Referrals are the best way to generate new business. Unlike cold calls, a referral from a current client is akin to an automatic seal of approval. You’ll still need a good pitch and tailored products and services for all your clients’ needs, but a recommendation from a current client makes your job so much easier.
But you can’t assume your current clients will take the initiative and spread the word about you all on their own. It’s smart to take a strategic and proactive approach when it comes to obtaining referrals. You’ll need to know how to best capitalize on relationships, in other words, in order to generate more leads.
Here are the top five tips for driving your business with more referrals.
1. Use your experience
You’ve developed a rapport with your clients. You’ve probably worked with some of them for a number of years. Always keep these lines of communication open, and remember to reach out to your trusted clients to ask them how your service has been. You should touch base throughout the year — not just during policy review and renewal time. Take the time to listen to their concerns. When you go the extra mile, they’ll be much more likely to refer you to someone they know.
2. Do them a favor
If you want to generate new leads, it’s smart to learn how referrals happen. It’s all about relationships: If you work with business clients, send potential clients and customers their way. These high-influence clients are much more likely to reciprocate than initiate. And when it’s time to ask for the referral, use the direct approach, especially with people you know and respect.
3. Advice for new advisors