What is the value of referral marketing? Would you rather create one client via the “Old Fashioned” cold calling or several clients with less effort through your referral power team?
Did you know that it takes the same effort to make one sale as it does to create several new clients by using referral marketing strategies? You create a referral power team with professionals who have the same target market and train each other your products and services. You work to create a strong relationship with your referral power team and to “Train” your sales force. The team is out their looking for potential clients for you just like you are looking for clients for them. Once you both get on the same page the referrals start rolling in.
So the time it takes to try to create one sale you can create three sales. You repeat this four times and you now have four referral partners and they are sending you three referrals per week. You are now getting twelve referrals a week and you’re not spending any more effort than it takes to create one sale.
You have created a sales force that is constantly looking for people who can use your products and services. How strong your relationship and whether you have done great job of training your referral partners will determine the closing ratio. There is a direct correlation between your relationship and your closing ratio.
Here is a diagram which shows these marketing strategies:
The above is what most sales people use to get new business “Cold Calling”. Below is how professional sales people who rely on referral marketing find new clients:
Take your business to the next level! Stop cold calling and start building your network of referral partners or your “Referral Power Team” today.
Duane Plapp is a professional business coach with The Referral Institute Cincinnati. Duane can help you create “Referrals For Life”. If you’re interested in learning more about referral marketing you can contact Duane at firstname.lastname@example.org or 859-240-6428