Referral Marketing is one of the best forms of marketing you can do because referrals are generally become the best types of customers.
Referral Marketing includes marketing to two different types of people.
The first type of referral marketing goes to your current clients and asks them to give you referrals.
The second type of referral marketing goes to referral partners, or people with whom you have a strong relationship with.
Each of these referral marketing messages needs to be structured differently, because not all referral marketing has the exact same specific message. A referral partner will have different motivations for sending you referrals than a current client.
What are the motivations that you need to mention in your referral marketing for current clients? Namely you need to try to build a membership theme around your referrals with your current clients. In other words, all clients who are “members” in our business just refer–it is how business is done. If you set expectations up front that referrals are a necessary part of business, then this type of referral marketing generally works extremely well.
The motivations you need to address with referral partners in your referral marketing might include giving them referrals, referral bonuses and rewards and fees, and just being in business together as a good old business friend.
Now if your referral marketing messages are exactly the same, then you will not get the amount of referrals you normally deserve because there is not a one-sized-fits-all referral marketing message that works.
You need to really understand people’s motivations.
Now that we have discussed the two different types of referral marketing motivations and messages and who you are marketing to for referrals lets discuss different types of media to send to these people.
Postcards, letters, emails, lumpy mail, phones calls–what is the best for referral marketing. Once again, it depends.
I think you need to establish two different types of referral marketing. You need to have a constant drip marketing referral campaign, and then you need to have more active things at times–things like phone calls, events, parties, lunches with clients, and more.
Example: If each month you have a referral contest and then you need to promote that referral contest in your newsletter. Then, if you are also having a referral contest you can have someone in your office call up your clients and just mention that the reward for the most clients referred is being entered into winning a big screen television.
This way you have a constant reminder of referrals, and then people are also seeing referral marketing every month in action.
One thing you need to remember with your referral marketing is that once you start, you should never ever stop. Look at big companies and their referral marketing. McDonald’s, Coke, Budwesier and more never quit marketing. Referral marketing needs to work the same way.