What is Viral Loop Marketing?

What is Viral Loop Marketing?
Nov 16

What is Viral Loop Marketing?




A viral loop is a self-fueling marketing tactic that incentivizes an existing customer to create more customers for your business.


Quick Facts:

  • Viral Loops Create Exponential Growth
  • Viral Loops Are Based on TRUST (Word of Mouth Referrals)
  • Viral Loops are Inexpensive
  • Viral Loops Can Be Implemented Into Any Business

What We’ll Cover:

  • How DropBox grew from 100,000 customers to 4,000,000 in 15 months
    • Why Did their Growth Loop Work?
  • Characteristics of a Successful Viral Loop
  • Other Examples of Viral Loops
  • How to Get More Out of Viral Marketing
  • Who Can Benefit from Using Viral Loops to Grow their Business

[/vc_column_text][wgl_spacing spacer_size=”15″][/vc_column][/vc_row][vc_row][vc_column][wgl_spacing spacer_size=”31″][vc_column_text]

How DropBox Grew from 100,000 Customers to 4,000,000 in 15 Months

Everyone’s heard of DropBox, an online storage giant, but did anyone notice how fast the company scaled? How could DropBox scale from 100,000 users to over 4,000,000 in 15 months?

Well…by creating & using Viral Loops!

Here is what DropBox’s Viral Loop Looks Like[/vc_column_text][vc_row_inner css=”.vc_custom_1546797103829{padding-top: 0px !important;}”][vc_column_inner][vc_column_text]Step 1: Landing Page for Sign Ups[/vc_column_text][vc_single_image image=”3694″ img_size=”full” style=”vc_box_shadow”][/vc_column_inner][/vc_row_inner][wgl_spacing spacer_size=”21″][vc_column_text]Step 2: Redirection to a Thank You Page with an Incentive[/vc_column_text][vc_single_image image=”3680″ img_size=”full” style=”vc_box_shadow_border”][vc_column_text]Step 3: User Shares & Brings New Customers to Repeat the Process!


That’s it! This is basically how a viral loop works. It’s a self-fueling customer acquisition tool that helps businesses get more customers at scale.


After DropBox perfected the art of the Growth Loop, other startups noticed.

Who remembers how they were referred to Uber? Or the mobile stock trading app RobinHood?

I recall getting a link sent to me by a friend that gave me a Free Ride. After I signed up for Uber, I was also incentivized to share App invite link with my friends and audience. Same with Robinhood, which we’ll cover here in a bit.[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][/vc_column][/vc_row][vc_row][vc_column][wgl_spacing spacer_size=”41″][vc_column_text]

Why the DropBox Growth Loop Worked

[/vc_column_text][wgl_spacing spacer_size=”21px”][vc_column_text]After each signup, DropBox redirected a new user to a landing page where the user was incentivized to share an invitation link with their friends and colleagues in order to get free additional cloud storage space.

So what do we have here?


Every Successful Viral Marketing Campaign Has These 3 Characteristics:


  1. Landing Page
  2. Thank-You Page with an Upsell
  3. An Incentivized Customer Inviting another Customer

So we have a Landing Page to sign up new users, a Thank You Page with an incentivized upsell to invite users,  and finally, a new potential customer flocking back to the Landing Page and repeating the process!


Implementation of Viral Marketing is a Characteristic of Some of the Fastest Growing Global Brands [/vc_column_text][wgl_spacing spacer_size=”16px”][/vc_column][/vc_row][vc_row][vc_column][wgl_spacing spacer_size=”41″][vc_column_text]

Other Companies Taking Notice

[/vc_column_text][wgl_spacing spacer_size=”21px”][vc_column_text]Another startup that used viral loop marketing successfully is RobinHood. Robinhood is a democratized mobile trading App that executes trades for free, without commissions or brokerage fees!

Robinhood used this tactic to get more users on their mobile app.

Later when they scaled and wanted to offer a new feature and get people signed up for the Desktop version, they used it again by offering people to get placed on the waiting list. Each time someone signed up for the Desktop version waiting list from your shared link, your position on the waiting list would move up several spots! The incentive here was that you’d be able to get access to the Desktop version before others.

By the way, if you’re want to sign up for the trading platform and both of us receive a FREE stock and have a 1-150 chance of getting a stock like Apple, Berkshire Hathaway, or Microsoft you can use my link provided below. Of course, you’ll get a free stock regardless but it may not be Apple or Microsoft.

USE MY LINK TO SIGN UP FOR ROBINHOOD & BOTH OF US WILL GET A STOCK FOR FREE[/vc_column_text][vc_single_image image=”3688″ img_size=”full” style=”vc_box_shadow_border” onclick=”custom_link” link=”http://share.robinhood.com/johnh1273″%5D%5Bwgl_spacing spacer_size=”16px”][vc_column_text css=”.vc_custom_1546795012602{padding-left: 20px !important;}”]I remember getting an App installation link and being rewarded with a free stock! Of course, the friend who recommended the platform ALSO received a FREE stock. The neat thing that RobinHood did is they gamified the experience, made it fun! They incentivized new users to share the Sign-Up link by advertising that you’ll have a 1 in 150 chance of getting a stock like Facebook, Apple or Amazon!

Full disclosure, I received about 20 free stocks from Robinhood (so did my friends) but most of them were valued under $15. However, I noticed that I wanted to share the link with almost everyone I came in contact with because who doesn’t want free stocks and take advantage of possibly receiving a stock like Facebook or Amazon for free?

