superstar referral marketers

8/2/2019 Superstar Referral Marketers

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Table of Contents

Why Referral Business Is So Valuable............................................................................... 2Referrals & The Secret Weapon ......................................................................................... 4

The Unwritten Rule of Referral Marketing ........................................................................ 7Referral Marketing Is Target Marketing At Its Best......................................................... 10Building a Referral-Friendly Business.............................................................................. 12Education is the Key to Effective Referral Marketing...................................................... 14The Perfect Way To Motivate Your Referral Sources...................................................... 16How To Generate Consistent Client Referrals: A Lesson ................................................ 18How To Ask For Client & Customer Referrals- (& How To Overcome ReferralObjections).................................................................................................................... 2021How To 'Touch' More Customers For Referrals............................................................. 23230 Client Referrals or More -- How to Get Them .......................................................... 254Make a Referral Offer They Cant Refuse........................................................................ 27

Educate Your Referral Sources and They Will Reward You For It ............................. 2930Three Reasons Networking Events Increase Your Referral Business ............................ 321I Hate Asking for Referrals! 6 Proven Methods for Getting a Flood of ReferralsWithout Asking................................................................................................................. 34Create Your Own Referral Sales Force ............................................................................ 36The Story Of Referrals.................................................................................................... 410Getting Referrals............................................................................................................... 42Referrals are Our Lifeblood. Here's How to Get Them. ................................................... 47Word Of Mouth Marketing............................................................................................... 51Increasing Business BIGTIME With Successful Referral Systems ................................. 53Looking for Word-of-Mouth Referrals............................................................................. 57Top 7 Tips in How to Pitch and Catch Business Referrals............................................... 59How To Use The Power Of A Thank You Note for Referrals ......................................... 61Secret Marketing Tactic Makes Your Customers Do All Your "Selling" for You .......... 62How To Use Referral Marketing To Your Advantage ..................................................... 64How to Ask for Referrals.................................................................................................. 72Make Your Referrals Count.............................................................................................. 74Are You Leveraging Your Unpaid Sales Force? Five Keys to Growing Your Businessthrough Referrals .............................................................................................................. 76Increase Your Sales By Putting A Referral System In Place............................................ 78


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Why Referral Business Is So ValuableBy James Yuille

With so much money invested on ineffective advertising, it's time to look at some goodold-fashioned ways of generating new business. One tried and tested way is by referral.

Here are three reasons why referrals are so valuable:

1. Customers who refer are more likely to stay with you and as a result, spend more,adding to their lifetime value.

2. Referrals are more likely to become customers. Why? Because they have beenrecommended to you by someone they trust and who in turn, trusts you.

3.

Referrals who become clients are likely in turn to generate referrals because theyunderstand the process.

What's the best way to generate referrals?

You have to earn them! You have to treat your customers as friends. The result is thatthey will want to introduce you to people they know who in turn can do business withyou.

It's back to that Trust thing again isnt it? By showing you care about them and abouttheir lives, your level of trusts increase. Remember the three things people think aboutbefore doing business with someone?

1. Do I like them?

2. Do I respect them?

3. Can I trust them?

By taking the time to develop relationships, trust increases, as does the likelihood ofreferrals.

By delivering a high standard of service in an appropriate professional environment orfashion, you are demonstrating your professional competence. The combination of thisand your capacity to develop relationship will in turn earn you the right to ask forreferrals.

I guarantee that if you did nothing else but began asking your customers for referrals on aregular basis you would instantly see an increase in referrals coming into your business.


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The best time to ask for a referral is when a customer gives you a compliment orexpresses any kind of gratitude towards you or your business. Tell them that yourpurpose in asking is to build your business.

There is absolutely nothing wrong with that. In fact, a client who really likes you will

actually feel honored that you have asked for their help.

Don't be afraid to tell your clients whom they should be thinking of as referrals (i.e.people under a lot of stress, people who are health conscious, people in pain) be specific.You get what you ask for!

OK, so now you've gained sufficient trust and respect to ask for referrals, what do you dowhen you start getting them? Simple. Make a fuss of them by means of reward andrecognition. Just as with children and dogs, rewarding good behaviors makes certain thatthe behavior is rewarded.

Do it publicly, too. Create a Referral Recognition wall in your reception area. Put thenames of people you've rewarded up there. Run a referral incentive program that rewardsmore for more referrals.

Remember we're talking about the cost of client acquisition and retention here. Far betterto pay for the client after they've spent than to gamble on attracting them!

With a Reward for Referral program, your costs are a fixed item for every new client,too, making budgeting far easier.

Ask yourself this question: Do I currently know my exact cost of customer acquisition? Ifthe answer was "no" you should look closely at a referral reward program.

James Yuille is a sales and marketing consultant and trainer with over 32 yearsexperience. He is based in Brisbane, Australia. His free weekly sales and marketingnewsletter provides topical information for business owners and salespeople. Find outmore at http://www.jamesyuille.com


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Referrals & The Secret Weapon

By Sue and Chuck DeFiore

Are you getting referrals from you customers? If not, you are missing a lot of sales. Thinkabout many of the sites you visit on the web. Many of them will ask you to tell yourfriends, families and others who might be interested about them. For doing so, they offeryou an incentive, for example, free stuff, gift certificates, etc.

Lets talk about off line. How about the book club or record club you belong to. Whenyou get mailings from them, ever notice the card that says if you refer a friend they'll giveyou a free book or CD. This is what is called an incentive. Any marketing expert worththeir salt will tell you that theres no business like business you get from referrals.

Why? Because for the most part, people who refer others know that person will be

interested, and it also indicates that they are happy with your product, so word of mouth(or in this day and age, email) will be good.

Unfortunately very few individuals are going to write youand tell you how happy they are with your product orservices. You NEED TO ASK FOR REFERRALS! Thisapplies to everyone big businesses, small businesses, homebased businesses, sales representatives, independentcontractors.

In fact good salespeople will ask for the referral betweenclosing the sale and saying goodbye to the customer as partof their sales pitch. We ask for referrals from our tenantbuyers and sellers in our final letters. A good example of using this in your business is,lets say you sell office supplies.

Ask your customer for referrals and then offer to give them a discount or dollars off forso many referrals. Or you could give them a gift, like a free pen or calculator, etc. Youget the idea.

To decide what to give away, think about what will motivate your customer. Will theyprefer cash, or gifts? You know your customer best.

You need to give them something they want so they will repeatedly give you referrals.We offer cash to our sellers and tenant buyers if they refer someone to us that we do adeal with.

For those in any type of retail operation the flyer that looks like cash that can beredeemed or buy one get one free, or get a percentage off, or it's a tax free weekend, etc.

In fact goodsalespeople will ask

for the referralbetween closing the

sale and sayinggoodbye to the

customer as art of


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can work wonders. Couldnt you also mail a flyer to your customers that states, Goodtoward your purchase, when you refer a friend.

In all businesses, you need to get your customer to tell you what they like about yourbusiness. For example, whenever we get an email or a telephone call from a customer

that praises our services or products, we ask if we can use it as a testimonial. You mustget their permission (unless however you receive unsolicited mail from them).

Again, ask your customer for a testimonial. For example, if you liked the dinner at ourestablishment, please fill out this form. We appreciate your time, so by doing so, we willprovide your next entre for half price. We put incentives in our books and services forour customers to get back to us with their opinion.

I can remember back when I worked for temporary agencies, they were forever givingout pens, pads, magnets, etc. to keep their names in front of everyone. Think of Pizza Hutand Dominos. How many magnets do you have with their name and telephone numbers

on your refrigerator?

When we ran our Matching Numbers business, we made up shirts and jackets that wewore everywhere. Youd be surprised how many customers we got in the grocery store,post office, fast food places, who asked us for cards or about our business. There is awhole separate industry that deals with advertising specialty items.

You name it; you can get your name on it. Mugs, pens, business cards, memo pads, etc.,these items can get the word out on your business not only to your customers, but also toyour customers customers. Memo pads are especially nice.

