The Real Money is in Referrals

In business, you are always looking for where your next sale will come from, and it can be exhausting. However, it won’t always feel like a chase, because as you build your business up, you will start to see that the real money is in referrals. With each happy client you have, you are creating the potential for more clients. Hearing about a business from a person that you already trust is far more effective than seeing an ad on social media. That’s why it is so important to develop healthy and happy client relationships and work to maintain them. They could be the reason that you close your next sale.

Think about how you personally go about deciding whether to purchase something or to agree to do business with a company. You likely do some research of some kind, and you may ask your friends and family for recommendations. Who are you going to listen to more? The company who says great things about themselves or someone you know who has had a direct experience with them? I would personally trust the word of my friends and family before I would trust the company I have never worked with

Back on the business side of it, getting referrals is often more sustainable than constantly sending out your sales people to look for new clients. It clears up more time for other things that will benefit your business, and it also allows you to build rapport with them faster because they already have an idea about who you are before they ever approach you. You should treat every client as if they hold the power to bring you new business or to  block you from getting new business, because in a way, they do. If they have expressed concern or unhappiness, address it with them head on. If they have expressed satisfaction and loyalty, show your appreciation and verbalize it. People will care more about what others say about your company than they will about anything that you have to say about it.

Your current client network can help you expand your reach, building trust within the community and fueling sustainable growth. While there is great value in seeking new business on your own, there is even greater value in earning referrals. Work to build and maintain trusting relationships with your clients, and many of them will start talking about your business all on their own. A referral is proof that you are providing value and that it is worth being shared  with the world. Never underestimate the power of client relationships.

-Meghan Slaughter