  • 92% of Consumers trust recommendations from friends above any other form of marketing (Nielsen, 2013)
  • 77% are more likely to buy when they hear it from a friend or colleague (Nielsen, 2013)
  • 16% is the average higher lifetime value when referred by a friend (Wharton School of Business, 2010)

[/vc_column_text][vc_single_image image=”3681″ img_size=”full” style=”vc_box_shadow_border”][/vc_column][/vc_row][vc_row][vc_column][wgl_spacing spacer_size=”41″][vc_column_text]

How to Get EVEN MORE Out of Viral Marketing

[/vc_column_text][wgl_spacing spacer_size=”21px”][vc_column_text css=”.vc_custom_1546801352098{padding-left: 20px !important;}”]

  • A/B Split Test Your Landing Pages & Your Thank You Pages
  • Send Out Automated Follow-Up Emails with Referral Links
  • Create More Creative Campaigns, like Contents & Giveaways

Keep in mind that not all Landing Pages are created equal! Test your landing pages and “thank you” pages to create even more value out of your marketing campaigns.

If you have certain milestones you want your users to meet, like having 5 friends sign up, you should be sending an automated email each time someone signs up from the link that was shared.

This will make the person want to continue sharing the link so they can get closer to the goal! The idea is to keep them engaged and sharing your content until they reach enough “points” or whatever the metric you want to assign before getting their reward.[/vc_column_text][wgl_spacing spacer_size=”40px”][vc_column_text]

Who Can Benefit from Using Viral Loops to Grow their Business?

Any Business Can Use Viral Loops to Fuel their Growth

We encourage you to get creative! Identify where these loops can be implemented in your sales funnel, implement your new strategy, then sit back and watch your business grow!

Here are some of the recommended pages where you could implement your viral loops:

  1. Order Confirmation Page
  2. Booking Confirmation Page
  3. Thank You Page

Ohhhh the places you’ll go!

If you need expert advice on how and where to implement viral loops, shoot us a quick message or give us a call. We’d love to help you scale!

To Get Started with Viral Marketing You can RESERVE YOUR FREE 15 MiN CONSULTATION

[/vc_column_text][/vc_column][/vc_row][vc_row][vc_column][vc_btn title=”GET A CONSULTATION” style=”custom” custom_background=”#ff9000″ custom_text=”#ffffff” size=”lg” align=”center” link=”url:https%3A%2F%2Fcaptivenest.com%2Fcontact-us||target:%20_blank|” css=”.vc_custom_1546775074210{padding-top: 30px !important;}”][/vc_column][/vc_row]

Leave a Reply

Captive Nest Capture. Nurture. Convert.
Want More Business? Get in Touch Today!
Ready to Book More Moves?

Client Reviews

Sorted by Most Relevant

Reviews & Recommendations

PlotterPro.com 09/08/2019

Captive Nest took our online store from 0-100 real quick! They're amazing at creating strategies that work and have helped us with many issues outside of the scope of work. They're truly are an incredible team to work with.

Paramount Resources 01/19/2019

Captive Nest has developed everything for us! From our website all the way down to how we engage with our prospects and potential new hires. We also went from having a couple of hundred monthly visitors to well over 1000 weekly visitors!!!

ATX Pro Builders 07/14/2019

Captive Nest helped our construction company land some of the largest construction projects to date. Highly recommend Captive Nest to any construction centric business looking to establish itself in their market.

Electric Power Engineers, Inc. 01/18/2019

Our website traffic has increased by several thousand % and people are staying a lot longer on our site engaging with our technical content. Moreover, we show up at the top for all but one of our service offerings. Recommend to anyone seeking quality web design in Austin or any city for that matter.

Simpler Moving 03/28/2019

Captive Nest has done a great job for our company. They create marketing that is unmatched in our industry and continue to provide excellent service. We highly recommend the Captive Nest team!

Executive Baskets 05/05/2019

The team at Captive Nest has done an outstanding job taking my store online from our traditional retail location. They are very efficient and prompt with their services. I would recommend them to anyone looking to take their business to the next level. Their work speaks for itself and you will notice the increase in revenue in no time!

Lonestar Asset Management 06/19/2019

Very creative team here. We hired them to develop an email nurture sequence then expanded our relationship to include Pay Per Click advertising. The most fascinating aspect is how they are able to define an ideal prospect, then bring them in from all corners of the internet.

Jon Ric Med Spa 07/04/2019

Having the right marketing team is critical to your business’ success. After going through eight different marketing companies and lots of wasted money, we finally found a company that delivers and effectively promotes our business. Captive Nest has gone above and beyond what any of the other companies did or claimed they could do. The proof was in the number of leads we began to receive after just two weeks of going live with Captive Nest. In fact, we had to add additional phone lines and staffing just to keep up with all the leads we received. Vlad, who is our marketing agent with Captive Nest, communicates with us nearly daily and is very responsive to our calls and requests. With many of the previous companies, we always felt we were talking to a voice mail. It would often be days before our agent would respond or with responses like “your metrics look good”. With Captive Nest, I feel like our account matters to the company. A huge bonus is that they won’t market to the company right down the street from you. They genuinely want to grow the business with the customers they have and not just pump out generic advertising dribble. After going with multiple Google Premier Partners that claimed less than 1% turnover rates, we finally found a marketing company that produces results.

Bossman Brands 04/28/2020

Working with Captive Nest has changed the course of how and how often we sell online. They’ve been a tried-and-true partner and consistently outperform some of our toughest benchmarks.

Dealermart 02/19/2020

Captive Nest has been a game-changer for us! Vlad and his team have allowed us to add a high level of sophistication into our marketing needs. Their ability to target customers is unlike anything else we have seen! I would HIGHLY recommend working with them!