Building referrals and rewards

Referrals and rewards are the heart of any successful waitlist. They create viral loops that drive organic growth while keeping users engaged. This guide will show you how to implement both systems using Letterby.

Understanding the referral system

Letterby automatically generates unique referral links for each contact. When someone signs up using a referral link, both the referrer and referee benefit:

Referrer: Gets points and moves up in the waitlist
Referee: May get bonus points for being referred
You: Get organic growth and higher conversion rates

How referrals work

Each contact gets a unique referralLink when they join
When someone clicks their referral link and signs up, the referrer’s referrals count increases
You can reward the referrer with points using the Actions API
The system tracks everything automatically

Setting up referral rewards

1. Track referral events

When a new user signs up through a referral link, Letterby automatically:

Increments the referrer’s referrals count
Tracks the connection between referrer and referee

You can then award points to the referrer for successful referrals:

// Award points to a referrer for successful referral
async function rewardReferral(referrerContactId, referredEmail) {
	try {
		// Award points to the referrer
		const response = await fetch('https://letterby.com/api/v4/actions', {
			method: 'POST',
			headers: {
				'Content-Type': 'application/json',
				apiKey: 'YOUR_API_KEY',
			},
			body: JSON.stringify({
				contactId: referrerContactId,
				name: `Referred ${referredEmail}`,
				increase: 50, // 50 points for successful referral
			}),
		})

		const result = await response.json()
		console.log('Referral reward added:', result)
	} catch (error) {
		console.error('Failed to reward referral:', error)
	}
}

2. Reward the referee

You can also give bonus points to new users who were referred:

// Give bonus points to someone who was referred
async function rewardReferee(newContactId, referrerName) {
	try {
		const response = await fetch('https://letterby.com/api/v4/actions', {
			method: 'POST',
			headers: {
				'Content-Type': 'application/json',
				apiKey: 'YOUR_API_KEY',
			},
			body: JSON.stringify({
				contactId: newContactId,
				name: `Referred by ${referrerName}`,
				increase: 10, // 10 bonus points for being referred
			}),
		})

		const result = await response.json()
		console.log('Referee bonus added:', result)
	} catch (error) {
		console.error('Failed to reward referee:', error)
	}
}

Building a comprehensive reward system

Common reward scenarios

Here are effective reward strategies that drive engagement:

// Reward users for sharing on social media
const socialRewards = {
	twitter: { points: 15, name: 'Shared on Twitter' },
	linkedin: { points: 15, name: 'Shared on LinkedIn' },
	facebook: { points: 10, name: 'Shared on Facebook' },
	instagram: { points: 20, name: 'Shared on Instagram Story' },
}

async function rewardSocialShare(contactId, platform) {
	const reward = socialRewards[platform]
	if (!reward) return

	await fetch('https://letterby.com/api/v4/actions', {
		method: 'POST',
		headers: {
			'Content-Type': 'application/json',
			apiKey: 'YOUR_API_KEY',
		},
		body: JSON.stringify({
			contactId,
			name: reward.name,
			increase: reward.points,
		}),
	})
}

Engagement rewards

// Reward daily engagement
async function rewardDailyCheckin(contactId) {
	await fetch('https://letterby.com/api/v4/actions', {
		method: 'POST',
		headers: {
			'Content-Type': 'application/json',
			apiKey: 'YOUR_API_KEY',
		},
		body: JSON.stringify({
			contactId,
			name: 'Daily check-in',
			increase: 2, // Small daily reward
		}),
	})
}

Milestone rewards

Create special rewards for reaching certain milestones:

async function checkAndRewardMilestones(contactId) {
	// Get contact details to check current stats
	const contact = await fetch(
		`https://letterby.com/api/v4/contacts/${contactId}`,
		{
			headers: { apiKey: 'YOUR_API_KEY' },
		},
	).then(res => res.json())

	const { referrals, points } = contact.data.contact

	// Referral milestones
	const referralMilestones = [
		{ count: 5, reward: 100, name: 'First 5 referrals bonus' },
		{ count: 10, reward: 250, name: 'First 10 referrals bonus' },
		{ count: 25, reward: 500, name: 'Super referrer bonus' },
	]

	// Point milestones
	const pointMilestones = [
		{ count: 100, reward: 50, name: 'First 100 points milestone' },
		{ count: 500, reward: 100, name: 'Power user milestone' },
		{ count: 1000, reward: 200, name: 'Elite member milestone' },
	]

	// Check and award milestone rewards
	// (You'd need to track which milestones were already awarded)
}

Advanced referral strategies

Tiered referral rewards

Create increasing rewards for multiple referrals:

const referralTiers = [
	{ min: 1, max: 2, points: 25, name: 'Referral reward' },
	{ min: 3, max: 4, points: 35, name: 'Active referrer bonus' },
	{ min: 5, max: 9, points: 50, name: 'Super referrer bonus' },
	{ min: 10, max: Infinity, points: 75, name: 'Elite referrer bonus' },
]

async function getRewardForReferralCount(referralCount) {
	const tier = referralTiers.find(
		t => referralCount >= t.min && referralCount <= t.max,
	)
	return tier || referralTiers[0]
}

