When businesses want to promote their products or services, their first thought is often to advertise on websites or large platforms like YouTube. However, advertising costs are rising year by year, while the effectiveness is decreasing. As a result, more and more companies are reducing their investment in traditional advertising methods and shifting their focus to finding other marketing channels to generate sales.

Lower customer acquisition costs and higher customer quality are the best results from marketing. So, what about advertising promotion on WhatsApp and TikTok, whether by individuals or teams? This article will start with the characteristics and essence of WhatsApp advertising, explaining it in a simple and easy-to-understand way, as well as the problems with advertising and potential future trends in e-commerce.

At its simplest level, we generally believe that WhatsApp promotion teams operate on a referral marketing model. Through word-of-mouth and trust, customers recommend products to others they know or who might have a need. For example, existing customer A recommends product B, leveraging mutual trust and personal reputation to promote sales and incentivize new customer B to make a purchase.

In traditional marketing scenarios, salespeople also convey the need to existing customers to help introduce new customers. Both parties can discuss whether to offer some form of reward, such as cash, raffles, vouchers, or other forms of incentives.

At Ferragamo, a product promotion model relying on individuals and teams is thriving. Distributors, individuals, and teams can all earn commissions through exclusive referral links. This promotion model is widely recognized and significantly more effective than traditional advertising. The brand returns 40% of its profits as commissions to its promotion partners, effectively boosting brand awareness while driving product sales growth.