Referrals Archives - Page 22 of 23 - Dr. Ivan Misner®
The 29% Solution: 52 Weekly Networking Success Strategies

Santa Claus, Easter Bunny and Six Degrees of Separation

I am pleased to announce that my new book, The 29% Solution, 52 Weekly Networking Success Strategies has just been released! Below is an excerpt from the book.

What do Santa Claus, the Easter Bunny and “six degrees of separation” all have in common? They are all urban legends! I wouldn’t do an expose on Kris Kringle or the egg-laying rabbit. I don’t want to stir up any trouble. What I do want to take issue with is the six-degrees thing.

You’ve heard that there are “six degrees of separation” between you and anybody else on earth that you would like to meet. Right? Amazing, isn’t it? Unfortunately, it’s just not true! I know, I know–you’re thinking, “What? That can’t be! It’s common knowledge that we are all separated by six connections to anyone in the world.” Well, I hate to burst your bubble, but the idea that we are all connected through six degrees of separation is rooted in myth–not in fact.

The legend originally stems from several “small world experiments” conducted by Stanley Milgram in the 1960s and ’70s. These experiments involved sending folders or letters from a group of people in one part of the country to a specific person (whom they did not know) in another part of the country. The people were told to get the material to someone who might know someone who would know the individual to whom the material was to be delivered. This process formed a chain of connections linking the people together. It was, in fact, found that the letters or folders that eventually arrived in the right person’s hands took, on average, between five and six connections or degrees. This part is true; however, if you look closer, you will discover the problems that exist within the blanket statement that “we are all connected by six degrees.”

First off, though the average number of links for people who got the material through to the final contact was five or six connections, the majority of the connections that were made ranged from two to 10 (the average was five to six). This means that roughly half took more than six and roughly half less than six. Well, you say, that’s the average and I would agree that there’s nothing wrong with addressing this concept by the average, but there’s one small problem. The overwhelming majority of people in all of Milgram’s studies never got the material to the intended recipient at all! In Milgram’s most successful study, “217 chains were started and 64 were completed–a success rate of only 29 percent.” That’s right–a success rate of less than one-third of the participants! So what this means is that 29 percent of the people in Milgram’s most successful study were separated on average by six degrees from the final contact person. However, that means that 71 percent were not connected at all!

But wait, I’m afraid it gets worse. This was Milgram’s most successful study. In another of his studies, only 5 percent of the participants completed the chain, which means that 95 percent of the people in the study never made the link to the person they were supposed to connect to at all–ever! Don’t shoot the messenger, but I am afraid to tell you that we are not “all” connected with everyone in the world by six degrees of separation. We’re just not . . . not all of us.

So why would I, someone who has devoted most of his professional career to business networking, be telling everyone about the Achilles heel of this iconic concept upon which a lot of networking pros hang their hat? Well, there are two reasons. First of all, I believe this myth creates complacency. The thought that everyone is absolutely connected to everyone else on the planet by six degrees gives some people a false sense of expectation and thus lulls them into a sense that the connection is bound to happen sooner or later, no matter what they do. Second, and most important, the studies’ findings indicate clearly that some people are better connected than others. I believe that’s important because it means that this is a skill that can be acquired. With reading, training and coaching, people can develop their networking skills, increase their connections and become part of the roughly 29 percent of people who are, in fact, separated from the rest of the world by only six degrees.

Milgram’s work was revolutionary. It opened up a whole new world of discussion and understanding. It has, however, been romanticized. The mythical version of his findings does no good for anyone. It gives people a false sense of security or an erroneous world view of the networking process. I believe we do live in a “small world” that is becoming smaller and smaller; and I also believe it is possible to be connected to anyone in the world by only six degrees. I just don’t believe that “we are all” connected by six degrees, and Milgram’s own findings support that.

The good news in all of this is that it is possible to be part of the 29 percent through education, practice and training. We can be connected to anyone through the power and potential of networking. In fact, by understanding that, we can set ourselves aside from our competition by knowing that being able to make successful connections is not an entitlement. Instead, it is a skill that only some actually develop. As for the 71 percent of people who are not connected and yet still believe in the six degrees of separation concept–keep the faith. You’ll always have Santa Claus.