Limited-time bonus campaigns

Create urgency with temporary bonus rewards:

async function applyBonusCampaign(contactId, actionName, basePoints) {
	const now = new Date()
	const isWeekend = now.getDay() === 0 || now.getDay() === 6
	const isHappyHour = now.getHours() >= 18 && now.getHours() <= 20

	let multiplier = 1
	let bonusName = actionName

	if (isWeekend) {
		multiplier = 1.5
		bonusName += ' (Weekend Bonus)'
	}

	if (isHappyHour) {
		multiplier *= 1.2
		bonusName += ' (Happy Hour)'
	}

	const finalPoints = Math.floor(basePoints * multiplier)

	await fetch('https://letterby.com/api/v4/actions', {
		method: 'POST',
		headers: {
			'Content-Type': 'application/json',
			apiKey: 'YOUR_API_KEY',
		},
		body: JSON.stringify({
			contactId,
			name: bonusName,
			increase: finalPoints,
		}),
	})
}

Retrieving referral data

Get a contact’s referral information

You can retrieve referral stats for any contact:

async function getReferralStats(contactId) {
	try {
		const response = await fetch(
			`https://letterby.com/api/v4/contacts/${contactId}`,
			{
				headers: {
					apiKey: 'YOUR_API_KEY',
				},
			},
		)

		const result = await response.json()
		const contact = result.data.contact

		return {
			referralLink: contact.referralLink,
			referralCount: contact.referrals,
			totalPoints: contact.points,
			position: contact.position,
		}
	} catch (error) {
		console.error('Failed to get referral stats:', error)
	}
}

Track action history

See all rewards a contact has earned:

async function getContactActions(contactId) {
	try {
		const response = await fetch(
			`https://letterby.com/api/v4/actions?contactId=${contactId}`,
			{
				headers: {
					apiKey: 'YOUR_API_KEY',
				},
			},
		)

		const result = await response.json()
		return result.data.actions
	} catch (error) {
		console.error('Failed to get actions:', error)
	}
}

Best practices for referrals and rewards

Design effective reward structures

Make referrals valuable: Offer meaningful rewards (25-100 points) for successful referrals
Reward both parties: Give bonuses to both referrer and referee
Create urgency: Use limited-time bonuses and campaigns
Gamify progression: Create milestones and achievement levels

Technical implementation tips

Validate actions: Ensure users can’t game the system
Rate limiting: Prevent abuse with reasonable limits
Clear communication: Always tell users what they earned and why
Analytics: Track which rewards drive the most engagement

Common reward values

Based on successful Waitlist campaigns:

Referral completion: 25-100 points
Social media shares: 10-25 points
Profile completion: 5-50 points (based on complexity)
Daily check-ins: 1-5 points
Newsletter signup: 15-30 points
Milestone bonuses: 50-500 points

Measuring success

Track these key metrics to optimize your referral and reward system:

Referral conversion rate: Percentage of referral link clicks that convert
Average referrals per user: How viral is your waitlist?
Point distribution: Which rewards are most popular?
Engagement over time: Are rewards keeping users active?

Want to see this in action? Check out our complete integration example for a full implementation that includes referrals and rewards.

Troubleshooting

Common issues

Referral links not working

Ensure contacts are verified before their referral links become active
Check that the referring contact exists and is valid

Points not being awarded

Verify the contact ID is correct
Ensure the action name is descriptive and unique
Check that your API key has the proper permissions

Duplicate rewards

Implement checks to prevent duplicate rewards for the same action
Use unique action names that include timestamps or unique identifiers

Remember: A well-designed referral and reward system can increase your waitlist signups by 3-5x while keeping users highly engaged throughout their journey!

​Building referrals and rewards

​Understanding the referral system

​How referrals work

​Setting up referral rewards

​1. Track referral events

​2. Reward the referee

​Building a comprehensive reward system

​Common reward scenarios

​Social sharing rewards

​Engagement rewards

​Milestone rewards

​Advanced referral strategies

​Tiered referral rewards

​Limited-time bonus campaigns

​Retrieving referral data

​Get a contact’s referral information

​Track action history

​Best practices for referrals and rewards

​Design effective reward structures

​Technical implementation tips

​Common reward values

​Measuring success

​Troubleshooting

​Common issues

Building referrals and rewards

Understanding the referral system

How referrals work

Setting up referral rewards

1. Track referral events

2. Reward the referee

Building a comprehensive reward system

Common reward scenarios

Social sharing rewards

Engagement rewards

Milestone rewards

Advanced referral strategies

Tiered referral rewards

Limited-time bonus campaigns

Retrieving referral data

Get a contact’s referral information

Track action history

Best practices for referrals and rewards

Design effective reward structures

Technical implementation tips

Common reward values

Measuring success

Troubleshooting

Common issues