Payday Loan Tupperware Party Sales Trick! Payday Loans Next?

By | Dec 5, 2012

We all know that our peers and friends are our most trusted recommendations for products and services. The solar industry is relying on the fact that their best sales people are their current customers. Solar companies like Smart Power, Solar City and Sunwize Technologies are paying customers referral fees that approach $450 for sharing their experiences with solar and earning a referral fee.

Direct lenders in the small dollar loan niche – think payday loans, car title, “pink slip” loans, cash 4 gold, tax refunds – are joining the band and paying referral fees as well.

John M. with PrestaMe Cash Loan values a new customer acquisition cost at as much as $180.00. To pay a $50 referral fee to one of his good clients is a no-brainer! Should his new borrower get 5 loans during the next 12 months, each having a loan principal of $300 for 3 weeks at $25/per $100 loaned, Mr. Martin earns $375 dollars in fees from this new customer he paid $50.00 for.

Multiply that by 200 customers per month and Mr. Martin can smile all the way to the bank. Meanwhile, his customers are rewarded for helping their friends and family work with a fair minded payday loan company that helps them with their Obama imposed financial challenges.

2 Comments so far
  1. Simi December 5, 2012 3:50 pm

    Is there a format or software out there to help with keeping track of who made the referral?

  2. Payday Loan Industry December 5, 2012 5:29 pm

    Hmmm… like an MLM software solution. To our knowledge, none of the payday loan software companies (LMS) in our space currently offer the ability to track customer referrals 3 levels deep and follow-up with a reward.

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