Referral Marketing: It's A Numbers Game
How many in your network?
POSTED BY JACKY SHERMAN ON 31/10/2018 @ 8:00AM
Whenever you talk to trainers about sales and marketing, sooner or later, they will tell you that it's a number's game. So here are some numbers to get you thinking about the referral results you get from your network ...
According to LinkedIn, I am connected to 1,051 people, which means that there are 10,886,861 professionals in my network. Even if your number of direct connections is much smaller than mine, the number of people LinkedIn calculate is in your network is likely to be in the millions.
"So what? Does this mean I have a meaningful relationship with millions of people or even the thousand plus who have connected with me? Of course not!"
Anthropologist Robin Dunbar calculated that the human brain is only capable of maintaining about 150 close relationships. His - and others - analysis of human communities shows that to be effective even large organisations actually have functioning groups of about 150 individuals and this is where the loyalty and relationships that motivate and bind people actually resides.
The logic goes that if you add new relationships this means someone drops out of your circle. When you think about it this explains why we lose touch so quickly with people when we change jobs or move house. We meet new people and form new relationships and the old ones get left behind. Or we go back to see old friends or colleagues and somehow the friendship isn't there anymore. Our - and their - brains just can't cope!
Now, referral marketing is all about having breadth as well as depth in your business relationships. So having wide and diverse links is useful to find both your own customers and to refer to your network.
"Most of your referrals will come from your close relationships, those magic 150 who form the heart of your business community!"
So my tip this week is to list your top 150 relationships, counting in friends, family, customers, suppliers, colleagues, referral partners and other business contacts.
Now short list those who potentially could refer you?
When did they last refer you?
When did you last refer them?
Have they ever referred you more than once?
On my Certified Networker course, we spend a whole afternoon analysing your network. It's amazing what people learn from this. If you'd like to learn more about how to build your own referral community then call me on 07970 638857 today.
Until next time ...
Others have revised the 150 connections figure upward slightly to 250 through research using social media channels. This is still challenged by what constitutes a meaningfull relationship on line. For the analysts amongst you, Google either Robin Dunbar or Dunbar's number for the sources and discussions on this, it makes really interesting reading.
If you're interested in learning more about referral marketing, why not visit northants.asentiv.com to discover more ways I can help you!
I help people build and maintain productive working relationships both with their work colleagues and with a wider network to win more business. I do this by combining my skills in coaching, mediation and training with my extensive experience in senior management.
What I love most about my work is when my clients get those “aha” moments because I know they have seen for themselves the way that they want to move forward. Then they will achieve their ambitions.
Helping people who are having challenges with their working relationships gives me enormous pleasure. It was my privilege when working in health care to see how people working together can make the impossible seem easy and accomplish miracles as a result.
So helping people build or restore strong relationship with their colleagues makes even the hardest work easier, alleviates distress for the individual and reduces problems for the whole organisation.
In all this work trust is an essential ingredient to winning business so most of my work comes through referrals. Referrals come through strong business relationships so it was a natural extension for me to work with Ascentiv and train others in how to get consistent and predictable referrals from their network.
What a fantastic way to earn a living!