Member-get-member
Member-get-member (MGM) is an acquisition technique in which an organisation rewards its customers or members for bringing in new members
What it means, how it is used and where it comes up, with its related concepts.
What it is and how it works
The referrer usually receives a discount, gift, credit or points, and the new customer often gets a benefit too. It is common in banking, telecoms, gyms, clubs and subscription services, and is managed through personal codes or links so that each sign-up can be attributed.
It is a specific form of referral marketing. Some specialists distinguish it from refer-a-friend schemes on the grounds that in MGM the referrer is already a customer or member, whereas in refer-a-friend they need not be; in practice the two names are often used interchangeably. Clear terms and fraud controls, for example against self-referrals with fake accounts, are advisable.
Also known as
MGM, Refer-a-friend, Referral programme
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