FAQ

TellaFriend is a referral program platform that helps merchants to take advantage of the word-of-mouth marketing and attract more clients by offering to their clients rewards if they refer their friends to your store. Helping merchant to grow their numbers with a cost-effective marketing solution.

It’s a systematic way for getting people to make referrals to your business. Referral program rewards your customers by using the word-of-mouth marketing and referring friends to purchase from your brand and become brand advocates themselves, while increasing your sales.

TellaFriend referral program is designed for non-tech people. The idea is that in less than 3 minutes you will be able to set your referral program by yourself. You do not need to worry about all the technical aspects. We will handle the complicated parts, saving you time to run your business.

TellaFriend will give you a 30 days free trial where you won’t be charged for plan fee but you will be charged for the Advocate rewards and commissions plus the transaction fees.

During the free trial you will have access to all the features of the TellaFriend platform. This includes the option to set the advocates reward which are paid through PayPal and we need to debt from your credit card the amount of the advocate reward and sales commission charges. Finally, If you cancel anytime within the free trial period of 30 days. You will not be charged for the plan fee, but you will pay for the sales commission and rewards issued during that time when the account was active.

Shopify Users
TellaFriend monthly fee and commissions will be paid through Shopify. Shopify will charge directly to the credit card you set up with them.

Non-Shopify Users
TellaFriend monthly fee and commissions will be paid using the credit card you stored in TellaFriend.

You can choose to pay the rewards of the advocates using an IN-STORE Credit or Cash using PayPal. We strongly recommend rewarding them using PayPal since Cash on hands will incentivize more advocates to recommend your products, even if they are not your customers.

IN-STORE credit : If you are compensating the advocate with IN-STORE Credit, you just have to setup the value in the TellaFriend settings. TellaFriend will create the coupon in your store so the advocate can claim the reward. Please see “Transaction fees?”

Cash using PayPal : In this case, you will have to set up a credit card in TellaFriend. TellaFriend will deduct the advocate reward plus the transaction fees from the credit card and pay the advocate using PayPal. Please see “Commissions” and “Transaction fees”

Yes, you can go to your portal and change the values

We are establishing new payment methods to decrease transaction fees. If you have an idea, please let us know.

Once they qualify for the reward when each friend(s) purchase is completed, we collect via credit the advocate prize plus the transaction fee and send the money via PayPal to the advocate, immediately.

Advocates will be charged a transaction fee for sending the money through PayPal. PayPal charges 2% for transactions outside the USA and U$ 0.25 for domestic transactions.
Example: Advocate Reward is $10 and the advocate in the US, the transaction fee is 0.25 +, the advocate will receive $9.75.
Example: Advocate Reward is $10 and the advocate is outside the US, the transaction fee is 2%, the advocate will receive $9.80.

Sales Per Month

First $1k
next $10k
next $100k
Everything Above

Commission Rate

5%
3%
1%
0.25%

TellaFriend will charge you based on the purchases of your advocate’s friends. The percentage of the commission will decrease based on the monthly revenue generated on those purchases.

TellaFriend will charge 5% for the first $1,000 in purchases generated form the advocates friends. It will charge 3% for the next $10,000, 1% for the next $100,000, and 0.25% then on.

Example 1: If your advocates’ friends purchase from you store a total of $900 a month, TellaFriend will charge a 5% commission, that is $45, which is 5% of the TellaFriend sales total.

Example 2: If your advocates’ friends purchase from you store a total of $1900 a month, TellaFriend will charge a 5% commission for the first $1,000 + 3% of the next $900. That is $50 + $30 = $80, which is 4.2% of the TellaFriend sales total.

Example 3: If your advocates’ friends purchase from you store a total of $25,000 a month, TellaFriend will charge a 5% commission for the first $1,000 + 3% of the next $10,000 + 1% of the next $14,000. That is $50 + $300 + $140 = $490 which is 1.96% of the TellaFriend sales total.

Example 4: If your advocates’ friends purchase from you store a total of $200,000 a month, TellaFriend will charge a 5% commission for the first $1,000 + 3% of the next $10,000 + 1% of the next $100,000 + 0.25% of the next $89,000. That is $50 + $300 + $1,000 + $222.50 = $1,572.50 which is 0.78% of the TellaFriend sales total.

As you can see the commission percentage on TellaFriends’ total sales decreases drastically with volume.

If you are paying the advocate with Paypal every time a friend makes a purchase, TellaFriend needs to collect the advocate’s prize and the commission from the merchant via Credit Card. The credit card companies charge 2.99% + $0.30 cents per transaction which we pass on to you. We do not make money on this and we are working hard to reduce these fees. You are able to see all those details in the billing transaction history of your account.

Shopify Users
Example 1: Your advocates generate a sale for $100 in the commission bracket between $0 - $1000, and the prize for the advocate is 10% of the purchase. These will be the transaction fees:
• Since the purchase is in the $0 - $1000 bracket, TellaFriend will charge 5% commission which is $5. This amount will be paid through Shopify
• Since the advocate receives 10% of the purchase, the advocate will receive $10
• The fess will be 2.99% X $10 + $0.3 = $0.59
• The total charges to your credit card will be $10.59
• The charges paid through Shopify will be $5
Total= $15.59

Example 2: Your advocates generate a sale for $100 in the commission bracket between $1001 - $10000, and the prize for the advocate is 10% of the purchase. These will be the transaction fees:
• Since the purchase is in the $1001 - $10000 bracket, TellaFriend will charge 3% commission which is $3. This amount will be paid through Shopify
• Since the advocate receives 10% of the purchase, the advocate will receive $10
• The fess will be 2.99% X $10 + $0.3 = $0.59
• The total charges to your credit card will be $10.59
The charges paid through Shopify will be $3
Total = $13.59

Non Shopify Users
Example 1: Your advocates generate a sale for $100 in the commission bracket between $0 - $1000, and the prize for the advocate is 10% of the purchase. These will be the transaction fees:
• Since the purchase is in the $0 - $1000 bracket, TellaFriend will charge 5% commission which is $5
• Since the advocate receives 10% of the purchase, the advocate will receive $10
• The fess will be 2.99% X $15 + $0.3 = $0.7487
The total charges to your credit will be $15.74

Example 2: Your advocates generate a sale for $100 in the commission bracket between $1001 - $10000, and the prize for the advocate is 10% of the purchase. These will be the transaction fees:
• Since the purchase is in the $1001 - $10000 bracket, TellaFriend will charge 3% commission which is $3
• Since the advocate receives 10% of the purchase, the advocate will receive $10
• The fess will be 2.99% X $13 + $0.3 = $0.06887
The total charges to your credit will be $15.68
We are working hard to reduce these fees. If you have any ideas please let us know.

FAQ

What does Tell A Friend do?

TellaFriend is a referral program platform that helps merchants to take advantage of the word-of-mouth marketing and attract more clients by offering to their clients rewards if they refer their friends to your store. Helping merchant to grow their numbers with a cost-effective marketing solution.

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