Last updateWed, 01 Jul 2020 1pm

Sales Growth Expert: The Worst Bad Jewelry Business Assumption...

Assuming word of mouth advertising is the best form of marketing

Answer this question: Have you purchased an item or service in the past week or month that you were perfectly satisfied with?  Perfectly satisfied with the product and/or the business you made the purchase from?  Sure you have.

Now answer this question:  To how many of your friends, family and associates have you referred the businesses with which you were satisfied?  Most of us will answer, “None.” Or “Not many.”  And that does not make us bad people.  We do not have the time to go around referring businesses to our friends, family and associates.  And we do not think about doing it.  That is the same thing that is happening to you every day.  Your very satisfied customers are not referring you to others.

The best form of marketing is - Referral Marketing, but you have to be aggressive to make it work.

And by aggressive I mean... To gain a referral all you have to do is ask for it!

I simply ask my satisfied customer, “Mr. Customer, you know I gain most of my customers from my satisfied customer like you referring me to their family, friends and colleagues.  WHO DO YOU KNOW that I can also help with their fine jewelry and services needs?”

To make my request more effective I use the choice technique:

“Mr. Customer, you know I gain most of my customers from my satisfied customer like you referring me to their family, friends and colleagues.  Who do you know that I can also help with their fine jewelry and service needs?”  Pause for a few seconds and then ask, “Do you want to give me 2 or 3 referrals now or would you rather I telephone you for them tomorrow?”

When you give people choices your success increases because people feel in control and people will do what you want when they feel in control.

I also offer my satisfied customers gifts for giving me referrals and introducing me to new prospects. And the best gift I give them is a discount coupon for their next jewelry purchase.

There are three types of referrals:

Type “A” – Personal Introduction Referral. The very best. Go for a direct, face-to-face introduction as often as possible. This is where your customer personally introduces you to the prospect.  This might be done over lunch or at a social gathering, or better yet, in a business atmosphere.  You may have to buy a few lunches, but it is well worth it.  The prospect’s office is best because it gives the prospect the feeling of control, and people are much more receptive when they feel they are in control. This type of referral works best because the prospect gains much more respect for you since the person giving the referral is spending time, going out of their way to introduce you.

To gain this type of introduction all you have to do is ask for it.  Don’t be bashful. Come right out and say something like this, “Jim, it would be great if you would have time for me to buy you and Mr. Doe lunch this week or next week.  Which day will work best for you?”  Then ask your customer if he feels it would be best for him to telephone Mr. Doe and set up the lunch or if you should do it.

Type “B” – Telephone Referral. Not as great as a personal face-to-face introduction, but still mighty powerful.  Again, the same system works.  Ask your satisfied customer to telephone the prospects he is referring you to.  If you have a great relationship with him and have provided him with great products and services that helped him solve his needs, problems and wants then be bold, just ask him.  “Jim, thanks for these 3 referrals.  Would you be able to telephone them today, while I am here, or would tomorrow work better for you?”

Type “C” - Written Referral. The Type “C” Referral is when your customer or contact writes a personal letter of introduction and endorsement for you to the prospect. Type “C” rates a notch lower than the Type “B” referral, but it’s still an outstanding way to be referred.  After all, if someone is going to take the time to write a letter about you, they must feel that you and your product or service has performed admirably.

Don’t let the referral run out of gas. You can use the referral over and over again with the same prospect.  Most of the time you will not get an appointment or get the prospect to come to meet you the first time. When you contact the prospect a second, third and fourth time, always mention the referring satisfied customer, and how they are continuing to benefit from doing business with you.

Don’t forget to thank the referring satisfied customer. If they gave you referrals once, they will give you referrals again - but only if you continue your relationship with them.  Of course you have already sent them a thank you note. (Make it a true thank you note.  Just thank them.  Never use it as a solicitation.) Stay at the forefront of their mind by continuing to provide them with information and items that will help them in their business or personal life.

Don’t assume your customers will refer you to others.  They don’t without you aggressively asking.

Bob Janet - Sales consultant/trainer, speaker, author of “Join The Profit Club” combines 40 plus years as owner/operator of professional, retail, manufacturing and service businesses with his unique teaching and storytelling ability to motivate, educate and inspire business professionals of all levels and all industries for increased sales & profits. Contact Bob at 704-882-6100, or e-mail This email address is being protected from spambots. You need JavaScript enabled to view it..