Growing your business through referrals is easy once you answer the question – Are you Referable?
We all want to grow our business through referrals, because we all understand that referrals is the most effective channel to scale our business and take it to the next level.
Referrals from satisfied customers, referrals from centers of influence, referrals from our natural market, referrals from our network….isn’t that the best source of business?
It’s a proven fact that referrals not only establish instant credibility for us when we get referred to a new prospect for our business, but also reduce sales cycle time and bring in higher value of business per transaction in comparison to cold calling. Let’s not forget the fact that referrals are the most cost effective source of scaling up our business…
Isn’t that amazing!!!
However, the question to be answered is – Are we referable?
Do you know what the three R’s in the word referral stand for? Their meaning is the key to success in networking and growing your business through “referrals”. To truly understand what the purpose of “networking” really is, it is important to understand the meaning of the Three R’s in the word Referral.
If you always remember what these three R’s stand for you will have the right “mindset” when networking with others.
The Three Rs stand for:
A RELATIONSHIP where the other person is willing to RISK their REPUTATION for you.
When someone is willing to pass you a high quality referral this is exactly what they are doing. They are putting their reputation with their client, family member, or friend on the line for you. They are trusting that you will make their referral happy to have been referred to you and that you will not damage their relationship with the referral even if it doesn’t work out.
It is important to realize this is what is happening. It is also important that before you have any expectations of receiving any type of referral from someone in your network that you ask whether have you met this requirement? Have you built the appropriate relationship with this person where they will be comfortable risking their reputation? Have you earned that level of trust and confidence?
Networking is about developing these relationships with other professionals. It is about developing a web of contacts with people you give and receive referrals from. There will always be a time element involved in this process but the more you learn how to network effectively the less time it will take to see results.
So remember to always ask: Have I developed a RELATIONSHIP with this person where they are willing to RISK their REPUTATION for me?
And if the answer is NO, we must invest time in building a relationship with our Centers of Influence – people who will refer us to their contact sphere and also with our network.
We can be rest assured that this activity will give us the best return on our time invested.
Sales Maximizer / Success Coach, Trans4m Training & Consulting Solutions
Regional head @ ICICI Prudential