Wednesday, August 27, 2014

It's easy to get referrals if you know how?



"The easiest sale is when a potential customer is referred to you from an existing customer"


How many referrals have you gotten this year?   The reason most people don't get business referrals is they either don't ask for them or they are doing it wrong.   Here is a typical scenerio....

You.......say Mark by chance do you know anyone who could benefit from my services?

Client......Not off the top of my head but let me think about it and I'll let you know.

Net result.....Zero referrals, you get discouraged and don't bother asking for referrals anymore.  Does this sound familiar?

Good News....by using the proper persuasion techniques you can make it rain referrals on you!  Here are the persuasion techniques used in my system....

1.  Ask for a favor (Also known as the Ben Franklin Effect)   Ben found out that by asking for a small favor from an opponent, that person would feel more friendly towards him after granting his favor)   Strange as it seems, when someone does a favor for us they start liking us more.  It also empowers people to be asked for a favor or advice.    After all if they are in a position to grant favors or give advice they must have some power and influence.  

2.  Reciprocity.   When you give a person something (a gift or favor) most people feel the need to reciprocate by doing something in return and often something much bigger than what you gave them. 

3.  Because.   After making a request follow it up with a because_______________.   Almost any reason will increase your chances of it being granted.   Of course a good logical reason further ups your chances of it being granted.

4.  Foot in the door.   FITD is when you get someone to do or by something small, it greatly increases your odds of getting a bigger sale or favor.

When is the best time to ask for a referral?

1.  When you and your client both know you did a good job.
2.  When your client has thanked you.
3.  When your client re-orders or re-news your services
4.  When they are happy and upbeat
5.  When you have solved one of their problems.
6.  When you sign up a new client.   They will be happy to give you a referral because it helps them justify their wise decision to use your services.

Here is my tested and proven way to get referrals....

First give them a small gift.    This could be anything from a pen with their name on it, to a gift certificate at the local coffee shop.    Just remember that if you want them to reciprocate don't give them anything with your company name on it  (that just be viewed as advertising).

Second, ask for a favor.    "Peter can I ask you for a small favor"

Third, ask for a recommendation or testimonial letter.   This is an important step to be taken before you ask for a referral.   If they say yes, congratulations!

Fourth,  add because to your request.   "Peter can I ask you for a small favor?   Would you be willing to give me a recommendation letter for the services I provided you because a testimonial from someone like you would be a real boost to my career?"  (your because doesn't have to be same as mine its just an example)

Why are testimonial letters so valuable?

Even if you don't eventually get a referral you have a most valuable piece of paper (testimonial) that will make getting future business easier.  The more testimonials you have the more social proof you will have of your competency.

Testimonial letters allow you to let someone else do the bragging for you, so you don't have to.  It also causes the writer to like you more.   After all, you are recognizing them for their status and power by asking for their recommendation.  This greatly strengthens your business and personal relationship making them more loyal to you.

Testimonial letters are  the FITD (small favor that can lead to a bigger favor....a referral)

Fourth, show sincere gratitude.   Tell your client why the testimonial means so much to you and your future business.

Fifth, now that you have the testimonial letter its ok ask for a referral.    Your client has already endorsed your competency and ability so its only natural that he would be willing to give you a referral, right?

Finally.......ask for a referral.   "Peter can I ask you for a favor?   Do you know anyone who would profit  from my services because your recommendation would carry a lot of weight?

Remember this.....When you ask for a testimonial you validate that persons knowledge and status.   You make them feel good about themselves so they feel good about you.   Asking for a testimonial is a compliment.














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