Skip to main content

How to set up a Referral program

Learn how to configure the Referral program to reward existing customers and referred friends.

Written by Simon Akhrameev

Overview

The Referral program is a loyalty system that incentivizes existing customers to invite new shoppers to the store using a unique link. In this guide, you'll learn how to set up and customize your referral program in Growave to drive engagement and boost customer loyalty.

🚀 Feature availability

The Referral program is available starting from the Entry plan.


Key benefits / use cases

  • Encourage existing customers to bring in new buyers through incentivized sharing.

  • Reward both the referrer and their friend to build mutual loyalty.

  • Track referral traffic, sales, and channel performance.


How the Referral program works

Referring customer

The existing customer who shares the referral link is called the Referring customer.

The Referring customer earns their reward after the Referred friend completes their first purchase. The reward is processed once the referred friend's order reaches the status selected under the Reward management section in Growave admin → Rewards → Settings and passes all fraud validation filters.

⚠️ Important

The Referring customer is eligible for a reward when the Referred friend completes a purchase in your store (regardless of whether the friend used the discount obtained as a referral reward) and passes all validation rules:

  • First-time purchase on the store

  • No existing account prior to referral

  • Passed fraud filter

Referred friend

The new customer receiving the referral link is called the Referred friend.

  1. They must click the referral link, which opens your store’s website.

  2. A referral pop-up will appear where they need to click Join now and create an account — this step is essential for referral tracking.

Growave - Referral program 'Join now' pop-up

Tip

To customize the default text shown in the Referred friend sign-up popup modal, go to Branding → Languages, and search for this phrase:
"You are welcome to join our loyalty program! Sign up for exciting bonuses!"

Replace it with your own message to better match your brand’s tone and goals.
Need deeper customization of this popup? Contact us at [email protected] — we’re happy to help!

Account verification

  • For legacy customer accounts:
    After signing up, the referred friend must confirm their email address via the verification link sent to their inbox. The reward is activated once the email is confirmed.

  • For new customer accounts:
    The referred friend must enter a 6-digit verification code sent to their email address to complete registration.

⚠️ Important
After signing up through Shopify’s new customer accounts, the referred friend is redirected to the Profile page (this redirect is managed by Shopify).
If they close this page without navigating to any other store page, they will not be tracked as a referred friend.

Recommendation
To improve conversion and ensure newly referred customers engage with your loyalty program right after registration, install the Loyalty info extension.
It includes a View rewards button that redirects users to your store’s home page and triggers the Rewards pop-up, providing an extra touchpoint that encourages first purchases and use of referral rewards.

Once account verification is complete, the referral reward becomes available to the Referred friend:


How to set up referral rewards

To configure rewards for the Referral program:

  1. In Growave admin, go to RewardsReferrals.

  2. Click Edit next to either the Referred friend reward or the Referring customer reward to open the rewards setting.

Growave - Rewards - Referrals - Edit reward

Referred friend reward settings

Configure the reward the new customer receives when signing up.

Growave - Rewards - Referrals - Edit Referred friend reward
  • How it will work: This section summarizes the referral rewarding process, e.g.:

    • Referred friends follow the referral link and verify the account

    • Get 10% discount

    • Applies to all orders

  • Referral icon: Upload a custom referral reward icon display in the storefront widgets. File requirements: .jpg, .png under 10 MB.

The settings available below will change depending on the Reward type you select:

Reward type

Available configuration settings

Amount discount & Percentage discount

Discount value

Applies to (All products / Specific collections)

Allowed discount combinations (Order, Product, Shipping). Available in Growave 2.0. Read more about discount combinations here.

Set minimum purchase amount — minimum order total required to use this reward

Set reward lifetime (Includes expiration notification options). Make reward codes valid for only a set number of days.

Add prefix to discount codes — add a text string to the beginning of generated codes to easily identify Referral program rewards.

