OK, so you have got a referral lead and you are going to phone the prospect right now: what is the fastest way to qualify them and find out exactly what they want in your kind of product or service - if they have a need at all - so you know how best to present your offerings to them?
There are 2 key questions to ask a prospect to help you elicit exactly what they want in relation to your offer. There are further questions, but these are the main ones:-
Question 1: “What do you want in a (your product/service category)?”
Answer: The answer will identify the prospect’s key purchasing criteria – such as specific product/ service features and benefits, quality or service issues. This then enables you to focus on those criteria that you have established as having the greatest importance for the prospect. You can then present the benefits offered by your own products and services that correspond with these criteria - matching the prospect’s specific phrasing - and eliminate from the presentation other, less-relevant product/service features.
It is important to confirm these criteria with the buyer and establish through further questioning your understanding of their precise and mutually-agreed meaning. You can also qualify, quantify and agree the prioritisation of these issues for the prospect, and any relevant benchmarks.
For example: for the description ‘fast access speed’ as a criterion stated by a prospect for buying a computer network: how will ‘fast’ be evaluated? How fast? Compared with what? How does ‘speed’ feature as a priority compared with other listed criteria?
Wednesday, 25 March 2009
Monday, 9 March 2009
Referrals from Perfect Strangers
Is it possible to ask for a referral from someone you don’t even know?
Yes it is: here is a tactic for generating referrals that extends your ‘reach’ beyond your immediate circle of contacts.
This is based upon a well-proven principle in sales and marketing, the rule of ‘reciprocation’ (to find out more about this see ‘Influence: The Psychology of Persuasion’, by Robert B Cialdini). Basically, if I do something for you, and it benefits you, then you will feel under some obligation to reciprocate in some way. It’s what makes the world go round.
The tactic works like this:-
1. List a number of potential business contacts – 5, 20, 100 or whatever is a manageable number for your business – contacts that serve a similar market to you, by customer type, size and location perhaps. These are the people and companies that you are going to approach because they will have contacts that could be helpful to your new business drive.
2. Approach them by post or e-mail and say that as part of National Referral Week you are contacting a number of businesses of which you think highly, and that you have clients and contacts that you could refer to them.
3. Ask them to complete a form, which you enclose, where they can enter their contact details and, say, 20-40 words on what they do and how you should introduce them to your own contacts. As an example for the reader, write a similar entry for your business.
4. You should receive a positive response and feedback from some of these prospects. On the basis of ‘reciprocation’, some of the companies you have approached will feed some leads to you. They may be interested in using your services too, where it is relevant. Your approach influences the nature of the relationship: you are not just selling, you are potentially a valuable business contact and intermediary.
5. To maintain a relationship, there may well be people you could introduce to these new contacts you have approached using the data in the forms that have completed and returned.
Yes it is: here is a tactic for generating referrals that extends your ‘reach’ beyond your immediate circle of contacts.
This is based upon a well-proven principle in sales and marketing, the rule of ‘reciprocation’ (to find out more about this see ‘Influence: The Psychology of Persuasion’, by Robert B Cialdini). Basically, if I do something for you, and it benefits you, then you will feel under some obligation to reciprocate in some way. It’s what makes the world go round.
The tactic works like this:-
1. List a number of potential business contacts – 5, 20, 100 or whatever is a manageable number for your business – contacts that serve a similar market to you, by customer type, size and location perhaps. These are the people and companies that you are going to approach because they will have contacts that could be helpful to your new business drive.
2. Approach them by post or e-mail and say that as part of National Referral Week you are contacting a number of businesses of which you think highly, and that you have clients and contacts that you could refer to them.
3. Ask them to complete a form, which you enclose, where they can enter their contact details and, say, 20-40 words on what they do and how you should introduce them to your own contacts. As an example for the reader, write a similar entry for your business.
