Don’t Be Confused About 3 Degree Customer Acquisition Strategy

There are many ways to market a business some more unique than others. Some methods are less popular than others. Don’t be confused about any of them get the facts.

Recently this strategy was mentioned at a recent marketing event Ad Tech in NYC. It is called 3 Degrees of Separation Customer Acquisition Strategy and essentially it is a referral network strategy that allows regular ordinary people to earn something like money, points or whatever will be offered as a benefit to a consumer by a company who might be willing to adopt this strategy to build their business.

It seems there has been some confusion with this strategy so I want to clear some things up first.
Let’s talk about two other so-called strategies that have a negative connotation. As a consumer you need to be educated if this is of interest to you so you can identify the differences.

Mutli-Level Marketing (MLM)
These type of plan are designed specifically to entice sales folks to bring in as many customers as they can in order to generate revenue for themselves. These sales folks are primarily paid on the basis of a commission. Hence their primary goal is to bring in as many customers as they can and under their “wing”. However, since the company does not attach a particular product or service to the entire package means that it can be unethical and disliked by many and watched closely by the FTC and are quite often scams.

Pyramid Schemes
This type of “plan,” if you will, is one in which new members are recruited with a business plan that looks to have a lucrative payoff. The idea is the bring in subsequent tiers of recruits have to “pay” their way in and a percentage of that payment will be passed to preceding members. It’s a pattern that only benefits those at the top of this “pyramid” and the stream is endless, in addition there is often NO sale or any tangible objects for sale.

These are 2 very distinct strategies that are often referred to as “get rich quick” schemes. Now let’s compare:

3 Degrees of Separation Customer Acquisition Strategy
This strategy allows businesses to acquire customers through incentives made available to friends and family and distributed through social networks. These strategies strongly advocates customer loyalty, and trust with consumers and ensures that the means of acquiring new customers is primarily to offer a value or benefit to that customer. Companies wishing to adopt this strategy would offer models that include gift cards, points cards, club cards, cash rewards, shopping credits, gift certificates, prizes and more.

As you can see the 3 are very different so don’t be confused make sure you get the facts.

Learn more about how the 3 degrees of separation customer acquisition strategy can benefit your company.

Learn about 3 Degrees of Separation here.