Business growth is very simple, unfortunately it is not always easy. So many businesses chase new leads and new contacts through many various marketing activities and methods from websites, direct mail and telemarketing through to television advertising and ‘barrage’ balloons. These can all be very effective, when done correctly to the right target audience, and can bring in an increased number of potential new customers.
One very simple method of generating new leads is so often forgotten or just too simple that it either gets overlooked or more criminally, business owners just expect it to happen. That is the strategy of ‘Referrals’ where your existing customers introduce you to their contacts and friends. Many business networking groups are based around this principle strategy and are highly effective, but why is it that so often we forget to do this with our own customers who have experienced our product or service and understand what we do as well as any marketing piece could say?
There is a dentist is Australia, Dr Paddi Lund, who has built his extremely successful practice and an equally successful career as an author, public speaker and much more (Paddi Lund Website) on the strategy. So much so that you can not even become a client of Paddi without being referred by specifically chosen clients (not every client is allowed to refer business). How would you like that to be the case for your business? Paddi has written a couple of books that explain how he has done it ‘Mobilising Your Customer Sales Force’ and ‘Critical Non-Essentials’ which both show how simple this should be, but also how much work you need to put in to get it right and make it the most valuable growth strategy you have.
Put in its simplest form – If you get one referral from every client, you double your client base.
How would that make you feel and what effect would that have on your bottom line profit?
To make this work for you I would recommend you do two very simple things –
- Provide a fantastic level of service to all your clients.
- Educate all your clients on how they go about referring new people and businesses to you.