giving referrals Archives - Dr. Ivan Misner®

15Oct2018

How long does it take for people to receive referrals from their network?string(73) "How long does it take for people to receive referrals from their network?"

October 15, 2018

business referrals, friendship, giving referrals, receive, Referrals Entrepreneur, Networking Prep, Referrals, Relationships 1

From my experience, strong referral relationships are a lot like building close personal friendships. It takes time for people to become close enough to receive referrals from their network. Facebook has redefined what a “friend” is, but I’m talking about truly close friendships with people. In a study published in 2018 by the Journal of Social and Personal Relationships, it was found that it takes about 50 hours of interaction to move from being an acquaintance to becoming a “casual friend.” It takes a total of 90 hours to be become “real friends,” and a total of 200 hours to become “close friends.” According to the study, “friendship status was examined as a function of hours together, shared activities and everyday talk.”

So, how long does it take for people to build a close relationship where they trust you enough to give you regular referrals?

So, you want referrals and you want them now? Well, you can’t have them. Unless you’ve built meaningful relationships with your referral partners first. Well, it takes somewhere between 90 and 200 hours for people to receive referrals from their network.

I know that 90 – 200 hours sounds like a lot but that matches up almost perfectly with what I’ve seen in BNI. When BNI members hit the 90-hour mark of participation they almost always begin receiving more and more referrals. Based on an independent study published in 2012 for BNI, when those same individuals cross the 200-hour mark, they generate an average of over five times the number of referrals they did in their first year! Yes, you read that right: more than 500% more referrals when they have built strong friendships with their referral partners.

The Steps You Should Take If You Want to Build Business Off Referrals

Ask yourself the following four questions until you have attained success and the answers become obvious.

2. Am I regularly making stimulating, educational presentations to my fellow networkers about the value I provide to my clients?

3. Am I doing business with others in my network so I can give them dynamic testimonials and steer business to them in hopes they will return the favor?

4. Am I meeting regularly with my networking colleagues to learn about their businesses so I can confidently refer my contacts to them?

If you’re following these simple tactics, then you are well along the road to getting all the referrals from others’ networks that you deserve. Building a referral-based business is all about building a powerful, personal network. If your network is a mile wide and an inch deep, you will never get the kind of referrals that will make a difference for your business. This means that you have to go deep in building a number of strong relationships.

The best way to speed up the process is to actually spend time in the process of developing relationships with the people you are networking with. Networking truly is more about farming than it is about hunting. It is about building relationships and friendships with other business professionals. Remember, it takes time to build friendships.

1Oct2012

The Ten Commandments of Working a Networking Mixerstring(50) "The Ten Commandments of Working a Networking Mixer"

A couple of weeks ago, I posted a video blog about the Third Commandment of Working a Networking Mixer–Act Like a Host, Not a Guest (Click here to view that video blog). I promised in that post that I would provide more information on the Ten Commandments of Working a Networking Mixer today, so below is an explanation of each of the Commandments which will help you feel more comfortable at networking mixers and events.

Have the Tools to Network with You at All Times. These include an informative name badge, business cards, brochures about your business, and a pocket-sized business card file containing cards of other professionals to whom you can refer new business.
Set a Goal for the Number of People You’ll Meet. Identify a reachable goal based on attendance and the type of group. If you feel inspired, set a goal to meet 15-20 people and make sure you get all their cards. If you don’t feel so hot, shoot for less. In either case, don’t leave until you’ve met your goal.
Act Like a Host, Not a Guest. A host is expected to do things for others, while a guest sits back and relaxes. Volunteer to help greet people. If you see visitors sitting, introduce yourself and ask if they would like to meet others. Act as a conduit.
Listen and Ask Questions. Remember that a good networker has two ears and one mouth and uses them proportionately. After you’ve learned what another person does, tell them what you do. Be specific but brief. Don’t assume they know your business.
Don’t Try to Close a Deal. These events are not meant to be a vehicle to hit on businesspeople to buy your products or services. Networking is about developing relationships with other professionals. Meeting people at events should be the beginning of that process, not the end of it.
Give Referrals Whenever Possible. The best networkers believe in the Givers Gain® philosophy (what goes around comes around). If I help you, you’ll help me, and we’ll both do better as a result of it. In other words, if you don’t genuinely attempt to help the people you meet, then you are not networking effectively. If you can’t give someone a bona fide referral, try to offer some information that might be of interest to them (such as details about an upcoming event).
Exchange Business Cards. Ask each person you meet for two cards–one to pass on to someone else and one to keep. This sets the stage for networking to happen.
Manage Your Time Efficiently. Spend 10 minutes or less with each person you meet, and don’t linger with friends or associates. If your goal is to meet a given number of people, be careful not to spend too much time with any one person. When you meet someone interesting with whom you’d like to speak further, set up an appointment for a later date.
Write Notes on the Backs of Business Cards You Collect. Record anything you think may be useful in remembering each person more clearly. This will come in handy when you follow up on each contact.
Follow up! You can obey the previous nine commandments religiously, but if you don’t follow up effectively, you will have wasted your time. Drop a note or give a call to each person you’ve met. Be sure to fulfill any promises you’ve made.

