Finding the right prospects for your business means explaining carefully to current clients and centres of influences (COIs) what you are looking for in a referral .
Simply asking for referrals without offering any criteria, says George Hartman, president of Market Logics Inc. in Toronto, is not enough. Meeting prospects who fit your preferred client profile will be a matter of chance.
Follow these tips to make sure your clients and COIs know what you’re looking for in a referral:
> Look for similarities
Ask clients you enjoy working with to refer people just like them.
In response, Hartman says, clients will typically refer someone similar to themselves. So, it’s important to choose a referral source who match your ideal client profile.
For example, you might say: “I’m looking for someone just like you. I’m looking for owners of small to medium-sized businesses.” Or: “I’m looking for someone just like you. I’m looking for professionals such as lawyers, doctors or engineers.”
> Share a story
Focus on your client experience to get the most appropriate referrals from centres of influence.
Share a story with a COI that tells how you helped a client solve a specific problem. That way, Hartman says, the COI can visualize people in his or her own network going through a similar situation.
> Show proof
Make sure your business is ready should a referred prospect decide to look into your practice.
Your website and other marketing materials should corroborate what a client or COI says about your business, says Matt Anderson, founder of the Referral Authority in Chicago.
For example, Anderson says, an advisor might ask clients for referrals based on an area of specialization. However, if the advisor’s website presents that advisor as a “jack of all trades” and not a specialist, the referral may be wasted.
> Keep things simple
Avoid going into too much detail when asking for a referral.
While you want clients to think of a specific experience in order to refer you, Hartman says, you shouldn’t focus too narrowly.
For example, Hartman says, it might not be advisable to ask clients and COIs to look for people with $1 million or more to invest. Instead, ask them to think of people they know who have had particular success in life, perhaps through a business.
> Always arrange a meeting
Whether a referral meets your criteria, Hartman says, be sure to meet with him or her in order to maintain your relationship with the referring client or COI.
If a prospect does not fit your business, you can refer him or her to another advisor. Or you might decide to work with the prospect only because of your relationship with the client who provided the referral.
Let clients and COIs know that you met with the referral, Hartman says. Thank them for the referral and, if you decided not to work with that prospect, explain why. Use that conversation as an opportunity to review your criteria for referrals.