Referral program ethics

Referral programs reward users for bringing friends, colleagues, or contacts to your product. They work when users naturally want to recommend your product and the incentive simply acknowledges their effort. Problems arise when incentives become so attractive that users promote products they don't actually believe in, or when programs encourage spam-like behavior. If your referral program leads users to blast everyone in their contact list or post repeatedly on social media just for rewards, you're incentivizing behavior that damages relationships and creates negative brand associations.

Ethical referral programs make it easy to share with specific people who would genuinely benefit. They're transparent about what both parties receive and don't create pressure to participate. Consider whether your incentives encourage thoughtful recommendations to relevant people, or just volume at any cost. The best referral programs grow your user base with people who are likely to find real value in your product, not just reward seekers.