Free shipping

Set maximum free shipping rate — Disallow free shipping if the shipping rate exceeds this amount

Eligible countries (All countries / Selected countries)

Allowed discount combinations (Order, Product)

Set minimum purchase amount

Set reward lifetime (Includes expiration notification options)

Add prefix to discount codes

Gift card

Gift card value

Set reward lifetime (No expiration notifications available)

Free product

Select free product

Discount value (100% free or partial discount)

Allowed discount combinations (Order, Product, Shipping)

Set reward lifetime (Includes expiration notification options)

Add prefix to discount codes

No reward

No additional settings required

⚠️ Important

Gift cards created via Growave are processed and managed by Shopify, and their usage is subject to Shopify’s policies. If you choose gift cards as a reward, be aware of how they can be used. Learn more about gift card rules:

Referring customer reward settings

Configure the reward the existing customer receives when their referred friend makes a successful purchase.

Growave - Rewards - Referrals - Edit Referring customer reward
  • How it will work: This section summarizes the referral rewarding process, e.g.:

    • Referring customer shares the referral link

    • Referred friends make the first purchase

    • Get 10 % discount

    • Applies to all orders

  • Referral icon: Upload a custom referral reward icon display in the storefront widgets. File requirements: .jpg, .png under 10 MB.

The settings available below will change depending on the Reward type you select. The Referring customer has access to the same discount, gift card, and free product settings as the Referred friend, plus two additional points-based options:

Reward type

Available configuration settings

Points

Point value (Fixed number of points)

Set minimum order amount for referred friend

Flexible points

Earning value (Variable amount of points based on friend's spend)

Set minimum order amount for referred friend

Amount discount, Percentage discount, Gift card, Free shipping, and Free product

(Shares the exact same configuration settings as the Referred Friend table above)

Set minimum order amount for referred friend

⚠️ Important

Gift cards created via Growave are processed and managed by Shopify, and their usage is subject to Shopify’s policies. If you choose gift cards as a reward, be aware of how they can be used. Learn more about gift card rules:

Set minimum order amount for referred friend

Use this setting to define the minimum order total that a referred friend must reach for the referring customer to receive their reward.

  • The setting follows the same rewardable amount logic as other Rewards rules — it depends on whether rewardable options include or exclude discounts, gift cards, store credit, taxes, and shipping.

  • If the referred friend’s order total falls below the threshold, the referrer will not receive the reward.

  • In cases of full or partial refunds for referred friends’ orders, the referrer’s reward is automatically revoked (except for points).

  • This setting does not depend on the order statuses selected under Reward management.

  • This setting does not affect the referred friend’s own reward.


Set up referral channels

  • Navigate to the RewardsSettings → Custom domain for referral links to set up sharing preferences for your Referral program.

  • Click the down arrow and select the necessary sharing channels (Facebook, X, WhatsApp, Facebook Messenger, Pinterest, Email).

Growave - Rewards - Settings - Referral channels

📖 How to

For the Email channel, you can customize the title and body of the message that is automatically included when an existing customer shares their referral link using the email button. If you don’t provide a custom message, the following default text will be used in referral emails:

  • Email title: Your friend sent you a reward from {{shop_name}}

  • Email body: Join me in discovering the best of {{shop_name}}. Enjoy your {{reward_type}} by following this link: {{link}}.

⚠️ Important

Be sure to update the default email text if you choose not to reward referring customers or their referred friends. Also, remember to use the placeholders correctly. If you remove {{link}}, the Referral Program will not work as intended.


Set up custom domain for referral links

Navigate to the RewardsSettingsCustom domain for referral links to set up your custom domain for Referral links:

Growave - Rewards - Settings - Custom domain for referral links

🚀 Feature availability

Custom domain for referral links is available starting from the Growth plan.


Add emails for referral fraud notifications

  • In Growave admin, go to the RewardsSettingsFraud detection section.

