Are You "By Referral" or "Word of Mouth"?
Sounds the same, what's the difference you ask? It's a big difference actually ...
What many folks I come across in networking thing is working by referral, is really just word of mouth. Word of mouth is very random in practice and in results. Conversely, working by referral is very on purpose and produces predictable results. When you have predictable results, you have a business!
Here's what I learned in Buffini %& Company's Peak Producers Training:
| Word of Mouth | Working By Referral |
| Fishing | Hunting |
| Waiting | Finding |
| Unpredictable | Certain |
| Inconsistent | Predictable |
| Drifting | Set of the Sail |
Brian Buffini teaches us that "Working By Referral is a consistent level of contact with the people and care for the people in our databases. This care leads to a steady stream of referrals to their family, friends and associates."
I like gardening references & metaphors so here's how to grow your Referral Business:
Did you know, (per NAR), that over 80% of Real estate transactions come from repeat clients and referral customers? Doesn't knowing that fact get you excited about working the database you already have vs. the "spray & pray" approach of leads on Zillow or other online sources and leads solicitors?
1. Till the Soil
Just like turning over the dirt in your garden, you have to till the soil of your database. You have to get your hands on it and get a little dirty interacting with it. (dirty because along the way you'll find not all are the referring type, just like not all seeds will take root that you plant). The priority of your day is those past clients you served so well and the current clients your working with. Cultivate relationships you already have and reignite their advocacy for your business.
2. Plant your seeds & water them.
Just like your seeds need water, so does your database. Nourish your relationships with monthly & quarterly calls, video-e-mails and mailers. Items of value, mailed regularly with current information on the market, home ownership or lifestyle, etc.
3. Fertilize & Nurture/Defend.
The care that goes into your garden, feeding, weeding and pest control, is the same care that goes into your database. The feeding: Once in a while write them a personal note or plan a pop-by for a quick face to face get-together or even a coffee or lunch together. The weeding: You have to occasionally pull someone out of your database like a weed, to make room for a better fit, like a plant. Sounds harsh, but it's your choice; a garden of weeds or a garden of fruit bearing trees & plants? Defend: loyalty comes from care and just like the pest that would eat or damage your plants, there are outside forces ready to attack your database. Left alone without your contact too long, they could be slowly taken away by others trying harder to gain their attention & business. Don't neglect your garden (database), you've put too much work into it at this point.
4. Grow
Your clients may like you but you need them to trust you & respect you first. This comes from your expertise they rely on. Just like you need your garden (database) to grow, you need to grow your skills to keep up with the demands of the market & the ever changing market conditions. Coaches, mentors, classes and training: continue to sharpen your skills that pay the bills.
5. Harvest
The harvest for you is the referrals & business you reap from tending to your database consistently and with purpose. The harvest for your clients is a well executed sale that got them a home of moved them on to their next one. Just like the farmers do, we need to celebrate the harvest. Host a client (and service provider) appreciation party at least once per year to celebrate and thank those that contribute to your annual harvest! These are fun and referral generating events that other peoples' Realtors don't do; why not be the one who does!
Image 1 courtesy of [zirconicusso] at FreeDigitalPhotos.net Image 2 courtesy of [khunaspix] at FreeDigitalPhotos.net
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