Biznik - Business Networking

Contact Us


Duct Tape Marketing

Duct Tape Book

Free Social Media for Business ebook

Social Media for Small Business
John Jantsch Marketing Coach
About John Jantsch

Recent Posts

Entire Archive

  • Categories

  • Categories
  • Involve Your Employees in the Referral Machine

    Everybody I talk to these days is looking for ways to generate more referrals. And I get that, referrals are great – low ROI, shorter sales cycle, more qualified leads and less focus on price.

    There are lots of great ways to systematically stoke the referral machine, but an often overlooked one is the engagement of your entire staff. Every employee, marketing related function or not, should be brought into the referral game and motivated, empowered and rewarded for playing the game to win.

      Here’s how:

    • Help fill your gaps – If you are not automatically receiving a flood of referrals it may be due to the fact that some of your processes are leaking – customers are not receiving an experience that connects them emotionally with your brand. Challenge your employees to come up with ways to turn every customer contact, even financial and operational ones, into touchpoints for referrals.

    • Make referrals daily – Build your network of select strategic partners and encourage every employees to make referrals to those partners when they can. Perhaps even set-up a little bonus point pool for making referrals. Make giving referrals a business strategy (Hint: Best way to get is to give.)

    • Automate customer testimonials – So often your front line employees are standing there when the customers sighs and says, “Wow, dude, you really saved my butt on this one.” – Alert: Great time to get a customer testimonial – start offering bonus points for every testimonial acquired by every employee. This one could turn into a pretty fun game for the entire staff.

    • Create co-brand promotions – Get your employees on the lookout for great strategic partnering opportunities and then create tools such as white papers, webinars and seminars that can be pre-packaged and offered to run in some creative co-marketing campaigns. Again, this is where your front line folks, the ones having drinks with the customers, can find out the inside scoop of the best potential strategic relationships.

    • Offer employees referral bonuses - This one is pretty straight forward, but sometimes the obvious still alludes. Right now, figure out a way to incentivize every employee to generate word of mouth buzz and actual referrals for your business. Don’t stop at a referred prospect though. Go way beyond that to referred new employees, referred strategic partners, referred buddy down at the newspaper and referred genius tech gal that can automate stuff you are still doing manually.

    Put one or all of the above in place and watch the mindset at your business take a major shift. Everybody’s in marketing, no matter what the org chart says!

    Like this post? Share it with others
    • Facebook
    • Twitter
    • LinkedIn
    • del.icio.us
    • Sphinn
    • Google Bookmarks
    • StumbleUpon
    • Digg

    Posted by: John Jantsch on Jan 07, 09 | 8:08 am
    Category: Referral Marketing, Shine | Tags:

    Comments
    • John, This is a very helpful post--the importance of everyone being involved in sales & marketing really can't be overstated. I can share a recent example:

      Someone from our firm's administrative staff assisted in the sales process without actually selling.

      She subscribes to the McKinsey Quarterly (not because she was asked to, but because she likes to keep a finger on the pulse of what is going on in the industry) and she keyed in on an article about hospitals. Knowing that we had a prospect who works with hospitals, she made a PDF of the article, forwarded it to the individual working with this prospect, and suggested that he send it along as an extra value-add touch.

      He did just that and received an overwhelmingly positive response from the prospect, which moved the conversation forward.

      It was only because she was aware of the prospect situation that she was able to recognize the opportunity to move the sale along.

      Everyone in your firm can sell. But, if they don't know exactly who the key prospects and clients are that you are, it will be impossible for them to find the opportunities to do so.

      -Erica
    • Great post! We are a maid service and 62% of our business is referral based. I just had a meeting with our staff on Monday reinforcing this idea. If every current client gave just one referral this year, we would double our size and sales with zero add'l advertising dollars being spent. The employees reap the reward of those dollars that would have been spent on advertizers.
    • Terrific post. I can't tell you how many different things we try at my companies to let our customers and employees spread the word. The buzz is there, just figuring out how to take advantage of it and keep it from dying can take a while.

      I will be using examples from this post asap. Thank you.
    • Well of course. Employees can be some of the best people to get referrals. They know your company and they can easily persuade people unlike non-employees.
    • "Everybody’s in marketing, no matter what the org chart says!"

      Seems to me that getting everyone involved is one of the major keys to success...Sounds corny, but!

