Referrals and repeat business keep a software business afloat. If you sell any kind of software, you will always want to make sure that people are coming back to purchase from you again and again. You also want to make sure that they are bringing new customers with them by referring your product or service to their friends and family. This ensures you have the capital for continuous product improvement, which helps you stay competitive as your market gets saturated.

A great way for a company to generate repeat business is by providing quality customer service. Customers will be more likely to buy from your company again if they have a wonderful experience when asking for help.

Mistakes are an opportune moment not only because you can show that you can fix them, but because people remember when you went above and beyond to correct an error better than moments of error-free bliss [1]. MJ DeMarco calls this superior unexpected customer service because most companies wouldn't go this far to fix a problem.

Another way for you to increase the likelihood of repeat business is by having an easy-to-use and intuitive interface on your website or app. If customers find it difficult or frustrating to use, they will not want to come back and may even complain to others, which reduces the number of new customers you get. This is the opposite of what you want to happen when you're leveraging network effects.

You can also offer a variety of options to your customers, so they have more than one reason to come back. For example, you could offer a monthly subscription that provides access to all the services you provide or a loyalty program that offers discounts, freebies, or even cash rewards for returning customers.

Once you find out which incentives your customers respond to the best, you can offer higher amounts of those incentives in exchange for referrals.

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[1] Cialdini, Robert B. Influence, New and Expanded. Chapter 2.

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