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.


How to Build an Effective Referral Program
You spend a lot of time and energy winning over new business, and once you’ve gotten that prospect to convert, you work hard to create a positive customer experience. Rather than going out and trying to find brand new customers all over again, it’s much more time- and cost-effective to turn to the customers you […]
Five Tips That Make Asking for Referrals Less Intimidating
Asking for referrals can be tough. It can feel like you’re being pushy or imposing on someone’s time. But in reality, the majority of happy customers are more than willing to give a referral when asked. While the first hurdle in asking for referrals is getting over your own insecurities or mental blocks associated with […]

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