Get More Referrals With This 4-Step Formal Referral Plan

Your business could die without referrals.

Companies with formalized referral programs experienced 86% more revenue growth over the past two years when compared to the rest. So, what starts happening when your competitors invest in a referral program while you keep spending thousands on advertising?

Business suffers. Competitors grow. Your doors close.

A documented strategy provides structure to the process. You’ll have specific systems and goals, all of which will help you gain referrals by strengthening your business relationships.

In today’s post, you’ll learn a 4-Step Referral Plan to serve as the basis of your strategy. By implementing it, your business will be set on a path to success in the coming year. These tactics are meant to increase acquisition, retention and referrals in your business.

1. Publish a Blog

The key here is to publish content that adds IMMENSE value to your clients.

They should want to visit your blog all the time, and want to share it with their friends. Regular blogging is the perfect way to acquire top-of-mind awareness with clients. And when you’re sitting at the front of their mind, they’ll answer your name when the topic comes up.

Remember, you need to think about what the CLIENT wants to read in a blog -- not what you want to write about. Keep them interested and they’ll remember you.

A few industry examples:

• Headhunters could write about interviewing tips and best practices.

• Marketers could write about small business growth strategies.

• Divorce attorneys could write strategies and advice for leaving bad relationships.

No one wants to share a boring article full of technical jargon. If you want your blogs to get read and shared, you need to appeal with a casual personality.

2. Develop Partnerships

Smart companies understand the value of partnerships. These are people who operate a business who serves the same type of clients, but aren’t in direct competition with you.

Think of all the people who service the situation you support.

For example, someone planning to sell their home will come in contact with a variety of people across a range of professionals. A few include:

• Exterminator

• Handyman

• Property Insurance Agent

• Mortgage Broker

• Real Estate Agent

• Home Inspector

• Closing Attorney

Each of the people complement each other. If you see your profession on the list, pay attention to the others. Form relationships with them, send referrals to them first, establish a bond.

You can do this with any industry. Go ahead. Take a few minutes and make your own list.

3. Host Client Events

So many people overlook the power of client appreciation events. It’s a small financial investment, for huge potential gains.

“One customer, well taken care of, could be more valuable than $10,000 worth of advertising.”

-- Jim Rohn, Motivational Speaker

Here’s an overview of how it works:

1. Gather a Party Planning Committee. Okay, it doesn’t have to be anything formal. However, a small group of people helping plan the event will make everything less stressful. This is especially important if it’s your first event.

2. Select the Date and Time. Consider a two-hour even which includes free appetizers and a cash bar, if appropriate for your clients. Between 4pm and 6pm works well because you catch people ready for an after-work event.

3. Make Personal Invites Over the Phone. Call all your referral partners, and invite them and request they invite their clients. Then finish by calling all your current and past clients. Explain that it’s an appreciation event, free appetizers, cash bar, high-quality networking.

For the event itself, keep things simple. Here are a few tips to remember:

Meet Everyone -- Throughout the two hours, make a point to meet and connect with everyone in the room. Have someone in charge of pictures to share on social media. Personal pictures with prominent attendees will boost some awareness just by tagging them when you share.

Address the Room -- About 45-minutes in, get everyone’s attention and share a quick thanks for their attendance. This is the perfect time to ask for a referral. “Thanks so much for coming this evening. I hope you have a great time. And remember to tell your friends about the great {{your service/product}} you receive from {{your company name}}! Cheers!”

Follow-Up -- Everyone who attended should receive a “Thank You” card, at the very least. Also make sure to call anyone who mentions that they may have a referral for you. Don’t be shy with the follow-up. It’s where the sales close.

Above All, Enjoy Yourself -- The real magic happens in the conversation. It’s in the buyer’s intention that shines through with a, “I was just thinking about you!” You’ll be surprised just how many people feel special and appreciated through events like this.

4. Follow-Up With Past Clients

Not ready to hold a full-blown event? That’s okay. You can still catch up with your past clients on a quick phone call. Write down the names of every client or potential partner you worked with the past 12 months.

Now, call everyone on that list and see how they’re doing.

If you can manage, try to coincide this follow-up with a national holiday. Why? Well, simple. It’s a great conversation starter that immediately breaks the ice.

A study by Adobe showed that the conversion rate of a customer who purchased at least twice before is 9x more likely than a first time shopper to convert again. Calling past clients is likely one of the most profitable ways to use your time this New Year.

Chances are, someone will have just been thinking about you, and you’ll have the opportunity to close the deal -- again. Go ahead, make an hour’s worth of calls and see what happens.

I bet you’re going to feel pleasantly surprised with the results.

Conclusion

You won’t acquire referrals just by writing it down as a New Year goal. You need to put in the effort to make it a reality. This 4-step plan will lay the foundation for a profitable system that will bring in additional revenue for your business this year.

Which step will you implement first?