4. You should receive a positive response and feedback from some of these prospects. On the basis of ‘reciprocation’, some of the companies you have approached will feed some leads to you. They may be interested in using your services too, where it is relevant. Your approach influences the nature of the relationship: you are not just selling, you are potentially a valuable business contact and intermediary.
5. To maintain a relationship, there may well be people you could introduce to these new contacts you have approached using the data in the forms that have completed and returned.
Friday, 6 March 2009
Ask for a referral when you lose a sales pitch
Yes, surprisingly perhaps, this can be a very good time to ask for a referral. Why? Because if you have got as far as the presentation or pitching stage, the probability is that the prospect likes you and what you have to offer. It may be that this liking is not enough to buy from you on the day - but it should be enough for you to ask for a 'favour' - a relatively small and cost-free one - i.e. for a referral.
From your point of view, you have got so far, and spent all this time on the proposal and perhaps two meetings - isn't it worth trying to retrieve something from the situation?
So, once it is clear the sales prospect has declined your offer, you might ask: "Well I am sorry we can't help you on this occasion, do you have any contacts who might have a need for our services?"
There is certainly a chance that the prospect might know someone who fits the bill. If you don't ask, the prospect is not going to think about this on your behalf. So ask. It takes some practice so that you feel comfortable with this tactic.
In fact, this should become part of your routine post-sales process:
1. Ask and find out exactly why you did not win the business, and
2. Ask for a referral
From your point of view, you have got so far, and spent all this time on the proposal and perhaps two meetings - isn't it worth trying to retrieve something from the situation?
So, once it is clear the sales prospect has declined your offer, you might ask: "Well I am sorry we can't help you on this occasion, do you have any contacts who might have a need for our services?"
There is certainly a chance that the prospect might know someone who fits the bill. If you don't ask, the prospect is not going to think about this on your behalf. So ask. It takes some practice so that you feel comfortable with this tactic.
In fact, this should become part of your routine post-sales process:
1. Ask and find out exactly why you did not win the business, and
2. Ask for a referral
Saturday, 28 February 2009
Questions to get you orders
Here are six questions to ask a customer that will almost certainly help to generate additional business. Six simple questions – they are short and direct and to the point so that there is now misunderstanding concerning what you want. These are the questions:-
1. What could my company do to earn more of your business?
2. Can you think of any other ways I can be of help to you?
3. What service could you have used that I have failed to offer you?
4. Do you have friends or associates that I may be able to help?
5. How, specifically, can I better serve your needs in future?
6. Are you aware of the full extent of our services?
As always when asking for additional business, check first that the customer is actually happy with your services: “ Can I ask, as you happy with the service we provide?”
You can integrate these questions in your sales and marketing process as part of your standard CRM (Customer Relationship Management) activity, as a recession marketing strategy.
1. What could my company do to earn more of your business?
2. Can you think of any other ways I can be of help to you?
3. What service could you have used that I have failed to offer you?
4. Do you have friends or associates that I may be able to help?
5. How, specifically, can I better serve your needs in future?
6. Are you aware of the full extent of our services?
As always when asking for additional business, check first that the customer is actually happy with your services: “ Can I ask, as you happy with the service we provide?”
You can integrate these questions in your sales and marketing process as part of your standard CRM (Customer Relationship Management) activity, as a recession marketing strategy.
Thursday, 26 February 2009
Rapid Referrals 1, 2, 3
OK, so how do you ask for a referral? What is a simple 1, 2, 3, strategy to get referrals quickly, consistently and without embarrassment?
Here is one step-by-step process for getting referrals:-
1. Define your ideal customer: model an existing one that you have had for a while and it has proved profitable to service. Define the customer in terms of some practical parameters that might include: the type of business, company size, location, nature of the requirement for your products and services. Write this down (you’ll need it later). Then write down a short statement of what you do and the benefit you can deliver.
2. Think of existing customers and contacts that you can approach for a referral. The best approach to the referee is by phone or in person, rather than by e-mail. If you need encouragement, remember that people usually like to help, particularly if it costs them nothing!