Books are now available at your local bookstore or from Amazon.com. I’d love to hear your thoughts about the book and/or the general concept.

The Number One Networking Requirement

So many times, I hear of people joining networking groups and then becoming disillusioned because the referrals don’t immediately start pouring in. The fact is, whatever you pay to join a referral/networking group is only an admission price–it gets you into the room where opportunities may come your way, but it doesn’t entitle you to referrals. It’s not enough to simply show up and participate. You must perform to make the most of these opportunities and new contacts.

Despite the built-in structure and focus on referrals, a strong-contact group member can fail to generate referrals or to receive referrals for himself or herself. Networking skills are the number one requirement for generating more referrals. Being in the setting of a networking group simply makes it easier to use these skills. Simply being a member of a strong-contact group does not entitle you to expect or receive referrals. Nor does being a member of a casual-contact group limit the number of referrals you can generate or receive, if you have the skills and use them.

Develop the skills of a master networker by constantly looking for ways to help or benefit your networking partners and earning a reputation as someone who can get things done, no matter what the organization or situation. For example, one extremely savvy and successful networker I know records the names and cell phone numbers of every member of her networking group, and when new members join, she adds them to her “tele-rolodex” immediately. She has found that she has a better chance of seeing closed business between her contact and the person to whom she makes the referral when she can introduce them immediately–right when she learns her contact’s needs.

For more information on developing the networking skills that will help you make the most of your networking opportunities, click here. For even more on networking skills, click here.

What Percentage of Your Business Do You Get From Referrals?

We recently surveyed more than 3,000 people at BNI.com. We asked the participants what percentage of their business comes from word-of-mouth or referrals.

We found that fewer than 5 percent got no business from referrals, and more than half of the respondents said they got more than 70 percent of their business from word-of-mouth or referrals!

Look at this and another nine surveys on networking at this LINK.

Does this measure up to your experience? I would really like to hear from you as to whether you agree with the majority of the respondents to our survey.

Friends, Family and Referrals

Last Saturday night, my family and I decided to go out to dinner and ended up eating at a brand-new restaurant in the town where we live. We hadn’t actually heard anything about the restaurant and didn’t even know it existed, but it caught our attention as we drove down the street and we decided to try it out.

The food was exceptional and I was quite impressed with the service and the ambience, yet there were hardly any other patrons besides us in the entire place. As we finished our dinner, the owner of the restaurant walked over to our table, thanked us for coming in, and asked us how we liked everything. I told him that we would definitely come back and asked him how long he’d been in business. When he answered that he’d been in business for three months and that things were coming along slowly but surely, I asked him what he was doing to promote his business. He replied that startup costs hadn’t left him with much money for advertising but that he had a huge extended family and he was banking on the fact that with them on his side, word about the restaurant was sure to spread pretty quickly.

I looked around the restaurant (virtually empty during the dinner hour after three months in business), smiled, and said, “So, how’s that working out for you so far?”

I went on to explain to him that I was somewhat familiar with the whole “networking thing” (I revealed that networking has been my career for more than 20 years) and that people who like, care about and respect you will not necessarily always refer business to you. We chatted for quite some time and I referred him to one of my articles, “Getting Referred By Friends and Family.”

For anyone out there who is currently relying on friends and family for referrals, here are a few things to think about:

  • Oddly enough, the people most familiar with you are often the most casual about giving you referrals.
  • With friends and family, relationships grow out of more personal associations; therefore, it may not even occur to a family member to refer business to you–unless you make a point of asking for it.
  • You need to train friends and family to refer business to you.
  • One of the first things you can do is get them to listen for key words and to recognize circumstances where they can, through you, provide a solution to someone’s need or problem.

What are your experiences with referrals from family or friends?

Networking for the ‘Difficult to Refer’ Business

After a recent speaking engagement I did, a woman appoached me and asked my advice on the dilemma of getting qualified referrals for a “difficult to refer” business. She was passing as many referrals as she could to others, but because her business seemed to revolve around such a niche market, the business referrals she was receiving were slim to none, and she was starting to get discouraged.

