Is this the most under-exploited marketing opportunity of all?
There’s no doubt about it…
… marketing is complex.
It can be a real mind-fook.
And when you try to find answers and piece the jigsaw together, there’s a lot of information out there to decipher.
There are lots of goo-roos—some legitimate; some less so.
Each have their own ideas, advice, strategies and tactics.
But you’d be hard-pressed to find a marketing expert or business owner who disagrees with the idea that…
Referred customers are far superior to those brought in ‘cold’ by advertising!
Nothing is costlier or more challenging than getting a new customer.
So how nice it is when a happy customer refers somebody to you.
It’s almost effortless…
They already trust you. They don’t negotiate. They stay with you for longer and spend more money. And, they often refer others to you.
Referrals beget referrals.
Referral generation is quite possibly the most under-appreciated and under-utilised marketing strategy of all.
Most businesses welcome passive referrals—which you might think of as “word of mouth”—but give little or no thought to how to generate a steady stream of referrals by design.
This is known in marketing circles as a "referral system".
Here’s an example from my own business:
My wife and I run a pregnancy ultrasound clinic. And after their scan, every new client receives a letter which says, in effect…
“Thank you very much for placing your trust in me. It was lovely to meet you and I wish you a healthy and happy pregnancy.
As you know, we are a small local business. We simply can’t afford to spend thousands on advertising—and we’d prefer to invest the money we do have in providing you with exceptional service.
So, if you had a great experience, I have a small favour to ask you.
In my experience, pregnant women socialize with—and have a heightened awareness of—other pregnant women.
So, if you come across somebody who you think might like a scan, I would appreciate it if you would fill out this referral card and drop it in the post to us.
As you may be aware, we donate 5% of our revenue to the Stillborn and Neonatal Death Charity. So, when you refer someone who is considering a baby scan, not only can they be assured of the best possible service, they’ll also be helping reduce the number of babies dying.”
That’s just one example.
There are hundreds of systems you could put in place to generate an automatic, steady stream of referrals—regardless of your business type.
Thanks for reading my newsletter! Subscribe for free to receive new posts…