The first and most important rule of gaining consistent referrals:

The first and most important rule to remember in asking for referrals, is offering referrals in return. If you cannot offer referrals in return, then try to consider ways to change that obstacle, so that you really do have something to offer your referral partners.  But until you legitimately can offer referrals, you can create a "patch" or "workaround", but remember, there is no true replacement to just giving good referrals to your referral partners if you want them to give referrals to you consistently.  Meanwhile, here a coupl ideas to patch you together in the meantime:


First, think of something you can offer in return. This last week, I had a referral partner that offered us a couple thousand referrals from her warm market. This caused me to pause, because we always give referrals in return to our partners that are of equal kind and quality. We also do so immediately when we can, and within a week at the most if it is a large order, and we don't have like kind and quality to return at the time.

I told our very generous referral partner that I wanted to share with her that we also have value to her in many ways that other than referrals.  For example, we do social media advertising, consulting services, access to our referral network, and also the ability to directly represent her services. I explained we could offer any of these for free in exchange for her referrals.  To all of these, she accepted, and felt that they were fair offers, and agreed to send me those couple thousand referrals immediately. I then shared with her that I was merely making a point...and that is that sometimes some of us don't have large quantity, deep warm market referrals to provide, but that in that situation, there is an option to barter, but only if the value of what is given for the referral is of equal value on both sides. This is a true win-win scenario. To this, she also agreed with me.

I then told her that I really do have a deep set of warm market referrals to give her, and I shared with her that I truly appeciated the specialized nature of the valuable referrals she was about to provide me. I asked her if she would mind if I offered her about 5,000 referrals, which is a subset of our warm market database...all of which were in her target market. She immediately accepted, and we exchanged those referrals, and are now both benefiting greatly from this transaction.

This brings me to the second way that you can prepare to be a great referral partner. If you don't have any true value to offer your referral partner in a bartering scenario...and remember the value must be perceived as true value by your referral partner, or there will be no referrals forthcoming from them. :) ....But you can create a truly valuable exchange plan by thinking in terms of the product that your referral partner provides while you are out there prospecting by yourself. Take that awareness and incorporate it into your own marketing/prospecting plan, and also increase the number of businesses that you target. You must do this in a way that also widens the scope of the services that you are promoting to include that of your referral partner(s). (This is why ISD is such a good referral partner...we do a business assessement to idenfity all the needs of a company, and then we refer out those services that do not fit our core monetized model).

I am reminded of an interesting exchange that happened during a consult that I was performing with a large, ranked insurance brokerage years ago. I will call the owner, Bob to protect his identity during this story. While I was sitting in conference with Bob, the secretary mentioned that he had a phone call from a prominent financial planner, whom I will call John. Bob asked me if I minded if he took the call during our meeting, to which I accepted. As the phone call progressed, Bob became very angry with John, and I discovered I personally knew John. As Bob angrily hung up the phone, he explained that John had "all the gall" to ask him to open up his warm book of business to give as referrals to the financial planner. I was saddened that John did not have the presence of mind to talk first in terms of Bob's interests, which would have been to share with Bob that he, the financial planner had the means to provide insurance referrals to Bob. I mentioned this to the Bob, and he agreed that this is what should have been done. To which I also gently replied to Bob that it might be wise for him to accept John's request for referrals on the condition that the financial planner bring equal numbers of referrals of like kind, quality and size to exchange for an incremental set of referrals that could eventially result in the entire book of business from Bob being delivered to John...but only on the continuing condition that the financial planner respond equally, and as such, would possibly double the existing book of business currently held by the insurance broker.

The insurance broker agreed wholeheartedly with this logic, but talked to me in terms of the 80/20 rule, in which he pointed out that only 20% of the networkers out there understand that you must give equally to get equally...and that in order to be able to give, the eyes of the referral partner must be opened to true opportunites for their referral partners.

For this reason, the insurance broker requested that our company be his referral partner instead of the financial planner. Since that time, literally hundreds of thousands of dollars of net business have been transacted between our two companies over the last 8 years or so. So remember to have something to offer your referral partners, or you will have nothing to prime the pump...which so often results in futile and repeated attempts to pump the water that is truly there, but which will not be forthcoming without giving something simultaneously.

If you would like to be invited to our prospecting efforts in the Phoenix area, where you can multiply your prospecting results between 200% to 500%, feel free to add us on http://www.facebook.com/Biz2Business.b2b and we will send invites to our prospecting efforts or our "coffee meetings" around the Phoenix Area that Becky operates in order to connect you to our referral sharing programs.

Networking: Are we responsible to be a part of our own "universe"...win-win or win-lose referral relationships.

I am still chuckling from an occurrence at the latest Networking Phoenix Event, which was, by the way, phenominally attended, and we recommend that everyone go to Gelle's events that are held quarterly...1,000 to 1500 attendees was the estimate.

