BUSINESS REFERRALS: Here's how it works for me.
It's pretty simple. If I get outstanding service from you, I will refer you to as many people as I know; if you are a shlump, I won't refer you.
I keep a mental list as well as a written list of people I know in all kinds of categories: home inspectors, mortgage people, repair people, contractors, builders, electricians, plumbers, attorneys, hardwood floor refinishers, etc. Personally, I think it is an honor to let others know when someone has done an outstanding job.
Here are a few examples of people currently on my business referral list:
- A home inspector. He returned my phone call after hours to answer a question about a house he did not even inspect. It was a general inquiry about the structure that I had never seen before and I wanted to learn more about it. He didn't know so he referred me to a builder, who is on his referral list. This home inspector is on my business referral list because of great inspections he has done and because he cared enough to call me back on a question he wasn't getting paid to answer.
- A builder. My home inspector referred me to his builder to answer the question I asked him about. I have never worked with this builder but he came highly recommended. He not only talked to me about the issue I had questions about, but he called a lumber specialist to find out more and then called me back with the information. If I have people who are looking for a builder or contractor, I will definitely refer him.
- A mortgage person. She met with my clients knowing that they would not be able to get a mortgage. She not only gave them a list of things that they needed to do to improve their credit score and qualify for a mortgage at a later date, but she did it in a way that elated my clients. In another year, I am sure they will go to her for their mortgage and to me to help them find their new home. This mortgage person is definitely on my business referral list.
The list goes on forever. But the thing about this list is that it is fluid. Just because someone gets on my list, it doesn't mean that they stay on my list. Here are a few examples of people who fell off my list:
- A licensed contractor. He has done some great work for some of my clients, and I recommended him many times (to my clients' satisfaction). But then he started showing up late or not showing up at all and then called my clients to reschedule. If I am referring you, do not let me or my clients down.
- An attorney. He also came highly recommended to me, but caused two late closings for me. I understand that mistakes happen, but these late closings occurred because (and only because) of scheduling difficulties and errors in his office. No amount of schmoozing is going to make my clients who took off from work and scheduled movers feel better about not closing on time.
My reputation is at stake when I refer other professionals, so I want to make sure they continue to make the grade. I don't expect anything from them except knowing that my clients are well taken care of.
By the same token, I also don't take it lightly when I am referred to someone. I expect that people will refer me because I have done a great job for them. I wouldn't even expect my family to refer me if they didn't think I would do an outstanding job. When I get referrals, I make sure that I don't let anyone down.
So referrals work both ways. I give them and I receive them--but always and only if they are well-deserved.
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