10 Steps To Referral Group Success

Our research has shown that referral groups are growing in record numbers as a result of the slower economy and the need to “get back out there”.  Historically, networking…especially in structured referral groups can provide a new infusion of business-generating leads…especially if you’ve let your network stagnate while things were booming

However, merely joining a leads group does not guarantee an immediate flow of referrals.  How long does it take?  HOw much are you willing to give in order to establish trust in the others and to demostrate your professionalism and your worth as a team member? Often, people who join referral group are initially disappointed when leads do not immediately start flowing their way. They are also worried about how to give leads to their fellow members. I’ve outlines a few important points that will help both the referral group and individual member on how to creatively give back to the group and how to teach your fellow members how to be a good scout for you.

1. Know your 30-second promotional. Practice it. Learn different “sound bites”, and “bullet points”, so you can be concise and exact. For example how you answer the question. “what do you do?” would be different than if you standing up at a meeting and address the whole room.

   Vary your 30-second promo, with seasonal variations or situational stories that could spark a referral. Most referral groups meet every week. If you say the same pitch every time, you will quickly be tuned out. It is imperative that you keep your promotional fresh, entertaining as well as informational

2. You are responsible for teaching them about your business. Do not assume that they know every product and every service you offer. You never want to hear one of them say “I didn’t know you provided that product/service, too”, after they bought from someone else. In the Link System Training we have a template to follow that helps you collect your thoughts and gather all the different aspects of the products & services you offer. We also recommend that you use this outline for online networking sites such as LinkedIn.
3. Network! The more you are out there…the more information you will have to share…the more resources you can bring to the group, and the more potential referrals you will meet. Some people tend to cocoon themselves in the comfort of their group and rarely venture to a chamber mixer or any other type of event. The group loses out when another member does not grow their own network.
4. Occasionally network on behalf of the group. It is easier to promote your group as a way to build their business than it is to promote your own business. I’ve talked about this in other articles…It takes the pressure off you to promote the group instead of yourself. This is especially true if you are in a profession that has a lot of competition at every event.
5. Warm Leads vs. Cold Leads The lead is “warmed” up and expecting a call from the service/product provider. Nothing falls flatter than a call to a “hot lead” who does not know who you are and barely remembers talking to the person who gave you the “hot lead”.

   Do not “sit” on a lead until your next meeting, call and deliver the lead as soon as you can. Opportunities have a short shelf life. By the time your next meeting comes around, that hot lead may be filled. Let the lead-giver know the outcome of the leads you receive.

6. Become a hub through which information flows. This has more to do with personal branding/positioning than your interaction during your meetings. When you regularly share resources & connect people…inside AND outside of your referral group, you broaden your worth to your fellow group members. Your outside network starts to think of you as a resource from which you can recommend your trusted group members.
7. Learn to ask:
       • ….Of others: On a scale from 1 – 10, how happy are you with your (CPA, Attorney, etc)?
       • …Of yourself: Would one of my leads group members benefit from knowing this person?
8. Tell How The Lead Generated. It may spark up a lead in someone’s mind of a similar situation. This is often overlooked but is very effective in building awareness of how different products & services can be utilized.
9. Have an assigned variation of your 30-second promo. Example: “Give your promotional saying how your product/service can be of benefit in a recession” Responses are spontaneous, often humorous, sometimes revealing.
10. The “Information & Resources Lead” Leads groups are all about getting client referrals. But most people overlook the benefit of the simple exchange of information & resources…in both asking for them, and recognizing them for others. For example, if you often speak to groups as a method of business development, a speaker’s bureau would be of interest to you. Then let’s say a fellow member knows someone starting a speaker’s bureau, but is not aware that you would like that information. That is a missed opportunity; one that could open many, many doors.