Referral Marketing – The Most Powerful Form of Advertising

Practice these referral marketing techniques and your business will explode with new customers.

Business owners tell me everyday that the way they generate the most new business is through referral marketing. Yet they don’t seem to grasp the power of this statement. Few if any businesses harness the true power of referrals by making the receiving of systematic referrals a cornerstone of their marketing efforts.

First let me tell you why you need to do this.

1. Referrals are credible right from the start. When a trusted friend tells you about a business you transfer that trust to this company…even if you’ve never heard of them before.

2. People who are referred to a business tend to spend more money. Research has proven this beyond the shadow of a doubt and it is likely because people tend to refer other who are highly qualified and not just tire kickers or price shoppers.

3. Referrals are very cost-effective. In some cases free or a fraction of what you might pay in advertising costs.

In some industries, like consulting and professional services most companies are chosen solely on the recommendation of a friend.

Are you getting your referrals…if not consider these little ideas.

1. Expect to get referrals but don’t assume you will. Talk about them early and often and build them into your sales and marketing efforts…don’t wait for people to offer them.

2. Create a system. It can be as simple as advertising $20 for every referral.

3. Follow-up by phone or mail asking for referrals

4. Give every client 3 business cards. Look in your drawer you’ve got hundreds. Give them out to clients and they may just pass them along.

Referrals are essential to your business so don’t overlook them chasing the newest trend in marketing in your industry.

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Written by John Jantsch
John Jantsch is the owner of Jantsch Communications, a marketing consulting firm located in Kansas City, Mo. He is the creator of Duct Tape Marketing, a fully-customizable turn-key marketing system. You can reach him at 816-561-3931 or john@ducttapemarketing.com

Why Do We Build Relationships?

Most of us spend a lot of time meeting new people and managing our existing relationships. Why is it that we do this? What is in it for us?  Here are a few reasons to consider:

Build a Support System
When we have challenges in life it is important that we have a support system of trusted people who we can go to for advice.  Also, this support system is great for sharing good news.

Develop Friendships
One of the benefits of building quality relationships is that many of these people become friends. It is important to always grow your sphere of people in your life.

Sense of Accomplishment
With networking, you should always be finding ways to help others. Therefore, you will feel a sense of accomplishment when you positively help someone.

Demonstrate Your Expertise
The more we develop relationships, the more people will see us as subject matter experts. You need to share with people what you know so they can make introductions and provide opportunities for you.

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How to Look Like Less of a Jackass at Lunch Meetings

This is a pretty simple post in what might become a series (depending on the response).

As a freelance designer I work from my home (as I’m sure many of my readers do as well, even though many aren’t designers). As I’d like to make a good impression on all of my current and potential clients, I don’t invite them into my house when we have to get together to discuss a project. It’s just unprofessional.

So I’m often meeting clients for lunch. Over the years I’ve learned a few things about lunch meetings, some I’m sure you’ve heard, others I’m sure you haven’t. Just thought I’d take a few moments to share some of my secrets on how to avoid looking like a jackass during lunch meetings.

You Can Eat – But Eat Light

I don’t agree with all of the commentary I’ve seen suggesting that when on a lunch meeting you shouldn’t eat at all. I’ve been on both sides of the table. I can tell you that if I’m a buyer, I like it when the vendor I’m working with isn’t all business. Idle chit chat is nice, but nothing says informal meeting quite like shoving a sandwich into your face.

But don’t overdo it. You don’t want to look like a jackass, after all. A couple foods to avoid would be … Read the rest of this entry

Getting The Word Out About Your Business

Long overlooked in favor of other forms of marketing, word of mouth is back in a big way, and is a sure way to kick your sales into high gear if you do it effectively.

Word of mouth has always been a source of business—in fact, at one time, it was the only way that people found out about a product or service. Long overlooked in favor of other forms of marketing, word of mouth is back in a big way, and is a sure way to kick your sales into high gear if you do it effectively.

Virtually every business owner understands the role that word of mouth plays in their growth. Very few, however, think of it as something to proactively manage to capture sales. Some people think of it in only in terms of customer service: Customers who are happy will pass your name along to others because they’re just so darn happy.

Think about it, though. Do your happy clients talk spontaneously about your company to their networks? Not likely. It’s the unhappy customers who most often do the talking. In terms of customer service, the kind of word of mouth we are most concerned about is the negative kind, not the business-building kind.

Another off-base idea that business owners have about word of mouth is that it is a natural force, something that has a bearing on the business but over which they have little control. Here are some proactive ways to increase word of mouth about your company, products and services:

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New Tools Add To Twitter’s Networking Potential

Twitter itself is pretty simple, but as the site continues to boom in popularity, 3rd party sites/tools are popping up like kudzu in the South.  And many offer a great deal of potential for helping you tap into the networking ability of Twitter.