People have a tendency to jot notes on them and then give them out to others. So they area very far-reaching tool. Advertising with Specialty items is almost as good as referrals.

Be sure on your promotional material (brochures, flyers, newsletters) that you indicatehow your referral program works. Be sure to indicate what type of incentives you offer.

Be sure to be very specific in outlining what your customers need to do. For example, fillout this form and mail it back (or fax it back) with the names, addresses and telephonenumbers of those you are referring.

You don't have to ask for all of this information however; if you are going to snail mailyou will need their address. Be sure when you do your networking at your organizationalmeetings or chamber meetings that you tell people about your referral program.

Business people appreciate being rewarded for referrals they give you. However, toomany people never follow through, which is why for many businesses their referralprogram goes by the wayside.


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This is one area where we stress to our students you tell all your networking partners,your tenant buyers, your sellers, and all of your family, friends, in fact, everyone youcome in contact with that you pay a percentage of each deal you do (an average deal is$5000) to them if they refer someone and you do a deal with that person.

Believe me when I say, once they receive one check from you, they become a walkingadvertisement for your lease purchase business. There is one caveat to offering a referralprogram and that is you must DO GOOD BUSINESS. Your credibility is at stake.

You want to be viewed as a reliable, dependable, and trustworthy individual. You needfor people to want to buy from you, and because you did such an outstanding job, telleveryone else about you. So, are you using the Secret Weapon?

Copyright 2003 DeFiore Enterprises

Interested in having your own successful, home based creative real estate investing

business? Chuck and Sue have been helping folks start successful home-based businessesfor over 19 years, and we can help you too!

To see how, visit http://www.homebusinesssolutions.com for the latest FREE tips andtricks, educational products and coaching in creative real estate investing and home basedbusinesses.

No time to visit the site? Subscribe to our "how to" Home Business Solutions Digest, it'slike having your own personal coach: mailto:[email protected]


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The Unwritten Rule of Referral

Marketing

By John Jantsch

Nobody likes to cold call. Okay, very few people that I know like to cold call looking forclients. For those of you that fit that description, I have some good news. Stop it. Don'tcold call ever again. Instead, let other people do it for you by systematically generatingall the referrals you can handle.

That's right, many business owners have built their entire business using this one simple,but powerful strategy. People want to do business with other people they know, like andtrust and by creating referrals you automatically borrow upon some one else's trust. Forthe small business owner this is a crucial point.

You see referred clients, if properly qualified, will turn into your best customers and willlikely put a higher value on what you do and be less likely to leave for price.

So you get that you should generate referrals and maybe you even do so occasionally, butyou want to generate a flood of referrals, right?

Here's how:

Deserve referrals

If your business or service doesn't wow someone then who isgoing to refer you? Consistently generating referrals is a bitof a mindset. Tackle every customer you generate as thoughyour sole purpose in serving them is to generate a referral.Now, would that change your approach to service? Nowyou're not a sales person, you're a service person.

Target referral sources

Just as you must target your clients you must also target those clients, vendors, influencespeddlers, or contacts most suited to generate the kinds of referrals you are after. Then youmust educate them on just exactly who and what makes a good referral for your business.

Ask

People love to give referrals. Think about the last time you got a great deal on somethingor someone went over and above to help you what was the first thing you did? You toldeverybody, right? Don't be shy about asking for referrals

Tackle every customer

you generate as thoughyour sole purpose in

serving them is to

generate a referral.


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Tell them how you intend to follow-up

The single greatest reason your friends, neighbors and clients may resist handing overreferrals is because they had a bad experience in the past. They gave an eager salesperson the names of their family and he still hasn't stopped hounding them. Let them

know exactly what you plan to do and how you plan to do. Ease their past concerns anddont hound your referrals.

Make it easy for them

Dont just ask if they know anyone who might need what you do. Give specifics. I knowa financial advisor who wants to work in certain high income neighborhoods.

When he meets with his clients he puts a list of 50-75 names in front of them and asks ifthey know any one on the list. He always comes away with several highly qualified leads.

Let them participate

Don't just jot down names and head out into the night, ask them to call, email or write onyour behalf. Hand them a suggested letter of introduction that explains what you do andwhy you will be contacting them.

Get your client to mail a letter on your behalf. Placing a call on your client'srecommendation can open some doors but nothing beats a heart felt letter of endorsement

Ask for testimonials

One very passive way for people to refer business to you is to ask them to write a letterthat details some of the very specific benefits that they have gained working with yourfirm. The more the merrier.

Follow-up

When you acquire a lead, make sure that you act upon it quickly and make sure that keepthe communication open with your referral source. Let them know how much youappreciate there help and always let them know if you turn the lead into a client. Cigarsand single malt scotch are my preference.

Reward them

There are many, many ways to encourage your clients and contacts to send you referrals.You can give them free or discounted rates on their own needs as a reward. You can sendthem a thank you in the form of a discount to pass on to a friend.


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You can give them cash. You can create a contest among your clients and give away aspecial prize to the client who refers the most business. You can create your owncurrency and give it away as an incentive.

You can partner with a non-profit agency and give a portion of all referred business to

that agency. You can send a gift to someones office, such as balloon bouquet, andgenerate so much buzz they are forced to talk about how great you are.

Finally don't forget to make generating referrals an expectation of every clientrelationship. Let your clients know going in that you fully expect them to be so thrilledwith the service you provide that they are expected to give you ten qualified referralwithin the next six months.

Just saying that to every new client you land will make them realize that they made agreat decision to choose to do business with your firm.

John Jantsch is a marketing coach and creator of the Duct Tape Marketing System. He isa frequent contributor to small business publications on the subject of marketing andeffective ways for small businesses to use the Internet to promote their business.

Jantsch is the author the marketing success system known as Referral Flood - How togenerate a flood of new business without spending one dime on advertising.

www.ducttapemarketing.com


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Referral Marketing Is Target Marketing

At Its Best

By John Jantsch

Most small business owners miss the boat when it comes to getting a constant flow ofreferrals because they start off looking in all the wrong places.

If they seek referrals at all, most small business owners think only of their clients. Now,your existing clients can be a good source of referrals. And when you think about it, whobetter to sing your praises than someone who has actually experienced your rare abilities.

The problem though is that your existing clients don't have much motivation. They maybe in a position to send you referrals but they won't think of you day in and day out, and

thats what your referral marketing effort really needs.

When it comes to figuring out a referral marketing system, the number one question youneed to answer is this. Who is, or can be convinced to be, highly motivated to referbusiness to me.

When you look at it from that point of view you begin to realize that no matter who youapproach you better be able to propose a motivation that has something in it for them.

In most cases, the best referral sources, those that can bemotivated, are businesses like yours that sell to the same targetmarket. These non-competing businesses should be looked atcourted like one of your primary target market sectors.

You marketing efforts should include very specific plans toattract, educate and motivate this target market . . . just as itwould for the end user of your product or service.

The payoff with this kind of thinking is two-fold. I believe thatalmost any prospect that comes your way by way of a referral will generally be morequalified and likely a better fit. In addition, a highly targeted marketing effort pointed atreferral sources can be one of the best ways to leverage your limited time and marketingdollars.

Properly marketed to, a good referral marketing partner could potentially send youhandfuls of clients for about the same effort most businesses expend to land one self-generated client.

In most cases, the

best referral sources,those that can be

motivated, arebusinesses like yoursthat sell to the same

target market.


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There can be many ways to motivate this type of referral lead source. You likely havesomething they want or can at least propose a way for them to get more of what theywant. I'm afraid it's hard to say the same for your clients.

One of the best ways to put this thinking on steroids is to think in terms of building your

very own strategic referral partnership network. Try to fill every need your clients haveby plugging in and referring members of your private network. If you do this, you willnever need to search for business again.

