?
    |-- US / Canada       --> 01-us.md    (TCPA SMS rules; CAN-SPAM email; CCPA data)
    |-- EU / EEA / UK     --> 02-eu.md    (GDPR consent for ALL channels)
    |-- Southeast Asia    --> 03-sea.md   (PDPA per country; mostly opt-in)
    |-- Latin America     --> 04-latam.md (LGPD Brazil; LFPDPPP Mexico)
    |-- Vietnam only      --> Use `18-referral-program` (VN skill)

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Step 2: Prerequisites — does referral make sense?

When referral works

• NPS >= 40 (customers actively like you)
• Customer has natural reason to share (visible result, social currency, peer-relevant)
• AOV high enough to fund meaningful incentive (USD 50+ ideal)
• LTV high enough to justify CAC investment
• Existing base of 100+ happy customers to seed

When referral does NOT work (skip this skill)

• NPS Trigger when NPS >= 7 OR after 2nd purchase OR completion of service

Step 2: Customer sees referral CTA |--> Email after delivery, dashboard widget, post-purchase page, account menu

Step 3: Customer gets unique code/link |--> Personalized: "JANE25" or unique link with UTM tracking

Step 4: Customer shares (multiple channels) |--> Built-in share: WhatsApp, Email, SMS, Copy link, Twitter/X |--> Pre-filled message in customer's voice

Step 5: Friend clicks / enters code |--> Landing page tailored to referral (not generic homepage) |--> Reward visible upfront ("Get USD 20 off")

Step 6: Friend converts (purchase) |--> Tracking pixel fires; both parties receive notification |--> Reward delivered automatically (or held for 30 days)

Step 7: Cycle continues |--> Friend now eligible to refer; nudge after first delivery |--> Top referrers get bonus tiers ("3 referrals = VIP")

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## Step 7: 30-day launch sequence

### Week 1: Setup

- Choose model (1-way / 2-way / multi-tier)
- Finalize incentive math (LTV calculation, reward structure)
- Pick tool (ReferralCandy / Rewardful / build)
- Create landing page for referee
- Set up email/SMS automation flows
- Set up tracking + attribution
- Legal review (per region variant)

### Week 2: Soft launch (seed)

- Email top 50-100 happiest customers (NPS 9-10)
- Track first referrals; fix bugs
- Iterate on copy / friction points
- Verify reward delivery automation

### Week 3: Public launch

- Email full customer base
- Add referral CTA to:
  - Order confirmation page
  - Post-delivery email
  - Account dashboard
  - Receipt PDF / packaging insert (offline)
- Social posts on owned channels
- Optional: paid promotion to existing customers ("Tell friends, both save")

### Week 4: Optimize

- Identify top sharers (top 10%)
- Bonus push: "You're in top 10 — extra reward this month"
- A/B test:
  - Landing page (referral vs. cold)
  - Reward amount (USD 20 vs USD 30)
  - Channel emphasis (email vs. SMS vs. WhatsApp)

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## Step 8: KPIs and viral coefficient

### Key metrics

| Metric | Formula | Benchmark |
|--------|---------|-----------|
| Share rate | Referrers / total customers | 10% basic, 20% good, 30%+ excellent |
| Conversion rate | Successful redemptions / shares | 15% basic, 25% good, 40%+ excellent |
| Average referrals per sharer | Successful refs / sharers | 1.2 basic, 2+ good, 3+ excellent |
| K-factor (viral coefficient) | Share rate x Conversion rate x Avg refs | 0.3-0.5 typical, 1.0+ true viral |
| CAC via referral | Reward cost / referred customers | 30-50% of paid CAC |
| Referred customer LTV | Avg LTV of referred customers | Often 1.2x non-referred |

### K-factor interpretation

K = 0.3 -> 100 customers bring 30 new -> sub-viral, supplements other channels K = 0.7 -> 100 customers bring 70 new -> strong supplement K = 1.0 -> 100 customers bring 100 new -> equilibrium (each customer replaces one) K > 1.0 -> Viral loop! Exponential growth (rare but transformative)

Most healthy referral programs target K = 0.4-0.7. K > 1 is rare and usually requires unique product mechanics (Dropbox, WhatsApp, Calendly).

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## Output template

```markdown
# Referral Program - [Brand]
Region: [US/EU/SEA/LATAM]
Date: [YYYY-MM-DD]

## 1. Goal
[New customers / Lower CAC / Higher LTV / Multiple]

## 2. Prerequisites confirmed
- NPS: [X]
- AOV: [USD/EUR/etc.]
- LTV: [calculated]
- Customer base: [N]

## 3. Model
[1-way / 2-way / multi-tier]

## 4. Incentive structure
- Referrer gets: [reward + cost]
- Referee gets: [reward + cost]
- Total cost: [USD X, ~Y% of LTV]

## 5. Tracking tool
[ReferralCandy / Rewardful / etc.]

## 6. Anti-fraud measures
[List all 5-7 measures applied]

## 7. Referral flow (7 steps)
[Description per step]

## 8. Launch sequence (30 days)
[Week 1-4 plan]

## 9. KPIs
[Share rate, Conversion rate, K-factor target]

## 10. Legal compliance
[Per region variant — see specific variant file]

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Quality checklist

• [ ] Region variant chosen (US/EU/SEA/LATAM)
• [ ] NPS >= 40 confirmed (have happy customers)
• [ ] Total incentive cost <= 25% of LTV
• [ ] 2-way model unless strong reason for 1-way
• [ ] Tracking tool integrated and tested
• [ ] Anti-fraud measures live (5+)
• [ ] Reward delivery automated within 24h
• [ ] Legal compliance per region (TCPA / GDPR / PDPA / LGPD)
• [ ] Landing page for referees built
• [ ] K-factor target documented; measure at 30 / 60 / 90 days

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Related skills

• product-marketing-context-global — foundation
• 14-email-marketing-global — email-driven referral mechanics
• 27-personal-brand-monetize-global — affiliate / creator program (when available)
• references/global-legal-compliance — deep legal reference

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Global Skill 18 (Referral Program) | Over Powers Agency | v1.0.0

Source & license

This open-source skill is cataloged on AgentStack and links to its original source — we do not rehost the code.

• Author: minhnv0807
• Source: minhnv0807/ai-business-skills
• License: MIT
• Homepage: https://opa.business

Install and usage instructions live in the source repository linked above.