NETWORKING SUCCESS: You Can Have an Unlimited Supply of Referrals!

Networking Success with Dr. Ivan Misner

Ivan's section is sponsored by qAlias.com

There is truly an unlimited supply of referrals! This may surprise you, because most people who are new to referral marketing or who have had trouble getting referrals tend to believe that they must fight hard for a limited supply of good referrals. This mind-set is known as the “scarcity mentality,” and those who have it often appear desperate to obtain business—which is not a good way to present yourself when you’re trying to sell your products or services. Desperation is not referable.

It’s true that you must compete for business, even within a referral-networking group. When you join a group of this type, you may come in thinking that all the other members will now automatically begin referring all their business to you. What you have to realize, though, is that joining a referral group does not automatically entitle you to referrals; you have to earn them. For starters, you have to work to create relationships where none existed before. Fellow members must get to know you and your work, and they must know that they can trust you to carry out your commitments and to provide outstanding and memorable customer service to anyone they might consider referring to you. They have established relationships of their own, and they don’t want to risk those relationships by referring them to someone they don’t know.

But having to compete with established relationships does not cut you off from potential referrals. Suppose, for example, that you’re the new chiropractor in your group and you want to get referrals from other members. You learn that one influential member has a long-established relationship with a chiropractor who is not in the group. Does this obligate the other member to stop doing business with her chiropractor and start doing business with you? Of course not, and if you try to make this happen, you will quickly gain a reputation as a relationship assassin—not a good way to be thought of.

If you nurture an abundance mentality, rather than a scarcity mentality, you will realize that there’s plenty of business out there for you and many other chiropractors. There is also a way that you can compete and, at the same time, collaborate with another vendor.

First, you know that the other member likes chiropractic. This is a point in your favor, because it means there is a strong chance that she will advise friends and acquaintances to seek chiropractic help as well—perhaps from you, after she gets to know you better. When you talk with her, ask her what the other chiropractor does that she finds especially effective. Does the practitioner specialize in certain therapies?

Ask to be introduced to her chiropractor. Find out what kinds of cases your competitor likes to tackle. Back problems? Joint pain? Neck problems? Tell him that you prefer to specialize in a different area and offer to refer cases in his chosen specialty to him. Suggest that the two of you could refer overflow patients to each other and help with each other’s patients during vacations.

In other words, you can be genuinely helpful to each other and still be competitors. You can help each other build a customized practice with the kind of patients you prefer. Suppose he likes accident claims and you don’t. You can begin the process by referring a flood of accident business to him—so much of it, in fact, that he may feel the need to send some of his other patients to you.

Even if the other chiropractor and you specialize in the same areas, you can benefit each other by referrals. His practice may be in a completely different part of town from yours. You can collaborate with him in joint screenings at intermediate sites, such as at natural foods co-ops, and give new prospects a choice of chiropractors. Many will choose on the basis of personal rapport, or perhaps the more convenient location.

We recommend Kim George’s book Coaching into Greatness. She writes about how a successful, healthy networking activity is what leads to having an abundance mentality. There’s a ton of business out there, she points out, and all it takes to cultivate an abundance mentality is to become an active networker, building relationships and providing benefits for your networking partners. Joining a networking group because you expect it to immediately start giving you referrals, without any effort on your part, is lazy networking. It produces few or no referrals and leads you to believe that the number of referrals available is limited—the scarcity mentality.¹

There is also a way to make the flow of referrals predictable and adjustable. You and a referral partner can set up a system in which your partner sends you referrals as you need them—regularly, predictably, on request, and on time. Creating such a structured system is like building a pipeline for referrals.

Think about it. What if you knew at all times when a referral partner was going to refer you, whom she was going to refer you to, and how she was going to refer you? What if you knew in advance which product or service your next new customer was going to want to buy? You could plan ahead. You could schedule business to come in when you most needed it and were best able to handle it. You could select the kind of customers you wanted. You could project your cash flow and manage your inventory.

Selling with traditional marketing methods is like fishing with dynamite: you light off a few sticks, throw them into the water, and hope that something comes up. Structured, programmed referral marketing is more like fishing with the latest high-tech gear: you’ve got a boat that lets you move to where the fish are most likely to be hanging out; you’ve got sonar that lets you see where the best fish are; and you can say, “Forget those carp over here in the shallows. I’m going to catch those thirty big brown trout down at eighteen feet!”

How do you build such a structured, predictable referral system? First, you have to establish a close, mutually rewarding relationship of trust with your referral partner. In our program at the Referral Institute, we’ve found the best approach is to start off with some relationship-building activities to get to know each other better, based on your behavioral styles and other factors. Next, determine how many and what kind of referrals you will need each week to accomplish your financial sales goal. Then, one by one, you and your counterpart discuss the people in each other’s database and identify the ones you’d particularly like to contact. Once this is done, you can decide when, where, and under what circumstances you’d like to meet each one, and if your referral partner agrees, that contact goes into the pipeline. After contact is made, the results are evaluated and shared with your referral partner. It’s about as detailed as you can get with a target market, and the timing couldn’t be more precise.

