Referral-based selling, also known as “word of mouth marketing”, is one of the most powerful sales tools around. We instinctively trust individuals and business we know, so if they recommend a business or a product, we’re much more likely to use that business or product than if we came across it independently. In fact, referral based selling is one of the oldest marketing techniques in the book.
Encouraging existing customers to tell friends and family about the products or services a business offers is one of the best ways to boost sales and increase brand awareness in the process.
Boosting rates of referral-based selling
The best way to improve your company’s performance in referral-based selling is to offer an outstanding service. By providing your existing customers with an unrivalled service, high-quality products and competitive prices, you can become indispensable to your existing client base. This turns short term customers into long term clients. If customers are satisfied with the products and the services you’re offering, they are more likely to tell other businesses and individuals about your company, improving your word of mouth marketing and leading to increased sales.
Don’t put selling front and centre
Although making a sale may be the ultimate goal of every marketing call you make, moving the emphasis away from making a deal can actually help you to sell more in the long run. Not selling at every opportunity will help you to build trust with your customers and will show them that you’re putting their needs first. Instead of always looking for ways to make a sale, ask your customers if there’s anything that you can do for them. The more you can find out about their needs and their requirements, the easier it will be for your business to offer a relevant and high quality service.
Although it can seem counterintuitive at times, listening is a very important part of the selling process, especially if you’re trying to build long term business relationships. Ask about your customer’s long-term goals and the challenges that they face in achieving those goals. Try to remember important facts about the industry and the individual business and add to your knowledge bank regarding all aspects of your customers’ requirements.
The more genuinely interested you are in their business and their world, the more you’ll be able to adapt your products and services to suit their requirements. The happier your customers are with your products, services and performance as a whole, the more likely they’ll be to tell others about your company.
Be clear about how you can help
One of the main benefits of listening to your customers and taking an interest in their industries is that it will give you the perfect opportunity to show how you can help. Explain to your customers exactly what you can do for them. Don’t exaggerate. Be honest about the products and services you offer. Customers are much more likely to respond well to a realistic sales pitch than to one that promises them the Earth and stars.
If your company offers a high-quality service, competitive prices and great products, customers are likely to refer your business to other potential clients. To find out more about other effective marketing techniques, take a look around our site today.