      Really doing this takes more than talk...Ya gotta win the teams hearts and minds...Train them, recognize effort and contributions. Sounds like building a winning team...And we all know how to do that.
    • John Jantsch
      @Erica - few things illustrate a point better than a good story - thanks for sharing.
    • John Jantsch
      @Jo Ann - first off I love that you can tell me that you know exactly where 62% of your business comes from - that rocks!

      And yes, the power of referral is a multiplier isn't it?
    • John Jantsch
      @Chuck - I think formal marketing training - here's how you would spot our ideal customer, here's how to communicate what our firm does, here are the promotions we are running this month - for the entire team and every new hire is crucial.
    • Offering employes refferal bonuses i think is the most important one. This is how you 'll turn your employes into partners and how they will get more motivated in expanding your business.
    • John, your point is so valid. It happens so often that the salesperson's work is undone by another individual in the company. If everybody buys into the vision it will be of huge benefit to any organisation.
    • Ask your friends and family too. Ask on Twitter. Always say thank you and when something comes through send the referrer a bottle of wine. If it's an employee, make sure to give them a $$$ incentive, some ownership and visibility.
    • Engaging employees at every level in any marketing function is rare at most organizations, yet can provide greater insights than costly research.

      In the case of referrals, employees outside of sales/marketing often have more insights into front-line customer issues--as other commenters have pointed out.

      Marketing departments that recognize the value of this employee input are way ahead of the curve.
    • John,

      I think this was a very timely post. I've been playing around with a different concept which is:

      Encourage your employees to figure out what they bring in for the company in the way of productivity, and then highlight ways that they can bring in more for the company during this type of economy.

      Of course, one of those ways to bring in more revenue for the company will be by employee referral, but they are also likely to come up with more ideas that they can feel a part of the company success.
    • Believe it or not employees tend to know the customers better than the boss. You are definitely right on the money here. If you motivate and empower them to create new business and incentives it you will get loyal employees and a growing bottom line.
    • tim
      referrals for business are great - and not to beat a dead horse, but when you outsource your "employees" what are the realistic chances they are going to be positive and promote your business in a meaningful way from another country, for example? What are the chances they will do anything other than what they are getting paid for? Are the wages a positive motivator for them?
      Just saying....
    • I volunteer on the boards of several organizations and associations; as well as several committees. Through this work and direct, regular contact with members of the boards and committees, I have received a number of referrals that turned into great paying projects. Remember to consider the value of networking and earning referrals outside of your business through your contacts.
    • John- you bring up a good point. Many employees tend to feel like they are the runner: they run around executing daily business needs, but don't really have a connection with the business. They just do it for the paycheck. Well, having your employees active with marketing and sales will not just get them involved with the internal business needs, but it's also a good way of training them and making them loyal to the business.
    • Love it!! And it's so true, getting your entire staff involved in bringing in the business equates to getting more value for YOUR money.. They already work for the company, so why not get them to do something extra that costs them little to no effort to do?
    • Great point. Basically everyone in your company has ties to the outside world, and thus, potential customers. So tapping these people, and giving them incentives to get referrals and testimonials just seems like a wise move.
    blog comments powered by Disqus


    Popular Searches


    Small Business Marketing Magazines


    Free - No strings attached - Business and Marketing Magazine Subscriptions

    Target Marketing
    CRM
    Internet Retailer
    eWeek
    Electronic Publisher
    Print Media and more


    Creative Commons License
    This work is licensed under a Creative Commons
    Attribution-NonCommercial
    -NoDerivs 2.5 License
    .
    Subscribe



    Subscribe to the Duct Tape Podcast
    subscribe via iTunes

    Duct Tape Marketing System

    Duct Tape Marketing System

    Duct Tape System - Complete small business marketing system in 14 workbooks and 4 audio CDs.


    Marketing Plan Pro powered by Duct Tape Marketing

    Marketing Plan Pro

    The Duct Tape Marketing System now comes as Marketing Planning Software. We teamed up with Palo Alto Software, the makers of Business Plan Pro, to bring you the most powerful small business marketing plan tool going. More info here . . .


    Referral Flood by John Jantsch

    Referral Flood by John Jantsch

    Referral Flood - How to create a flood of new business without spending one dime on advertising - by John Jantsch

    Subscribe to my weekly newsletter

    First Name * Last Name * Email *

    Connect Socially