The kind of proactive referral system we’re talking about here is not intended for use with everyone you know. It’s designed for key relationships you’ve already formed—that is, relationships of trust, in which you and your partner know each other well, along with the level of service each of you provides. The predictability comes from knowing that your partner is a trustworthy and skilled networker who can be relied upon to provide a steady stream of high-quality referrals.

¹Kim George, Coaching Into Greatness (Hoboken, NJ: Wiley, 2006).

Called “The Father of Modern Networking” by CNN, Dr. Ivan Misner is a New York Times bestselling author. He is the Founder & Chairman of BNI (www.bni.com), the world’s largest business networking organization. His latest #1 bestseller, The 29% Solution, can be viewed at www.29PercentSolution.com.com. Dr. Misner is also the Senior Partner for the Referral Institute, an international referral training company (www.referralinstitute.com). He can be reached at misner@bni.com.

___________________________________________________________

Posted to THE NATIONAL NETWORKER. To subscribe for your free newsletter, go to www.TheNationalNetworker.com. For the complete National Networker Relationship Capital Toolkit and a free, continuous RSS feed (available either by traditional RSS or by direct email), go to: http://thenationalnetworkerweblog.blogspot.com. You are also invited to click our buttons:


Forward/Share This Article With Colleagues And Social Media:

NETWORKING SUCCESS: You Can Have an Unlimited Supply of Referrals!

MASTERING THE MEMBERSHIP MAZE: Five Things You Should Do Right Now In Your Membership Group

Mastering the Membership Maze with Glen Gould

"These are trying times." How many times have we heard some variation of this tired phrase regurgitated over the past several months? Regardless of who we meet or where we go, the economy is on everyone's mind. So let's talk about how we can take advantage of "these trying times".

There are five key strategies that will ensure your success now and that you are properly positioned when we come through this economy.

1. Be a member of a chamber of commerce. I was at a meeting in late 2006 where panelists were discussing the coming downturn in the economy. Members of the chamber knew this recession was coming nearly eighteen months before everyone else did. Why? Chambers are the "house of business" and trends are identified long before they become commonplace. At the "house of business" leaders of companies from various industries have a forum to discuss what is happening in their industry and others. Be on the cutting edge of what is happening by joining your local chamber today.
2. Participate in chamber events. Sure joining will give you access to leaders and information, but like the proverbial health club membership, it doesn't work unless you use it. Visit your chamber often. Send your staff when you cannot attend. There is no substitute for participation.
3. Meet new people each time you attend an event. Most people are afraid. They go to events and hope someone nice comes up to them and starts a conversation with them. Be that person. Make it easy to get to know you. The best line to use to start a conversation at a chamber event is "hi". Be friendly and just say "hi". You'll be amazed at how quickly your network will grow.
4. Ask "who do you need to meet?" Everyone is there to meet someone. They may not have thought of it that way and they may not be ready for the question, but asking them shows that you are willing to help. Most people think about themselves most of the time. You'll stand out when you offer to help people succeed. Hold one on one meetings with people with the specific purpose of helping them connect with the people they need to meet. When you do, people will begin helping you meet the people you need to meet.
5. Understand the chamber mission and volunteer. The real power of the chamber network can be seen when you volunteer to work side-by-side with others to achieve a common goal. When you serve the chamber you serve your community and yourself. There is no better investment of your time than to volunteer to help the chamber achieve a worthy goal.

By joining your chamber and getting involved you will be ahead of the crowd and better able to adjust to economic trends. If members of chambers were discussing what is happening today eighteen months ago, what trends are they discussing today that will be happening in the near future? Get involved in your local chamber and find out now. You simply cannot afford not to "in these trying economic times".

Glen Gould

glen@inspirationagents.com

770-745-5102

___________________________________________________________

Posted to THE NATIONAL NETWORKER. To subscribe for your free newsletter, go to www.TheNationalNetworker.com. For the complete National Networker Relationship Capital Toolkit and a free, continuous RSS feed (available either by traditional RSS or by direct email), go to: http://thenationalnetworkerweblog.blogspot.com. You are also invited to click our buttons:


Forward/Share This Article With Colleagues And Social Media:

MASTERING THE MEMBERSHIP MAZE: Five Things You Should Do Right Now In Your Membership Group

CONNECTING IS NOT ENOUGH: The Trouble with Networking Events......

Connecting Is Not Enough by Andy Lopata

Last month a member of the Business Matters Magazine Facebook Group posed a question.

“Networking events…….do they work?”

The questioner went on to explain, “Over the past year I have been overwhelmed by the volume of networking events that have been shoveled through my letter box but I have had a busy time so attending has not been a priority.

“Now times for business development are key, so what is the verdict on networking events to increase business?”

In the last column I discussed the problem of people attending networking events and joining groups because of an invitation, without a clear outcome in mind. This person has been inundated with invitations and is now asking the question, should I be going along?

In a similar forum recently, another contributor asked whether they should pay £500 ($700) for membership of a networking group. To him, it seemed to be too expensive.

