SuccessNet Online » Blog Archive » A Reality Check for the Top 3 Referral Delusions

A Reality Check for the Top 3 Referral Delusions

Stop shaking your head; start shaking hands.

By Christel Wintels, Executive Director and Franchise Owner – BNI Golden Horseshoe Region

Giving your head a shake is a common reaction to some of the less-than-brilliant things we’ve all been known to think and say from time to time about business referrals and where they come from. Yes there are myths of where the best referrals originate—and it is time to dispel them.

Delusion #1: You should always get a referral when you’re in front of the referral source.

The truth is if your referral strategy requires you to be present in order to get a referral, you’re putting severe limits on your capacity to generate new business. Why limit yourself? Instead, train your referral team to listen for the expression of a need and to swiftly act upon them on your behalf by offering your business card or a personal introduction.

Delusion #2: To maximize your chances of getting good referrals, it’s best to move from one networking group to another at regular intervals.

Dr. Ivan Misner, founder of BNI, refers to this approach as “scorched earth networking”; it’s about as friendly as it sounds. Smart business people today understand that the best way to build a business is through relationships. And those relationships take time to develop.

Thinking I’ll just join such-and-such group for six months, get all the business I can, and then I’ll move on is a complete fallacy. It would be like planting a cactus in the desert, waiting for six months, and at the end of that time, saying, “Well, it’s not working here. I’m going to dig it up and go plant it somewhere else.”

As crazy as that sounds, it’s what misguided people do when they join networking groups. Plain and simple: It’s a bad idea to move around unless you’ve got serious issues with a specific networking group. You want to stay and build relationships - whether you’re talking about a Chamber, Board of Trade, BNI group, a service club or other network. Avoid “scorched earth networking.”

Delusion #3: Your best and only source of referrals is your customer.

The reason some people fall into this trap is that they’ve been conditioned to believe it. They’ve never really pursued any other potential referral sources. Let me clarify. I’m not saying customers aren’t a source of referrals - but they’re not the only source. And they may not be the best source. That’s one of the reasons why Dr. Misner created BNI. While he knew his customers were a great referral source, he also knew that if he could develop relationships with other businesses, they could be an even better source of referrals. Why? When you work with other businesses that are compatible with your own, you create symbiosis; when you’re referring them, they’re referring you.

In closing, stop shaking your head, start shaking hands, network for the long term, and build your business brilliantly through good solid referral sources.

Christel Wintels is the Executive Director and Franchise Owner of the BNI Golden Horseshoe Region, a Master Franchisee Partner with the Referral Institute Canada, Vice President, Operations, Referral Institute Ontario, a Certified Networker and a Master Trainer with the Referral Institute. Christel has written numerous articles about the art and science of referral marketing and how to build lifetime referrals through the philosophy of “Givers Gain”. She writes a weekly networking column, blog, and is a contributing author to the New York Times Bestseller,” Masters of Sales”. Christel welcomes your contact by email: christel@bnigh.com website: www.bnigh.com or phone: 905.681.1999 or 1.866.340.8740

Tags: July 2011 Edition, networking, referrals