Word Of Mouth has got to be the most cost effective way of generating new business.
Yet, how many businesses actually have a STRATEGY in place to make sure word of mouth happens?
Did you know there are 21 strategies you could be using to generate more referrals from your existing clients?
Referrals and recommendations are much easier to convert into paying customers than leads from any other leads source.
Robert Cialdini said in his book, The Psychology of Persuasion, that two of the most important things for influencing people are Expert Status & Social Proof. Referral marketing ticks both of those boxes. If someone is actually advocating you and your business, that’s social proof that you’re obviously doing a good job, and you’re an expert in your field.
The first strategy for generating more referrals? Ask for them! Do you currently ask EVERY client for referrals? If so, when in the customer journey do you ask for them?
The best time to ask for referrals is when the emotion is the highest. When you’ve over delivered on your promises, delighted your customers and exceeded their expectations.
However, positioning referrals should be done before the sale is closed.
There’s two huge benefits of positioning this.
1. They’ll be thinking about who they can refer you to right away.
2. They’re already thinking about being delighted by your products and services. If you have the confidence to position that every customer is asked for referrals, it will give the customer confidence that you’re great at what you do.
So, you’ll get more leads, and improve your conversion.
Don’t forget to say thank you!
The power of a thank you is much higher when the customer isn’t expecting it. How much has that referral been worth to your business? Then think about what sort of gift, even if its just a thank you card, you would invest in to thank the customer. I guarantee that you will see more genuine referrals coming in this way over incentivising them.