The lack of a clear outcome that I discussed last month is building increasing disillusion with networking events, at a time when businesses need them more than ever. Visit any number of forums and you will find similar questions to the ones above, coupled with complaints about meeting people trying to sell at events, meeting the wrong type of people,

There can be little doubt that networking, whether formal or otherwise, plays a key role in the sustainability and long term of success of most businesses, particularly during tough economic times. Yet, as we have already explored, people are missing out by making the wrong choices and adopting the wrong behavior.

So how do you make the right decision? To which group or events should you devote your networking energies and how does price reflect quality?

It all depends on what you want to achieve. At the moment, networking groups seem to be defined either by whether they are online or offline or, alternatively, by the time of day they meet. While useful categories for identifying which networks are convenient for you to involve yourself with, and to which you can commit, they don’t necessarily help you make the right business decision.

To decide which networking group you want to join and whether membership will be expensive or tremendous value for money, you need to have a clear vision of what success will look like from your membership. What, in other words, is going to be your return on investment?

Any other business purchase tends to be accompanied by the question, ‘what value will this add to the business?’. There is no reason why networking should be any different.

First of all, focus on what your goals are. What do you want to achieve from your membership? The type of group that will suit you will vary depending on whether you are looking for peer group support, referrals, to enhance your industry knowledge or simply getting out of your ‘cave’ and meeting other business people.


There are a wide range of reasons why people network. Some of them people recognise beforehand, such as lead generation, in other cases, people find themselves enjoying the benefits passively. A proactive, considered approach to gaining these benefits can make a huge difference.

Take a sheet of paper and split it into four columns. In the left hand column, write down the ten major areas you need to see improve, either in your business or personally. Where do you struggle? Where do you need help?

Now in the second column, by each area of improvement, ask yourself how other people can help you achieve that goal. For example, if you have written down ‘more business’ in the left hand column, you might write ‘referrals’ alongside.

You now have a clearer idea of how networking can help you than beforehand, and that should help you pick the right group but we still want to know what your return on investment will be.

How many of these improvements can you place a value on? In the third column, write down the difference such an improvement would mean to you. Quantify it where possible; if you can’t put it in words. What would it allow you to do that you can’t now? What would it mean to your personal life? How would it affect your emotional state?

You now have a tool that will help you measure a network’s effectiveness for you, understand what success will look like from that network and, importantly, help you select the right network for you.

Instead of defining networks by their time of day or whether they are online or face to face, I split business networks into three categories:





The categories overlap, most networking groups will deliver more than one benefit. But the key is that you can look at each group and recognise what the key benefit they will deliver is. For example, BNI is a referral-building network. You will learn and get peer support (Brain Building) from BNI Chapters and your profile will grow as people talk about you but their primary focus is on generating referrals.

In contrast, events which focus around people from the same industry tend to be more focused on Brain Building, whether through learning, best practice sharing or mutual support. Despite this, my membership of the Professional Speakers Association of the UK over the last five years has provided me with some of my strongest referrals sources. It is, however, still primarily a Brain-Building network for me.

With this in mind, look at the needs and goals you have written down and ask yourself which networks will best help you achieve them? In the fourth column, write down ‘Profile’ ‘Brain’ or ‘Referral’ by each need.




You should now have a clear idea of which types of network will suit you best and where you should focus your time. Look at which types crop up more than the others, look at the value of meeting that need to you in terms of prioritizing where you spend your time.

Now when you look at the invitations you receive, you have questions you can ask the organizers.

“This is what I want to achieve from my networking, how will membership of your group help me achieve those goals?”

“What would I have to do within the network to ensure that I can achieve the return I’m looking for?”

You are much better placed now to ask the right questions and select the network that will work for you. And when you look at the cost of the network, it falls into perspective.

After all, if the need you have identified is met from membership, and if the value of meeting that need is worth £100,000 to you, will £500 seem so expensive?

The trouble with networking doesn’t lie in the events and groups themselves. They offer so much potential to businesses who, currently in particular, need that support.

The trouble lies with the lack of planning that prevents attendees and members realizing that potential.

Are you struggling to put an effective networking or referral strategy into place? Do you want to know more about how to ensure you get the maximum possible return from your networking?
Andy's new Audio programme 'Networking in Ninety Minutes' will give you the tools you need to make the most from your networking. Available in CD or mp3 format here.

Andy Lopata's newsletter archive
Andy Lopata's LinkedIn profile
Tune into Andy's weekly networking tips on yourBusinessChannel

___________________________________________________________

Posted to THE NATIONAL NETWORKER. To subscribe for your free newsletter, go to www.TheNationalNetworker.com. For the complete National Networker Relationship Capital Toolkit and a free, continuous RSS feed (available either by traditional RSS or by direct email), go to: http://thenationalnetworkerweblog.blogspot.com. You are also invited to click our buttons:


Forward/Share This Article With Colleagues And Social Media:

CONNECTING IS NOT ENOUGH: The Trouble with Networking Events......