Posts Tagged ‘Referrals’

Adding Value to Strategic Partners

Wednesday, September 8th, 2010

Yesterday I wrote about strategic partners and how to identify them. Now that you’ve identified them, how do you add value to them to make them want to refer you?

1. Offer to Refer Them

This is the easy, obvious answer. If they are truly a complementary business, then you should be able to refer your clients to them. Once you get used to referring each other back and forth, you’ll both be in the habit, and your business will grow.

But how often have you done a one on one meeting with someone, liked each other, agreed to refer and then six months later nothing had happened? Yep, it’s happened to you and everyone else. So agreeing to refer isn’t enough. You need to

2. Develop an Action Plan on How and When To Refer Each Other

That action plan can be complicated, but it doesn’t have to be. When I sold windows, I referred other contractors on a regular basis. And I did it without adding significant time to my day.

How? I added three simple questions to my client interview sheet.

*Are you planning any other work on your house?
*Are you already working with someone?
*Would you like a referral to someone I know and trust?

Obviously, if the answer to the first was “No,” I stopped. But often even when the answer to the second was “Yes,” I was able to pass on a name. Everyone likes referrals.

Are there similar questions you and your strategic partners can ask each others’ clients? The benefit will be more than referrals. Your clients will appreciate that you are looking out for their welfare in areas you can’t serve.

The action plan might be more complicated. You might agree to meet together with certain clients. You might cross market each other or go prospecting together. The ways to find referrals for each other are limited only by your imagination or your professional ethics.

3. But What If You Can’t Refer Each Other?

It happens. A real estate agent can make more referrals to a mortgage lender than vice-versa. But the real estate agent needs a couple of good mortgage lenders, and the lenders need lots of real estate agents.

It can still work for both of you. Let’s say you are the agent. A good lender can work with clients who have a bad credit history. That can create a sale that might otherwise not have happened. Or if the two of you as a team are so wonderful, it might increase the number of referrals you receive from delighted clients.

If you are the lender, you can approach real estate agents with that information. Show how you can be a partner who can enhance their business. You might have to work a little harder to distinguish yourself from the other lenders. That’s where your value statement comes in. If you’ve got a solid value statement, and you can back it up with testimonials, you’ll be able to attract referrals from people you can’t give back to.

And if you are in the opposite position and find someone who consistently makes you look good, don’t give up on him just because he can’t give back as many referrals.

Make sense? It all ties back to the pain you can relieve and the value you bring to the relationship. If those are solid and compelling, you can attract referrals from anyone in a related business.

Now you know who you strategic partners are and how to attract them. Tomorrow, we’re going to go find them!

Strategic Partners

Tuesday, September 7th, 2010

Now you know the pain you can relieve, and you’ve got a value statement to concisely communicate that. Let’s move to using those to make some contacts and get clients.

Of course, you should test drive your value statement with prospects and at networking events. But let’s step back a moment on focus on strategic partners.

What are they, and why do we care right now? Strategic partners are those complementary but non-competing businesses who market to the same types of clients you do.

You know what pain you can relieve. But what about the pain you can’t? Do your clients routinely ask for help in areas you don’t serve?

For example, I work with clients on social media strategy. But a good website is key to the strategy for some businesses. I don’t do website design or hosting. Nor can I advise a client on the best way to put together a radio or TV ad. My clients may have those needs, but I can’t help. So I refer it out.

Let’s flip it around. A firm designs which great websites may know their clients need social media strategy, but they may not provide that service. They can refer it to me.

The best strategic partners are those where you can refer back and forth. But even if your partner can’t refer you back, there’s value in the relationship. Having your clients come to you first for pain relief is a nice place to be.

Pain Relief = Value Statement

Wednesday, September 1st, 2010

Yesterday I wrote how to identify the pain your product or service can relieve. Today I want to talk about how you can turn that knowledge into a value statement for your business.

Remember that we don’t buy a product. We buy the solution to a problem or a value that your service brings to us. It’s not enough to say you have a great product or service. You have to tie that back to us and what’s in it for us. That’s where your value statement or unique selling proposition comes in.

By the way, saying your product is #1 in your industry doesn’t work. I wrote a post several months on why that is. I suggest you go back and review that post now. I’ll wait for you to come back.

Back now? Good. Now what can you say that will have meaning to your prospects? Go back to your client stories. You identified why your clients come to you and what solution you can offer. Look at those solutions and see if there is a way to quantify them.

Using me as an example again. Clients come to me because they are uncertain how to make social media work for them. I met with a prospect yesterday who had worked hard to learn the basics of Twitter. It took her a year to read about and learn best practices and build a basic following. I can get my clients up and running, with specific tactics for content and attracting followers, in about 3 months. So I can say I cut the learning curve in social media by more than in half. Or I can say that I can get someone up and running and seeing results with social media in 3 months instead of a year or more. There’s lots of ways I can state my value statement.