John Jantsch is a marketing coach and creator of the Duct Tape Marketing System. He isa frequent contributor to small business publications on the subject of marketing andeffective ways for small businesses to use the Internet to promote their business.

Jantsch is the author the marketing success system known as Referral Flood - How togenerate a flood of new business without spending one dime on advertising.

www.ducttapemarketing.com


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Building a Referral-Friendly Business

By Angela Wu

Referrals are an important part of any successful business. They're a great way to keepbuilding your customer base, year after year, without having to go out and pay foradvertising. Instead, you use the power of your current customers to help you continue togrow. Referrals really are 'golden'.

For one thing, in this time-crunched age where everyone's so busy, people are morewilling to depend on the advice of trusted contacts. It saves them from spending time inlaborious research. Referrals also produce a 'snowball' effect.

Happy customers tend to have a good idea of which one of their friends would appreciateyour product or service. They refer people similar to themselves... who also refer people

they know... and so on.

But one of the best things about referrals is that they're easier to convert into customers!It's fine for YOU to say that you provide a great product or service -- but when someoneelse says it, it instantly has more impact... especially when it comes from a trusted friendor contact. Your credibility and expertise have been established by the referrer.

However, many business owners assume that just because they do a good job, referralswill happen automatically. This isn't true; people often need a little encouragement tosend referrals your way. It's up to you to take a more active role in making them happen.

Go ahead and tell your customers that you'll do your best to make sure they're happy.Then let them know that you would welcome any referrals -- in other words, simply ASKfor new referrals. Encourage them by offering referral incentives.

For example, offer a referral bonus or discount. Offer free gifts, extra entries into acontest; whatever is appropriate for your business. And ALWAYS send a thank- you noteand possibly even a small gift to the referrer ... regardless of whether or not the person hereferred becomes a customer.

This will show that you appreciate him thinking of you. Everyone likes to feelappreciated, and he'll be more likely to continue to send referrals your way. You neverknow -- someone he refers in the future might very well become a customer!

Another example of how to generate referrals is to write articles and distribute themaround the Internet. Once again, if you get published you instantly have more credibility -- you build an "expert" status, so to speak.

Many article syndication sites offer a feature that allows the reader to email the article toa friend... and articles are often passed around from person to person through email.


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In both of the above cases, your business automatically has more "clout" than, say, if aprospect were to simply visit your website. In the case of a referral, the prospect hasalready been at least partially influenced by his or her friend or contact... which makesyour job of converting him to a paying customer that much easier!

A referral-friendly business is one, which can continue to send you new customers dayafter day, year after year. Encourage it and reward it!

ABOUT THE AUTHOR

Angela Wu is the editor of Online Business Basics, a practical guide to marketing abusiness on a beginner's budget. This guide offers loads of instantly useable tips andlinks, in a down-to-earth style that even marketing "newbies" can understand! A helpfulOnline Business Dictionary is included too... visit:

(http://onlinebusinessbasics.com/article.html)


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Education is the Key to Effective Referral

Marketing

By John Jantsch

One of the few complaints I hear from small business owners when it comes togenerating business or leads by way of referral is that too many of the referrals they areoffered arent a fit for the business. The referrals are either unqualified, dont need thefirms offerings, cant afford the product or just dont fit the typical profile of an idealclient for the receiving firm.

If this is your referral reality, then you know that chasing leads that dont fit your targetclient can be a grand waste of everyones time and energy. The primary reason for thisaffliction though is that most small business owners and independent professionals dont

take the time to educate their referral sources.

The typical referral request may go something like know anybody that needs what wedo? Okay, I know lots of people, here you go. Have at it!

The solution to this is really quite simple. Ive created a tool I call the PerfectIntroduction, as part of my Referral Flood program. The Perfect Introduction is adocument (although is can take many forms including a web page) that contains answersto the following questions.

How would I know if I spotted your ideal client?

Describe, in great detail, the type of clients you work best with. This step will help assurethat you get highly qualified leads and make it easier for your lead source to think ofprospects that fit a narrow description.

What would I say to best position your business?

Give your referral source the exact words you would like them to use when introducingyour products and services to prospective referrals. Give them a simple, memorable wayto explain the benefits you have to offer. Remember, many of your best referral sourcesmay not be actual clients who can talk eloquently about your brilliance, give them yourcore marketing message so that the expectation they set remains consistent.

How can you add value to my relationship with a referred lead?

This is a multi answer question. Show your prospective referral source what you do tomake them look good and outline any offer you might have cooked up to reward andmotivate your referral sources.


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By the way, money isnt always the best referral motivator. Showing appreciation,helping referral sources meet their goals, and making referral sources look good are allpowerful motivators.

What do you do with the leads you receive by way of referral?

Outline the exact steps you take when you receive a name or introduction. This stepallows the referral source to get comfortable with your marketing process. Everyone hassome fear that the referred party may abuse the relationship by hard selling or callingevery night at dinner time. Put these fears to rest by outlining your very educational

approach. (That is your approach, right?)

Now that you have your Perfect Introductiondocument in hand you can go out there andconfidently let the world know that you are someonethey can feel great about referring.

Another very powerful aspect of this tool is thatoften, even if you dont realize it, you are incompetition with others who are seeking referrals.CPAs, for instance, are heavily targeted by serviceprofessionals seeking referrals. With your referral

process outlined in a very professional manner, you will stand out in the referralcompetition for some of the best potential referral sources.

And Now a Powerful Twist

Once you have created your Perfect Introduction you should also consider using this toolto open doors with potential referral sources. Send a letter to 100 targeted referral sourceswith a copy of your Perfect Introduction and a blank Perfect Introduction form. Informthe recipient that you have clients and prospects that you believe could benefit from theirproducts and services.

Ask them to complete the enclosed Perfect Introduction form (using yours as an example)and send it back to you as soon as possible. Do this and you will find new referralmarketing doors swinging wide open for you. In addition, you will be better prepared togive referrals to your clients and prospects, kicking the referral cycle into even highergear.

--------------------------------------------------------------------------------John Jantsch is a veteran marketing coach, award winning blogger and author of DuctTape Marketing: The World's Most Practical Small Business Marketing Guide publishedby Thomas Nelson - due out in the fall of 2006. He is the creator of the Duct TapeMarketing small business marketing system. You can find more information by visitinghttp://www.ducttapemarketing.com

By the way, money isntalways the best referral

motivator. Showingappreciation, helpingreferral sources meet

their goals, and making

referral sources lookgood are all powerful

motivators.


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The Perfect Way To Motivate Your

Referral Sources

By John Jantsch

You know you have much to offer your referral partners but, they don't seem verymotivated to refer you to their network.

You've taken the lawyer, accountant, financial planner and insurance broker to lunch,explained your greatness but, still, they don't ever send any referrals your way. Maybe it'stime to shift the entire dynamic in this little referral process and spark their motivation bygetting them to chase you instead.

Today I plan to outline two very powerful tactics that will get your prime referral target

partners to return your calls, introduce you to their network and actively market yourbusiness.

Before I do though I want to explain the universal principle these tactics are built upon.

When you make a sales call on one of your prime referral prospects, the focus is one what"they" can do for "you." In that scenario, you are indeed selling. What if your reversedthe focus and presented a referral partnership that instead focused on what "you" weregoing to do for "them?"

The tactics I am about to outline will give you the creative framework but, this shift infocus is the driver and a principle so strategic in nature that it's worth looking for otherways to apply.

So, to shift the focus to your referral source I offer two powerful strategies.

1. The Perfect Introduction In Reverse - Make up a list of 25 prime referral sources -Those folks that you know serve your same market and could easily influence somepercentage of that market to consider your services.Write to these sources and tell them that you admire what they do and think that you haveclients that you could refer to them. Include a form in this mailing that allows them toexplain in their own words exactly how to introduce them to your clients. Ask them to fillthis form out using your Perfect Introduction as an example and return it to you.

