Getting referrals are a critical part of any growing small business. But there is a big difference between asking for them and getting referrals from past customers. Both are important, both are involve different marketing strategies that need to be consistently practiced.
Getting Referrals
What they are: This is when a customer refers another prospect that wants to buy from you. It is the single most powerful form of marketing. Your company is there exactly when prospects are ready to buy. You instantly become a trusted source and jump to the front of the line to sell them your solution.
How to get them: Getting referrals only happens because of two actions. First, you offer an outstanding product or service and the customer is ecstatic about what they receive. As a result, they become and evangelist for your company and gladly refers other people. Secondly, you continue to stay in touch (market) to these former and current customers about the issues your company solves as an expert. This is critical because when someone approaches them with a problem your company deals with, they immediately refer you.
Asking for Referrals
What they are: This is when you ask a satisfied customer two questions: