Referrals Drive Business
Growth
Marketing and digital technology expert John Jantsch recently
studied thousands of small business owners and found that nearly 80%
of them did not have a referral system. He�s written a book called
The Referral Engine. In it, he identifies these five �truths�
that you must understand before you can plan for referrals to drive
your business growth.
1. �People
make referrals because they need to.�
We
need each other, and we know it. Some day I might need a good
business development consultant, and you will know one. A mindset
that helps others and trusts that eventually you�ll receive help
when you need it is a form of social capital that�s worth investing
in.
2. �All
business involves risk.�
A
referral can be risky. If it goes bad for either party, it could
damage a trusting relationship. A super-effective way to maintain
trust is to connect to customers� heads AND hearts. Convince them
with logic, yes. But don�t ignore how their total experience with
you makes them feel. Don�t know? Ask them, and record it in your CRM
(customer relationship management) notes.
3. �Nobody
talks about boring business.�
What are you doing, or can you do, that is literally remarkable �
that makes your customers remark about you to their friends?
Maximize something about your customer experience so that they can�t
stop talking about you in a good way.
4.
�Consistency builds trust.�
Whatever is remarkable about you, keep doing it. Jantsch reminds us
that publicity stunts don�t work. He says, �Refer-ability is a
long-term game, it�s not a drive-by event�� Be authentically unique,
all the time, and your thrilled customers won�t be able to stop
talking about you. Your CRM system, used well, will help you manage
your team�s consistency in delivering customer service.
5. �Marketing
is a system.�
Do
you truly believe that you deserve referrals? Or do you think asking
clients to refer you is like begging for business? If what you offer
truly makes your customers� lives better or adds to their business
success, why would they not want to tell their friends? Use your CRM
system to set up a process that from the beginning makes it easy for
them to do so, and asking for referrals could become totally
unnecessary.
