09 Mar 2008 03:49:55 | Harry Hoover
There's the old joke about the two buzzards sitting in a tree
overlooking a highway. One responds to the other, "Be patient?
I'm hungry. Let's kill something." Just like that buzzard, it is
not in the nature of most marketers to be patient for business
to grow. They want to go out and "kill something," too.
The trouble is that most marketers go after new business the
wrong way. They want to "take down" the new piece of business
using all the tools of the trade from advertising and direct
mail to cold calling and event marketing. This is an expensive
way to drum up business. Your existing clients are just waiting
to tell you about people they know who could use your services,
and then help sell you in to these people they refer. Not only
is this more cost effective, it practically guarantees the
prospects will share the same characteristics of your best
customers.
"OK, Harry," you're asking, "but how do I do it?"
The first rule of getting referrals: ask. When should you ask?
Let's review.
- After your customer has purchased something from you is a
great time to ask. The new customer is pumped up about your
offering and you can harness that energy by asking for names of
others who could beneft from doing business with you.
- Upon delivery of your product or service is the next time to
ask. The benefits of your offering should be readily apparent
now, so you can remind the customer of the importance of their
referrals.
- Anytime you have personal contact with your customer is a good
time to ask. You are continuing to build a relationship with
them and can use the opportunity to ask for referrals. Don't ask
more than three times per year.
Many people hesitate to ask for referrals because they are not
sure how to do it. Just be honest. Tell your customers that
referrals are very important to the growth of your business, and
that you want to grow it with people just like them. Remind them
that the people they know will benefit from your service the way
that they have. Then, ask.
Tell your prospect that you'd like for them to give you the
names of three or four people who might benefit from your
services. Pull out a sheet of paper and pen and look expectantly
at them. If they can't immediately give you names, ask some
prompting questions. Such as:
Who are your three best friends? Who are the most successful
business people you know? Can you think of anyone who would
benefit from my services?
Write the names down and keep writing until the customer runs
out of names. Then, go back and ask for contact information for
each one.
Thank the customer in the way you feel most comfortable. Some
people like to send a gift, others will just drop a note of
thanks. Some wait to see if the referral becomes a customer and
then send a higher end gift. Do whatever works for you, but do
thank them and keep them in the loop, letting them know about
your follow up and the outcome of your prospecting.
So, don't just sit there in your tree. Get out there and kill
something.
About Author :
Harry Hoover is managing principal of Hoover ink PR,
http://www.hoover-ink.com. He has 26 years of experience in
crafting and delivering bottom line messages that ensure success
for serious businesses like Brent Dees Financial Planning, Duke
Energy, Levolor, North Carolina Tourism, Ty Boyd Executive
Learning Systems, VELUX and Verbatim.