Create a Referral Network that Truly Pays in Dividends!
Monday, 21 November 2011 20:11 | 
Written by Editor | 
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Create a Referral Network that Truly Pays in Dividends!
How do you create a network of referrals that will become a consistent and regular part of your business development & growth?
The answer is simple: Give referrals!
The basic premise is that when you reach out and offer help, you are immediately building trust and developing a positive reputation among your network of business professionals. Business professionals will see you as wanting to help them and in turn, they will want to do the same. My general rule of thumb is to make two introductions for every person that you meet, you will soon find that you begin to get the referrals.
There are two types of introductions: Direct and Indirect. Direct introductions are best, the ones that connect people directly to prospects, however, both types will help to generate referrals. The more you know about the professional people in your network, the more effective you will be in generating relevant and productive introductions. First, ask them to describe their ideal prospect and who their clients are. Learn about other company variables such as geography, company size and their growth and development plans. What products and services they offer, and most importantly, ask them how you can help them and what can you do for them. It is good practice to keep the questions open ended. It gives that person the opportunity to really share information. Be sure to explore similarities across different markets as well as within their specific market. Consider any viable strategic alliances. For example, our network of referrals includes a strong presence of marketing and public relations companies. We both help clients increase revenues but in different or complimentary ways. Other examples include accounting and estate/financial planning or marketing and graphic design companies. Do diligence is so valuable. The fact finding process and information gathering can determine who to send leads to and who you should align with.
How do you find more of these qualified leads? Ask questions!
Find out who they do business with, such as their attorney, accountant, banker and other professionals. Ask them if they are satisfied with their current vendors or are they looking for someone new. Determine if they are looking for new products or services. This is a fantastic question to ask because it allows you to come up with leads from your network. It is important to remember that, ultimately, you are working toward developing future business opportunities, ones that will generate referrals to you on a regular basis.
It is good practice to have a format in place for your introductions.
The one I use often:”Bob and Diane, I would like to introduce the two of you. I believe that you have some mutual opportunities that may be of interest to you both. I have included both of your contact information below so that you can easily connect. I hope that this introduction works out well for you”. It is helpful to have a system in place, where an administrator can assist you with introductions using pre-set contact information. For example, I have several templates with signatures and canned formats. I simply let my administrator know which one to use and it becomes a plug and play.
Business networking is mostly common sense.
If you reach out and help someone, he or she will be inspired to return the favor. You must know your professional network well and put their interests first. This is the way you will become a true connector and will no doubt, in the long- run, get a great return on your investment….consistent referrals. - Lisa Peskin, CEO, Business Development University
Last Updated (Tuesday, 22 November 2011 16:55)