With the economy as bad as it is, many of us need all the help we can get in putting us in contact with people that can help us grow our businesses.  Here’s some sites/tools I’ve noticed recently that help you utilize Twitter to its fullest as a networking tool:

Twitter Local – TL is a 3rd party client that lets you see tweets from Twitter users based on location.  This is also great to cover a breaking news event in a certain location.

Get Marketing with the Pros and see immediate results

Twellow – Twellow shows you Twitter users organized by their industry.  This also helps you answer the ‘who should I follow on Twitter?’ question. Read the rest of this entry

What the heck is a Tweet? And how can it help me with my business networking?

Well… a ‘tweet’ is a 140 character (or less) message on Twitter.com which basically answers the 1st question most people ask when calling someone on the phone: “What Are You Doing?“.

At first, many people think it’s a trivial concept. I mean, who cares if someone is ‘making oatmeal for the kids’, or ‘putting files in briefcase ‘cuz late for work yet again’, or ‘tired and getting ready for bed’…

But when you look a little more closely, you’ll soon realize it is an amazingly powerful concept. Not only in business, be it online or offline, but in many many ways, people around the world are benefitting from Twitter.

Do you think Facebook, the social networking GIANT, would offer $500 million to buy Twitter if there wasn’t tremendous value behind the brand and their platform? That, in and of itself warrants further research, wouldn’t you agree?

Watch the Common Craft video to see what Twitter is in Plain English:

Follow me on Twitter to see what I’m up to and to get the inside scoop on some networking articles, videos, and tips: My Twitter Profile

Comment on this article if you have any thoughts about Twitter and how you may be now, or envision yourself using it.

Ten Top Tips for Successful Networking

Any business’ success or failure can largely be traced to networking. Networking will put you into contact with those that can help your business grow, from suppliers to financial backers. Yet many business owners are unsure how to tap this valuable resource. Here is a guide to making the most of your networking opportunities.

1. Research opportunities – Dedicated industry events are perhaps the best place to network, offering a chance for those in the industry to come together for the same purpose. However, some events are more relevant than others. Look for opportunities that are most likely to yield success.

2. Make the first move – It can be difficult to approach strangers, especially if you are shy. However, it is important to leave shyness behind and make that initial approach. Remember that you may have something valuable to offer the other person as well.

3. Talk to everyone – Even if someone looks like he or she will be unable to help you out, make that contact anyway. He may know someone who can offer you something or you may be able to offer her a valuable resource, creating a favor that will later be repaid. Read the rest of this entry

Networking Success – 7 Tips for Giving Compliments That Connect and Attract Clients

Paying a sincere compliment is an ideal way to connect with someone at a networking event because it attracts people to you, helps solidify bonds, and lifts people’s spirits.

A sincere compliment is like a gift because it makes both you and the receiver feel good. It’s an ideal way to break the ice and connect at a business or social event. It’s worthwhile learning how to compliment people the right way. Here are 5 tips for giving compliments that connect people and attract interaction.

1. Be sincere. It’s easy to tell the difference between a true compliment, and sounding like you are kissing up. What’s the difference? Only compliment something that deserves it. If the speech was a flop, compliment the speaker instead on their savvy handling of the Q&A. It’s easy to spot phoniness, and people know what they did well, and where they fell short of the mark.

2. Be specific. Instead of saying: You are a wonderful cook, say: Your chocolate mousse was decadent. Do you have a special recipe? Instead of saying: You look nice today, you can say: That scarf is a great color for you. Even more specific: That blue scarf is a great color because it matches your eyes.

3. Be careful of backhanded compliments. Have you ever been the victim of someone saying to you: Wow, what a change – you look so much better. It makes you wonder how bad you really looked last time. Instead, you can say: You look terrific. What’s your secret?

4. Cross gender compliments: When men compliment women, focus on accessories rather than clothing items. So you can compliment a woman on her necklace, but not her blouse. Even better, compliment her excellent speech or stellar performance on a major project. Women can also compliment a man’s tie, rather than a shirt. Women can be freer to compliment other women on their fabulous shoes or dress, when men should steer away from anything too personal in complimenting women. They can be perceived as being too forward.

5. Be appropriate: Consider the setting and your relationship with the person. Commenting on a colleague’s new hair color is fine, but mentioning it to your boss is stepping out of bounds. Or telling the bride that she looks lovely is fine, but save your congratulations on her losing 50 pounds for private time.

Do you have other ways to strengthen your business relationships? Comment below. I’d love to hear about them.