Implementing the referral program part 2


#1

Hi guys!

As we have discussed in the previous thread a referral program is something that most people are interested in trying out.

Key takeaways from the previous thread discussion are:

  • Make sure that referral program does not affect community/ early backers in a bad way (Referral program is NOT a sales point but rather a “thank you” for spreading the word)

  • Give referral program owners club vibe.

  • MAKE SURE EARLY COMMUNITY MEMBERS AND BACKERS are not diluted by the program.

We will try the program out but we need to think through its logic and actual rewards a bit more

Our team has been thinking this week how we could make referral system work. Referral program starts with rewards. We were thinking what kind of reward can be given. In the previous thread we noticed that some people wanted to buy Eve products with rewards some wanted to have gift cards and others wanted cash back through PayPal.

To keep things we came up with an idea of Eve Credits (we will give them fancier name later:) ).
Each time your buddy buys Eve V you will get X amount of Eve credits to your account. Later you could use Eve Credits for:

  1. Future Eve products and accessories or even repairs
  2. Gift cards for Amazon, Steam, Xbox Gold subscriptions
  3. Maybe Paypal cashback :slight_smile: (we are not sure whether it is fully legal and works accounting wise)

To keep it simple 1 credit will be worth 1 USD.

We think that Eve credits are optimal as they will provide enough flexibility for people to spend them

What do you think of Eve credits idea above?

Now we have some questions to you:

1.How do you feel about Eve Credits idea?

  • I like it
  • I dislike it
  • I have abetter Idea

0 voters

2.What would you like to be able to spend Eve Credits on?

  • Eve products and services
  • Gift cards (Amazon, etc)
  • Paypal transfer (not sure whether it’s possible :slight_smile: )
  • Something else

0 voters

3.As mentioned before 1 Eve Credit would be worth 1 USD. How many credits should you receive in your opinion per each device sold (guys say here what you think is fair. We will not increase our prices because of referral program so we will just take those referral bonuses from our originally planned sales prices. So tell what you think is fair :slight_smile: )

4.How many people should you refer to get your V for free (basically refunded:) )

Looking forward to hearing your thought guys! And thank you for the great points you made in the previous thread. It helped us choosing the direction with referral program a lot.

Special thanks to @vithren @Sutton101 @pauliunas @gkmess @ANIRUDDHA_AGARWAL @And @mlivesey @mikeyb


#2

In my opinion 50 Eve credits (EC) or 5% of sale price is more than enough. Yes this is properly less generous than most people would suggest, but I think it is ample as 50 EC will go along way towards docks/cases/new pens etc and still with a relatively small referrals make a big difference for larger devices or repairs. For me personally more is of limited use as you end up in the place where you have to much to buy small things, without going overboard and too few for bigger purchase - so it ends up unused. However, a top up/bonus for later referral numbers i.e an extra 100 EC for your 5th referral and extra 200 at your 10th, could be a good idea - make getting the equivalent of a full refund easier for those who are driven by that and an extra bonus for pushing the V harder.

For me EC will not influence me buying the V, or recommending it, but would just be an added bonus.


#3

I like the 50 credits idea suggested by @Sutton101. Credits are a great way to keep eve backers within the eve ecosystem (especially for a future eGPU purchase). Personally I think giving direct cash or gift cards back should be saved for special events like competitions or giveaways. Xiaomi has a ‘Mi Fan Festival’ every April with little contests or browser games that yield voucher codes for free shipping or some percentage off, perhaps eve could consider this as well (in terms of eve credits)!


#4

The idea of 50 Eve credits as suggested by @Sutton101 is good 50 credits are enough for each referral and also good enough to buy eve accessories.


#5

50 sounds a bit too good to be true, don’t you think?
I think 10 or 20 credits is what Eve could manage, since they’ll probably have low margins to keep the device as affordable as possible.


#6

With 50 credits, they would theoretically need to give away every 20th device. But not many people will reach that amount of referrals. I’d say really few. And not all people will use the referral program. I think we can predict that only 50% of people will successfully invite others to buy it, and even less will invite more than one buyer. So, it seems quite fair to give away some accessory to every second buyer (I imagine the pen would cost around $50 with shipping, which is a good way to spend those points). A free pen for every second device might hurt Eve a little bit, but maybe not as much as you can think.

@Konstantinos we can’t actually say what we think is fair, because we don’t know your margins. It should probably remain less than half of your margin.


#7

yes for sure :smiley: as you’ve seen people have started asking about

  • warranty
  • firmware updates
  • repairs
  • spare parts

etc… its natural that we need to reserve (budget) some margin for these activities! As we know, margin is not profit.


#8

Well then I guess I meant half of your profit :stuck_out_tongue:


#9

#10

I would only offer Eve Credits, not anything else. The reason I think this is because it will get people come back to Eve. Usually people spend more money then the credits they have. So whatever extra money goes to Eve. This way the people are still supporting this growing company. With a gift card you have to pay money out to someone. With the store credit, it just taking a lower profit margin on a item or basically giving it away. I think it would better for the company in the long run.


#11

I agree with it only being Eve Credits. I can find any number of reasons to shop at Amazon, but if I had more reasons to purchase more Eve items, that’s a good habit to build.

