Who’s Recommending You?By joanne | 27th January | Marketing Ideas, Marketing Skills, Marketing Strategy, Marketing Training
Referral, or word-of-mouth marketing is one of the most cost-effective forms of marketing there is. The theory goes that if you provide a good product or service to a customer, they are likely to recommend you to colleagues and friends who need a similar thing.
But, do you know who’s recommending you? If you aren’t measuring where your customers are coming from, you can’t be sure – and you can’t thank the person doing the recommending.
Do you think that if someone recommending your company received a ‘thank you’ from you, they might recommend you again?
Could you also perhaps incentivise people to recommend your company, providing they are happy to do so?
This is how business has been done from the very beginning – if you are looking for a plumber, you’re likely to ask your friends who they know, rather than call someone cold (and risk them letting you down). If they know they’ve been recommended, they’re likely to do an even better job, as they don’t want to let two people down.
If you could increase you referrals by just 10% in 2010, what difference would that make to your business – and profit margin?