Customer Referral & Word-of-Mouth Rate (RR)
Percentage of new customers acquired through customer referrals and recommendations
FORMULA
RR = (New Customers from Referrals / Total New Customers) × 100
What is Customer Referral & Word-of-Mouth Rate?
Organic growth and satisfaction metric. Customers willing to refer are highly satisfied and engaged. Typical benchmark 20-40% of new business. Lower cost of acquisition than paid channels.
Chart
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Required Data Columns
referred_customerstotal_new_customerspercentage