Referral NetworkDo you get your new business from referrals?   Most business owners I work with LOVE their referral partners. I totally agree, as it is much more productive to generate leads from referral partners than it is to do cold calling. Our referral partners are like gold for our business success.

But…..do you have a system to grow your referral network?   Again, most of us are not as intentional as we could be.   I am recommending four steps to do to be more intentional, make a difference in your business, and AMP up your game.     My goal for you is to have a solid referral system so that you capture names, keep track of referred business, and follow up effectively.

Who is on your list now? 

First, grab a blank piece of paper or open a blank electronic page.  Jot down all the names of people or organizations who have referred business to you in the last 12 months.   Or do you keep their names in a CRM (contact management system such as Salesforce or Infusionsoft).   Who are people that you know who could refer business to you?   When was the last time you spoke or emailed them?

What kind of business are they in?

Sometimes we receive referrals from unlikely places or adjacent businesses.  For example, an estate attorney may receive a referral from a business owner that helps seniors do downsizing.  Both people call on the same “market” or industry.

How many times should you contact your referral sources?

I believe that you should stay in touch at least monthly.   Likely, you will want to create a system so that you know when was the last time you either called, texted or emailed.   At the end of this blog, I have provided examples of how to contact someone multiple times to build the connection and relationship.   The key factor is to NOT have the “hand out”, but rather do the contacts in a giving sense.

Do they really know what you do?  

Make sure they know what you do, how it benefits the referral they provide, and that you truly value their relationship.   It is important to periodically show gratitude in the form of a handwritten note card, small gift or just a phone call of appreciation.

Here are some ideas on approaching your referral sources to increase the number of times you communicate.

Modify the list for your business.

  1. Immediate update on the referral provided. This is best done by phone.  Tell how the call with the referral went, if the person bought, what were the benefits of your service they particularly liked.
  2. “Saw this article (pertinent information) and thought of you”, best done via email or hard copy. The info relates to them personally (think family, interests, vacation spots) or professionally (their niche industry, client name in the headlines, area they have an interest to expand, etc).
  3. Invite them to a networking event or a business meeting you regularly attend.
  4. Introduce them to someone you know locally who is a “connector” – “thought you two should meet”. Schedule a coffee at nearby Starbucks for three of you to meet.    Both parties will think favorably of you.
  5. Email or send hard copy a summary of a book that you just read that was extremely interesting and why it might be of interest to them. Or send them a copy of the book.
  6. If recently attended a seminar or networking event on a topic they might be interested in, share the handout or notes you took. Examples: new techniques with Social media, new cool websites, awesome videos, etc
  7. Stand out by sending a Thanksgiving card thanking them for your friendship and professional relationship. In March, send a “Hope you had a great first quarter” card.    The point is to be different and creative.
  8. Ask them to be one of your featured relationships: link to their website on your website, be a guest blogger, write an article for your clients to provide them some exposure.
  9. Think of some marketing materials that you could co-brand and seek a target market. Perhaps a personal letter from both of you to that target market.   Write the draft letter as a starter for joint business activity.
  10. The obvious one —  A referral for them, providing the name of a person you want them to contact.   Call first,  then send a email to both of them.

Make time in your schedule to develop your referral source strategy and system.

You will find that spending time on this will save you time!   Thus, you will be more productive, less stressed and much more successful.