How To Write a Thank You for Referral Note

Referrals can be a valuable source of contacts or customers for a business, and they are the most cost-effective marketing tactic of all. Referral marketing statistics show that businesses can increase profit margins by 25% from referred customers. These customers spend approximately 200% more at businesses than other customers.

Therefore, you should express your appreciation for a referral because it strengthens your professional relationship with the referrer, which is critical since referrals are a significant source of additional profit. When you discover that a source has referred someone to your business, send a thank you letter to show gratitude to the person who sent the referral.

You want to write referral thank you letters that are professional, courteous, and sincere. Learn what elements to include in a referral thank you letter, including a step-by-step process for writing a referral note. Plus, review several examples you can customize to create a personalized thank you note.

What Elements Should You Include in a Referral Thank You Note?

Referral thank you letters should be concise yet complete. You want to sincerely thank the person for sending the referral. When you express your appreciation, identify the person or business that made the referral to create the connection. Be sure to include your name, title, and your company’s name as well as contact information such as a phone number, email address, or website.

Choose a tone ranging from somewhat casual to more formal, depending upon the existing relationship, and be consistent with the tone throughout the letter. A referral thank you letter only needs to be one or two paragraphs long. Be concise, specific, and respectful of your recipient’s time. You may also want to offer a discount on future purchases with your company, but this offering is optional and dependent upon the service or product your company provides.

Thoroughly proofread the note before sending it to catch and correct grammar and spelling errors.

Referral Gifts

Depending upon the extent of the referral, you may decide to send a small gift along with a thank you note. Or you may choose to grant a discount on a future purchase for the individual who sent the referral, which makes the person feel appreciated and encourages them to use your products or services again in the future. You can specify a gift such as a discount or store credit directly in the thank you note.

How To Write a Referral Thank You Note

Follow the steps below to create your thank you for referral message.

1. Start by professionally greeting the recipient — the person who sent the referral. Greet the individual by using the title of “Mr.,” “Mrs.,” or “Ms.,” and last name to convey respect.
2. Express your appreciation for the referral. Be genuine and sincere with your gratitude.
3. Be specific about the referral, naming them directly if confidentiality allows. Describe how the referral has helped your business.
4. You may want to offer a discount or a referral bonus if the individual who sent the referral is a customer or a potential customer of your business. This offering is optional but is especially valuable if the referral resulted in a significant benefit or profit for your company.
5. Conclude your message with another sentence or two that refers to further enhancing the business relationship.
6. Close your note with wording such as “Sincerely,” “Best Regards,” or “Warmly,” depending upon the level of formality you are using in the letter.
7. Include your name, title, and contact information at the end of the note.
8. Before sending the message, proofread it well. Read the text aloud, perform a grammar and spelling check, and consider having another person review the letter.

Thank You for the Referral Wording

Study the following three examples you can customize to create a referral thank you letter of your own.

Example One:

Dear (Recipient),

I want to take a moment to express my gratitude for your referral of (name of referral) to (your business name). Referrals are essential for our business, and we appreciate your support for our company.

We want to offer you a special discount at (your business name) for 10% off your next purchase to express our thanks. Again, thank you for your support of our business.

Sincerely,

(Name), (Title)

(Business Name)

(Business Phone Number)

Example Two:

Dear (Recipient),

I want to take this opportunity to thank you most sincerely for your recent referral of (name of referral) to (your business name). I appreciate your glowing recommendation. It was a wonderful compliment to hear how highly you regard our services.

We look forward to fulfilling your business needs in the future, and we strive to continue to exceed your expectations.

Gratefully yours,

(Name), (Title)

(Business Name)

(Business Phone Number)

Example Three:

Dear (Recipient),

I understand that you referred your client, [name of referral], to our company, [Business Name]. We look forward to serving both [him/her], and you, in the future.

I appreciate your trust and support in our business. (You can add a personal detail such as the example in the next sentence.) We are attending an industry event next week, and I look forward to the opportunity to return the courtesy.

Best Regards,

[Name], [Title]

(Business Name)

(Business Phone Number)

How To Send Thank You Referral Notes

Since referrals greatly influence purchasing decisions, you should send a thank you letter when your company receives a referral. This gesture will let the referrer know that you appreciate the referral. Expressing your gratitude increases the likelihood that individuals will refer your business again if they encounter other prospects for your products or services.

Handwritten thank you notes add a personal touch, and you can professionally create them in minutes. The next time you receive a referral to your business, you can place a thank you letter in the mail on the same day if you know how to write a thank you for referral note. A little preparation and thought can make your message more personal.