But nonetheless, I met a man at the networking event, who read the back of my business card as I handed it to him.  It states that ISD is a unique referral partner, because we will always immediately return referrals to our referral partners of equal kind, size, and quality.  As this man read my card, his face turned sour, and he placed my business card back into my shirt pocket. He told me that this is not how referral generation works. He lectured me on how the universe should be trusted to pay me back in the form of good Karma for the referrals, and that it was against his New Age philosophy to ruin the "true ways of the universe" by giving me referrals.  And additionally, based on this premise, that I should immediately give him all the referrals I had in our 18,000 business database, or I would be guilty of another breach in the universe due to my selfishness for not providing these referrals to him freely without anything in return for them.  At this juncture, I wasn't sure whether I should laugh out loud, gracefully move on into the jostling crowd, or proceed to enlighten him that  we are all part of the universe, and as such, he and I are both correct in a way...that the good Karma is worked through himself and myself, and that as responsible members of the Universe, it is within our control to give referrals back and forth to one another..."Do unto others as you would have them do unto you").  This is, in fact, what creates good Karma (aka you reap what you sow). Meanwhile, my partner, who has a great sense of humor merely asked, "So when you go into the retail store, and fill up your cart with merchandise, you merely tell the store owner that the Universe full of good Karma will reward you manyfold for your kindness in donating this merchandise that came at a price of money, and labor to you, the store owner...so, Ms. Store Owner, thanks so much for your time, don't bother calling the police, and good day to you. I am on my way home now with this hot merchandise. :)." 

At this, we all had a good chuckle, and the tension was released, but the principle is still very poignant...taking referrals without giving in return is akin to taking merchandise without paying for it.  Even if the store owner lets the beggar take the merchandise once or twice in the name of donating to a good cause, at some point, those referrals will be stopped and the relationship will end.  So, remember, long term referral relationships can only be created using a win-win strategy of equal referral distribution.  In some cases, bartering and creating non-referral value in return for referrals can be created, such as providing professional services or money in exchange for referrals as discussed in the previous blog. But either way, a quantifiable and measurable relationship between two parties must be maintained if the true principle of the universe is to be obeyed...the universal principle of long term win-win relationships. 

Lest you think I am belaboring the issue, I would like to post an e-mail that ISD received a few months ago.  I have not met this man, but one of our consultants sent him an e-mail. This man is in management in the construction industry, and is listed as looking for a job on LinkedIn. I don't blame him for looking to switch industries, but ISD also has great influence when consulting construction companies. In fact, we are currently consulting one of the top 5 largest construction companies in the USA.  Here is the e-mail that ISD sent the man whom we are speaking of:

"I am with ISD, and am a business consultant, with emphasis areas in telecom, call centers, and medical clinics.
However, I do consult nearly every kind of business. You will find that I can be a great referral source with a database of over 15,000 businesses, and growing. I talk to about 50 new businesses a day of varying kinds, and would be happy to talk to you about referring business back and forth if you would be interested. We do provide referrals in return to you immediately with equal quality, size, and kind.  You are welcome to review my profile here if you would like, or visit my website at http://www.isdconsulting.biz/.

Here is construction CFO's response to this e-mail.


"That will work for you for awhile, but then people will see right through you and that will leave you flat on your face. I don't operate in a selfish world like you and in my Christian world it's not about giving expecting more in return. It's about helping others without any expectations of any return must less expecting something worth more than what I gave them. I am very well connected and know alot of inflential people, but will not let them be used.  I feel sorry for you and will be praying for you."

Whew! So, whether New Age/Hindu/Buddhist Karma, Christian, or whatever the belief system regarding referral generation, the 80% that don't want to give referrals are very outspoken in their justification of why they don't have to give referrals.  But no matter your belief or creed, I am sure everyone will agree that finding the 20% that actually do give referrals is extremely refreshing when compared to the the 80% that twist legitimiate world views in complex ways to support their reasons for not giving referrals.  

So, finally, to make a play on Monte-Python's classic words...win-lose is "Right Out". While win-win long term relationships that are based on a two-way street of referrals being given to each other, is "Right In."

 Good luck everyone in creating long term win-win networking efforts. :)

Getting Referrals

• Make it easy for someone to bring up what you do (by changing the nature of the service or product).
• Give your best customers something of real value to offer to their friends (a secret menu, a significant gift certificate). Once you do that,not giving that gift to a friend feels selfish.
• Paying me to refer you rarely works, because you're not just asking for a minute of my time, you're asking me to put my credibility on the line.
• Understand that low-risk referrals happen more often than high-risk ones, and either figure out how to become a low-risk referral or embrace the fact that you have to be truly amazing in order to earn one.

and

• Be worthy. Not just in the work you do, but in your status in the marketplace. I'm far more likely to refer someone with a back story, someone who's an underdog, or relatively unknown. That's why saying "thank you" in deeds (not so much in words) goes such a long way.

