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Use Case

Double-sided referral program

Build a referral program where both the advocate and the invited customer are rewarded after the referral leads to a qualifying first purchase.
Table of contents

Create a referral program that rewards both the referrer and the invited customer. In this recipe, both sides get 10% off the next order above $30, while the invited customer also gets free shipping and the reward is limited to new customers only.

Why use it?

This setup helps you drive both acquisition and conversion. Because the invited customer gets an immediate incentive to place a first order, the program is stronger at turning referrals into actual purchases than a single-sided model that rewards only the advocate.

How it works?

The referrer shares a referral offer with a friend, and both parties become eligible for a reward. In Voucherify’s example, the referrer gets their discount only after the invited customer completes their first paid order using the referral voucher, which makes successful referrals easier to track and attribute.

Best practices

Keep the success condition tied to a meaningful conversion event, such as a first order, minimum order value, or a subscription that stays active for a defined period. To control costs, you can split the total reward budget across both sides instead of doubling it, cap how many referrals each advocate can generate, and use unique discount vouchers for invited customers to make successful referrals easier to measure.

Are you optimizing your incentives or just running them?