The Money Podcast The Easiest Money You’ll Make in 2 (Simple) Steps
Why you should be asking for referrals today?
All business get referrals, but when do you actively ask for them? Most rely on word of mouth, or their clients initiative to refer others to their business. In the latest episode of Money, Rob talks through why we should all be asking for referrals from our clients and customers. In a simple ttwo-step solution you’ll hear how you can increase your sales by referrals. Don’t wait for others to refer you, take action today to get more sales through referrals.
Key Takeaways
Do you go to your followers and ask for referrals? I recently bought a record deck that is worth around £20,000 but I got a really good deal at around £9,000. I had wanted this deck for a while so asked around to some friends who are also into Hi-Fi. It turns out that a friend of a friend of a friend new how to get one after a friend had tragically recently died and had left the Hi-Fi. I wouldn’t have been able to buy this Hi-Fi if I a hadn’t asked. What might look like serendipity on the outside all came about because I asked.
I’ve come up with a two-step process for asking for referrals:
- Reach out to your customers, clients, leads and followers. Ask them for some feedback on your services. What should we stop? Start? And Change? As well what you are good at. Ten give them a gift for their feedback, a consultation call, or a free gift of some kind.
- Two or three weeks later publish the results. State what the feedback was and how you are addressing it. Then give them a special offer for a new product or ask them to refer your business.
Imagine if you did a personal reach out. This process gives you feedback and then hopefully you are gaining 1-3 times more business in the same year. In the 60 or so marketing plans that I’ve read recently for a marketing mastermind not even five of them are not doing this. People get natural referrals, buy you should be asking for them as well. Think about what profit you make on each product and how much of that you would give away to gain a new customer. Then give that number away in terms of cash, or discount in exchange for a referral from that customer.
Business are often not strategically building a referral system. In the first of these examples, you are you are directly making a pitch to your existing customers who are easier to sell to by the way. The second you are asking for a referral. Most people are getting their business through word of mouth which is accidental. Start gaining business through strategic referrals.
This year we are holding a party for our most loyal clients. We asked our team for the top fifty clients. I was shocked at how much they had paid over the years getting close to 40K. We decided then to celebrate this, and have a celebration with champagne and a BBQ at my house. We’re not going to ask them for referrals but I don’t want them for a referral. I just want to show that we care, and that they feel special.
Key things to remember about referrals
1) Ask For Referrals
2) Incentivise the action
3) Track it well
4) Make it personal for them. Say thank you.
Best Moments
‘2 step solution to be successful at referrals.’
‘Reach out and show gratitude.’
‘People sometimes just love to be made appreciated.’
‘Move from accidental referrals to strategic referrals.’
‘Track the average order value of your client, and the average profit margin for this.’
‘If you ask more, you get more.’
‘The world is a mirror of you.’
‘Some people just want to feel special.’
‘Imagine if you did a personal reach out’
‘How much of your profit margin would you give away to get a new client.’
‘Incentivise and care about those who give you referrals.’
‘Sell new products to your existing clients, they already trust you.’
VALUABLE RESOURCES
https://www.amazon.co.uk/Money-Know-Learn-money-transform/dp/1473641322
ABOUT THE HOST
Rob Moore is the host of the UK’s no. 1 business podcast “The Disruptive Entrepreneur,” as well as an entrepreneur, property investor, property educator, and holder of 3 world records for public speaking. He is also the author of 9 business books, 5 UK bestsellers, and the global bestseller, Life Leverage.
“If you don't risk anything, you risk everything.”
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