I referred her to an article I wrote a few years back that addresses this exact predicament; and since I’m sure some of my blog readers are in businesses that are more difficult to refer than others, I thought I’d shed some light on the subject here. For networkers in businesses that don’t easily generate word of mouth, there is hope for your company because there are still ways you can successfully network and build your company’s reputation.

Years ago, I learned that speaking engagements are a great short-term approach to getting new business while you’re working on the long-term process of word of mouth. You see, when you schedule an appointment with someone you think might be interested in what you’re selling, that time you spend with them–usually an hour–is very important. Well, imagine having that same one-hour appointment with 20 to 50 businesspeople in your community, all at the same time! In effect, that’s what you’re doing when you’re asked to make a presentation at various clubs and organizations.

So, how do you go about getting on the calendars of these business and service groups? It isn’t as hard as you might think. With a little creativity, you can put together a presentation that will be informational, educational and even entertaining. Most important, you can get referrals from people to help you get in front of them. Usually program chairs are scrambling to find someone different, engaging and interesting to come in and present to the group. Your job is to help them find you!

To see a sample of the letter I used to send to program chairs when I owned a consulting firm, click here to go to the article. Getting speaking engagements can make your company easy for anyone to refer and it can also get you a lot of clients while you’re busy building your business.

If you have any comments or thoughts on other techniques that are useful for businesses that are “difficult to refer,” I’d love to hear your feedback.

Where Does Your Business Come From?

Where does your business come from? In a survey of roughly 4,000 people at the BNI.com website, roughly 73 percent of the respondents said that they get most of their business from networking and referral activities. Only 12 percent get most of their business from advertising and less than 10 percent get most of their business from cold calling!

What I find amazing about this is that most colleges still focus on courses on advertising, and most big companies still train their new salespeople how to cold call! Despite that, most entrepreneurs and salespeople (according to this survey) don’t get the majority of their business from these two methods.

Where do you get most of your business from? Comment here on this blog and take the survey (and others) at this LINK.

Get Your Networking Program Off the Ground

It’s often been said that “starting is the hardest part” of a project. Well, building your business through networking and word-of-mouth marketing for your business is no exception.

Here are four things you can do to get your program off to a strong start:

1. Don’t be a cave dweller: Get out and meet people!
2. Know how to ask for the referral. Learn and develop specific techniques that will help you hone your ability to ask for the referrals you want.
3. Consciously select at least three business or networking groups to join in the next three months (chambers of commerce, community service groups, trade associations, strong contact networks such as BNI, etc.).
4. Develop a creative incentive to encourage people to send referrals your way (If you’re a music store owner, for example, you might send music tickets to people who refer business to you).

The bottom line is: Get out there and make diverse contacts, be specific in your approach, and help others in creative and enthusiastic ways–so they’ll want to refer you business!

The Word of Mouth Manual

I just ran across a good e-book on word of mouth that I definitely think is worth a read. The book is called the Word of Mouth Manual by Dave Balter and is available free as a downloadable here. You can also buy a hardcopy version of the book from Amazon.

The process of word-of-mouth marketing and networking are, in many ways, inextricably tied. I teach people how to network to build visibility and credibility in order to generate referrals (word of mouth). Although this book doesn’t really talk about networking, it thoroughly covers the process of word of mouth, primarily from an advertising and marketing perspective. However, it offers several valuable insights for both networking and word of mouth.

Here are a few key points from the book:

  • There is a growing emergence of the “shared collective experience.” People love to share their experiences–good, bad, and otherwise.

  • What is a word-of-mouth conversation actually worth monetarily? One study says it’s “worth 1,000 times more than a standard ad impression” (arguably a high estimate). Dave offers a formula on page 33 that is worth consideration.

  • “From the outside, word of mouth seems like an awfully easy channel to tap into . . . But the reality is that the power of the medium is affected by the most subtle of social norms. It’s about how we talk to each other and what makes us willing to share our opinions, which makes it a more flexible and fluid medium than any other.”

I don’t completely agree with the comments about word of mouth and cultural differences. Often people point to the fact that every culture is different and, therefore, there are concerns about “word of mouth” transcending cultural differences.

