When coaching Recruiters around the sales elements of their role one of the first things I look at are their conversion ratios and activity levels. This is a powerful exercise of understanding where the weak link in the sales chain may be. Almost without exception when I tackle the subject of referrals, I am reassured that they are being asked for consistently. But when you start to closely examine the actual activities there are gaps, big gaps. Sure, they may have the best of intentions, but the commitment shows through actions and nothing else. The activities do not often demonstrate a real commitment to making referrals happen.
Referrals (and by a long shot) is one of the most effective ways to increase new business and get a bigger market share of existing business. One of the many advantages of referrals is that the sales conversion rate is much higher. In Sales Prospecting for Dummies, author Tom Hopkins claims that the average sales closing ratio for non-qualified leads is only 10% compared to a 60% close ratio for referred leads.
It’s not difficult to understand this better conversion rate.
A referral has built-in credibility that reduces the risk new clients might feel in doing business with you.
The client is half-sold on doing business with you even before contacting your business.
So why is it that most people are not fully committed to being proactive with referrals?
Simple! It’s fear.
Here are the 2 biggest fears that I hear
- Asking clients for referrals will hurt my relationship with them
No it won’t! Not if you ask in the right way – one that simply doesn’t hurt relationships.
When you use a client centred approach to ask a client for referrals, the client will either give you referrals when you ask, give them later or won’t give you referrals at all. But you’ll NEVER hurt the relationship.
- Asking for referrals will make me look desperate or unsuccessful.
Wrong again! Ask in the right way and at the right time.
You just need to find a way to ask for referrals in a way that comes from a position of strength; that comes from a position of success. Make it all about the value you bring and the confidence you have in your ability to help people.
What’s your fear? What’s your barrier? Want to make referrals REALLY work for you?
In our next ‘Recruiters Lunch & Learn Club’ Webinar we will be exploring:
- Why most people are not fully committed to being proactive with referrals
- The biggest mistakes that limit referrals
- Who, when and how to ask for referrals
- How to get referrals, without even asking for them
- A 3 step guide to initiate, passively sell and then personally connect with a referred client
This event has been completed – to purchase a re-play contact us firstname.lastname@example.org