Master-Mind Alliance: The Key To Less Work, More Life, Balance

Referrals For Your Business Are Terrific, So Why Not Get More Of Them?
Written & copyrighted by Richard Paris Borough, Ph.D.

If you're in business you definitely want lots of good referrals. So what are you doing about that? What works? The secret to getting more and better referrals is simple. You have to ask for them, and you have to have a strategy for asking that works.

A referral occurs when someone you know causes another person to contact you about your products or services. A clear advantage of a referral is that the prospective new customer is already favorably inclined to buy from you. It doesn't take a rocket scientist to see that proactively seeking more and better referrals is a really good thing to do.

Satisfied customers and centers of influence are the two groups who can refer to you. Your satisfied customers can become your best sales people. It's often not until this happens that you can move into the ranks of the highest money-earners.

A center of influence is someone who has access to a pool of people you'd like to know. To stimulate your mind about potential centers of influence for your business think of those types of businesses with whom you have a natural affinity. For example: photographers and printers and advertising agencies, lawyers and accountants, carpet cleaners and house painters, convention planners and caterers, estate planners and insurance brokers, muffler and brake shops and tire and front end shops, mortgage brokers and real estate agents. You get the picture.

The biggest mistake people make about referrals is that they don't ask for them. No one wants to offend people they know and no one wants to be refused. To overcome these obstacles, start small by asking for referrals from someone with whom you have a safe, secure relationship.

While you never want to beg or pressure, it is important that you convey to the people you serve that at least some portion of your business is based upon referrals. Try saying something like this. "I get a lot of my business by referrals. It's the best way I know to spread the word about what I do. Your recommendations are very important to me." Or, "I have question for you, who else do you think could benefit from my product/service?" If you get a positive response you might add, "I'd like to contact this person. When I do may I mention your name?"

The ideal is this. Build the habit of routinely asking for referrals from day one. You and your employees need to make referral generating activity part of normal business. It may seem silly but you do have to tell your customers you want referrals. They can't read your mind. Many of your customers do not realize that they can provide you with valued referrals. It never occurs to them. Even if they do think about it, they're not very likely to refer without some sign or gesture from you. So start asking.

How do you make a referral generating system that will work? Start by listing everyone you know. Then rank the people on your list as Most Approachable, Maybe Approachable, and Least Approachable. Contact a certain number of the people you've deemed Most and Maybe Approachable each month. Contact them in person, by phone, or letter, or wait until you next see them the next time, but get it done! Talk to them about referring to you. Tell them exactly what you want. Keep the process going; stay in touch by phone or writing, whatever works best. What are you waiting for? Make referral-getting behavior an important new habit, a new routine.

Directly asking for the referrals you want and refining the process until it works is a terrific business building process. When you regularly receive referrals, life is sweeter. If you'd like help with your referral generating system, call me.

You may use this article in whole or in part on your site as long as you link back to Master-Mind Alliance and give author credit.

Richard Paris Borough, Ph.D., is President of Strategic Business Development; a Humboldt County, California based small business consulting firm. He is director of The Master-Mind Alliance -- and also publishes "Keys To A DONE BBUSINESS" -- a monthly newsletter featuring business management best practices.