Simple as this sounds it will forever alter how they view your business. And, you willcertainly receive some information that will allow you to refer a portion of these sourcesto your clients. But, you will also be amazed by the amount of positive feedback youreceive from the simple twist in the selling dynamic. All of a sudden you become theclient instead of the salesperson.


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2. Interview Syndrome - No matter what the topic, everyone likes to be interviewed. Ipublish a podcast here - and I'm amazed at the caliber of guest that will return my phonecall or email when I ask to interview them for my podcast. Granted, my podcast has a fewmore listeners than the average small time AM radio talk show these days but, there issomething fetching about the lure of the media interview.

Here is how you apply this to your referral network. Make up a list of professionals orservice providers that you think would have something worthwhile to say to your targetaudience. Then, once a month, invite one of these experts to participate in a recordedinterview. Record, broadcast or otherwise syndicate this content on your web site or evenas a series of CDs. Or, you can host these events as live teleseminars and invite yourguest speakers to promote the call to their clients and prospects.

So now when you approach a potential referral source you are no longer asking them todo something for you, you are asking them if they want to be famous, or something closeto it. Can you how one of the above tactics might change how you approach your referral

sources? Try either of these for a while and just might find referral sources begging to beon your team.

--------------------------------------------------------------------------------John Jantsch is a marketing coach, author and creator of the Duct Tape MarketingSystem. You can get more information about the Duct Tape System and download yourfree copy of How To Grow Your Small Business Like Crazy by visitinghttp://www.ducttapemarketing.com


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How To Generate Consistent Client

Referrals: A Lesson

By Daryl Logullo

Let me begin today with a question I received from Cynthia from Greenville, SC. Shewrites:

"How do I get started with an organized process that helps me get more consistentreferrals?"

First, Cynthia is a true pro for wanting to improve. I get asked this question a lot in mycoaching sessions and teleconference calls.

Essentially, the biggest problem most white-collar professionals (attorneys, insuranceagents, investment advisors, realtors, etc.) have with referrals is lack of an organizedapproach. True, you may get your share of referrals now. But imagine what wouldhappen if you tweaked your approach by say, a scant 10 percent?

What would happen to your income, peace of mind and time off?

Law of averages says it would likely go up 100 percent. Why? Because of what I call"L.F.," which is short for leverage factor.

Let's take an example of a business that currently has serves 100 clients. Many are activeclients; some are not. In this instance, by improving referral organization andconversations by 10 percent, or once in every ten encounters with a client, I amsuggesting this would have a positive impact on your income, peace of mind and freedomto the tune of 100 percent. This is because every conversation has the effect of generatingnew found revenue for literally zero cost of sales.

So how do you create an organized process that is easy and simple to follow, and bringsyou real results?

One way (there are actually seven I teach) is to focus on your client meetings as a way oftalking about your work. I addressed this in a recent newsletter, which I stated: focus onaffirming and reinforcing your value. One of the best ways to do this is through clientinteraction, and specifically, one-on-one client meetings. Breakfast or lunch meetings areperfect scenarios for this.

Why use a client meeting, you ask? Look no further than...


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The Key Concept

Active, quality referrals don't happen if you don't talk about them.

This month, start to block 10 minutes at then end of each client meeting to talk about thesubject of referrals. Let the client know ahead of time you'll be having a short"brainstorming session." No surprises here: You want their permission before you startdiscussing the subject of referrals and introductions. (If you're lost on what to say, sendme a note).

Then a few days later, follow-up with a letter that summarizes and lists what I call the*2N's* from your meeting: Names and Needs. You want the complete buy-in from thereferrer prior to contacting the names they gave you.

Simple? Easy? Effective? Yes. Yes. Yes!

So why don't more professionals do this? Theobvious reasons are that it is both unnatural andoften scary to them.

1. It is often unnatural and scary to tell a clientthat you are interested in growing, and that youvalue them and would like their assistance inhelping you to grow.

2. If it often unnatural and scary to share with a client that your business is at a certainlevel in terms of client size and earnings - "Point A," and you are interested in growing(to "Point B").

3. It is often unnatural and scary to disclose to a client that you have hopes and dreams ofgrowing, developing, and serving more people because you are fearful they client maythink you will neglect them.

Note that the common theme here is "growing." You need to understand that growth ishealthy, natural and a sign of ambition. It is yet a positive, encouraging and outwardcontribution to a local and community business climate that often can be quite stagnating.

Quite simply, people enjoy others that are positive, excited and ambitious. In fact, Iwould suggest we don't have nearly enough people around us in our day-to-day lives withthese enthusiastic qualities. Reach out to your clients. Share your hopes, visions anddreams. And show them how they can help contribute. You'll be amazed by theirreaction.

Keep looking up!

You need to understandthat growth is healthy,natural and a sign of

ambition.


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Daryl T. Logullo is the Founder of Strategic Impact! and Marketing-Referrals-Tools.comHe concentrates on referral building strategies for today's professional. Get "The MostPowerful Referral 'Secret' Ever Discovered," instantly delivered at http://www.marketing-referral-tools.com/


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How To Ask For Client & Customer

Referrals- (& How To Overcome Referral

Objections)

By Daryl Logullo

A big question I am asked each month from professionals I work with interested inincreasing their client and customer referrals (realtors, financial advisors, attorneys,CPAs, bankers, etc.) is this: "When I discuss referrals, how do I overcome referralobjections?"

Essentially, this is an age-old sales dilemma grounded in one thing: fear. And the "fear,"

in this case, is on both sides of the equation:

Equation #1: I am afraid (fearful) to ask the client or customer for a referral.

Equation #2: The client or customer I am *asking* for a referral is afraid (or fearful) todiscuss the subject with me.

I want to be clear: The client or customer you're asking for a referral is NOT telling youWHY they are afraid. It is often well below the surface. The key to this lies indiscovering why the other person is fearful to begin with. And there are three (3) waysyou go about doing this.

1. Eliminate the other person's fear by adding more information. If they object toyour comment about referrals, you may start by saying something like: "John, I'mglad to hear you say that. I know exactly what you mean," or "Thank you forbringing that up; it's a good point."

Another way is to use the "3-F" format: Feel, Felt, Found.

Practical example:

"John, I know how you *feel* about providing referrals. I've *found* the same to

be true in my business, in that I never give referrals until I understand all the worksomeone has done for me. I've also *felt* that once I've gotten all of thatinformation, I'm happy to refer business. Is that what you really meant?"|

Tip: At this stage, you must go slow, slow, slow--- present the information thatdispels the person's perceived problem in granting you a referral. Be careful, andgo slow.


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2. Treat the referrers' objection as an "objective." Legendary sales master Zig Ziglaronce said that a person's objection to anything in life is simply their *objective.*It's nothing more than them trying to accomplish something they are not tellingyou about!

Practical example: A CPA or attorney is not objecting to referring one of theirhighly valued, affluent clients to you--- they just have a certain "objective" beforegranting you the introduction. Do you know what that "objective" is? Remember:objection equals objective.

3. Probe to see if their voiced objection is the only one they REALLY have. In mostcases it is NOT. So work towards confirmation and reinforcement. For example,confirm and get reinforcement onto the table.

Practical example: "That's a good point to consider John. Your question iswhether this is the smart thing to do right now, isn't it?"

When the person replies yes, begin to ask for reinforcement: "Well, you do likethe program, don't you?"

You need reinforcement from the referrer.

Remember: Every instance is different. And every person is different, as is theircommunication style. Discover the nature of a person's resistance. If the conversationbecomes heavy or tense--- back off.

Don't ruin your chances for referrals later by exploring too hard now. But get exploring!

Daryl T. Logullo is the Founder of Strategic Impact! and Marketing-Referrals-Tools.comHe concentrates on referral building strategies for today's professional. Get "The MostPowerful Referral 'Secret' Ever Discovered," instantly delivered at http://www.strategic-impact.com/Rule3. Or instantly grab 50+ FREE marketing and referral tools here:http://www.marketing-referral-tools.com/


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How To 'Touch' More Customers ForReferrals

By Daryl Logullo

Want to guarantee success in any marketing program? Heres a tip: try looking at yourexisting customers, first. While not profound, plenty of businesses need to be reminded.