If someone is worried about getting into social media, that’s going to be a good value statement and will address their pain. If I’m talking to someone who is experienced in social media, it won’t be a value to them, but that’s okay. That company isn’t a good prospect for me. However, if they took longer than 3 months to get results, it might stick with them as a reason to refer me.

See how it works? Your value statement should be short. A sentence or two and customizable for your audience. Does it take work? Sure. But it’s worth it. Talking about your value is a lot more fun and effective than listing your services. And it makes you a lot more referrable.

Sound too hard? Give me a call, and I’ll help you out with it. Remember. I can get you results faster than if you do it yourself. Or, if you are in the DC area, attend my Netmasters meeting this month where we are going to go in-depth on this topic.

Networking Right Side Up

Monday, August 30th, 2010

Many people go about networking backwards. They say, “I need to meet people” and then run out to find an event. They meet people, do one to one meetings and perhaps even have a decent follow up system in place. But often they still don’t get the results they were looking for.

Why is that backwards? Isn’t networking about meeting new people and building relationships with them? Of course it is, but, like anything else in business, you need to network with a plan and purpose. Over the next few posts, I’m going to break networking planning down into discrete steps. Along the way, we’re going to talk about some concepts that will make you better at selling your product or service. How’s that for a two-fer?

I’ve said I don’t recommend starting with the “meeting people” part. So where do I think you need to start? Here’s the progression I recommend:

1. What pain points bring clients to you?

2. How do you relieve their pain? (otherwise known as your value proposition)

3. What are the other complementary (but not competing) businesses that are serving your ideal clients?

4. Where do those businesses network?

5. How can you add value to those businesses to motivate them to refer you?

6. How can you educate them to refer you?

If you can answer those six questions, you’ll have an excellent outline for a strategic networking marketing plan. You’ll be able to evaluate networking venues based on whether they are attracting either your target market or your strategic partners. You’ll have a message and value statement to help you get referrals and close clients. And finally, you and your strategic partners will know exactly how to help each other, which will lead to a stronger relationship. And more referrals!

Tomorrow we’ll start with pain points.

Networking Is As Easy As A-B-C

Thursday, August 26th, 2010

I’ve spoken at many points on this blog about identifying and being specific about who you need to meet. Now I’m going to pull it all together in an approach to getting introductions to specific people. For this, I suggest the A-B-C approach.

It uses the basic principle of “Six Degrees of Separation.” Of course, if you are a good networker, you seldom need as many as six steps to get to anyone. Envision a target with an “A” in the center. Around the “A” is another circle, labeled “B.” And around the “B” circle is a final circle, labeled “C.”

Looks kind of like a target, doesn't it?

These circles represent your contacts, both the ones you already know and the ones you want to know.

Look at your current contacts as your “C” contacts. These are the people who know, trust and are willing to make introductions on your behalf.

Then decide on the specific person (or persons) you want to meet: an ideal client, a perfect referral source, or the hiring manager at the company where you most want to work. These are your “A” contacts. Your goal is to leverage your C contacts to get introductions to your A contacts.

More than likely, you will need some intermediaries, and those are “B” contacts. B contacts are people who can introduce you to your A contacts. In some cases a C might also be an B, but often not. So you look at your C contacts to determine which are most likely to get you a step closer to A.

If you use LinkedIn or a similar social networking site, you have probably done this without thinking about it in these terms. On LinkedIn, there are people who are one, two or three steps away from you. If you do a search and want an introduction to someone who is three steps away from you, you send a request for an introduction to your first level contact. If your contact trusts you enough to send it on, it gets forwarded to the second level contact. And hopefully that person sends it on to the person you really wanted to meet. LinkedIn was, in part, designed around this very A-B-C concept.

The same approach works in face to face networking. Here’s an example. Let’s say during the last election cycle, I had wanted to meet Hillary Clinton. Who do I know who might have gotten me a step closer to her? Well, I know the owner of a heating and air conditioner company who has done work for a former senator in my state. That former senator might have been able to introduce me to Ms. Clinton. So I would have called my contact and let him know whom I needed to meet and why. If I have a good relationship with him (and I do), he should have been willing to introduce me to the former senator. And if that meeting went well, the senator might have been able to introduce me to Ms. Clinton directly, or might have introduced me to another B contact who could. And so it goes. Within two or three meetings, I could have had a direct line to a presidential candidate.

The key is knowing exactly who you want to meet and knowing your current contacts well enough to step your way to those ideal contacts. The last ingredient is trust. Without a certain level of trust, your contacts aren’t going to be willing to pass on your requests for introductions.

