What you need to make referral systems work

Can you remember a time when you had a great experience buying something?

If you do, you probably also remember telling others about it.

You couldn’t wait to tell your closest friends about it.

It could be a restaurant experience, a dentist, chiropractor, or retailer.

The fact is that you were so happy that you wanted to tell others about it.

But here’s the best part—

When your friends called you up afterwards and told you that they were happy that you introduced them to that business, you felt even better?

Well you owe it to your own customers to give them the opportunity to have the same type of experience regarding you, your products, or your services.

When you give them this opportunity, you accomplish three very important things:

1.      The first thing it does is to help them better appreciate the advantage and benefit they receive every time they do business with your business.

This is important because it connects them to your business and, most importantly, to you.

2.      The second thing it does is give them the opportunity to give back to you, in what I call a “reciprocating” way—the appreciation they feel for the benefit, value, pleasure they get from your products or services.

3.      And the third thing it does is to give them the opportunity to benefit or improve the life of someone else. It’s not uncommon that when you do this, you’ll get multiples of referrals from this customer.

It gives them this opportunity to do an incredibly noble service to people in their lives that they feel good about, because they know when they refer those people to your business, they are increasing those peoples’ well being, or improving the quality of their lives.

What you need to understand is that the key ingredient in making a referral system work is that your customer must understand and appreciate the value and benefit they receive from the product or service they purchased from you.

You must ask yourself the following questions in order for an effective referral system to work.

1.      Do you genuinely care about your customers best interest, needs, and desires at the level you should or could?

2.      Are you giving the best possible value or benefit that you possibly can to that customer?

3.      Are you genuinely thinking of their interests always above your own, because…this next statement is critical—it’s all about them; not about you?

4.      Are you extending yourself and every member of your staff and service to those customers?

The critical distinction is that it’s all about them, not about you.

I say that because I want to introduce you to the enormous force and power you will harness when you realize how much more effective everything you do in your business will be when you start focusing all your thoughts and actions on what’s going to be in the best interest of your customer.

You might already be doing that to some extent, and if you are, I commend you.

But what I’m saying here is designed to get you to a higher level, multiplying many times over the effectiveness, the profitability, and the impact of everything you do. The moment you shift your focus and attention from yourself and your business to the needs and desires of your customers is the moment you start multiplying the power of your referral system.

Referral systems are surprisingly easy to set up and require very little effort or time.

They represent the most immediate source of increased customers you have available in your business.

I want you to think of three things over this coming next week.

1.           Think of your customers as dear and valued friends.  Treat them with the respect and importance that you would have for any other friend.

2.           Revere the value, benefit, and impact of what you do or what you sell, and how it has an effect on their lives.

3.           Always hold yourself, your employees, and your business to the highest level of performance in behalf of your customers’ best interest.

Understand that if you think about the interest, needs, and well being of your customers on a higher and more continuous level than any other business in their lives, you are going to be at the top of their awareness.

So when they are with other people, when they are socializing, playing golf, or having dinner with friends, if the opportunity presents itself, if someone ever mentions or discusses any area where you can help them, your customers are automatically going to introduce your business to them.

And your customer can’t help it.  Your business is constantly in their mind.

And what else can you do to make sure you are constantly in their minds?  Stay in touch.  And can you stay in touch?

  • If your customers are into exercise, send them articles, books, or videos on exercise.
  • If they’re interested in sports, send them anything you can find that is useful and valuable.
  • Think of other items that your customers are interested in and provide them with information that can help them.

The key to this whole process is not just going through the motions.

It’s about being connected to your customer and sending them information that has genuine value constantly.

Most business owners don’t realize that at the point of purchase, most customers are really excited and motivated.

At this point they really want to share this wonderful experience with friends and relatives.

I know of a photographer who after the photo session is completed, he asks the customers for referrals of other people they know who might also be interested and benefit by having a photo session for family pictures.

He gives them additional prints as an incentive for referrals.

He will also give the people they refer a substantial price advantage he does not offer to outside customers.

It’s a win-win situation for all.

Simple process.  All it takes is just a few words that you say at the point of purchase.

What could it be for your business?

The important point is that your business can utilize referral systems to immediately increase the number of customers and profit you make every day for the rest of your business’ life.

It’s so simple and easy and it costs you nothing more than a shift in your thinking and the words you say.

To your success,

Ken Varga

(Ken Varga is the author of “How To Get Customers To Call, Buy & Beg For More”. He has built 35 companies and generated over 6 million customers.  Visit www.kenvarga.com to get his free Marketing Tip newsletter and to learn more about Ken.)

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