Why Referral Selling Is So Powerful

By Geoff Martin, - In Marketing

Personal selling a mobile phone while smiling

Are you using referral selling in your business?

Referral selling is, hands down, the most effective and least expensive way to attract and retain new clients. A referral means you receive an introduction to exactly the person you want to meet. The person knows who you are and wants to talk to you.

Relationships still power our lives-and our sales. Referral selling is the only sales strategy where you get meetings at the level that counts and arrive pre-sold, having already earned trust and credibility. It’s the only strategy that is guaranteed to shorten your sales process, and to eliminate sales and marketing costs. It’s the only strategy that converts prospects into clients more than 50 percent of the time.

Would you prefer to do business with:

  • Someone who reached out to you via a cold call, or
  • Someone you met through a friend or colleague with whom you have an established, respected relationship?

It’s really a no-brainer. While our competition is still playing around on social media, trying to figure out who the decision-maker is, we’re in the conference room sealing the deal.

Referrals Win Every Time

The business case for referrals is loud and clear:

  • Decision-makers always meet with those referred by people they know and trust.
  • If your competition gets to the decision-maker first, you’re out of the game.
  • When you get the referral introduction, you win.

It really is that simple.

No other sales or marketing strategy delivers such powerful, predictable results. Yet, 95 percent of companies do not have a written referral selling strategy, written weekly referral goals, referral-selling skills, accountability for results, or a system to track and measure referrals. Referrals are the missing link in every company’s business-development