Are you getting referrals from you customers? If not, you are missing a lot of sales. Think about many of the sites you visit on the web. Many of them will ask you to tell your friends, families and others who might be interested about them. For doing so, they offer you an incentive, for example, free stuff, gift certificates, etc.
Let's talk about off line. How about the book club or record club you belong to. When you get mailings from them, ever notice the card that says if you refer a friend they'll give you a free book or CD. This is what is called an incentive.
Any marketing expert worth their salt will tell you that there's no business like business you get from referrals. Why? Because for the most part, people who refer others know that person will be interested, and it also indicates that they are happy with your product, so word of mouth (or in this day and age, email) will be good.
Unfortunately very few individuals are going to write you and tell you how happy they are with your product or services. You NEED TO ASK FOR REFERRALS! This applies to everyone ? big businesses, small businesses, home based businesses, sales representatives, independent contractors. In fact good salespeople will ask for the referral between closing the sale and saying goodbye to the customer as part of their sales pitch. We ask for referrals from our tenant buyers and sellers in our final letters.
A good example of using this in your business is, let's say you sell office supplies. Ask your customer for referrals and then offer to give them a discount or dollars off for so many referrals. Or you could give them a gift, like a free pen or calculator, etc. You get the idea.
To decide what to give away, think about what will motivate your customer. Will they prefer cash, or gifts. You know your customer best. You need to give them something they want so they will repeatedly give you referrals. We offer cash to our sellers and tenant buyers if they refer someone to us that we do a deal with.
For those in any type of retail operation the flyer that looks like cash that can be redeemed or buy one get one free, or get a percentage off, or it's a tax free weekend, etc. can work wonders. Couldn't you also mail a flyer to your customers that states, "Good toward your purchase, when you refer a friend".
In all businesses, you need to get your customer to tell you what they like about your business. For example, whenever we get an email or a telephone call from a customer that praises our services or products, we ask if we can use it as a testimonial. You must get their permission (unless however you receive unsolicited mail from them). Again, ask your customer for a testimonial. For example, if you liked the dinner at our establishment, please fill out this form. We appreciate your time, so by doing so, we will provide your next entrée for half price. We put incentives in our books and services for our customers to get back to us with their opinion.
I can remember back when I worked for temporary agencies, they were forever giving out pens, pads, magnets, etc. to keep their names in front of everyone. Think of Pizza Hut and Domino's. How many magnets do you have with their name and telephone numbers on your refrigerator. When we ran our Matching Numbers business, we made up shirts and jackets that we wore everywhere. You'd be surprised how many customers we got in the grocery store, post office, fast food places, who asked us for cards or about our business.
There is a whole separate industry that deals with advertising specialty items. You name it, you can get your name on it. Mugs, pens, business cards, memo pads, etc. These items can get the word out on your business not only to your customers , but also to your customers' customers. Memo pads are especially nice. People have a tendency to jot notes on them and then give them out to others. So they are a very far reaching tool. Advertising with Specialty items is almost as good as referrals.
Be sure on your promotional material (brochures, flyers, newsletters) that you indicate how your referral program works. Be sure to indicate what type of incentives you offer. Be sure to be very specific in outlining what your customers need to do. For example, fill out this form and mail it back (or fax it back) with the names, addresses and telephone numbers of those you are referring. You don't have to ask for all of this information, however, if you are going to snail mail you will need their address.
Be sure when you do your networking at your organizational meetings or chamber meetings that you tell people about your referral program. Business people appreciate being rewarded for referrals they give you. However, too many people never follow through, which is why for many businesses their referral program goes by the wayside. This is one area where we stress to our students you tell all your networking partners, your tenant buyers, your sellers, and all of your family, friends, in fact, everyone you come in contact with that you pay a percentage of each deal you do (an average deal is $5000) to them if they refer someone and you do a deal with that person. Believe me when I say, once they receive one check from you, they become a walking advertisement for your lease purchase business.
There is one caveat to offering a referral program and that is you must DO GOOD BUSINESS. Your credibility is at stake. You want to be viewed as a reliable, dependable, and trustworthy individual. You need for people to want to buy from you, and because you did such an outstanding job, tell everyone else about you.
So, are you using the Secret Weapon?
