The Value Of Referrals Submitted by Skip Tierno & Bob Tierno, The Entrepreneur's Source 832-285-5272 / Skip Tierno's Web Site / 877-812-3247 / Bob Tierno's Web Site Generating a referral is a Lead Generation activity that occurs at the end of your Lead Conversion process, and since referral leads are typically highly-qualified leads, the process will be simpler and probably more cost-effective than your traditional Lead Generation methods. (E-Myth World Wide) Misconceptions: • Customers don't want to give referrals. • You can't plan or influence referral business - it just happens on its own. • Advertising and sales requires too much of our attention; there aren't enough resources for a referral process. The truth is that customers do want to give you referrals. They like to see themselves as an authority, a helper or someone "in the know." And you can plan and influence the amount of referrals in much the same way you do traditional leads. Once you realize the value of referrals, you won't want to take a passive approach. Don't Be Shy You'll never get referrals unless you ask. By asking your customer for a referral, you are not asking them to take a risk. Instead you are asking them for a factual observation. You're not asking them to qualify or pre-sell the referral; you're simply asking them if they know someone who could benefit like they have. Treat Them Like Gold Another key to a continued and successful referral process is to thank and reward those who refer you. Everyone wants to feel acknowledged and appreciated. How you do this depends on your type of business, the image you want to project with your business and the value of each prospect. Many service providers use small cash rewards as a token of appreciation incentive to drive referrals. The referral, too, needs to be acknowledged and appreciated since they too have the potential to be a ready source of referrals for you. Reciprocating the generosity of referrals is key to keeping the cycle going and building the goodwill and relationships that will help your ongoing Lead Conversions. Get Them Talking Satisfied and delighted customers are your unpaid sales force. Along with these you can include family, friends, old classmates and faculty, vendors, suppliers and other service providers who share your target market. Educate these potential advocates about your products and services by providing them with information and news about your business. Encourage them to talk about you and to "spread the word." Expanding awareness of your company is easier and less expensive today than ever thanks to the Internet and the ever-growing variety of online tools. But don't overlook the power of simple "word-of-mouth." The goal is to get people talking about their wonderful experience with you and your company - and to actively and intentionally send people your way! About The Entrepreneur’s Source: The Entrepreneur’s Source (TES) is North America’s leading career and business coaching company with more than 250 offices in the United States and Canada. TES offers a full-range of services to individuals seeking alternate career options and to small-to-medium size companies looking to increase performance. The goal of the Entrepreneur’s Source is to partner with both individuals and companies to achieve their desired outcome. For more information on entrepreneurship, franchising, and/or the business coaching resources that TES has to offer, please contact Skip & Bob Tierno at 832-285-5272 / 877-812-3247 or by email at skip@e-sourcehouston.com / bob@e-sourcehouston.com. TES is also a proud member of the Better Business Bureau: www.entrepreneurssource.reliabilitymall.com.