Top 7 Reasons to Get Referrals

When was the last time you asked your customers if there was anyone else they know who might be interested in your services? For a lot of businesses the answer will be “never” or “I asked once a couple of years ago” – most shy away from even asking the question. And yet, if you think about it, there are several reasons why this works.

1.    If you are doing a good job or offer great products, people who are already your customers will be happy to recommend you to other people.

2.    In this age of excess information, people now rely on other people to refer them to good sources of products and services – if you are referred to someone the chance of a sale is much higher than if you approach them “cold”.

3.    Your customers are the most likely people to know who will be a good fit for your business – so referrals are already screened for you as the right fit

4.    Asking for referrals also reminds your customers that they do like what you do, so reinforces the positives in your business.

5.    Referrals can allow you to offer a share of profits or an incentive to people who refer you. As long as you can still make good profits, why do you care if someone who brings you customers that wouldn’t otherwise come to your business gets something in return. 50% of something is always better than 100% of nothing.

6.    Referrals are easy to do. Don’t make the process too hard - just ask people to let you have a contact name that they think would benefit from your service or better still ask them to drop someone they know an email to say that you will be contacting them. Sometimes that’s all it takes to get a new wave of customers or prospects through your door.

7.    Finally, if you ask for referrals and your customers are not happy to recommend you? Well, frankly you need to know that anyway and the sooner the better, or you'll have another bigger problem looming. Most people are happy to give referrals if they are more than satisfied with your business. And if they aren’t, then that is your most important priority.