Team Alpha 375

Ten easy ways to get more referrals

A Business Perspective
By Ray Silverstein

When it comes to sales tools, few things are more powerful than customer referrals. They are simple, effective and absolutely free, yet many entrepreneurs are reluctant to request them. If you are one of them, it is time to rethink your approach.

Every business relationship can potentially lead you to other relationships. These are golden opportunities. Assuming customers are happy with your products or services, why be shy about asking for referrals? In a tough business climate like this one, can you even afford to be?

We know buyers prefer to deal with companies they know. When that’s not possible, a personal referral can increase a buyer’s comfort level with a new vendor. I may not know you, but if someone I trust refers you, well, that’s the next best thing.

It is not difficult to request a referral. Often, it is simply a matter of seizing an opportunity, or getting into the habit of asking.

For example:

1. Whenever a customer says something positive about your company, respond with a thank you, followed by a prompt referral request. Look at it this way: you just earned it.

2. The quickest way to get referrals is to do a great job. So find out what “great service” means to your customers, then provide it. Ask for feedback, both informally—say, during a phone call—and formally—perhaps through satisfaction surveys. When you get positive feedback, use it as a springboard to ask for referrals.

3. Now, take that one step further and encourage your customers to complain. Yes, really! Complaints, no matter how trivial, give you an opportunity to solve a problem and be a hero. When you win over a once-dissatisfied customer, it is a major coup. Picky customers often give the most compelling referrals.

4. Why not make referrals part of your front-end agreement with new customers? Simply state, “We’re going to work hard to prove ourselves to you. Once we do, will you give us three referrals in return?” People like go-getters. Be one.

5. Build relationships with people who can provide you with referrals, and always return the favor when possible. Thanks to social media like LinkedIn and Facebook, it is easier than ever to build a network of mutually supportive contacts.

6. Once you’ve got a network, work it. Beyond referrals, offer your contacts support. Share your resources and solutions to common business problems. The more you nurture these relationships, the more people will think of you when it’s time to give a referral.

7. Do not assume your friends and contacts know what you’re looking for in a prospect. Describe your target customer as specifically as possible, and encourage them to do the same. It’s more effective and efficient for both of you.

8. Always carry a few business cards. You never know who you may run into, who they will be with or where conversations may lead. When you meet someone you would like to connect with, don’t be bashful. Ask if you may call them to set up an appointment.

9. Make the most of networking events by planning for them. You know people are going to ask “what’s new?” So have a fascinating answer ready. Talk about a new resource you found, an intriguing new client or some other interesting tidbit about your business.

10. Don’t enjoy networking events? It’s easier if you set goals for yourself. Identify what kind of people you want to meet and what you would like to learn. One of the entrepreneurs in my small business peer groups sets very specific objectives for herself: “I’m going to introduce myself to the speaker. I’m going to meet three new people. I’m going to introduce two people I know to each other.”

Remember, there is no shame in requesting referrals. After all, you only get them when people are happy with the quality of your products or services. Remind yourself that all referrals are earned. But sometimes you do need to ask for them.