The system really does work. I was teaching a seminar on this topic, and I asked the participants to raise their hands if they had a specific person they wanted to meet. I chose a participant at random and told her that the people in this room were, for the moment, her C contacts. I asked who she wanted to meet. She said she wanted to meet a decision-maker at Marriott corporation. I turned to the room and asked if anyone could be her “B.” Several people raised their hands. Totally random group of people, and the system still worked.

It sounds basic, but networking really can be that simple. So who is your “A” contact? Maybe we know the ideal “B” contact to get you there.

Referral Education. Or How to Get Referrals From Anyone.

Wednesday, August 18th, 2010

Yesterday I wrote about deciding on what networking group to join based on the networking ability of the group members. But what if you find a group you like, want to join them, and they aren’t very savvy about referring your business?

You’ll need to systematically educate them. Which isn’t a bad thing. It will force you to hone your message and clearly define who is a good referral. Which might make you better at selling your product or service. Not bad, eh?

I’ve written a lot of article on elevator speeches, and it might be a good idea to review them. Just search on “elevator speech” on my blog home page.

Stories are going to be key to educating your audience. You’re going to need to look at your client list and come up with your best stories. Here’s what you’re looking for:

Problem
Solution
Outcome

If you can come up with three or four good examples that fit that format, you’re well on the way. Of course, you’ll work those stories into your elevator speech, but you’re going to need to use them in one on one meetings as well.

I’d suggest you mention in your meeting that your business can be tough to refer. Yes, there’s a danger in putting that idea into someone’s head, but I think it’s offset by the fact that they are probably already thinking, “I have no idea how to refer you.” Address what they are already thinking, and you’ve won half the battle.

Then pull out your stories. Go through the two that are most likely to be relevant to the person with whom you are meeting. Walk through why those clients needed you and how you were able to help.

Tie those stories to possible industries the other person might be familiar with. Give triggers. Ask the person to look or listen for certain cues. Then give them some specific ways they could start a conversation around your business.

Is that a lot of work? Yes, but it will be worth it. Of course, you need to give the other person equal time and attention. The more you are willing and able to refer others, the more likely they are to refer you.

Anyone have a particularly difficult business to refer? Tell us about it in the comments, and let’s see if we can’t help you out.

I Won’t Use Your Service. How Can I Refer You?

Tuesday, August 17th, 2010

All last week I wrote about social media. Time for a change back to face to face networking for a few days.

I was meeting with someone last week who was thinking about joining a networking group, and she asked my advice. I knew the group well, and I said, “I don’t think it’s going to work for you. The people in that group aren’t going to need your services, and I think you’ll be frustrated.”

She very correctly called me on my statement and said, “But I thought the point was to work through them to their referrals, not make them clients.”

Of course I agree with her, but that wasn’t quite my point. As you network, you need to know your audience and your product or service. Some groups are made up of more savvy networkers than others. This group isn’t one of the savvy ones.

Some people can envision how they would refer someone, even if the service is something they will never use. For example, I personally have no use for someone who does corporate mediation. But I know the kinds of people who would need that service, and I can refer it.

Some people can’t make that leap. They are generally the smaller business owners who are new to the concept of business by referral. When they are still trying to get their message right to generate referrals and keep in mind easy to refer businesses, they aren’t quite able to get their heads around more complicated to refer businesses.

You need to keep this in mind when joining a networking group. Is your business something the members of the group will understand and use, even if they don’t use you? If so, you’ll have an easy time educating them on how to refer you. If not, you’ll have a bigger challenge.

Am I saying you shouldn’t join such a group? No, I’m just warning you that you’ll have to work harder than say, someone who sells gift baskets. Everyone can see how to refer that business. Everyone may not instantly see how to refer you.

That’s the “bad news.” The good news is that tomorrow I’m going to write about how you can educate anyone about how to refer your business, even if you fall into the “hard to refer” category.

Social Media Roles: Be a Content Filter

Wednesday, August 11th, 2010

Yesterday I wrote about Content Creators, and how they can effectively use social media to build a following for their ideas. But what about those of you who can’t or don’t want to create content on a schedule? Are you out of luck for being known as a go-to person in your field?

Nope. You have another approach. You can be a Content Filter. And we need you!

If you are active in your field or industry, you are probably already spending time reading articles and commentary. Why not use that time to build your reputation? Disseminate the good stuff and occasionally comment on why the bad stuff is bad, and we’ll keep coming back to you. For myself, I’m interested in a lot of different fields, but I don’t have time to read everything. I value the people in my network who read all the crap and direct my attention to just the good stuff.

Who will be comfortable in this role? Anyone in the real estate, financial or health and nutrition fields are naturals. There is a lot of information being disseminated in those areas. Some of it good. Some not so much. If you are willing to filter and comment on what is being presented, you’ll be valuable.

How do you use social media to disseminate information? The good news is that you have lots of choices. You can use any of the major channels: Facebook, Twitter, LinkedIn or YouTube. How?

