Someone referred me to you

Someone referred me to you

Ok let’s jump into why referrals work with a few quick statistics. These numbers should provide perspective on why having a system in place that regularly seeks referrals is like having a sales ninja on the payroll.  

• For every 1 happy customer, you can get up to 9 referrals, over time

• In the United States, 49% of shoppers are introduced to products & services by their family members and friends.

• 29% of satisfied customers refer products and services to other people.

• Referred customers spend 13.2% more than non-referred customers.

There’s really no arguing about how much everyone loves referral business, the real question is how do you make getting referrals a painless part of your strategy.  The reasons businesses don’t consider referrals as a valid strategy is usually based on Fear and Time. Neither excuse is valid.

The Simple & Easy referral strategy.  1. You need to be consistent.  2. You need to be authentic.  As you will see within the review request work-flow  we’ve provided and built in a  Referral Request.  

It’s very important to understand that in order to turn your most valued customers into your most valuable ambassadors you need consistent messaging.  The first step in building a referral friendly system is building a comfort level with your existing customers, ensuring them that anyone they refer to you will be treated like family!  It’s not about paying or incentivizing them either. It’s about TRUST.  

This is why we added this simple line to your communications -  “As always, if you know of anyone who could use  (insert your services) that appreciates (insert the benefit of your service) please send them our way.  We promise we'll take great care of them!  This is what we call reflex seeding, and by consistently letting your customers know that you will be there to take care of anyone they send your way builds trust.  

It appears to be trivial but If you can finish the sentences below then you know why this simple tactic is important.

Capital One: “What’s in your ______?”

Allstate: “You’re in good _____.”

BMW: “The Ultimate Driving ______.”

Dunkin Donuts: “America runs on______.”

One of the objectives with consistency in messaging for your business is to make sure whenever someone asks “Does anyone know of someone who does______?”, the reflex response is you or your business name.  

The reality is people are more likely to believe testimonials over your sales pitch and are more willing to believe their friends who have already used your service. People who are referred to you turn into customers much faster than other lead sources and typically spend more.   That’s Big!

However, it doesn't just happen, it takes consistent messaging so that the next time someone mentions in conversation “Does anyone know of someone who does______?”, the reflex response is you or your business.  ( i’ve already said it twice in this email alone and in your head you probably finished the sentence).

Think of it like compounding interest.  In the beginning it’s not really going to change your life, but over time the results will be astonishing.  Your business  over time will have an army of ambassadors recommending your business. Imagine 50 or 100 happy customers referring people to your business every time they have the chance.  

The Secret Sauce is the personal touch.  Send a personal Thank-You note to the customer who made the referral, this pays huge dividends  (people simply want to be appreciated and recognized).   If you want to take it to the next level send them a gift card for an appropriate amount and you will have a customer who will send you business for the next 10 years!  

NOTE - We don’t suggest up front rewards for referrals because this can negate the trust and the intent of the referral in the first place by focusing on the reward. 

Building a simple systemized referral engine that is silently working for you in the back-ground can lead to consistent customer growth with no cost or minimal cost to acquire a new customer.  For that reason alone it’s a tactic you have to have in play.