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Referrals Cash

^top Educate Your Referral Sources


Do you know the number one reason that business owners don't get enough high quality referrals?


Fear - That's it.


Now, on one hand, you might think that I mean that some business owners are just flat afraid to ask for referrals. There is no question that there is a great amount of truth to that.


However, the biggest stumbling block of all is that your clients and your referral network are afraid to refer your business because they don't really know how to do it. You must train them, educate them, and take them by the hand and show them how to provide you with killer referrals.


Here's what you must do to create an effective referral marketing system.


1. Narrow Your Desired Referral

Tell the world you are after a very specific type of prospect. This is a good thing for any of your marketing efforts because asking the vague "know anyone who needs what I do" will severely limit the number and quality of leads you receive. Be specific.

2. Be Able To Impress Your Referral

Impress your referral with what you are doing. Not a "I'm a marketing consultant." Something more like - "I help financial planners triple what they charge" will make a world of difference between your referral being wowed or walking away.

Consider uncovering a statement like the one above for your business and then print it on the back of business card in the form of a question. “Know any financial planners who would like to triple what they charge?” 

Then leave some space for someone to write a name and phone number. This type of tool will put your referral program on autopilot. Now you've got their attention. Now you've given them nice tidy way to refer you.


3. Inform Your Referral Sources What You Intend To Do With The Lead.

It could be just a simple phone call to the prospects or to offer them a free evaluation as a gift and then add them to your quarterly tips newsletter.

Once your actions are made clear to your referral sources, they are more comfortable about introducing their friends and colleagues to you. Most people are afraid that you might hound them until they give in. So outline your referral marketing plan for your referral source and put them at ease.


4. Tell Them Why They Must Refer You

You must help your referral sources understand how they will benefit by providing referrals. In some cases, the motivation might simply be that they will be seen as helping their friends and clients. Don’t overlook the power of this motivation. Many business owner can themselves benefit by introducing you to their clients. On the other hand, in some cases, the referral motivation may need to be more tangible - something like a trip, finder’s fee or free product.


5. Follow-up

Follow-up by thanking them and letting them know how successful you have been because they referred business to you. Communicate with your referral sources every step of the way. Send them movie tickets when they introduce you to a lead and then a nice gift basket when that lead turns into a client.

This type of follow-up will encourage continued participation from your referral sources. The more involved you can get your sources, setting up meeting on your behalf and verbally endorsing your product or service, the better.


ReferralsCash recommends that you take the time to create the educational component of your referral system. Document each step and then go out there and boldly present your case to your clients, referral sources, and referral network. This is the missing piece of the puzzle for most business owners who attempt to grow their business by way of referral.