Welcome to step 3 in our 3-part series on the Referral Business Formula, or RBF. How to Grow Though Qualified Referrals.
In step 2, we showed you how to Attract Your Best Customers by applying the 80/20 rule to segmenting your customers, creating buyer personas to targeting your best customers, aligning your outside perception with your inside reality, and then creating custom offer funnels that convert your ideal prospects into your best customers.
If you haven’t read Step 1, Clarify Your Message, and Step 2, Attract Your Best Customers, we suggest you go back and read them now. Each of the 3 steps in the Referral Business Formula builds on the previous step and forms the building blocks that will help you to grow your business faster, smarter, better.
It’s a framework for helping you acquire more new customers who stay longer, buy more often, and consistently promote your business.
This simple, yet powerful 3-step process will help you to
- Clarify your Message
- Create Marketing that Attracts your Best Customers, and
- Grow your Business through qualified Referrals
The Referral Business Formula makes it simple and beneficial for customers, friends, and business associates to refer you to the customers you want, and need most.
Let’s go ahead and unpack Step 3, Grow Through Qualified Referrals. This is where you get to work smarter for more predictable and sustainable growth.
RBF Step 3
Grow Thru Qualified Referrals
If you run a business or you’re a sale leader, you love it when you get referrals. But in order to get the right referrals, several things need to be in place. The following referral strategy and tactics will ensure that you get the right referrals, at the right time, and for the right reasons.
Leveraging the Speed of Trust – Trust is the single universal currency that has no social, economic, or geographic boundaries. Everybody understands TRUST, earns TRUST, and values TRUST. And, it is the individual who determines its worth.
Second, to earned trust is borrowed trust. When you are referred by a friend, colleague or business associate of someone whom they trust, you both get to leverage that shared trust. Shared trust gives both parties the confidence to proceed and creates momentum that can accelerate decision making, and double, even triple sales conversions.
When you position yourself and your business to fully leverage the trust you have with your existing customers, you get to leverage the trust of their friends, customers, and associates… and gain the maximum number and benefit of their referrals.
Double-Sided Incentives – The best referrals are those that provide an incentive to the person giving and getting the referral. This is based on the Law of Reciprocity. When you openly offer double-sided incentives, everybody benefits and feels good about the experience.
The best incentives for your prospects (referees) are those that come from your current product/service offering and promotes trial. And the best incentives for your current customers (referrers) is a product/service that is a natural cross-sell, upsell or one-time-offer. In order to create the right incentive for both parties, you’ll want to ensure that your offers benefit everyone.
Offer Funnels for Referrals – Much like the marketing offer funnels, referral marketing offer funnels are developed and managed using the same automation tools and techniques. The key difference is in messaging, content, and marketing.
Offer funnel messaging to the referrer (your current customer) reminds them of all the reasons why they are your best customer. It then gives them a simple and easy way for them to refer their friends, customers, and associates to you. It also tells them what’s in it for them and the people they refer to you. Offer funnel messaging to the referee (your prospect) comes from the referrer and makes a case for why the referrer is referring you to them. Both referrer and referee offer funnels provide incentives for making and accepting referrals.
Offer Funnels for Referrals include any combination of the following: Landing Page, Web Forms, Email Opt-in Page, Lead Nurturing Emails, and Sales Converter Page… all designed to seamlessly convert your best prospects into net new A and B customers.
To boost the effectiveness of your referral program, you’ll want to add ‘Referral’ links to the main navigation of your website, your email footers, invoices, sales receipts, and at every touchpoint in the customer relationship.
Manage Growth – Today’s marketer knows that if you can’t measure it, you shouldn’t do it. Fortunately, marketing automation technology is readily accessible to big and small business alike. Talk to us about how to plan the work, do the work, and work the plan using our custom referral marketing platform.
Tribeify uses a world-class, all-in-one marketing automation software that allows you to manage your customer lists, develop email campaigns, build landing pages, create and deploy any manner of marketing campaigns. It also allows you to track, monitor, and report on your campaigns through a single dashboard. We can also manage your entire referral program for you as part of our shared revenue model.
Tribeify Custom Referral System – Tribeify has built custom workflows that leverage the best of marketing automation technology and added best in class referral marketing strategy and infrastructure to deliver a single seamless referral platform for you, your customers and their friends, customers, and associates.
Leveraging the speed of trust, creating double-sided ‘give and get’ rewards, developing offer funnels that convert, and managing growth using best-in-class marketing and technology. Tribeify can help.
Now that we’ve shown you the third and final step in growing your business on purpose, Grow Through Qualified Referral, you now know all three steps to the Referral Business Formula. To get the best results you’ll want to stack all three steps of RBF.