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1: Develop Referral Partners
Business coach Gary Lockwood recommends tapping your current network for referrals to new customers. And he offers a systematic plan for creating referral partnerships that work to everyones advantage.
First, he advises making a list of everyone who might be a referral source: your existing customers, banker, accountant, printer, friends, family, suppliers, colleagues in your volunteer organizations and trade associations. Now narrow that list to a handful of well-connected individuals. Maybe theyve referred clients to you in the past. Perhaps youve sent business to them. These will be your ideal referral partners, the people who can consistently send new clients to your door.
To help your referral partners give you solid, qualified referrals, you need to get crystal-clear about what kinds of new clients you want to attract, advises Lockwood. When youre clear about describing the type of recommendations you want, you make it easier for your referral partners to identify prospective customers for you.
Lockwood recommends answering these kinds of questions to help you identify the specific type of clientele you want:
- Do you have certain size or volume requirements?
- Are there geographic limitations?
- What problems do your products or services solve?
- What types of people and companies make the best customers for you?
Now its time to unleash your creativity. Armed with your list of referral partners, think about what you can give them in return for helping you reel in new business.
Think win-win, advises Lockwood. Brainstorm all the various ways in which the referral partner benefits from giving you a recommendation. Be as specific as you can. Each person has individual needs and interests. So be creative in discovering ways in which this person gets value from the referral partner relationship. Remember, people do things for their reasons, not yours. If you cant articulate the benefits of sending referrals to you, youll not likely get many.
Now take your list of hand-picked referral partners and communicate those benefits to each one. Discuss the types of customers you want to gain and talk about specific actions you want your partners to take. For instance, you may want your partner to initiate an appointment with the referral. Or perhaps a simple introductory telephone call will do. Get clear on how the referral partnership will work.
Finally, when the referrals start pouring in, show your appreciation. Give gifts. Give your partner some referrals. Give recognition. Behavior that is recognized tends to be repeated, Lockwood counsels. Showing your appreciation is not only the polite thing to do, but its also a smart way to encourage more referrals.
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