Facebook: Set up a Business page and use that as the repository of all the links to good content. You can write your own commentary on both good and bad articles, and you’re not limited to just 140 characters.

Twitter: Obviously tweeting links can work. If you want to build relationships with the major players in your industry, that’s easier here than on Facebook. Lots of business Facebook pages are maintained by a PR company, and it can be difficult to interact directly. But many Twitter accounts are maintained by the people, and some of them will respond back to your @Mention.

LinkedIn: Join a Group, participate in Discussions and post links in your status updates. It’s not quite as easy to use LinkedIn for this purpose, but if your industry in more active on LinkedIn than the other channels, then definitely use it.

YouTube: If the content you are filtering is primarily video then YouTube is the natural. You can create a profile and use your “Favorites” as a repository for the content you want to promote.

How do you manage your time? Obviously, the majority of your time will be spent reading and/or watching content. But you should already be doing that, so it’s not a new demand on your time. Other than the time spent reading, you’ll be selecting the content to share and sharing it. You’ll want to leave time to engage in discussions around what you’re sharing. Over time, you’ll want to build and maintain relationships with the major players in your field. And they should want to know you. If you are promoting them, it’s in their interests to be on your good side.

How does this give you business? Go back to who I said were naturals for this role. All of them are in professions requiring a high degree of trust. This role will build that trust and, over time, lead to customers and referrals. After all, if you are the one we’re going to for trusted information, why wouldn’t we go to you when we need your services?

Sound like you? Excellent. You have a place to start. But maybe you’re not all about the content. Perhaps your focus in on relationships. Not a problem. The “Networker” is the role for tomorrow.

Social Media: Don’t Forget the Strategic Partners

Monday, August 2nd, 2010

I’ve written a lot about finding and maintaining relationships with strategic partners. In case you don’t remember who those are, they are the non-competing, complementary businesses to yours. In other words, the people who are marketing to the same clients as you.

While businesses do use social media to find clients, many forget that they can look for and “meet” strategic partners there as well.

Last week, I was running my Netmasters group, and James Meyers of Celestial Cheesecakes had an “aha!” moment when he realized he could use Twitter to reach out to restaurants who want to sell his cheese cakes. He’d been trying to figure out how to use Twitter to find individual customers, and he’d gotten stuck on strategy. Once he realized he could use social media to find and build relationships with restaurants and coffee shops, he suddenly saw the value.

By the way, James’ cheesecakes are wonderful! Check him out and follow him on Twitter (linked to in his name above).

So who are you looking for as strategic partners in social media? And how can we help you get to them?

Tracking Marketing ROI Part 3-Other Forms of Marketing

Friday, July 2nd, 2010

This is my 200th post! Let’s celebrate with a guest post from Susan Prince, otherwise known as @CadenceMarket. A couple of weeks ago I did two posts on tracking ROI from social media and other networking. Susan has done a follow up post for us on tracking the ROI from other forms of marketing. Take it from here, Susan!

Continuing the idea of tracking your marketing efforts, you should now be in the habit of asking how and where people learned about your business.

Sometimes this can be tricky as people may not always remember exactly where they heard about you. Good marketing always has some form of brand awareness which is geared towards building familiarity with your business. And while it’s nice that people remember you from your advertising, sponsorship or PR activities, it is also important to have some portion of your marketing budget dedicated to activities that can be more easily tracked. Not only that, but it’s very gratifying to see your marketing dollars produce actual sales. It reaffirms the idea that marketing does work!

Depending on your objectives, there are a variety of tactics you can employ that generate trackable results. For example, if you’re interested in building your email list, you may offer a free white paper or some other valuable information on your website that requires an email address. Of course most people are interested in increasing their sales – so tactics that drive customers to their store or website are particularly valuable.

So what types of tactics can you employ that generate trackable results?

Postcards
Coupons
Email offers
Internet ads
Advertising with a specific call to action

All of these tactics require that customer to either physically present something, mention a specific code or visit a unique url to receive the promotion.

The beauty of these types of promotions is that they can have an immediate impact on business. Personally, I love postcards. They are relatively inexpensive and really stand out in this day and age where most people’s email inboxes are overloaded with promotions. By mailing out a postcard with a specific promotion (i.e., bring in this card to receive a 20% discount off your order), you will know exactly who responded to the mailing because they need to bring the card in to redeem the discount.

And while it is difficult to generate a huge response from email, it’s infinitely trackable. You can see exactly who opened your email, who clicked on the links, who forwarded it to their friends and who decided they don’t want to hear from you anymore.

Internet ads also don’t typically generate lots of response, but like email promotions, they are relatively inexpensive and again easy to track.

Regardless of which method you decide to employ, you can count on high degree of satisfaction by seeing exactly what’s working and what’s not.

Thank you, Susan. All those forms of marketing are not areas in which I work with clients. So if you are interested in learning more, stop by Susan’s website for more information