How to Increase Referrals

Are you familiar with the adage, it is easier to keep a customer than get a new one? And I believe that is true. However, I also think, that customer can help you get a new customer with a referral.

I don’t know about you, but I hate cold calling. Always have. I much prefer to have met the person at an event or have someone introduce me than just call someone out of the blue.

Referrals are Key to Filling Your Pipeline

Unfortunately, in this pandemic age going to an event to meet people has pretty much disappeared. So, we have to rely on other means to fill our pipeline of potential customers. And we continually need to fill that pipeline!

One of the easiest ways is to ask an existing customer to refer you to others within the organization. Prior to the pandemic it was part of my routine. When I would visit a client, I would always ask them to walk me down the hall and introduce me to someone in another department. Now on the phone or zoom call, it has been slipping my mind. So, I posted a check list on my computer to remind me to ask for the referral whenever I am on a call.

Always Ask for the Referral

However, when I mentioned this recently to some industry peers, they said they were afraid to ask. Why? If you are providing great service, why not ask. All they can do is say no.

A perfect opportunity to ask for a referral is when a client comments on how great we did on a recent project. That is when you spring into action and ask; who else in your company would you recommend could use our services?

Another opportunity is when you know your current customer doesn’t handle something you provide and you can ask; Can you introduce me to the person who handles __________ (fill in the blank)?

And of course, you should also be asking for referrals to companies outside of their organization. I am sure they know other decision makers they could introduce you to. I used to have a quarterly lunch (pre-pandemic) with a local CEO and he knew one of my questions was always going to be, “who can you introduce me to?”

Each time he would help me with one or two introductions. Don’t forget, they have vendors too. Think about the types of services they need that you don’t supply. Could those companies be good customers for you? If so, ask for the referral to them.

I Need Your Help

I also like to use the phrase “I need your help”. This small beginning phrase has provided me the introductions I needed to get into several clients.

For example, I had been trying for years to get into one of the largest employers here and it was always a closed door. Finally, I met a few people through the local Chamber and said “I need your help in getting into your company’s marketing department.” They replied, “happy to help open the door for you, but after that it’s up to you!” I was thrilled. And I am happy to say, 19 years later they are still a customer and we consistently get referrals to new divisions as they continue to grow.

Another way to ask using that “help” phrase would be “I need your help, we are expanding our services to include _____ (fill in the blank), could you introduce me to the person that handles that?” Why would they say no?

Sometimes you may not have a meeting or a recently completed project, so is it proper to send a note and ask for the referral? Of course, again, why not? Especially during these pandemic times, most people are more than happy to help as everyone understands the difficult business climate we are in.

Don’t Forget Your Dormant Accounts

And, we all have clients that fall to the back burner. I know that when we get really busy we have a tendency to not necessarily reach out to all our customers consistently. It is a big mistake of course, but that shouldn’t stop you from reaching out again and reintroducing yourself. Maybe you have added new services or have an idea you think they might like, so send it to them. And you can close with, if this isn’t something you handle, could you introduce me to the person that does? It doesn’t hurt to ask.

LinkedIn Opens More Referral Options

Another resource that people are using to find potential customers is LinkedIn. Just yesterday I received a call from someone I hadn’t spoken to in probably 5 years. He saw on LinkedIn that I was connected to someone he wanted to meet and asked if I could provide a referral. Now, on LinkedIn we don’t always have a relationship with the people we are connected to, but in this case I did. And of course, I said yes.

And even if they don’t have an active business relationship with you, if you have a good LinkedIn profile, and are active on LinkedIn, many people will still provide a referral introduction.

Business is all about relationships. People like to do business with people they know and trust. So, build on that. Make sure you have a relationship with your clients where they feel you have their best interest at heart. And I guarantee they will be more than happy to help you grow your business with a referral or two.