What Makes Referral Relationships Work?

"When you trust a person, you are more likely to trust the business they recommend you”  

There really is no better way to get new business easily than a referral or strong recommendation from someone who is already sold on your product or services.  

You will find that business which comes from a referral or recommendation is frequently a virtual guarantee of success. The more trust the potential prospect has in the person that refers or recommends, the more likely they are to buy from you.  

You can always get good referrals from satisfied customers, trusted alliances, suppliers, and other good network contacts who know the kind of clients you are looking for and hold you or your services in high esteem. 

Many people don’t like to ask for referrals or recommendations, although the majority are very happy to receive them. Many will admit to not being as active in encouraging them as they could be.   

But what does it take to make referral relationships work?

I met the MD of a marketing bureau recently at a networking event, who after speaking with, put him in touch with a few contacts of mine that I thought might be useful. I also set up a meeting for myself to explore any opportunities there may be for him to refer his clients to me for sales coaching. I made the first move and the first line in his email to me was this…

Hi Jackie

You are a perfect example of an excellent referrer - many people could learn from you ...  and the rest that followed was the start of our trusted relationship

So, I am going to share with you what I consider to be the 7 keys to building referral relationships. This is what I do myself and it works. 

1.   Build a Strong Trusted Network 

To be confident in referring experts to my clients and contacts I like to build strong trusted relationships first. I do this in 2 ways.

Firstly, through our local Heart of business network, which is a way of enabling all our members to build that all important trust, as well as, a good understanding of each members’ area of expertise enabling us all to intelligently refer each other.

Secondly, through a wider network of personal contacts that I have built over time. It takes a bit of effort to make every relationship personal but well worth it, if it results in each of us all looking out for each other and making those all-important introductions.

I like to make time to meet one to one, or have a good Skype call which builds understanding and gets the relationship off to a good start. Also, keeping in contact on a regular basis is vital.

Closest network

I also find I tend to have a very close smaller network of expert contacts that I refer to regularly, business owners that I have worked with on projects, used their services myself, or they may even be clients I am coaching or members of my mini-mastermind groups. They are the people that are at the forefront of my mind. I know them well and want to help in any way I can. They are also the people that are most likely to refer my services to others. We have a personal stake in each other.

2.   Be a Connector and Make the First Move

I think to be a good referrer you do need to enjoy connecting people. There is work involved in making effective introductions and you need the motivation to do it.  I do have a natural inclination to help people and like the feeling of making a good connection. 

I have found from my experience that if you are the first one to make a move and give an introduction or referral, it always comes back to you. It may not be directly from the person you helped – but you do get what you give, it just may not be in the way you expect. 

For example: I had an introduction which turned into a fantastic opportunity for ongoing business that came from an old contact of mine who brought an extra last minute guest to one of our Heart of business taster meetings last summer. 

It was a completely unexpected chance meeting that I decided to explore in more depth. I had offered to help both contacts with introductions. The opportunities that I am now set up to receive because of that one meeting, all being well, will probably give me as much as I have given out in referrals over the few years of running our Heart of business network.

3.   Train Yourself to Listen for Opportunities 

To make referral relationships work you need to keep your radar open for opportunities to help your clients and contacts outside of your own expert area. We all only offer one tiny part of the jigsaw and developing an ability to see the bigger picture is key.

I tend to ask questions first and listen to what the people I meet have challenges with or what they might be looking for help to achieve. I find it is much better to be interested first. This puts you in a stronger position to see how you can help. If you train your ear to listen for what others want, you will be in a position to offer to make a connection for them.

I luckily have a natural opportunity radar. Good referrers will have that too. So, if you are choosing referral partners to work with it is a good idea to find out if they do have an  opportunity radar or are at least willing to develop one! 

4.   Ask Good Questions and Really Listen

When you know what, it is that you are looking for, you can develop good questions to ask, that are not intrusive, but simply enquiring and helpful. These questions can be used when you are networking, working with clients on projects or just generally out and about. 

The questions you ask need to be in addition to simply asking about the challenges that lead to what you could offer as a business, or the problems that you can solve yourself. Once you get into a relaxed conversation you may add in questions that explore general challenges, goals, type of desirable clients and any specific help or introductions they are looking for. If you really pay attention to people, what they are doing and what they are looking for you will find that you learn a lot and more opportunities will surface. 

5.   Follow up Straight away – Copy both Parties in by Email 

When I see opportunities to make introductions or referrals I tend to do it as soon as I possibly can. If I don’t do that and leave it a few days, I find it is easy to get distracted or worse still, forget to do it.

I like to do things when I am thinking about them. I also find it is good if you can deliver what you promised straight away. I find this helps people to trust you and they are more likely to reciprocate.

I take time to make the introduction by email and to make it personal. I always include the full contact details of both parties and a clear reason for the introduction. I also explain how I know the person I am introducing, as well as, mentioning the good things they have done for me and/or the clients/contacts I work with.

I always ask to be copied in on the outcome as it is nice to know when something you did for someone results in something positive. 

I got an email recently from one of my contacts at Metro Bank who wanted some introductions to Law Firms. He was thanking me for the introduction I had made for him which had progressed to a meeting. It was nice to hear and I am 100% sure that he will remember me, when it comes to Metro Bank clients needing business coaching. 

When you do something for someone and they benefit from it, they are much more likely to remember you.

6.   Be Personal and Natural 

Making connections is a natural part of what I do as business coach and network leader. I enjoy the contact with people, helping them to progress and being able to offer something that is that little extra. If you can help someone, just do it, don’t worry about what you are getting from it – just give. I live by this.

The more personal and natural you are when making referrals the better they will be received. Like I said at the beginning of this blog – people are more likely to trust a referral from someone they trust. So, the building of rapport and the relationship you have with your referral partners is essential.

7.   Make the Effort 

To make referral relationships work, however many contacts you have in your close or wider networks, you will need to make the effort. It takes time to build the trust and get to know each other properly. Keeping your radar open for more than just your own needs will take discipline and focus to start with, that’s until it becomes part of your natural way of operating. 

Doing what you say you are going to do immediately and taking the time to write good introductory emails to those you are connecting, also takes time, time away from your own work. If all members of your network of referral partners make the effort for each other, worrying about how you can get good quality leads will most certainly become a thing of the past.

Opportunities Build your Network

Jackie is the co-founder of www.naturalnetwalking.co.uk 

Walking and Talking together is a great way to build the bonding and trust necessary for great referral relationships. It would be great to meet you on one of our Netwalks if you are based in Oxfordshire, Buckinghamshire or Berkshire. 

We are also looking for Leaders who want to set up and own a Netwalks in their area.

To find out more visit  https://naturalnetwalking.co.uk/netwalk-leaders