In my opinion, what is generally overlooked is that word of mouth in different countries doesn’t happen outside the cultural context; it happens inside the cultural context. Cultural differences become an issue when Americans are trying to work with Brits, Brits are trying to work with Scandinavians, Scandinavians with Malaysians or Malaysians with Australians, etc. But word of mouth tends to work well when it happens primarily within a specific cultural context (There’s a whole blog I can do on this subject!).

Suffice it to say that I’m not in complete agreement with Balter on this issue, but I completely recommend the book as a valuable read to anyone who wants to build his or her business through word of mouth.

Achieving Excellence in a Networking Group

During a recent interview, I was asked what my thoughts are on why my networking organization, BNI, has become so successful. Well, I’ll be the first to admit that success didn’t happen overnight. It took me 23 years, and a lot of bumps along the way, to learn what it takes to operate a successful networking group anywhere in the world. But as I told the interviewer, I attribute BNI’s success to some key steps that are sure to move any networking group toward achieving excellence. I’d like to share some of them with you here:

1. Education, education, education. Take advantage of the staggering amount of resources on networking that are available. Some examples are:
SuccessNet archives, networking articles at Entrepreneur.com, networking books, Audio CDs, etc., etc.

2. Choose quality business professionals to join your networking group. Don’t take the first person with a pulse and a check.

3. Follow the system! When a system is proved to be successful, there is a reason it works. Don’t reinvent the wheel.

4. Pass quality referrals. The only thing more important than passing a lot of referrals is passing quality referrals. Both are important, but quality must lead the way.

5. Attendance is key to a group’s success. Networking groups that have poor attendance always end up having problems down the road. Have you ever gotten a haircut over the phone? Of course not. We’ve learned that you cannot get or give referrals if you don’t show up.

6. Pick great leaders! Don’t settle for who’s willing, but select who’s best! Leaders can make or break a group. It happens all the time.

7. Keep positive people with a solutions-focused attitude in your group. OK, here’s another way to say it–move out the constant whiners! Some people complain as though there were an award for it. Replace them. Find people who focus on building something great rather than complaining as though it were an Olympic event. Seriously, why accept mediocrity when excellence is an option? People, just like water, tend to seek the path of least resistance. The problem is that the path of least resistance may not be the best path. If you expect the best from your fellow networking group members, you will get it. If you expect less than the best from your members . . . you will get it. Expect the best. You’ll get better results, really.

After all, if following these steps could build BNI into an organization with more than 5,000 thriving chapters in more than 36 countries, then I’d say it’s worth giving them a try!!

Six Essentials for Networking

Recently, I was handed a copy of a book called Rules for Renegades: How to Make More Money, Rock Your Career, and Revel in Your Individuality by Christine Comaford-Lynch.

In the book, she names six networking essentials that are not necessarily the ones people might traditionally think of as the keys to networking success, but I think they can be of significant value–especially her advice on equalizing yourself with others. So I’d like to reprint them for you here, and I invite you to leave comments. Here’s Comaford-Lynch’s list:

1. Practice “Palm Up” Networking. When you network, are you giving or grasping? Palm up networking embodies the spirit of service, of giving and wanting nothing in return. When you network “palm down,” you’re grasping for personal gain. Palm up = heart-oriented interaction. Palm down = greedy grasping. Give to others; it’ll all come back to you in time.

2. Exercise Daily Appreciation. Appreciate at least one person daily. Sometimes I do this via e-mail so I can be thorough. And often, to my delight, the recipient will tell me that they are saving the message for when they need a pick-me-up. You can also express appreciation over the phone or in person. Simply tell someone how much you appreciate who they are or what they do–whatever about them moves you. They’ll be flattered, and you’ll feel great.

3. Equalize Yourself with Others. I believe we all have one unit of worth: no more, no less. No one can add to it; no one can take it away. We’re all equal. Just because someone is powerful, rich and famous doesn’t mean they are better than you. Practice equalizing yourself with others. This will enable you to more comfortably interact with others and to reach out to people of all walks of life.

4. Rolodex Dip. This is a fun practice when you want to connect with someone but aren’t sure whom. Flip through your contact database and pick a name. Then think of all the things you like about them. Now call them up to see how they are doing. They’ll be surprised and delighted.

