Active Referral Generation
The value of networking and referral groups is unquestioned. A single referral can be worth its weight in gold. Here are some amazing statistics that reflect this:
- People are 4 times more likely to buy when referred by someone they trust.
- The Lifetime Value for new referral customer is 16% higher than non-referrals.
- 84% of B2B decision makers start the buying process with a referral.
- 87% of frontlines sales reps, 82% of sales leaders, and 78% of marketers surveyed agree that referrals are the best leads your business can get.
WHERE CAN YOU CONSISTENTLY GET QUALITY REFERRALS?
Local Chamber of Commerce:
Local Chambers are great venues for getting exposure to other likeminded business people in your geographic area. Unfortunately, referrals are seldom a byproduct of being a Chamber member. Because most networking groups are open to anyone willing to pay the annual fee, you may be competing for a home listing single referral against 50 other realtors, a mortgage loan referral against 50 other lenders or a retirement investment referral against 50 other financial advisors. The same situation is true for all other business types – plumbing, roofing, landscaping, insurance, pest control, electrician and 100s more.
Organized Networking Groups:
There are even networking groups that ARE exclusive. In this environment, every referral that comes in for your specific business type will go to the single business person in the group that can service that referral. Even better, these groups are created specifically for exchanging referrals. This should mean that all other members have the teamwork mindset necessary for every other member in the group to succeed. Unfortunately, the personality profile of a typical business owner is, by necessity, very “Me” focused as opposed to “We” focused. The single greatest reason that people quit these exclusive clubs is because they are getting very few referrals themselves even though they are providing many referrals to other group members.
WHY FILL YOUR SALES POOL WITH A SINGLE GARDEN HOSE?
No matter the type of networking group, the primary goal of the members is to increase business. The reality is that ALL networking groups that exist are singularly focused on putting business people in proximity of other business people and in some cases, they are encouraged to refer business to one another. Unfortunately, not very few business people are skilled at identifying referral opportunities. While this is a skill that can be taught and fine-tuned, networking groups primarily focus on putting people together and less on making them better at working for each other.
Regardless, even if everyone in your networking group excelled at finding referrals for you, you would still be trying to fill a figurative swimming pool with a garden hose. Relying on referral business or other “Passive” marketing to drive revenue and profit gains will always lead to disappointment.
ACTIVE REFERRAL GENERATION
Demand Generation Professionals has a trademarked approach to networking groups. This service is known as Active Referral Generation. There are similarities to networking groups such as BNI. ARG is made up of 1000s of exclusive networking groups that are geographically based across the USA. A benefit of membership is of course referrals. However, the ARG approach significantly improvs the quantity and quality of the referrals that are being passed from member to member. Doubling or tripling referral volume is typical which means that you’re putting many more opportunities in your pipeline than you have ever experienced before.
Even better, Demand Gen Pros’ ARG program helps our members drive revenue & profit growth in other ways besides referrals. All our ARG program members gain to our many other disruptive Active Demand Generation methods such as Active Lead Generation, Active Appointment Generation and Active Intent Marketing. The result is a sales pipeline on steroids and a cost of sale that becomes non-existent.