The Power of Referrals
February 2006

The party game “Six Degrees of Kevin Bacon” is a popular demonstration of the power of personal connections. If you aren’t familiar with the game, here’s how it works: Connect any movie actor to Kevin Bacon through the movies in which they’ve appeared with other actors. (Kevin Bacon has appeared in dozens of movies with hundreds of actors, both famous and obscure, which makes him an ideal “connector” to almost any other actor).

Soliciting referrals to generate new business works on a similar principle: The easiest way to find people who need your services is to ask those who already use your services. Referrals are the low-hanging fruit that become valuable customers, as they’re essentially pre-qualified prospects who have built-in positive connotations of your company.

Here are a few quick tips to help you and your organization cultivate referrals – and make the most of the ones you receive:

Satisfied customers will often be more than happy to refer industry friends to your company.

Quick Tips

Put Yourself in Position — If you don’t belong to an organization or industry association, join one. Attend industry-related meetings regularly, as the networking opportunities are an effective breeding ground for referrals.

Build on Happy Customer Experiences – It sounds simplistic, but the best way to get a referral is to ask for one. Make it an organizational goal to contact every customer within a week of the delivery of their project. Satisfied customers will often be more than happy to supply a referral.

Play by Your Referrer’s Rules — If you receive a referral, be sure to ask the referring person or company how they wish the introduction to be made. A customer may want to make the introduction in person or place other conditions on the referral. If so, be patient and don’t press for information; treat the referral as you would any other valuable sales opportunity.

Show Your Thanks — Show that you appreciate referrals by sending handwritten thank-you notes to customers and industry friends who have referred your business. This should be done even if the referral doesn’t lead to new work; the personal touch and token of appreciation will more than pay for itself in the long run.

The Grow Sales Advantage

Differentiating your business is a key component of converting referrals into new business. Since 1996, Grow Sales, Inc., has been helping graphic arts companies differentiate themselves with effective marketing strategies. Our public relations, website development, graphic design, outbound marketing and sales support services will help position your business as a valued partner. Call us today to see how we can help you grow your business.

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