You should use relative cell references when you want the formula to automatically adjust based on the position of the cell containing the formula. Here are some common scenarios where relative references are ideal:

* Copying formulas across rows or columns: Imagine you have a formula in cell B2 that calculates the product of cell A2 and B2 (`=A2*B2`). When you copy this formula to cell C2, you want it to automatically reference the corresponding values in column C (`=C2*C2`). Relative references achieve this by adjusting the column reference by one position (B to C) since you copied one cell to the right.
* Creating series of calculations: If you have a list of values in column A and want to calculate their corresponding percentages in column B, a relative reference is efficient. You can enter the formula `=A2/SUM($A$2:$A$10)` in cell B2. The relative reference to cell A2 will adjust down the column as you copy the formula to calculate percentages for each value in column A. The absolute reference to `SUM($A$2:$A$10)` ensures the total used for the percentage remains the same throughout.
* Building dynamic tables: When creating tables where calculations are based on surrounding data, relative references are crucial. For instance, if you have a table with product prices in column B and quantities in column C, you can use the formula `=B2*C2` in cell D2 to calculate the total price for each item. As you copy this formula down the table, the relative references will automatically adjust to multiply the corresponding price and quantity in each row.

In essence, relative references make your formulas flexible and adaptable, allowing you to efficiently perform calculations across multiple cells without manually changing the cell references in each formula.