Say No to More Referrals

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Narrow focus About the time I really started to wrap my head around this notion of narrowing your target market focus to a certain type of client and certain type of work I could identify as ideal, a funny thing happened that sealed the deal on this strategy. (The first time you turn down work is a bit scary, but the payoff long term is so worth it.)

I got a call from a prospective client that was ready to hire me based on the advice of a friend of a friend. We chatted briefly and agreed to meet. I was following my lead conversion process so I presented what I knew, asked about his pain, and told him how I worked. He nodded, agreed, and said, “that’s great, but here’s what I really want you to do.” There was a time when I would have said to myself, “OK, I mean, how hard could it be and he said he would pay me, right?” In this case, I said, I may not be the right person for what you need, but I think I know someone who could help you. At first he was caught a bit off guard, but I agree to stay in touch and sent him several contacts I thought could help.

But, here’s where it got good. About a week later I get a call from a colleague of the former prospect who says, “Bill told me about what you do and how he really liked your honest approach and style – I think we should work together.” And then it happened again, and then again. This one “no” turned into three perfect long-term engagements. I took note of the power of saying no the right way, never again attracted the wrong kind of work, and saw referrals go through the roof.

Now, referrals increased in part because of my stick to it, authentic, we can’t help everyone approach, but the real referral momentum came about because of the focus on attracting clients I knew I could be successful helping and knew would value what I had to offer – nailing these two elements will lead to referral business faster than you can ask for it!

Wrap your brain around the exact type of prospect, problem, engagement or solution you know you can deliver to a prospect in need and tell the world yes I can help you if you fit and no I can’t help you if you don’t fit with equal conviction and watch the side buzz from both groups help you grow your business.

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Posted by: John Jantsch on Oct 16, 09 | 9:09 am
Category: Referral Marketing | Tags:

Comments

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Sara Martin

Certainly this is the way to deal with a prospect. What they say “honesty is the best policy”. So if you know what to do and how to do then never be defensive. But if you don’t know how to meet this target or you are unsure about the road map then say no in a right way. This makes you a right person for a right job. I literally didn’t know you were too much honest but you really are.

Kiner Enterprises Inc.

What a fantastic article! This is one of the best blogs I've seen in a long time! Keep up the great work!

Andee Sellman, One Sherpa

Thanks for a great post John
I really like the idea of saying no BUT find it difficult sometimes. My personal experience though is that I've got in more trouble in business from saying yes than saying no.
Focus for me, while difficult, is about sticking to the knitting
Http://www.onesherpa.com

ducttape

Amen

Stephanie Cockerl

I've learned over the past year that I must be honest with myself about my work from day one.

Krishna_Everson

Wonderful post! I know the right time to say "no" is when I am feeling frustration over working with certain types of clients who are high maintenance but make excuses for why they are not taking action. I am interested in working with clients who are passionate about what they do and are ready to take the steps to get them there.

toddschnick

It's kinda like: "serve your competition, and you won't have any..."

Lou

I totally agree with your comments. It goes back to the old "Jack of everything master of nothing" approach. The drawback to "Saying no" is that this approach may take more time. Most people aren't willing to wait for the second or third quality referrals to come back their way. The key is to build, as you mention, loyalty from honesty. Patients and honest will pay off eventually.

Doug Stewart

So you write down characteristics of who your ideal clients should be, right? But before you can say "no," don't you have to define what you provide well (or your deliverables) and define your process clearly? Communicating your process and defining deliverables helps keep you on the straight and narrow.

ducttape

Sometimes I use shorthand because I write about this topic so often, but a big part of the characteristics of an ideal client involves defining what you do well, because syncing with a client that values that is part of what makes them ideal - but yes that's a huge part of your marketing strategy and I suggest you go ask your current ideal clients what it is that you really do well and deliver - they can probably define it better than you.

Doug Stewart

Thanks for clarifying. A blog is an ongoing conversation or sometimes a "stream of consciousness." So even good blog posts, like this one, doesn't put all the paint on the canvass to complete the painting. I really appreciate that you're participating in the comments enough to make it a lively discussion. Makes your blog worthwhile.

Ed Martin

It's certainly easier to say no when you've got a pipeline full of projects than it is when you are new or your pipeline is dry.
This whole discussion brings up the question of what happens if you do take on a project and then see it is a mistake? Do you meet with your customer ASAP to look for a way to make the project doable, even if that means it costs you money, time and reputation? Or do you struggle on hoping it will all work out and risk letting quality suffer? Either way you can hurt yourself and the project, but in the long run it is better to do what is best for the customer.

ducttape

Ed, no question this gets easier when you don't need the work, but it starts with having this clear idea, sometimes we take the first work that shows up because we aren't clear about what we are looking for and that can stop us from looking for the perfect client just waiting around the corner.

With regard to the second question I say stop and restart before the problem get bigger - addressing issue head on is the only way to keep your sanity and reputation.

Adriana B.

Ed, this is a good question. Most people I saw go through this experience of accepting a project only to realize that it wasn't the right fit used the second approach you mentioned (struggle and hope it will "all work out"). It rarely does! I'd say that the first approach (talk to the client immediately to explain the situation) is much better, and will definitely hurt your reputation less than the alternative.

Sure, changing course after you have taken an engagement may be financially costly, but moving forward without taking steps to minimize the risks for the customer may represent much bigger losses, if not in the current project, certainly in subsequent work. As John said, one "no" can generate multiple future engagements that are the perfect fit, and I'd add that going forward after realizing that a project is a mistake can have the opposite effect of discouraging prospects that would be happy to hire you if it weren't for this failure.

Adriana B.

John, very good advice that readers should listen to, and similar to what I recommend to business analysts at the end of a recent article: http://www.bridging-the-gap.com/expanding-the-b...

I've been successfully saying "no" to projects and/or more responsibilities, both as a business owner (when it's not a good fit), and an employee (when my current responsibilities would suffer if I added to my workload), always with the results you describe. People appreciate my honesty, and don't hold it against me when it's clear that there's a good reason behind my decision. In fact, they remember and recommend me to more fitting opportunities later on.

People who are always trying to please, or can't say no to what could become a profitable engagement, typically end up with a terrible reputation either because they added too much to their plate, or the engagement simply wasn't right. Those people would strongly benefit from following your advice.

Ari Herzog

I'm quickly learning if I can't describe the project in 140 characters or less, I'm the wrong person to help it move along. Thanks for the great advice!

alik levin | practicethis.com

This is good approach that i follow in my consulting gigs too. I think being the wrong guy is a big problem that can seriously hurt your brand in long term, so better miss some gigs but keep your brand for the long term - it usually pays off, just as you described here.
To be honest i am assigned right now to a gig where i am completely the wrong guy - that's too bad, i escalated it to my management and we are trying to figure out how to get me out of there and replace with a proper resource.

Steve Schlagel

So true...and so very hard to do, especially when your business first begins to take off! You have to be able to serve your clients and to do this well, you need the right ones. The power of saying "no" is a hard lesson early on but can be crucial in building credibility. Thanks for pointing it out!

ducttape

Yes, very hard - I think the first step is to know for sure what you should be saying no to.

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