Referrals from your existing customers are an excellent and cost-effective way of acquiring new customers. Many dealers don’t realize that there are many different ways to encourage their customers to make referrals throughout the entire customer relationship. Here are just a few:
It’s Never Too Early. Many people think that referrals should come from existing or well-established customers, but sales calls are the perfect opportunity to gather information about other potential customers. Train your sales team to seek referrals before the end of a successful sales call by asking brand-new customers for permission to call on the people on their emergency contact list, inquiring about houses recently sold, new neighbors or new businesses in the area, and requesting the contact information of any friends, family and neighbors.
Incentivize Your Customer Base. Incentivize your existing customers to refer family and friends through
“refer a friend” programs that offer reasonable incentives for successful referrals. Offering these incentives regularly but only for a short window of time encourages people to act quickly rather than putting it on their to-do list and forgetting about it.
Make It Easy for Your Customers. You’re asking your customers to do something for you, so make it easy to comply. Include links in e-mails that allow them to fill out very short online forms. Add a short paper form or even a space for referral information on the portion of your paper bills that customers can send back.
Make It Easy for You. Look for opportunities to request referrals at existing touch-points with your customers. Include requests for referrals in bills and other communications, marketing materials such as newsletters, on your website, Facebook or LinkedIn pages. Your website can do some of the work for you by collecting contact information from visitors to your site (make sure to let them know that by giving you their information they are consenting to receiving offers and promotions).
Thank your referral sources. How you thank customers for making referrals isn’t important, what is important is that you do thank them. . You can make a phone call, send an e-mail or note.
Just be sure you do it! Thanking your customers lets them know their information was useful and appreciated which encourages additional referrals.
For more information to help boost your sales, view our blog post,
“Five Tips for Powering Your Alarm Sales.”