I dont mean putting together some wishy-washy, lukewarm appreciations that mostbusinesses have like calendars, birthday cards or fruit baskets. I mean grabbing insight

into your customers thats so intense that its not new customers, but old customers thatend up adding to your growth.

Taken together, both old and new customers are a powerhouse to more sales and profits. Idont know who first said, Your best prospects are your existing customers, but what asimple statement.

Are you putting your marketing efforts into your existing customers? Reselling?Upselling? Cross-selling, to them? Are you staying in touch, everyway possible?

Try it. Use package inserts, regular mailings, special offers, coupons, referral letters,

short notes, article clippings, emails the point is to stay in touch. This gets them usedto you, and puts you first when they need to buy.

Follow these steps to more customer sales, and more business:

1. Keep in touch. All customers want to feel special and that you have an interest intheir needs.

2. Provide reassurances after purchase. Every time a customer places an order, callthem a few days later and see how its going. This will keep the post-purchasedevil from rearing his ugly head.

3. Give customers the best deals possible including guarantees that you can getaway with.

4. Use preferred pricing let old customers in on the best deals. Give them firstcrack at buying before new customers.


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5. Build trust. Be honest. Think about the people or business you buy from. Itsprobably because you trust them. People do business with those they trust.

Remember: people bought from you. Theyll keep buying and re-buying only if they havea good experience and of course hear from you regularly. Follow these rules and

youll Grow Clients

Daryl T. Logullo is the Founder of Strategic Impact! a referral consultancy located inVero Beach, Fla. He concentrates heavily on alliance and referral building strategies fortoday's professional. Get a Free Report, "The Most Powerful Referral 'Secret' EverDiscovered," instantly delivered at http://www.strategic-impact.com/Rule

Get over 50+ FREE marketing and referral tools here: http://www.marketing-referral-tools.com/


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30 Client Referrals or More -- How to Get

Them

By Daryl Logullo

Do you get all of the referrals you want?

Most professionals don't because they're afraid. Afraid they'll hurt their clientrelationships. Afraid they won't cultivate any new business. Or afraid they'll appear cheapor salesy.

It's an imagined psychological line in the sand you're afraid of crossing with people. It'sin a concept I teach called "D.V.", or Damage Verge. You're frightened that by bringingup the word "referrals" you'll push your clients, cross that line, and create damage.

Let me give you an example.

Of 5,200 investment and insurance professionals surveyed earlier this year by my firmStrategic Impact!, an overwhelming 79 percent said they rely on referrals as their primarysource of new business. Eighty-three percent of those professionals had at least 100clients. Yet the median number of referrals they received from their clients over a 12-month period was just 6 to 12! That means that, on average, only about 10% of theirclients were generating referrals. That's horrible! And being passive causes it.

If clients are your best source of new business then the figure indicates a tremendous

problem. The question is why? My answer is Damage Verge: A psychological barrierwhere you imagine the worst possible thing will happen if you ask a client for a referral.

Before you can even think about how to bring the subject up, your brain kicks into warpspeed and says, "I can't ask them for a referral; they might get mad at me. . . feel upset. . .be uncomfortable. . . [insert your excuse here]. . . or worst yet, they'll just say, 'No!'"

What I'm referring to is nothing more than your conscious mind gets into the act, and youwrongly start envisioning that worst-case scenario coming to life. You see yourselfoffending someone, being presumptuous, asking the wrong way, feeling embarrassed,and finally ruining a prized relationship.

Four ways to break through

1. Be more in tune to your client's communication style. The Damage Verge isdifferent for every client and customer, depending on that person'scommunication style. Still other clients get instantly turned off, regardless of whatyou try to discuss with them. Understanding your clients' varying styles of


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communication and receptiveness to your goal of building more business will go along way in cultivating referrals.

2. Know how to 'ask' for referrals. Nothing evokes more fear in professionals thanthe thought of sitting down with a client and "asking them" for referrals. So don't!

That's right--don't ask for referrals. Focus on earning personal introductions fromclients. The key is that you must test and confirm with every client that they arefinding value in you and your work.

Use a monthly meeting, lunch, or quarterly review to touch base. I ask one simple,very powerful question: "Mrs. Client, tell me: How am I doing in my relationshipwith you?" The answer allows the referral door to swing wide open--ortemporarily close tight. Either way, you've got a much better read on therelationship.

3. Practice with your C-level clients, and

then move up. Practice on relationshipswhere the stakes aren't so high. Takesome of the pressure off yourself bybuilding self-confidence andenthusiasm--and seeing results--with B-level and C-level clients.

It's highly unlikely that you would everoffend someone who has confirmedyour value. But, if you do upset

someone, let it be a C-level client that wouldn't be irreplaceable if they shouldtake their business elsewhere.

4. Give clients a reason to share you with others. I believe in the 80/20 Rule when itcomes to client referrals. It says that 80 percent of your clients utilize only about20 percent of the services you have to offer. One way to counter this is bybundling current services as "value-added" extras--this shows appreciation foryour current client relationship while simultaneously giving your clients morereason to suggest your services to others.

Remember, you want to introduce the subject of referrals with your clientswithout adversely affecting the relationship at all. You want to get near theirdamage verge, but you must never cross it. It's like stepping near thin ice--withoutever falling through. Stay in the area where the relationship provides enoughsupport for what you're saying--and don't overload it.

Daryl T. Logullo is the Founder of Strategic Impact! a referral consultancy located inVero Beach, Fla. He concentrates heavily on alliance and referral building strategies fortoday's professional. Get a Free Report, "The Most Powerful Referral 'Secret' EverDiscovered," instantly delivered at http://www.strategic-impact.com/Rule

Stay in the area wherethe relationship providesenough support for whatyou're saying--and don't

overload it.


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Make a Referral Offer They Cant Refuse

By John Jantsch

Sometimes your referral marketing effort just needs the right hook or offer to get peopleto pay attention and participate. Draw from my top 5 referral offer starters and think ofways to creatively wrap your business around one or more of them.

1) Offer special pricing

If you are looking for referrals from your existing clients, you can develop a special pricefor those clients who refer a set amount of new business. Then, when a new client askswhat the price of a product or service is, you can respond, "Do you want the full price orthe special referral price?" This encourages repeat business and can provide a strong

incentive to refer on the spot.

2) Will work for referrals

If you can target a referral source that has influence with your target market, you canoffer a trial service or product in exchange for an endorsement of your products orservices, a testimonial or a place in the next association speaker panel.

Seek out the leaders in trade groups and organizations you would like to target and offerto perform a service or let them try your product free of charge. Get them to agree that ifthey like your product or service as much as you know they will, they will send a letter to

the membership of the organization promoting your offer. Then write the letter for them.

3) Help a worthy cause

Donate a percentage of business acquired by way of referral to a non-profit agency. Byoffering to help a worthy cause, you can increase referrals while improving yourcommunity.

There are many variations on this referral strategy. You can make donations to adesignated charity in your referral sources name. You can allow your referral sources todesignate a charity of their choice. If you have a product or service the non-profit agencyuses or buys, you can donate that.

One of the hidden powers behind this strategy is that the non-profit agencies can becomestrong referral partners. If they benefit from referring clients, then they may be highlymotivated to provide referrals. In many cases, non-profit agencies have loyal donors,board members, community activists and volunteers who would be happy to do businesswith a firm that was providing funding for the non-profit agency through a referralmarketing program.


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4) Give away gift certificates

Although the use of gift certificates isnt a true referral marketing strategy, it can be greatway to generate referrals. If you have a product or service that lends itself to this, you can

provide your clients or referral sources gift certificates to use as a referral tool. The ideais that your clients would give the certificates to people they feel would enjoy receivingthem. In most cases, these recipients would be new clients willing to try your service byusing the certificate.

