Phase One – Gee, I was lucky to get that referral…
When a business professional is in Phase One, they think that their referral opportunities come by chance. They are not connecting their success to any networking or referral-building activity that they may have done. They have no plan or strategy for building their business by referral. They may join networks and attend events occasionally, or not at all, sometimes blaming the organization for not providing them with referral opportunities.
Unfortunately, a vast majority of business professionals fit into Phase One.
Phase Two – Hmmm, I have a lot to learn…
A business professional in Phase Two has awakened to the reality that referral marketing works. They realize that business by referral is a major source of their business. They want to learn more about how to create ongoing referrals for their business and practice. They are willing to adopt good networking practices, develop their referral-building acumen and make a monthly plan for their activities. They embrace the concept that giver’s win. Always.
They work hard to generate a high-quality message that speaks to the emotional and business benefits of working with them. They can share their story in a precise and consistent manner that resonates with them and their network. They can identify at least 10 characteristics of their ideal client which they weave into a compelling narrative. They also know that giving a referral to a member of their network is the best way to grow their own business. They enjoy the 34% closing rate of an average referral (1 out of 3 referrals result in closed business).
Roughly 10% of business professionals fit into Phase Two.
Phase Three – It is all about giving and growing my relationships
Phase Three business professionals have embraced the Phase Two referral marketing practices and seek out business professionals who share the same ideal client. They have a growing network that includes like-minded business professionals who are also interested in business relationships of mutual gain. They know that meeting one on one (1:1) is the only way to learn about one another’s business and develop referrals.
Like a seasoned gardener, a Phase Three business professional nurtures their roses by seeking out business professionals who are givers and who also want to create mutually beneficial relationships. Business professionals in Phase Three are aware that they need to remove weeds and watch out for individuals who are transactional by nature or are not truly interested in investing in a referral relationship.
Phase Three folks understand, very clearly, that a referral is a transfer of trust. They know that the best referral is one where a high level of trust is transferred. And that closing for business is much easier with a good referral. The closing rate of a referral from a Phase Three member is 50% or more (1 out of 2 referrals result in closed business).
5% of business professionals might fit into Phase Three.
Phase Four – Referral Partner Relationships for My Pocketbook and Soul
Phase Four business professionals have a fine-tuned network of 8-10 very special people for whom they would do almost anything to help their partners grow their business. Their selected network members, or referral partners, feel the same way about them. Together, they have developed a powerful understanding that they want to support one another to amazing success. They meet regularly, every month when possible. Given the knowledge of the referral partner about their partner’s business, a referral from another Phase Four business professional has an 80% chance of closing (almost 1 closed piece of business for every referral).
1% of business professionals enjoy referral partner relationships that are good for both the pocketbook and soul.
Business professionals in Phase Four are delighted with the beautiful referrals they give to one another that close like clockwork.
Paula Hope is a leading referral expert. She helps business professionals create the revenue they deserve. To have a chat with Paula, or receive her Monday Morning Referral Tips, please contact her at paula@bookedsolid.ca.