5. Pick a “Sensei of the Day.” Each day I pick a sensei, a teacher. This is someone or something that has taught me a lesson or reminded me of what’s important in life. Your sensei can be a person, a pet, a plant; it doesn’t matter. The important thing is to acknowledge that there is much to learn and you are being offered valuable lessons constantly.

6. Do the Drive-By Schmooze. Parties and conventions–groups of all sorts–are great opportunities to network. But sometimes you’ll be tired, not in the mood or have too many events in one evening (like during the holiday season). This is when you’ll want to use the Drive-By Schmooze. Here’s how:

a. Timebox your networking. Decide that in 30 minutes you’ll do a check-in to determine if you need to stay any longer.

b. Set your goal. Determine the number of new connections you want to establish. Remember, your goal is meaningful connections, not simply contacts.
c. Let your intuition guide you. This may sound flaky, but it works! Stand near the door, in a corner, out of the way. Stop your thoughts. Internally ask to be guided to the people you need to connect with. Then start walking. You’ll be amazed at whom you meet.
d. Connect. You’ll always resonate with someone at an event. When you do, ask questions about them, such as: How did you get started in your field? What’s your ideal customer? We all love to talk about ourselves, and these questions will not only help you form a connection with this person, but will also tell you how to help them.
e. Offer help and follow through. If you can provide help, jot down ideas on the back of their business card, commit to follow up, and then do it. If you’ve had a fruitful conversation and want to take it further, offer to meet for lunch or coffee. People say life is 90 percent about showing up. Nonsense! Life is 90 percent about following through!

For more information on Christine and her bestselling book, Rules for Renegades, please visit: www.RulesForRenegades.com.

Entrepreneurial Excellence

A good friend of mine, Frank De Raffele Jr., recently launched a radio program called “Entrepreneurial Excellence.”  I wanted to take a minute to let everybody know about it because not only is it an excellent educational resource for entrepreneurs and businesspeople alike, it is also accessible from anywhere in the world because it is broadcast online.  Even if you miss a broadcast, the shows are all archived and available to download at any time.

I listened to the show’s premier last Monday and I am very impressed with the quality of the insights presented on how to start and run a successful business. A lot of the information that Raffele is giving for free on his show wouldn’t even be given to you if you paid a bunch of money to attend classes on this stuff. 

Besides the educational forum, the show features a series of entrepreneurial tips on legal matters, tax savings, marketing, web/internet, employee benefits and human resource issues, plus interviews with some of the world’s top entrepreneurs and authors such as Zig Ziglar, Jay Conrad Levinson, Harvey Mackay and Stephen Covey. 

But forget those guys . . . the best thing is that Raffele managed to land an interview with the most exciting guy on the planet—yep, you got it, I’m talking about yours truly! All joking aside, though, Raffele has managed to assemble quite the panel of experts, and I think that gaining access to the expertise of top entrepreneurs for free and from anywhere in the world is an opportunity nobody should miss.

For more information, to listen, and/or to download past shows, go to: www.EERadioShow.com.

Customer Service Alone Won’t Ensure Referrals

This past weekend I found myself explaining BNI to the father of one of my son Trey’s friends. After I gave him the basic rundown, he said, “That sounds like a great concept. But I’m known for giving excellent customer service, so I don’t really think I need to go out of my way to get referrals.”

I wasn’t at all shocked to hear him say that because I can’t tell you how many times I’ve heard others assert that giving good customer service will guarantee that people will refer business to them. This is a common misconception, but it is not based on reality.

Many, many business owners believe that good customer service is the number-one way to cultivate word-of-mouth marketing and referrals. It’s not. It’s a good policy–one that’s vital to the health of your business–but it’s not at the core of building a referral-based business.

People have come to expect good customer service. In fact, they demand it in today’s marketplace. When considering customer service and its role in the referral process, it unfortunately works much more effectively in reverse: People are more likely to talk about your business when they’re unhappy with you than when they’re happy with your service.

So if you want to build your referrals, as I told the man I was speaking with on Saturday, you have to actively cultivate your referral sources and not rely on good customer service alone.

 

Related Posts Plugin for WordPress, Blogger...
1 20 21 22 23
   Follow Me

Get every new post delivered to your inbox