A consultant might give certificates for a one-hour evaluation assessment. The value ofthe assessment, if purchased, might be $150. It is important that the certificatecommunicate this value. Make sure that what you are giving has a high, perceived value.

A plumber could give free service call certificates ateach stop and ask the client to hand them out to

neighbors.

5) 100% refund for referrals

This is one of my personal favorites because notonly is it a terribly powerful referral strategy, itpresents such a strong offer that it can become a corepoint of differentiation.

In other words, the sales message is so strong, you become known for it.In this strategy, you simply show your clients how they can receive a 100% refund on aspecific purchase by simply referring five other people who become clients or make asimilar purchase. (Again, you work out the numbers that apply to your business.)

The power behind this is three-fold.

It helps you land clients because people think, What the heck, I can get all my moneyback, and because it becomes a game for them. Structure your offer in such a way thatthey get a 20% refund (up to 100%) every time they refer someone. That way, they cankeep score. It usually makes sense to put a time limit on the offer as well.

Another very important aspect of this particular strategy is that it has a viral componentto it.

Anyone who can earn a 100% refund will talk about it. In addition, everyone who comesto your practice by way of this method will already understand the rules of the game andmay very well be ready to play the day they become a client. So, thats 5 x 5 x 5 x 5 andso on. You do the math!

Structure your offer insuch a way that they get

a 20% refund (up to100%) every time they

refer someone.


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Reread that last paragraph because it is true of just about any referral marketing strategyyou create. Thats one of the reasons referral marketing is so powerful.

John Jantsch is a veteran marketing coach, award winning blogger and author of Duct

Tape Marketing: The World's Most Practical Small Business Marketing Guide publishedby Thomas Nelson - due out in the fall of 2006 He is the creator of the Duct TapeMarketing small business marketing system. You can find more information by visitinghttp://www.ducttapemarketing.com


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Educate Your Referral Sources and They

Will Reward You For It

By John Jantsch

Do you know the number one reason that business owners don't get enough high qualityreferrals?

Fear. That's it.

Now, on one hand you might think that I mean that some business owners are just flatafraid to ask for referrals. There is no question that there is a great amount of truth to thatbut...

The biggest stumbling block of all is that your clients and your referral network are afraidto refer your business because they don't really know how to do it.

You must train them, educate them, and take them by the hand and show them how toprovide you with killer referrals.

Here's what you must do to create an effective referral marketing system.

1. Narrow your target referral - tell the world you are after a very specific type ofprospect. This is a good thing for any of your marketing efforts because asking the vague"know anyone who needs what I do" will severely limit the number and quality of leadsyou receive. Be specific.

2. Be able to tell your referral resource - what you do that is extremely valuable - not,I'm a marketing consultant - that much I hope they know. Something more like - "I helpfinancial planners triple what they charge." Consider uncovering a statement like the oneabove for your business and then print it on the back of business card in the form of aquestion. Know and financial planners who would like to triple what they charge? Thenleave some space for someone to write a name and phone number. This type of tool willput your referral program on autopilot.

Now you've got their attention. Now you've given them nice tidy way to refer you.

3. Tell your referral source exactly what you intend to do with the referred lead. "Iwill call them and offer them a free evaluation as a gift from you and then add them tomy quarterly tips newsletter." See, most people figure that you might stalk them andhound them until they give. So outline your referral marketing plan for your source andput them at ease.


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4. Tell them why they want to refer you - you must help them understand how they willbenefit by providing referrals. In some cases, the motivation might simply be that they

will be seen as helping their friends and clients. Dont overlook the power of thismotivation. Many business owners can themselves benefit by introducing you to theirclients. On the other hand, in other cases the motivation may need to be a bit moretangible - something like a trip, finders fee or free product.

5. Follow-up - thank them and let them know how successful you have been becausethey referred business to you. Communicate with your referral sources every step of theway. Send them movie tickets when they introduce you to a lead and then a nice giftbasket when that lead turns into a client. This type of follow-up will encourage continuedparticipation from your sources. The more involved you can get your sources, setting upmeeting on your behalf and verbally endorsing your product or service, the better.

Take the time to create this educational component of your referral system. Documenteach step and then go out there and boldly present your case to your clients, referralsources, and referral network. This is the missing piece of the puzzle for most businessowners who attempt to grow their business by way of referral.

John Jantsch is a marketing coach and the author of Referral Flood - How to create aflood of new business without spending one dime on advertising. You can get moreinformation at http://www.ReferralFlood.com or by sending a blank email [email protected]


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Three Reasons Networking Events

Increase Your Referral Business

By Deborah Walker

As every entrepreneur knows, referrals are the lifeblood of small business. Events hostedby professional associations, college alumni groups and your local chamber of commerceare the perfect opportunity to expand your network of professional contacts. Networkingleads to a direct increase in the number of referrals you receive for new customers,earning you new business. Yet as a business coach, I've learned that small businessowners rarely take the time to attend networking functions.

There are three key reasons that networking for referrals makes good business sense-especially for entrepreneurs:

1. Referrals come to you pre-sold.

When a network contact sends you a referral, they've already done a good part of theselling for you. This is a fantastic concept if you don't enjoy prospecting for newbusiness. With every networking event you attend, have a goal of meeting new peoplewhose business contacts complement yours. With a robust network, you've got your ownpro-bono sales force enthusiastically working for you seven days a week. You couldn'tbuild a better sales team than that!

2. Trust is built faster with a referred client.

A key buying motivation with every consumer is reducing risk. No one wants to feelthey've made a poor buying decision. A prospect who has been referred to you sees youas a friend of a friend, so you are instantly viewed as trustworthy. A referred customerfeels more comfortable during the buying process and tends to purchase more.

The social aspect of networking events is designed to build trust and friendships amongbusiness contacts. When attending functions look for ways to assist others in theirbusiness-growth objectives, and you'll find yourself surrounded by professionals eager tosend business your way as well.

3. Referrals clone more referrals

For long-term revenue growth; nothing beats the multiplying effect of referrals bringingnew business directly to you. Your reputation for quality and integrity grows with eachnew "generation" of referred business. The loyalty factor helps protect you against thefads and gimmicks of your competitors.


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Remember that each new referred client has their own circle of influence that represents awhole new door of networking opportunities for you. Find out what professional or socialgroups your new clients are involved in and offer to provide a short seminar,presentation, or article content for its newsletter. Your valuable insight will win you theenviable reputation of "expert in your field" within that group. And when they need

assistance, you'll be the one they call.

The time you spend building relationships within your professional network pays offbetter in long-term revenue growth than any other marketing strategy. Instead of thinkingof networking events as a chore, think of them as a chance to put more money in yourpocket. The old adage, "Work smarter, not harder," certainly applies when it comes tonetworking.

To find great networking opportunities, keep an eye on the schedules published by yourlocal professional association, chamber of commerce and business newspapers. Once youare at an event talk to as many people as possible about your business; it may surprise

you how often they need your services or know someone else who does. Dedicate timeeach week to meet with others in networking activities, and you'll see your referralbusiness grow in ways you never thought possible.

Deborah Walker, veteran coach and revenue building expert helps entrepreneurs andsmall business owners to improve sales, revenue and profits. Her long-term experience assmall business owner provides insight on avoiding the pitfalls of starting, growing andmaintaining a small business enterprise. To learn more about revenue coaching visithttp://www.RevenueQueen.com


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I Hate Asking for Referrals! 6 Proven

Methods for Getting a Flood of Referrals

Without AskingBy David Frey

Yes, I admit it - I hate asking for referrals - dont you? Be honest. Doesnt your heart startto pump faster and hands start to sweat even thinking about asking a customer for areferral?

If youre like me, you hate to impose on others. Asking for names of friends or familymembers almost makes you feel as though youre selling a multi-level marketingopportunity.

Not to worry. There are many ways to get a continual stream of qualified referralswithout having to go through the painful process of asking for referrals face-to-face.