3. When contacting the referee, in the opening stage, first establish that he/ she is happy with your service – there is no point in asking for a referral if they are not, of course. This is a good exercise in itself: it is valuable to ask this question directly periodically rather than just assume that ‘everything is ok’: more on this in later posts.
4. Then , the middle stage, just ask: along the lines of “I was wondering if you had any contacts that might be interested in using our services?” Or “”Do you know anyone else that I might be able to help in a similar way?” Give the referee time to consider this but not so long that there is an embarrassing silence.
5. In the closing stage of the conversation by explaining that you are looking at new business opportunities and thought it would be a good idea to talk to her/ him. Now ask if it would be OK if you send an e-mail briefly summarising what you do and with a contact link. This is when you send your pre-prepared statement. Why? Because it serves as a genuinely useful reminder to the referee, and is more personal than just sending a brochure, for example.
Now, here’s the clever part, you could also add: “If I come across people/ companies that could similarly use your services, would it be helpful if I sent them your details?” He or she might be the 1 in 100 people that reject your offer – otherwise ask them for a brief description of what they do (if you don’t know) and then offer to e-mail it to them for their comments and agreement. Why? Because this is a helpful thing to do, and introduces some reciprocity into the arrangement: I’ll scratch your back – and if you can, it would be nice if you scratched mine.
Here is an example of such a statement, with my additional comments in brackets, which would not appear in the final e-mail:-
“ Hi...
I help companies to spend less and grow more (the benefit) by developing new business from referrals and referral programmes (the service). I work with entrepreneurs in small and medium-sized enterprises (the target audience) in the South East of England (region), and also further afield. The referral programmes can be integrated within existing marketing programmes through workshops and delivered as training to sales and other staff (the deliverables). Further details are at http://referralweek.blogspot.com/ (the contact point)”.
Yours…“
Here is one step-by-step process for getting referrals:-
1. Define your ideal customer: model an existing one that you have had for a while and it has proved profitable to service. Define the customer in terms of some practical parameters that might include: the type of business, company size, location, nature of the requirement for your products and services. Write this down (you’ll need it later). Then write down a short statement of what you do and the benefit you can deliver.
2. Think of existing customers and contacts that you can approach for a referral. The best approach to the referee is by phone or in person, rather than by e-mail. If you need encouragement, remember that people usually like to help, particularly if it costs them nothing!
3. When contacting the referee, in the opening stage, first establish that he/ she is happy with your service – there is no point in asking for a referral if they are not, of course. This is a good exercise in itself: it is valuable to ask this question directly periodically rather than just assume that ‘everything is ok’: more on this in later posts.
4. Then , the middle stage, just ask: along the lines of “I was wondering if you had any contacts that might be interested in using our services?” Or “”Do you know anyone else that I might be able to help in a similar way?” Give the referee time to consider this but not so long that there is an embarrassing silence.
5. In the closing stage of the conversation by explaining that you are looking at new business opportunities and thought it would be a good idea to talk to her/ him. Now ask if it would be OK if you send an e-mail briefly summarising what you do and with a contact link. This is when you send your pre-prepared statement. Why? Because it serves as a genuinely useful reminder to the referee, and is more personal than just sending a brochure, for example.
Now, here’s the clever part, you could also add: “If I come across people/ companies that could similarly use your services, would it be helpful if I sent them your details?” He or she might be the 1 in 100 people that reject your offer – otherwise ask them for a brief description of what they do (if you don’t know) and then offer to e-mail it to them for their comments and agreement. Why? Because this is a helpful thing to do, and introduces some reciprocity into the arrangement: I’ll scratch your back – and if you can, it would be nice if you scratched mine.
Here is an example of such a statement, with my additional comments in brackets, which would not appear in the final e-mail:-
“ Hi...