If you tend to get nervous about attending business networking functions, use the Ten Commandments outlined above to help you network your way through your next event and I guarantee you they will help you feel more comfortable and you will get more effective results for your networking efforts.

24May2010

Whoopee in the Cornfieldsstring(25) "Whoopee in the Cornfields"

Here’s the thing with networking: If you want to get more business, you have to be willing to give business to other businesspeople. That’s why I founded my networking organization, BNI, on the central, guiding philosophy of giving benefit to others–Givers Gain®. It’s an ethical theme that is common to all religions, all cultures: Treat others the way you want to be treated. If you want to get referrals, do the best job you can of giving referrals to others.

I’d like to share with you a story that I originally heard from one of my BNI directors, Art Radtke, which will help you remember this concept. It was originally called “Sex in the Cornfields,” but I figured “Whoopee in the Cornfields” would be a more decorous title. 😉

Whoopee in the Cornfields

A farmer in Nebraska won the state fair four times in a row with his corn. Nobody had ever done that before, so the paper sent someone out to interview him.

The reporter asked, “What is your secret? Do you use special corn seed?”

The farmer said, “Absolutely. I develop my own corn seed, and that’s an important aspect of it.”

“Well, then, that’s your secret,” said the reporter. “You plant a type of corn that’s different from your neighbors.”

“No, I also give it to my neighbors,” said the farmer.

“You give it to your neighbors?” asked the incredulous reporter. “Why in the world would you give your award-winning corn to your neighbors?”

“The farmer said, “Well, you’ve got to understand how corn is pollinated. It’s pollinated from neighboring fields. And if you’ve got fields around you that don’t have this top-quality corn, your field is not going to grow top-quality corn either. But if my neighbor’s field has this really strong corn, I have awesome corn. And that’s how I’ve won at the Nebraska State Fair the last four years in a row.”

This story is a great metaphor for how networking works. Put simply, if you’re going to be an effective networker, you need to go into networking with a commitment to helping other people because that is how you’ll be helped in return.

10May2010

What You Need to Know about the Law of Reciprocitystring(50) "What You Need to Know about the Law of Reciprocity"

May 10, 2010

Ivan Misner

getting referrals, givers gain, Giving, giving and receiving, giving referrals, growing business, Law of Reciprocity, reciprocity, relationship networking Connections, Emotional Intelligence, Giving, Networking, Networking Prep, Referrals, Self Development, Social Capital, Word of Mouth 9

The term reciprocity is at the center of relationship networking, but it is often misunderstood. Webster’s dictionary defines reciprocity as “a mutual or cooperative interchange of favors or privileges,” as when actions taken for the benefit of others are returned in kind. This leads many inexperienced networkers to expect an immediate return for any actions they take on behalf of another. Givers gain, right? Wrong.

Not every act of giving will be immediately rewarded by the recipient, and if you go into relationship networking thinking that simply giving a referral is enough to get you a referral in return, you’re confusing a relationship with a transaction. On the contrary, the idea driving Givers Gain® is actually the principle of giving without the expectation of an immediate return. In networking, this idea is called the law of reciprocity ,and the law of reciprocity differs from the standard notion of reciprocity in that the giver cannot, should not and does not expect an immediate return on her investment in another person’s gain. The only thing she can be sure of is that, given enough effort and time, her generosity will be returned by family, friends, colleagues and others–many times over and in many different ways.

Put simply, the law of reciprocity in networking means that by providing benefits (including referrals) to others, you will be creating strong networking relationships that will eventually bring benefits (especially referrals) to you, often in a very roundabout way rather than directly from the person you benefit. This makes the law of reciprocity an enormously powerful tool for growing your own business’s size and profitability.

I know a lot of experienced networkers who have amazing stories about how the law of reciprocity has proved to them that there’s far more business to be gained by referring business to others than you might at first expect. If you have a story you’d like to share, I’d love to hear it, so leave a comment. Also, be sure to check back on Thursday for some tips on what to keep in mind as your learn to use the law of reciprocity.