The secret to getting referrals without asking for them is to develop referral systems thatdo the asking for you. Here are six innovative systems for getting referrals withoutasking.

Referral System # 1

Make a list of people / businesses that sell complimentary products and services to yourown product or service. If you sell athletic shoes your list might include health clubs,running clubs, basketball teams, or podiatrists. Now create a referral program that paysreferral fees for people that are sent to you by your referral partners.

To make this system more effective, give your referral partners customized coupons,tickets, or cards that the referral brings with them to your business so that you cancorrectly track each referral source.

Referral System # 2

Approach charities in your local area to get a list of donors that already give to thecharity. The United Way is a good place to start. Most United Way donors makeadvanced pledges or set goals to give a specified amount to the United Way.

Now approach the executive sponsor of the United Way donation drive and make aproposal. Propose that for every referral that is sent from their organization to yourbusiness, you will take a percentage of your sale and donate it to the United Way (orwhatever charity they are affiliated with) in their name.


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Referral System # 3

Local churches are always looking for innovative ways to raise money to sustain theprograms they offer to their members. Most churches would be enthusiastic about theopportunity to receive a donation from you or your business.

Simply call up the ecclesiastical leader and ask if you can meet with him/her to talk abouta potential fundraising activity. Propose that for every referral (church member) theysend your way, you will donate a percentage of the sales to the church. In return, thechurch should agree to promote your business.

This same referral tactic can be done with the booster clubs of local sports teams, BoyScout troops and other organizations looking to raise money.

Referral System # 4

The fourth referral system is very simple. Give your products or services away (orsignificant discounts on your products or services) in local raffles. In my hometown ofFriendswood, Texas the local Ford dealer gives away a brand new truck in a 4th of Julyraffle through the local Chamber of Commerce.

The tickets sold in the raffle go towards paying forthe cost of the truck and the dealership gets todisplay the new truck for several months leading upto the raffle in high-profile areas provided bybusinesses that are members of the Chamber ofCommerce.

In fact, we found our financial planner through araffle offered through the local Boy Scout troop.We "won" a full financial analysis and eventuallypurchased some of his products as a result of theraffle.

Referral System # 5

Most everyone has a barber or hairstylist they use on a frequent basis, especially if youhave children. I dont know about you, but my barber always engages me in conversationduring my haircut. And most barbers and hairstylists are very happy when you give thema $2 - $3 tip. Do you see where Im going with this?

Why not approach the local barbers and hairstylists and offer them $1 for every referralcard they pass out to their customers. You might even motivate them to talk up your

Give your products orservices away (or

significant discountson your products or

services) in local

raffles.


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business by promising them a percentage of each sale that results from their referral.

Referral System # 6

The last referral system will not only bring you referrals, but will also create a lot ofgoodwill. I learned this tactic, strangely enough, by Princess Diana and a local real estateagent. When Princess Diana died a close associate of hers was interviewed and revealedthat Diana always carried a set of "royal" thank you notes.

Every time she met with someone she would remember their names and as soon as shegot in her car she would write a short thank you note to them. The people cherished thethank you notes they received from the Princess. After hearing that, I started to carryaround my own box of thank you notes.

But heres what really will make this referral tactic take off. Not long ago I received anemail from a subscriber to my Marketing Best Practices Newsletter that had this phraseunder the mans signature:

By Referral Only

By Referral Only...means: We invest 100% of our time and energy to delivering first-class service to our clients. As a result, our valued clients, suppliers, and friends refertheir family, friends and work associates to us for advice on buying or selling real estate.We're interested in building strong life long relationships one person at a time.

You see, its not enough to send a thank you note. People need to know that you want andappreciate their referrals. The phrase, in essence, answers the question, "What can you dofor me in return for this nice thank you card?" Immediately, I had this phrase printed onthe bottom of my thank you notes and my referrals took off.

Conclusion

Each of these referral tactics that I have shared with you are s-y-s-t-e-m-s. They motivateothers to generate referrals for you without you having to play the role of the beggar andasking for referrals face-to-face.

The best thing you can do to excite your referral partners is to get them to experienceyour product or services themselves. Then they can talk about it with first-handknowledge. It will not only make them more credible to others but once they'veexperienced the benefits of what you have to offer, they will be more excited to tellothers about it.


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In the referral systems that require you to pay referral fees, make sure you pay quickly,

honestly, and with gratitude. Always give your referral partner the benefit of the doubt. Ifyou treat them right, you will be the benefactor.

David Frey is the author of the best-selling manual, "The Small Business MarketingBible" and the Senior Editor of the "Small Business Marketing Best PracticesNewsletter." To get your free lifetime subscription visithttp://www.InstantReferalSystems.com


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Create Your Own Referral Sales Force

By John Jantsch

Joining referral networks or local chamber groups can be a great way to help you networkand generate referrals. The most powerful way to use this strategy, however, is to growyour own.

Almost any business can benefit from having a group of trusted providers effectivelymarketing your business like a referral sales force. When you build your own privatereferral network your business benefits in two very powerful ways: you experience anincrease in leads and you have additional resource to bring to your client relationships. Insome cases, this second benefit may produce the greatest long-term impact of thisapproach.

How to build it

The key to building your own referral network is to focus on developing relationshipswith businesses you can believe in thoroughly. I would suggest that the first considerationshould always be - what can this business bring to my client and not what can they bringto me. You might start by identifying the top products and services you know yourcurrent clientele need and use.

There are many ways to build a "formal" referral network. Let me explain the idea offormal. To me that means there is an agreement between the parties that explains whateach party will do. There is a process where each party educates the other on the best wayto refer each other. There are marketing materials of some form that help each businesscross promote. Once this basis framework is in place, creativity can come into play inmany ways.

The one place I see these efforts trip up is when the focus is on compensation. In otherwords, if everyone in the group is concerned about keeping score, the group is bound tofail. You must focus on the benefit to your clients. If you do that, the universe will takecare of the rest. There will always be members that only want to take; you've got to beready to move them out of your network.

Let me give you an example

This financial planner created his very own referral and lead network by sending a letterto 10 other professionals that he had worked with and felt comfortable referring businessto. This letter informed them that he was creating a unique referral network of 100 of thearea's top professional service providers. He invited them to become members andexplained that he needed them to recommend 10 others who belonged in this exclusivegroup. He then created a resource directory and website that featured all 100professionals. The entire group promoted the directory and web site and referred business


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to each other. As a result, other professionals begged to be allowed into the group. Thestrategy was so powerful that many of network members did no other form of marketing.

Once you put your group together there are many ways to take advantage of power of thisnew sales force.

Create a blog network

If ten or fifteen related businesses were to get together and create a blog focused on aspecific target market, in a specific geographic location, they could easily create a veryvaluable local resource. With very little effort this blog would rank very highly for localsearch engines terms related to the blog topics. Even with the mainstream recognition ofblogs, this is still a wide-open opportunity.

Interview each member for a teleseminar series

Host a monthly interview with an expert and feature one of your network members. Youcan conduct these interviews over the phone and have all the members invite attendees tothe teleseminar series. Record each session and you've also created some killer contentfor other marketing efforts. Keep these calls non-sales, high impact, and information rich.

Create co-branded white papers

You should be creating and using white papers in your lead generation efforts anyway, sotake those educational pieces to other members of your network and let them startoffering them to their clients and prospects. Put their logo on the cover with your logoand you've got an instant hit.

Do endorsed mailings

One of the simplest ways to promote members of your referral network is to mail a letterto your clients endorsing another member's work. If every member of the group were todo this same thing, you could experience an instant flood of new business.

Put on a group workshop

Once you have built a strong group, you should consider hosting an all day workshopcovering the hottest topics of concern to your target market. Each member of the groupcan present a topic, and all parties invite participants. For some groups, this could turninto a profit center above and beyond referrals.