I help companies to spend less and grow more (the benefit) by developing new business from referrals and referral programmes (the service). I work with entrepreneurs in small and medium-sized enterprises (the target audience) in the South East of England (region), and also further afield. The referral programmes can be integrated within existing marketing programmes through workshops and delivered as training to sales and other staff (the deliverables). Further details are at http://referralweek.blogspot.com/ (the contact point)”.
Yours…“
Wednesday, 25 February 2009
How to generate new business by referrals
If you want more business - but you don’t want to spend money speculatively in the downturn - then a good referral programme is essential now. UK Companies need a recession marketing strategy that uses tried and tested methods to identify new opportunities for generating sales leads from introductions by customers, suppliers, partners and other contacts, consistently.
Probably the best leads come from referrals - people speaking to other people. Those who know you and have benefited from what you can do. You will almost certainly have benefited from this process at some stage if you are still in business today. So why rely on luck alone when you know that referrals can have a major effect for little or no cost?
National Referral Week is a coordinated response to the recession in the UK and the need to jump-start the process of growth by creating new business opportunities. Fast. Every business can participate and benefit and there is no charge in doing so. You can use the methods promoted here and also at www.makeareferralweek.com who originated the concept for this initiative in the USA.
You may have already tried your hand at developing referral business. Probably with mixed results. It was somewhat hit-and-miss affair perhaps because you did not know how to go about the process consistently. In fact, referrals to date were doubtless entirely random, arising unexpectedly from customers or other contacts talking to other people.
Certainly it is an ‘opportunistic’ process: amongst your range of contacts perhaps a small minority only will ever have a need for your services. They won’t have a need… then suddenly they will. It is critical therefore that your name is to the fore when that need arises. This means you must ask for referrals and ask regularly – or have a good strategy for consistently reminding customers what you do and that you would appreciate a referral.
So the key challenges for getting good referrals are these:-
1. How do you ask for a referral, to get the best results, and without embarrassment?
2. What do you say or do, what tools or other material do you need?
3. Whom do you contact and how? How often?
4. Can you ‘incentivise’ the process to improve results?
5. Is it just people you know – can you ask others too?
Note: a referral programme is not a substitute for marketing. Rather, it is an integral part of your overall sales and marketing process strategy – this is the sequence of activities required to identify markets for your services, then build positive awareness, generate sales leads, sell and then retain the customer. For further information: www.salesprocess.co.uk
Probably the best leads come from referrals - people speaking to other people. Those who know you and have benefited from what you can do. You will almost certainly have benefited from this process at some stage if you are still in business today. So why rely on luck alone when you know that referrals can have a major effect for little or no cost?
National Referral Week is a coordinated response to the recession in the UK and the need to jump-start the process of growth by creating new business opportunities. Fast. Every business can participate and benefit and there is no charge in doing so. You can use the methods promoted here and also at www.makeareferralweek.com who originated the concept for this initiative in the USA.
You may have already tried your hand at developing referral business. Probably with mixed results. It was somewhat hit-and-miss affair perhaps because you did not know how to go about the process consistently. In fact, referrals to date were doubtless entirely random, arising unexpectedly from customers or other contacts talking to other people.
Certainly it is an ‘opportunistic’ process: amongst your range of contacts perhaps a small minority only will ever have a need for your services. They won’t have a need… then suddenly they will. It is critical therefore that your name is to the fore when that need arises. This means you must ask for referrals and ask regularly – or have a good strategy for consistently reminding customers what you do and that you would appreciate a referral.
So the key challenges for getting good referrals are these:-
1. How do you ask for a referral, to get the best results, and without embarrassment?
2. What do you say or do, what tools or other material do you need?
3. Whom do you contact and how? How often?
4. Can you ‘incentivise’ the process to improve results?
5. Is it just people you know – can you ask others too?
Note: a referral programme is not a substitute for marketing. Rather, it is an integral part of your overall sales and marketing process strategy – this is the sequence of activities required to identify markets for your services, then build positive awareness, generate sales leads, sell and then retain the customer. For further information: www.salesprocess.co.uk
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