  • Add email addresses to receive notifications about attempts to manipulate the Referral program. By default, the email associated with your Shopify store will be set. The notification email contains a standard message and a link to the Growave admin panel, allowing you to take prompt action.

⚠️ Important

Add active and valid email addresses that you check regularly. This ensures you receive fraud alerts promptly and can take necessary action on suspicious orders.

Growave - Rewards - Settings - Fraud detection

View and manage referral fraud reports

  • In Growave admin, go to the RewardsReferralsReports section.

  • Here you can review and manage reports of suspicious activities.

  • Growave will block the reward for the detected Referring customer. From the Reports section, click Select action to:

    • Approve reward: An email with the reward will be sent to the Referring customer.

    • Exclude from Referral program: Cancel the reward and disqualify the Referring customer from further participation.

    • Add to Referral program: Add customer back to the referral program based on investigation results.

Growave - Rewards - Referrals - Fraud reports

Enable referral notifications

  • In Growave admin, go to RewardsNotificationsReferrals

  • Activate the following email notifications using the toggle button:

    • Reward for Referred friend

    • Reward for Referring customer.

  • Click the notification title to edit premade email templates.

Growave - Rewards - Notifications - Referrals

Enable the Referral program

Once you have set up Referral rewards and Notifications, you are ready to enable the Referral program:

  1. Go to RewardsSettingsReferral program status.

  2. Click the "Enable" button.

Growave - Rewards - Settings - Referral program status

In the Rewards Settings section, you can manage reward issuance and cancellation depending on order status. These settings are applied to the entire Rewards app, including the Referral program.


Track and analyze the referral activity

You can track customer activity related to the Referral program under the Analytics and Customers menu sections:

Analytics section

In the Analytics section of the Growave admin panel, navigate to Rewards → Referral program to view:

  • Referred sales, referral traffic and conversion rate

  • Activity by sharing channels

Growave - Analytics - Rewards - Referrals

The Overview dashboard under the Channels activity section displays:

  • Referred customers

  • Referral status (Pending/Completed)

  • Orders summary

  • Referring customer reward

  • Date:

    • Pending: when the referred friend followed their link and signed up.

    • Completed: when the referred friend made a purchase and the referring customer received their reward.

Growave - Analytics - Rewards - Referrals - Overview

Customers section

In the Customers section of the admin panel, click the customer name to access their profile. Here you will find the following information:

  • Number of friends referred.

  • Unique referral link of the customer.

  • Referred friends' details under Activity → Referrals tab: email, referral status (Pending, Completed), referred friend's order total, and date.

Growave - Customers - Referrals

FAQ

How can I edit the text in my Referral program section?

You can customize the Referral program text shown on your Rewards page and in the Rewards pop-up widget through the Language editor in your Growave admin.

  1. Go to Growave admin → Branding → Languages.

  2. Use the search bar to find the default phrases (for example, “Copy the referral link”).

  3. Replace them with your own wording.

  4. Click Save when you’re done.

Here are the lines you’ll find in the Referral section of the Rewards pop-up widget:

  1. Copy the referral link

  2. Share it with your friends

  3. Earn rewards for each friend who joins and makes a purchase

You can adjust these to make the reward flow clearer. For example:

“Copy your referral link and share it with friends. You’ll receive your reward once they place their first order.”

Why were rewards not issued to the referring customer?

  • The referred friend’s order has not yet reached the status selected under Growave admin → Rewards → Settings → Reward management.

  • The order failed fraud validation.

  • The referred friend was not a first-time buyer.

Why were rewards not issued to the referred friend?

  • The referred friend did not complete registration via the referral pop-up after clicking the referral link — this step is required for referral tracking.

  • For new Shopify customer accounts: they closed the Profile page after creating their account without navigating to any other store page, which breaks referral tracking.


You have now completed setting up your Referral program. If you need further assistance or have any questions, please contact us at [email protected] or use the chat icon in the bottom-right corner of your Growave admin panel. We're here to help!

Did this answer your question?