So you got a referral from a Customer, now the real work begins. A referred client is no different than any other lead & it’s important to understand the key steps required to convert them into a paying customer.
Whether your business has a formal referral program, or your Customers simply refer people to you (“Advocates”), how you handle & contact referrals will directly impact the conversion of the referred client into a paying customer (the “Friend”). This post will walk through the ways to deal with referrals & what to do in order to maximize the return of your referrals.
Step 1: Setup a Plan
Establishing a plan on how you will handle referrals is needed to ensure that these valuable leads are contacted in the most efficient & effective way possible. Assign someone in your organization who is responsible for referrals. Remember, referrals can come in all forms, whether its a happy client mentioning they know someone who may like your service, a Friend contacting you directly & saying they were referred or you receive a referral through your formal referral program, having someone in charge of referrals is extremely important. Establish a minimum amount of information you require for a referral such as e-mail address or phone number so there is data consistency for each referral that comes to your business.
Step 2: Contact the Friend
Step 3: Thank the Advocate
Thanking the Advocate for referring someone to your business is a crucial element to the Referral. Whether they are receiving a formal reward, or not, informing the Advocate that you appreciate their gesture will lead to more referrals & increase transparency around your referral process. A small thank-you gesture can go a long way.
Step 4: Track, Analyze, Improve & Repeat
Remember, referrals can be extremely valuable to your business, so having a clearly defined strategy on how to handle them is crucial to turning Friends into paying Customers.
If you have any questions about this post or want to learn more about OneLocal’s Referral Program, you can visit this page.