Referral marketing is one of the most effective ways to find new clients.  When you focus on helping your customers and being sure their needs are met, they can be some of your most effective sales people.

How does referral marketing work?

Quite simply, referral marketing is nothing more than asking your existing clients if they will introduce you to their associates who you might be able to help.  Most often they do this by giving you the names and contact information of people they know, and you can contact them at your convenience.

Why should I use referral marketing?

One of the key factors in helping people make a purchasing decision is something called “social proof.”  Social proof is other people telling the prospective customer how using a particular product or service helped them.  When your clients recommend you to their friends and associates, it’s an immediate credibility boost.

Why should my customers introduce me to their friends?

If you think about it, you’ll realize that a lot of your purchasing decisions are influenced by the people you know.  When your best friend recommends a movie, that carries more weight than the critic who writes reviews for the newspaper.  And when you find a product that’s an incredible value or hire someone to do a service for you and they do a terrific job, you tell everyone about it.  People like to look out for their friends.

So, how do I get these referrals?

As hard as it may be for you to believe, you just have to ask.  Contact your existing clients who love what you have to offer, and ask them if they know anyone else who needs the same kind of help you provided them.  Ask them for the person’s name and contact information, and get their permission to tell the associate that your client thought you might be able to help them.

Referral marketing is extremely powerful for information marketers.  As you build a business focused on helping others, they will become your raving fans.  Once that happens, your clients will want everyone to know you’re the “go to person” in your field.