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Rewards: Setting Up Your Referral Program

Learn how to configure your customer referral program to drive word-of-mouth growth.

Daniel Andrade avatar
Written by Daniel Andrade
Updated this week

A referral program turns your customers into advocates by rewarding them for bringing in new customers. When a customer shares their unique link and a friend makes a purchase, both can be rewarded.

How It Works

1. Each customer gets a unique referral code and link 2. Customer shares their link via social media, email, or direct message 3. Friend clicks the link and browses your store 4. Friend adds products to cart (referral code is automatically attached) 5. Friend completes purchase 6. After a configurable delay, referrer receives store credit 7. Optionally, friend receives a discount on their first order

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Configuring Your Referral Program

Go to Rewards > Referrals to configure your program.

Referrer (Advocate) Rewards

Configure what the referring customer earns:

Reward Type

  • Fixed Amount: A specific dollar amount per successful referral (e.g., $10)

  • Percentage: A percentage of the friend's order value (e.g., 10%)

Expiration

  • Store Default: Uses your global reward settings

  • Custom Period: Set specific days until expiration

  • Never Expire: Credit never expires

Cap Limit how much a customer can earn from referrals:

  • Cap Amount: Maximum credit per period

  • Cap Period: Daily, Weekly, Monthly, Yearly, or Lifetime

Friend (Referee) Rewards

Optionally give the friend an incentive to complete their purchase:

Enable Friend Reward Toggle on to give friends a discount on their first order.

Discount Type

  • Fixed Amount: A dollar amount off (e.g., $5 off)

  • Percentage: A percentage discount (e.g., 10% off)

Note: Friend discounts require additional setup with Shopify discount codes or automatic discounts.

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Fraud Prevention

The referral system includes protections against fraud:

Processing Delay

Set a delay (in minutes) before referral rewards are issued. This gives you time to verify orders are legitimate before credits are issued.

Default: 60 minutes

Require New Customer

When enabled, only first-time customers count as valid referrals. Existing customers using a referral link won't trigger rewards.

Minimum Order Value

Set a minimum order amount that must be met for the referral to count. This prevents gaming with tiny orders.

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Program Status

  • Draft: Program is being configured. Referral tracking is disabled.

  • Active: Program is live. Customers can share and earn rewards.

  • Paused: Program is temporarily stopped. Existing referrals are honored.

  • Archived: Program is retired.

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How Customers Share

When you add the Referral Widget to your theme, customers can share their link via:

  • Copy Link: Copies the referral URL to clipboard

  • Native Share: Uses the device's share menu (mobile-friendly)

  • Facebook: Opens Facebook with a pre-filled share post

  • Twitter: Opens Twitter with a pre-filled tweet

  • Email: Opens email client with a pre-filled message

The referral link looks like: yourstore.com?ref=ABC123

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Tracking Referrals

The system tracks:

  • Clicks: How many times the referral link was clicked

  • Conversions: How many clicks resulted in purchases

  • Earnings: Total store credit earned from referrals

Customers see their stats in the Referral Widget. You can view aggregate stats in the Bonde admin.

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Referral Lifecycle

1. Click

When someone clicks a referral link, the code is stored in their browser for 30 days.

2. Cart

When they add items to cart, the referral code is automatically attached as a cart attribute.

3. Checkout

The referral code travels through checkout with the order.

4. Order Placed

After purchase, the system detects the referral code and creates a pending referral.

5. Processing Delay

The system waits for the configured delay period.

6. Validation

The system verifies:

  • Order meets minimum value (if configured)

  • Customer is new (if required)

  • Referrer hasn't exceeded caps

7. Reward Issued

Store credit is added to the referrer's account.

8. Notification

If enabled, the referrer receives an email notification.

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Example Configuration

Generous Referral Program

  • Referrer Reward: $15 fixed amount

  • Expiration: 90 days

  • Cap: $150 per month

  • Friend Reward: 15% off first order

  • Delay: 60 minutes

  • Require New Customer: Yes

  • Minimum Order: $25

Conservative Referral Program

  • Referrer Reward: 5% of order value

  • Expiration: 30 days

  • Cap: $50 per month

  • Friend Reward: Disabled

  • Delay: 1440 minutes (24 hours)

  • Require New Customer: Yes

  • Minimum Order: $50

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Installing the Widget

To let customers access their referral link, add the Referral Widget to your theme. See Installing Rewards & Referral Widgets for instructions.

If you need help, reach out via our Intercom chat widget or email us at [email protected].

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