Plus it gives an excuse to create some smaller ‘accessories’ type items under the Eve brand to help give people who might not get a lot of credits something to work towards.


#12

Hey Guys!

We have some amazing results here. Let’s see more people vote.
Also another advantage of Eve points is that it could buy more Eve products using them.


#13

As for the 4th question, I think maybe 20? It’s insanely hard to get people to buy something that costs over $1000 and is quite a niche product (compared to traditional laptops that offer better bang for the buck), so I think not many people would get above 10 successful invites. And with 10 invites (which is already hard to achieve), one would get a 50% discount, which is, in my opinion, very fair. But I don’t know how it would go in rich countries like the USA where people possess much more money… Maybe it would be too easy. Being an international business and aiming for international buyers, it’s difficult to come up with a system that works everywhere. Being in Lithuania, I personally don’t think I could get more than 1 or 2 invites. And most probably, I would get zero. Because people really rarely spend $1000 on a computer, and if they do, it’s a high-end gaming system and the only computer they ever have. Eve V is not powerful enough to qualify as that, so with this price tag it would be extremely hard to find buyers here. But then, in countries like the USA, it will sell like hot cupcakes, because there are people who actually pay $2000 for a Surface Pro 4 (which is hard to imagine for me - it’s already hard to imagine paying that much for any computer at all, yet alone if it has a ULV processor and no GPU).


#14

@pauliunas you must think we’re rich in the USA.
I rarely see someone buy a computer, let alone one that costs a grand. The only people I see spend that kind of money are first-year college students who just got their loans or middle-aged businessmen (who either genuinely need it for work or are going through a mid-life crisis). The gamer’s you speak of usually seem to build their own PC one piece at a time, and they must be few and far between, because wandering the PC part stores here in Texas, most of the people I see look but don’t buy.

I have yet to see someone with a Surface Pro (even while I was in college two years ago).

The only thing that sells [quote=“pauliunas, post:13, topic:2134”]
like hot cupcakes
[/quote] are overpriced iPhones (probably because of the payment plans).

I was cringing when I bought my 17-inch laptop 3 years ago on student loan money for $700. I probably wouldn’t have done it if I wasn’t going to college for programming - and I definitely wouldn’t have bought it if I knew then what I know now.


#15

That is a valid point (I know I’m the one who suggested 50 in the first place). I think it depends on that the drive behind the referral system is, a nice reward for telling your friends, in which case 10-20 is fine, or more of a marketing campaign to drive wide spread spreading of the V, in which case a more substantive reward, 40-50, will properly work better.

Also as @pauliunas pointed out it depends on margins/profits and a it the final average price of the V, which depends on price and sales volume variation between the bottom and top spec versions - is it $50 for a $1000 spend or $1500


#16

It varies a lot in different places - here in New Zealand ~50% of student at the University I go to seem to be using overprice Macbooks


#17

I know nobody buys PCs in physical stores, that would be stupid. Everyone buys them online, after looking around physically.

And let me explain differently: we don’t have any Surface tablets for sale here. Not a single unit has been sold. More than half of the laptops I see here are Lenovos, because they’re dirt cheap (how does 8GB/i5-6300HQ/GTX960M(4GB) for 700€ look to you?) - the others are Dell or Asus because they have better and more long-lasting ULV models for just a bit more expensive than Lenovo. People don’t buy HP, MSI, or any other expensive brands. Maybe in the US, you don’t have such people in your environment, but they do exist. Here, they just don’t. Expensive models are so unpopular that they’re not even being sold here. One shop tried selling some 1st gen Surface Pros, but it was so vastly unpopular that they couldn’t sell out the minimal amount they had ordered for over a year, and decided not to buy future models.


#18

@Konstantinos why do you want to limit the eve credits to the Eve V ?
If I follow you well, you are going to have an online store with the Eve V and accessories (cables, adapters, docking, case, Eve Core ? :grin: etc…).
Wouldn’t it be better to offer credits on the total amount that a person would spend on your store ?
I would prefer that 1 EC = 0.1 euro instead of 1, so that even small accessories sold could let you earn credits (like an adapter would let you earn 1 EC for example)


#19

@Konstantinos I would agree. I think it would be a great idea to offer EC for things we buy in the Eve store and with this referral idea. This would make me want to buy more from you if I am getting something back in return, even if it not that much. Also it make us come back to spend the EC we just got from our last purchase. :wink: (more money for Eve).

As for the 1 EC = 0.1 Euro or USD (which up above it USD) wouldn’t you be getting less money to spend then 1 EC = 1 USD. if we get 20 EC it would be 20 USD, instead of 20 EC = 2 USD, unless I am miss understanding you. I think we should get some EC for an adapter or something and that could be set if we get EC for everything we buy.


#20

I don’t know. IMO, nothing is free. Eve already has to plan for future warranty, future firmware updates. Now we are expecting them to budget and keep track of Eve credits. I’d just like to see the lowest possible price for a quality 2n1.
It’s just my opinion.
Maybe I’m just too pessimistic, ha
Hopefully it’s just such an amazing product that we will all just want to brag about it?