Distribute marketing materials and offers

It's pretty simple to create little leave behind marketing pieces so that when the plumbermakes a house call he can leave a special offer from the heating and cooling andelectrical members of the group.


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Bundle each others products and services

In some cases partnering with your referral network can help you make a much morecompetitive offer. Putting your products and services together with two or three other

providers might give your firm the ability to compete with much larger organizations.

With some careful consideration and a little effort you could build a referral network thatwould rival any sales force.

John Jantsch is a veteran marketing coach, award winning blogger and author of DuctTape Marketing: The World's Most Practical Small Business Marketing Guide. You canfind more information by visiting http://www.ducttapemarketing.com .


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The Story Of Referrals

By Joseph Shane Brooks

Referrals are what make and break many mortgage lenders. Referrals are incoming callsthat are referred to you from an outside source. That source might be a newspaper, afriend, a former client, or even the internet. In the end, though, mortgage originatorsknow that incoming calls are always better than outgoing calls. So by understanding whattypes of referrals you can take advantage of, you will be better able to pursue them theright way.

Your Family and Your Friends

They may not count for a lot of your business, but a mortgage professional should be able

to count those closest to him or her. When someone's immediate social clan is in themarket for a mortgage, you would likely be the firstone they call. Certainly you do not have to worry toomuch about competition, but you do have wadethrough the referrals you get that are not qualified topursue a mortgage.

With a family or friend referral you get a little bit ofeverything from your mom's divorced friends toyour buddy's old college roommate. The referralsmay or may not even qualify for the mortgages.However, in the mortgage business it is all aboutnumbers so you take them anyway.

Referrals from the Internet

There are also referrals coming from the internet. Mortgage customers find online helpand that is where your form shows up. When they fill out the form with their information,the form is fed to you so that you can then take that and turn it into your lead.

These referrals are great, because you are getting the prequalification information upfront. Before you even make a phone call you will likely have knowledge of whether ornot the referral is worth your pursuit. With internet referrals you can even go all the wayto targeting certain sizes and types of mortgage. In a way, the internet referral is the mostreliable if not the most common to come across your desk.

Ads

Sometimes, your referrals may come from traditional advertising. For instance, manymortgage professionals give those applying for a mortgage after seeing their ad some sort

With a family or friendreferral you get a littlebit of everything fromyour mom's divorced

friends to your buddy's

old college roommate.


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of incentive. The incentive may be an award, money, a coupon, or something else thatcould push someone over the edge in terms of applying for a new mortgage.

Real Estate Mortgage Referrals

Then there are the referrals you get through real estate agents. These are the referrals thatcome from realtors who help people buy new homes. They usually know that the peopleare interested and by the time they get to you it is just about getting them qualified. Theseare great referrals because they are fairly well qualified and you do not usually have a lotof competition for the loan.

These types of referrals are exactly why it is important to find ways to partner up withreal estate agents. There are many ways to do this, most of them wrong, and a number ofadvantages to it if done correctly. Besides allowing you free access to a number of leads,it also allows you access to the best customers in the mortgage industry: renters who arelooking to buy for the first time.

When you are in the mortgage business, turning renters into buyers is the easiest way tomake money. When you partner up with the right real estate agent, you will get all of therenters turned buyers you can handle, which can make you thousands every month. Thekey is simply to find a program that will help you do just that. When you find such aprogram, your real estate mortgage referrals can go up significantly which makes yourincome go up.

Referrals are what can launch you from a pedestrian mortgage professional to someonewho is breaking the bank and making noise in the industry. That is why it is important tocultivate all the right mortgage referrals so that you can produce the best and brightestbusiness possible. It does not matter as much what type of referrals you get, but that theyare your best leads: although, a partnership with the right realtor can have you both takingcare of all those first time buyers who are ready to buy a mortgage from you.

Joseph Shane Brooks is a businessman with in depth knowledge on many subjects suchas mortgage marketing, real estate, and especially internet marketing. "Shane" likes tospend his spare time fishing, reading, and spending time with his daughter.www.MortgageMarketingStrategy.com


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Getting Referrals

By Bryan Brandenburg

Referrals

A substantial part of your business can come from referrals. The key is to provideextraordinary customer service and educate your clients and influencers to this fact. Youmust actively cultivate referrals; otherwise you're just leaving it to chance.

Referrals Start with Great Service

The foundation of great referrals is great customer service. A large part of your businesscan be generated through referrals. Make an investment in your business and your client'ssatisfaction by doing excellent work.

Characteristics of a Referral Source

Understanding the characteristics of a strong referral source, allows you to spend yourtime with the most qualified prospects. Below are the conditions of the optimum referralsource:

Must have a relationship with your target client

Must understand your target client profile

Must be educated on what you do

Must respect you and your company

Must be respected by your target client

Must be motivated to refer clients to you

Existing Clients

You should regularly ask for referrals and you should have a formal referral programwith your existing client base. We simply send a letter out regularly to our clientsexplaining that we would rather spend our money enhancing our services then marketingfor business. We ask for referrals.

We send coupons that can be distributed, business cards, and newsletters that can beforwarded. We're not pushy; we just are up front that if they are satisfied with ourservices they should recommend us.


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Complimentary Vendors

With other vendors you need to be more formal about your referral arrangement. Thepromise of mutual reciprocation rarely works. Immediate gratification does. If you'reclear about the value of the client calculated earlier in this section, then be generous with

your fellow vendors when they bring in a client.

If youre going to make a profit of $10,000 over thelife of the client, writing a check for $1000 to thereferral source shouldn't be painful.

You may have friendships with some of these vendorsbut theyre also business people and should beconcerned that they spend time improving theirbottom line. When you propose a solid cause andeffect financial arrangement, youll get significantly

better results.

Evaluate all the businesses that are non-competitive but end up doing business with yourtarget client. Examples of this are:

Cabling Companies

Management consultants

Phone Companies

Software Companies

VARs

Hardware Companies

Make it worth their while and put the offer in writing. It could be a major source of newleads for you.

Seminar Participants

If you provide great value at your seminars, this could lead to a lucrative referral pipeline.But like anything else, you must consciously cultivate the referrals.

Include extra business cards or coupons in the seminar package and on your evaluationquestionnaire, specifically ask if there is somebody the participant knows that could use

your services or should receive a discount coupon for the next seminar. Ask and you shallreceive.

Professional Services

Some of the best referral sources you have available are from those that provide yourcompany professional services. You're their client, so they're naturally inclined to provide

When you propose asolid cause and effectfinancial arrangement,youll get significantly

better results.


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extra value. They also have a great deal of insight into the work you do and your success.Examples are:

Bankers

Leasing agents

Commercial real estate broker

Accountants

Attorneys

Secondary sources that could surprise you are:

Regular delivery people

Vendor contacts; office supplies, hardware, etc.

Cleaning services; contact the managers or owners

Cultivate and groom these sources of referrals. Behave professionally in all of yourinteractions. Keep them informed on new clients, products and services, press and so on.Supply them with business cards and actively ask for referrals.

Other Referral Sources

There are other referrals sources that may have already generated business for you

without having a formal referral system in place:

Friends

Members of your church

Neighbors

Employees

Prospects - If they don't buy, ask for a referral

Members of other organizations you're associated with school, political, etc.

When to Ask for Referrals

You should always be asking for referrals if you deliver a quality product or service.There are times when you'll get better results than others. Here are some guidelines forwhen to ask for referrals:


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After signing a contract.

Periodically with a letter, say once a quarter

When successfully completing a project and your client signs the final approval.

When a prospect turns you down. Guilt is a beautiful thing.

When you're doing a client satisfaction survey.

When you're calling an inactive client.

When you're calling an active client.

If you're unclear on how to ask for a referral, here are some variations to try:

"It was a real pleasure working with you and I look forward to our next project together.

In the meantime, if you know somebody that needs quality software developmentservices, I hope that you pass on what a good experience you had with our company andhave them give us a call."

"I'm glad things

superstar referral marketers

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