Referral marketing – marketing products and services to new customers through existing customers – is a savvy small business marketing strategy. It lets other people sing your praises and bring new customers to your door. Referrals usually come in three forms: word of mouth advertising, introduction emails, and sharable client testimonials.
As a small business owner, referral marketing is an affordable method of reaching new clients. The number one way to get existing clients to offer those valuable referrals is by doing good work for them in the first place. My rule of thumb is always to under promise and over deliver. Make that principle your hallmark and the referrals will start rolling in because when people are happy with a business, they naturally tell others about their experience.
Your efforts at philanthropy and charitable giving also work in your favor. When consumers know you support the same causes they do, an instant connection is made. Your presence online is one of your best avenues of gaining referrals. Social proof via your website, social media sites, and consumer review sites are excellent methods of referral marketing.
A solid referral marketing campaign – especially one based on client testimonials – eases the fears of potential clients and alleviates concerns about product and service quality. Even a bad review can turn into a plus when you handle it promptly and to the customer’s satisfaction because it gives potential clients a glimpse at your customer service skills.
Make it as easy as possible for customers to refer each other to you. Add share buttons to your emails and social media channels, create pre-filled emails your customers can use, and reward existing clients for any referrals that turn into paying clients and customers.
Are you ready to start working smarter, not harder, and put referral marketing to work in your small business? Choose two or three of the tips above and get started today. If you have a referral strategy that already works for your small business, share it in the comments below. You might have just the inspiration a fellow SBO needs.