Increase your Sales by Increasing your Referals

88% of sales people report that they receive less than 5 referrals a month, Cold calling is a tough way to make sales. In fact, I have discovered that on average, it takes 75 cold calls to get one sales. On the other hand, referred leads close at an average ratio of 3:1. Spending time, asking and collecting referrals from happy clients and partners is a much more profitable use of your time than making cold calls because referred leads are one of the easiest and most profitable ways to grow your business. Perhaps even more importantly, referrals also provide a great benchmark for how well you're building your business relationships.

Referrals are the “holy grail” of lead generation. When you receive referred leads from a customer without asking for them, you not only benefit from the chance to land new business. You also gain proof positive that you've earned the trust of your existing customers to such a degree that they've also become your most enthusiastic sales reps! Simply put, the more referred leads you get on a regular basis, the better job you're doing.

To build your monthly average of unsolicited referrals, try one - or all - of the following 5 quick tips:

1. The Golden Rule. Provide unsolicited referrals to your customers first, and you will receive referrals from them in turn. What goes around comes around. So if you haven't been getting any referrals, ask yourself: how many referrals have I given my customers lately?

2. Get by with a little help from your friends. Become friends with your customers. Meet them socially at business events, charity events, luncheons or other venues that aren't strictly business. Remember - people respond to people. So the stronger your personal relationship is with a client, the more likely they are to refer their friends to you.

3. Provide remarkable service. What is remarkable service? Service that is so good, people will want to go out of their way to talk about it. Ask your “A” customers what great service means to them, and then deliver precisely what they want. You will be rewarded both for your credibility, and for your ability to make - and keep - your promises.

4. Give value away for free. Find something you can provide to your customer that doesn’t cost you anything, but which is of significant value to them. Maybe an email newsletter? A list of best practices or other customers' examples of how to use your product? Inside information about your clients' industry? Or even just a Q&A forum on your Web site? By providing extra value for free, you will increase the loyalty of your existing customers, and draw new people to you as an expert source of information.

5. Be proactive. Finally, strive to anticipate what your customer might need at each stage of product ownership. Then, do everything in your power to provide that service or information to your customer, before they need it.

If you want to come across to your clients and prospects as someone who they can trust to do business with, remember to eliminate all fidgeting, scratching, squirming and twitching, no matter what circumstances you find yourself in. Yes, I know it can be uncomfortable not to scratch your nose if you have an itch. But believe it or not, the very best sales people really do let their noses itch, their feet prickle and their ears tingle without doing anything about it - at least, not in front of the client.

Dedicated to increasing your sales,

Colleen