Copyright 2003 DeFiore Enterprises
Interested in having your own successful, home based creative real estate investing business? Chuck and Sue have been helping folks start successful home based businesses for over 19 years, and we can help you too! To see how, visit http://www.homebusinesssolutions.com for the latest FREE tips and tricks, educational products and coaching in creative real estate investing and home based businesses. No time to visit the site? Subscribe to our "how to" Home Business Solutions Digest, it's like having your own personal coach: mailto:subscribeHBS@homebusinesssolutions.com A>
The customer is king/queen. We have all heard this mantra.... Read More
Do sales come from your ezine regularly? How many well-written... Read More
Some of the ways in which to get your "name... Read More
This tip is so simple, that many people we've talked... Read More
One of the best ways for potential clients to find... Read More
'Word of Mouth' is still one of the most effectivemarketing... Read More
It used to be if you were a small business,... Read More
When a prospect responds to your lead generation sales letter,... Read More
You probably know that February 2nd is Groundhog Day. But... Read More
Is your business growing, or are you on a plateau... Read More
Have you ever gone to a networking function and seen... Read More
1. Do the moneymaking things first.For an entrepreneur, generating income... Read More
Before you can market, you need to know who you... Read More
One of my favorite quotes is often used to describe... Read More
You will always have more people that turn down your... Read More
Want a big boost in response and quick sales from... Read More
Do you ever wonder if you could be doing a... Read More
If you're reading this article, chances are that you, like... Read More
Before we begin, I want you to think about how... Read More
Can you remember the last dozen advertising messages beamed at... Read More
A Complaint? It's a Compliment!What made you mad last week?In... Read More
The telephone enables a credit manager to make many contacts... Read More
Value proposition is treated as the standards or service that... Read More
If you want your business to grow and attract new... Read More
Yellow Page users are the hottest of all prospects ?... Read More
Turn a coupon into a business card (or vice versa).Coupons... Read More
Our bodies work like our small businesses. They work best... Read More
"There are those who get things done and those who... Read More
As an entrepreneur involved in selling and/or promotion... Read More
Business startup and failure rates are scary...In The USA...- Every... Read More
Offering free and exclusive content to ezine publishers and webmasters... Read More
I read an article recently about how many mainstream retail... Read More
You may be engaged in a marketing activities that are... Read More
So you're starting a small business. You figured out what... Read More
If ever there was a lazy way to easy profits... Read More
I often wonder how people without a plan know where... Read More
Little Kids Ask Until They Get What They Want.Mom, Mom,... Read More
Web Presence gives your business a distince edge over your... Read More
So... you spend time and effort putting together a survey,... Read More
If you take a look at the features that different... Read More
Want a simple, low-cost way to boost your sales? Just... Read More
A well-designed chart can be one of the most persuasive... Read More
So how do you effectively market your product or service... Read More
When you think about how to attract more clients for... Read More
Remember the baseball cards kids traded while... Read More
Stuart from Colorado had talked to a number of marketing... Read More
As an entrepreneur involved in selling and/or promotion... Read More
One of the basics of all marketing and advertising training... Read More
Sales Copy? eventually every small business owner must consider what... Read More
RESOLVING THE "PROPRIETARY" DILEMMA... SHOULD YOU RENT YOUR OWN MAILING... Read More
You've heard variations of that saying your entire life. Consider:... Read More
A white paper on how companies should analyse customer data... Read More
Grant Directory users are ready to buy Yellow Pages have... Read More
Are you looking for a natural way to market your... Read More
There are four parts to a marketing system and they... Read More
Think you can't afford to hire a copywriter? Think again.... Read More
Benefits! They're what marketing is all about. No doubt you've... Read More
With the arrival of Spring, I decided to get outside... Read More
It seems nowadays every marketing guru and their brother-in-law has... Read More
Have you ever gone to a networking function and seen... Read More
So how do you do it?Direct mail marketing. When it... Read More
Are postcards better for building awareness or for selling?In my... Read More
1) Create systemsCreate systems for everything you do, especially those... Read More
Face it, writing any article can be a tedious and... Read More
This article is meant to be a brief review and... Read More
What's your USP? Don't know, or worse still, you've never... Read More
Marketing |