Referral Marketing - The Most Powerful Form of Advertising

Referral Marketing – The Most Powerful Form of Advertising

Referral Marketing – The Most Powerful Form of Advertising

By John Jantsch

Business owners tell me everyday that the way they generate
the most new business is through word of mouth. Yet they don’t
seem to grasp the power of this statement. Few if any businesses
harness the true power of referrals by making the receiving of
systematic referrals a cornerstone of their marketing efforts.

First let me tell you why you need to do this.

1. [url=https://www.ducttapemarketing.com/marketing_blunders.htm]Referrals are credible[/url] right from the start. When a trusted
friend tells you about a business you transfer that trust to
this company…even if you’ve never heard of them before.

2. People who are referred to a business tend to spend more
money. Research has proven this beyond the shadow of a doubt
and it is likely because people tend to refer other who are
highly qualified and not just tire kickers or price shoppers.

3. Referrals are very cost-effective. In some cases free or
a fraction of what you might pay in advertising costs.

In some industries, like consulting and professional services
most companies are chosen solely on the recommendation of a
friend.

Are you getting your referrals…if not consider these
little ideas.

1. Expect to get referrals but don’t assume you will. Talk about
them early and often and build them into your sales and
marketing efforts…don’t wait for people to offer them.

2. Create a system. It can be as simple as advertising
$20 for every referral.

3. Follow-up by phone or mail asking for referrals

4. Give every client 3 business cards. Look in your drawer
you’ve got hundreds. Give them out to clients and they may
just pass them along.

Referrals are essential to your business so don’t overlook
them chasing the newest trend in marketing in your industry.

Free eBook 
7 Steps to Scale Your Consulting Practice Without Adding Overhead

"This training from Duct Tape Marketing has exceeded my expectations and I couldn't be happier" ~ Brooke Patterson, VanderMedia


Generating referrals is your highest payoff activity right now
Many businesses have been displaced during this game-changing pandemic. I hope that you are not one of them. One of the things, however, that few people are talking about is that the massive changes being experienced by businesses are also being experienced by customers. In other words, buyers are being displaced from long-time providers or […]
The Role of Your Website in Guiding the Customer Journey
Today’s customer journey is more complex than ever. From social media to paid search to offline marketing, there are dozens of ways someone can discover your company. The main role of your website in this twisting journey is to be a solid central point. While prospects may discover your brand anywhere, you want to be […]

Subscribe to the Duct Tape Marketing Podcast

If you know your small business needs marketing, but don’t have the time or resources, look no further. The Duct Tape Marketing podcast covers everything from earning referrals to managing time and being more productive.

close

Get the guide to growing your small business

In the 7 Steps to small business marketing success you'll learn:

  • check
    Why strategy must come before tactics
  • check
    Why and what customers really buy
  • How to make Google your new best friend
  • How to install an integrated marketing system