Best Gift to Any Business is a Referral

iStock_000022240123_ExtraSmallAre you looking for the perfect gift to give your customers or clients this holiday season?  There is one gift that has far greater lasting value beyond a spoken word of thanks, a sparkly holiday card or overflowing basket of nuts and baked goods.  It is the ultimate gift — the gift of a referral.

When you tell a client or company that you believe in what they offer, so much so you are willing to tell others, you are bestowing a very special tribute. Beyond the confirmation, providing an unsolicited referral requires thought and work. It is a bit like the effort of making a homemade holiday gift versus buying all your gifts online. You have to think carefully about the need and fit between the referral and referee. You are attaching the value of your name as an endorsement to the product or service.  You will forever be the link between the buyer and seller. Your gift will often be appreciated more because of the effort you put into the “making” of the gift.

Another reason for giving a referral as your holiday gift this year is the financial value. Customer referrals are instrumental for business growth.  In fact, the value of a referral can even be more than a single purchase, especially if the client offerings are complex or dependent on developing long-term relationships with valuable prospects. Your gift can shave months off of the sales cycle.  A referral can reduce the cost of sales and customer acquisition costs. You could be gifting a customer and potentially a profitable customer with significant real lifetime customer value (LCV).

Your word matters and your actions speak louder than your words.  Everyone is grateful for a ringing testimonial.  It serves great purpose to have your endorsement out into the marketplace to attract buyers for your clients and show your support.  The actual gift of a referral is going beyond championing your like and approval.  It is an affirmation that you believe both sides of the transaction will benefit. You are providing a seal of approval for an engagement between the buyer and the seller.

Yes, we all want customer recommendations on LinkedIn, Yelp and on our Facebook and Google+ pages. It is good business practice to endorse your customers and clients when they buy your services.  This will encourage them to do the same for your business.  Word of mouth and online reviews are proven to work.  Market studies show buying decisions are impacted by referrals, as noted in HubSpot’s example of the impact of social media referrals: 71% More Likely to Purchase Based on Social Media Referrals [Infographic]. These endorsements are reviews of our work. They are critical to marketing today.

Knowing the value of a review and recommendation, the referral puts financial value to your words.  As you put together your shopping list this holiday season, think about the best gift for your customers.  A gift that only you can provide by making a meaningful connection.  A word of gratitude followed by an invitation to do well.  A contact that can lead to revenue. Give the ultimate gift to those that pay you. Give back by giving them a customer!

The greatest gift is a portion of thyself.” – Ralph Waldo Emerson

By Jamie Glass, CMO & President of Artful Thinkers and Managing Director of Sales & Marketing Practice at CKS Advisors.

Manage Your Influencers for Optimal Results

Business TargetKey influencers play a critical role in every business. Decision makers are guarded and guided by inside and outside advisors and gatekeepers. How you manage your trusted advisors can help or harm your business.

Influencers know they have the power to change or compel action. It is the business leaders responsibility to validate and control the effect of influencers. Those who sit closest to authority and are granted permission to persuade, have a direct impact on your success. Do you know who is currently sitting at your table of influence?

In order to responsibly manage your influencers, take time to identify those that are in your inner circle and those effecting your judgement. Inside your business look at department heads, executives and even top revenue generators whose opinions impact your future.  Who are your squeaky wheels? Are they helping you make better decisions for your business or slowing down how you operate?  Influencers can be carriers of good and bad advice, they may be motivated by selfishness. It is up to you to vet, challenge and manage your influencers for optimal results.

One way of evaluating an influencer is to ask them what they believe are your highest priorities. Are they up-to-date on your current business plans and growth strategies?  Do they know the profile of your most profitable customers?  If not, it is the perfect opportunity to align your thinking. Define and clarify what is most important to you and your business.  Let them know how they can help you.

To get the best results from your influencers, provide regular updates on business goals, initiatives, challenges and opportunities.  Acting as gatekeepers, key influencers can open doors to new ideas, solution providers and even make introductions to customers. They also have the ability to close doors.  As the final decision maker, you are ultimately responsible for those that make it through the “gate”.  Challenge those that have the authority inside your business to say no.  Know who they turned away and why.

Update your outside advisors quarterly about key initiatives and strategic objectives. These influencers, such as accountants, legal counsel, wealth managers, business consultants and top vendors are connected and often sources for essential referrals. They act as a conduit for information and potential services that can help you achieve your goals.  If your influencers know your interests, they can better serve you.

Know that influencers get things done. They effect change. They make things happen. You need to know who they are and leverage them for maximum impact to your business. Lead influencers to your expected outcomes. Manage them for the best results.

Jamie Glass, Outsourced CMO and President of Artful Thinkers, a strategic sales and marketing consulting company and Sales & Marketing Services Managing Director at CKS Advisors