As an entrepreneur or small business owner, you know that referrals are one of the key ways to get new clients. But sometimes it's hard to ask for them. Here are four reasons why you should always ask for referrals from your clients.
1) Referrals are a great way to get more business - in fact, studies show that referred customers are 18% more likely to buy than other leads.
2) Referrals are also more likely to turn into paying clients than other leads - according to one study, referred customers generate 16% higher profits for businesses than other leads.
3) Asking for referrals makes clients feel appreciated - they know that you value their opinion and trust their judgement enough to refer you to others.
4) It's easy to do - just ask! Most people are happy to refer someone if they've had a good experience working with them. Just be sure to give them a good reason to refer you - like a gift or commission.
I find that one of the key elements to having a dynamic sale process is to find comfort in the discomfort - and there is nothing we find more uncomfortable than asking for help!
Don't see asking for a referral as asking for help. Ultimately it is a way for you to support more people and who better to vouch for your services than your current clients?
They are already invested in you and the transformation you provide and probably are already thinking of people they know who could benefit from working with you - they just need the push to take action.
Some other tips for asking for referrals:
- Sending a personalised email is best or even better a phone call. You'll get a better response from someone you know than if you send out a generic message to everyone on your mailing list (although this isn't a terrible approach either!).
- Be specific about who you're looking for and why they should refer them to you. Don't just say, "Do you know anyone who needs my services?"
Instead, say something like this: "I'm looking for people in need of X service that I provide; do any names come immediately to mind? If so, please share their contact information with me."
For example: "I help small business owners grow their revenue by providing web design services; are there any entrepreneurs or freelancers that come especially to mind?"
- Make it easy for them to refer you by providing links back to your website or social media profiles.
- Give a gift or commission as a thank-you for any referrals. For example, "For every person that signs up through your link, I'll give you 10% off my services." It's an incentive and will make the process even easier on both of us!
Do you have any other tips when asking clients for referrals?
Let me know in the comments below! Happy selling!
Paul