By Jack Perry
To be successful and grow your client base, you always need to seek out new business. Regardless of what business you’re in, referrals are one of the most effective methods to attract new clients. They eliminate the need to initially establish trust and credibility with the new prospect because the referral came from a trusted mutual contact. Additionally, referrals open more doors, get more respect, and break down the barriers that initially limit and stall the sales process. Essentially, referrals open the door to new business faster and wider than other forms of prospecting.
But referrals don’t necessarily come easily. You must earn them by walking your talk, delivering the level of quality your clients expect, and, most important, making people trust that you are capable of delivering results to those they refer. Unfortunately, many salespeople don’t ask for referrals because they see doing so as too forceful or pushy. But realize that when you ask for referrals, you are essentially asking for help—help to build your business. And asking for help is never pushy. In fact, it’s perfectly okay because when you get referrals, it is because a grading process has taken place, and you’ve earned it. When a person gives you a referral, he or she is taking a risk. If you don’t perform the way the person has promised you will, then it reflects poorly on that person. Therefore, asking for and getting referrals is really a sign of a trusting relationship.
If you want to build your business through referrals, use the following proven tips to get them and use them appropriately.
1. Set Up the Possibility
To get referrals, you need to establish the idea of referrals at the beginning of your relationship with new clients. For example, help your clients understand your commitment to their satisfaction. Then let them know that if you deliver on your promise of quality and value, you would appreciate a referral from them in return. This lets your clients know that you value their business and you want the relationship to remain strong, even after you’ve delivered.
2. Build a Niche
Always establish yourself within a specific niche, association, or community. Why? Because getting referrals is easier when you’re dealing with the kind of clients you choose to have. Say your ideal clients are independent restaurant owners, and you tailor your services and practices to fit the needs these companies will experience. But on occasion, you adapt your practices to meet the needs of small sized-restaurant chains. While you are still able to satisfy the owners of small chain restaurants, you must work harder to make your services fit. As such, getting referrals from these types of clients won’t likely bring about ideal relationships. However, referrals from your ideal client, the independent restaurant owner, will be rewarding. In these cases, referrals allow you to clone your best clients because as the old saying goes, “Birds of a feather flock together.”
3. Develop a Reputation
A good reputation takes time to build and maintain. You build a solid reputation by walking your talk. Become known as a valuable information source for people. Send people articles or other information you think would be helpful to them, offer to help with their business challenges, and give them ideas to help their businesses grow. As you do this, you’ll be educating them and helping them view you as more than just a salesperson. Additionally, the more people know all that you have to offer, the more likely they are to refer others to you.
4. Ask for Honesty
Another way to get referrals is to ask your clients for honesty. Ask them what things have worked in your relationship, and also how satisfied they are with your work. They might say that you’re great, that you’re a wonderful person to work with, and that they have been completely satisfied. If so, you can then ask them to help you by mentioning their experiences to their associates and colleagues. If they tell you less than favorable things, then you know how you must improve. By asking honest questions and gathering feedback, you can not only follow up with a referral request, but also see what’s working for your clients and what’s not.
5. Seek Centers of Influence
Centers of influence in life and business can help direct you to other clients. You want to be known for what you do within these centers. A center of influence (CI) is anyone who can influence your success. Certainly, the CEO of an industry leader can help you gain favorable access to decision makers, and staff members can put in a good word for you. The CI can have subtle or commanding power over decisions that impact your success. Determine who your CIs are. If you don’t know, ask. Cultivate their respect by asking for their advice, keeping them informed, and offering assistance.
Building Your Future with Referrals
Once you have a referral, the next step is to approach the new contact. You want the person to know you aren’t just cold-calling; you actually got their information from a trusted mutual contact. So when you call, make sure you use the name of the person who referred you so the contact knows you come from a trusted source. Referrals lay the foundation for trust; therefore, you must establish the connection with the mutual contact as soon as possible.
Remember, referrals are the strongest, most effective way to build your business, and they make prospecting much easier. But you have to earn referrals by delivering an exceptional level of quality to your clients in the first place. Otherwise, they won’t trust you enough to recommend you to their friends or associates.
When you use these tips to get more referrals, you can earn the trust of new contacts faster, win more sales, and build your business as a result.
Referrals from The Respect Factor® Series
THE RESPECT FACTOR® is a trademark of Jack Perry in the United States and other countries. Used with permission. ©2009 Jack Perry. All rights reserved.
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