If you are interested in increasing your B2B prospecting by 500-5,000% with no extra effort or cost, read on...

I am sure everyone is familiar with affiliate marketing, and how it works. It has been around a long time with great results, but have you ever considered affiliate prospecting? We are finding great success with it as we unite the prospecting efforts in the business to business horizontal market.





Here is how it works. Each Wednesday, there are 50 to 60 of us from varying industries with consulting as the central theme that go door to door talking to business owners. Our message is that we can increase revenue or decrease costs for clients, or both.



We gather at the beginning of the day (9:30ish) for about 30 minutes, and teach each other our "elevator pitch/30 second commercial", and also learn what we need to start a conversation about each other’s businesses when talking to the business owners that day. (If you can't meet at 9:30 or so, then add us on Twitter...we will Twitter off and on throughout the day where you can meet up with us, since we are on the move talking directly to the businesses. You may also call Kurt at 480-296-8554 to coordinate via cell phone).



We each make a goal to gather 50 business cards that day as well as set 4 appointments…either directly for our own companies, or for the companies that we each represent that day. If we set appointments, we agree to refer the others into that business if there is a qualified need.



At the end of the day, we insert our business cards into clear plastic business card holders in order to make copies (or scan) these business cards to give to each other. In this way, we each walk away with 500% to 5000% more leads than if we had prospected on our own. Afterward, we head to happy hour to celebrate our successes. (I go too, even though I just drink water, LOL).



Now, in my humble opinion, that is powerful enough, but the real magic occurs when each of us as prospectors realize that we are much stronger when we have 5 or more products to talk about. For example, when a business owner is not interested in switching their internet provider due to 2.5 years remaining in their contract, then I can talk about your product that you have trained me to promote, or I can talk about their web and graphic design needs, or ask how the economy is doing, and how it has impacted their receivables. This allows me to refer them to a commercial collections company. Or as another example, a merchant services agent can talk about the internet or web/graphics when he/she can't get the business owner interested in merchant services.



So, what gets exciting is that at the end of the day, we each have sold each others' products for each other, and as a result, average walking away each day with at least 3 solid business contacts from each other…This is in addition to the 50 biz cards X 50 prospectors = 2500 business leads to call when we separate ways, which is an increase of 500 to 5,000%. Not bad, huh? These numbers can become staggering, since the highest number of people we have had on Wednesdays in 65 so far. We would love to get it to 70 to 100 attendees if possible, and we will soon be adding Tuesday and Thursday, and will eventually have this event daily Monday to Friday for at least 4 hours each day. (Wednesdays are 9:30 to 3:30 currently).



Meanwhile, if you are interested, check Twitter on Wednesdays and daily if you get a chance to watch how we progress. You may also call me at 480-296-8554 if you have questions or ideas.

Check This Out!

Check out Networkingphoenix.com for excellent opportunities to expand your network of contacts.  

Networking Meetings- Why Network?

Talking to people you know to find job leads is the most effective way to find a job. The fact is, most of us find a job through personal contacts—people we already know such as our friends and family, our doctor, dentist, and people we meet when we go shopping and during our normal everyday lives. Personal contacts also include the people that our friends and family know.

Did you know that only a small percentage of jobs are advertised in local newspapers?

Did you know that only a small percentage of people who find a jobs get one from answering an advertisement in a local newspaper?

Did you know that most people who look for work go after advertised openings? Therefore, you increase your chances to be hired by networking with personal contacts to find unadvertised job leads.  

% Job Seekers Using the Method	Method	Effectiveness Rate*
66.0%	Applied directly to employer	47.7%
50.8	Asked friends about jobs where they work (Networking)	22.1
41.8	Asked friends about jobs elsewhere (Networking)	11.9
28.4	Asked relatives about jobs where they work (Networking)	19.3
27.3	Asked relatives about jobs elsewhere (Networking)	7.4
45.9	Answered local newspaper ads	23.9

Wednesday Prospecting event 9:30 am

Once again, on Wednesday I will be meeting together for a prospecting event at 9:30 on 67th Ave & Union Hills near the Arrowhead Hospital.  For anyone that wants to multiply their business to business prospecting efforts, feel free to join us tomorrow morning. Check our Twitter or blog for the exact location. (We never get the exact location until the morning of Wednesday. However, watch for us on twitter or here for us to bost the exact location and time). There should be about 60 attendees at this event. Call for info at 480-296-8554 - Ask for Kurt.

January 6th Joint Prospecting Event (Multiply your prospecting results by 5 times or more!

For anyone that wants to multiply their business to business prospecting efforts, feel free to join us tomorrow morning. Check our Twitter or blog for the exact location. (We never get the exact location until the morning of Wednesday. However, watch for us on twitter or here for us to bost the exact location and time). There should be about 60 attendees at this event. Call for info at 480-296-8554 - Ask for Kurt.