Turning Customers into Salespeople



Connect the dots and turn customers
into salespeople and more revenue.

 I read an Entrepeneur.com article about how three small businesses use referrals to generate business and wanted to expand on the idea. 

A customer referral is still one of the shortest and least expensive ways to acquire new business.  The trick is to use customer service as a way to generate customer sales. 

1-  Ask. The number one sales strategy.  Funny thing is that it works for B2B and B2C.

Really.  Just ask.  It's that simple and the hardest thing for most people to remember to do.   Timing is important here.  The best time to ask for a referral is (drumroll, please) every customer communication. 

Own a retail operation?  At sales transaction check out say, "Thank you.  Please tell your friends about us."  (Or your niche, your weekly special, etc.)  Put a few brochures, sales sheets or personalized business cards in the bag.

Own a service business like electric or plumbing?  When collecting payment for services give the customer a couple of business cards (or brochures, or give-aways), and say, "Thank you.  Tell your friends about me."

Represent a business products or services company?  Before you leave a customer review meeting ask your contact if they know anyone else who might be interested in hearing what your company can do for theirs.

This works with new business meetings, too. 

2-  Reward.  This is a tough one for most business owners to wrap their heads around.  It is an ROI question, and comes down to having a marketing and advertising budget and at least a little understanding of your customer's lifetime value to your business and quantifying the cost of the sale.  Once you have this information you are in a position to offer discounts on services for referrals. 

Offer discounts just for the referral- to the customer, to the person referred, or to both.
Offer an unusual branded gift of value; something not necessarily directly related to your business but useful and unique.  Some ideas include tote or travel bags for business and pleasure, wrist watches, mp-type players, digital still and video cameras, cellphone and smartphone protectors, usb drives. 

3-  Just say thanks.  The electronic age has turned the "thank you for your business" into just more white noise.  I am not suggesting you stop saying thank you in e-mail, on your website, in your autoresponders and shopping cart check out.  I am suggesting that you find a way to find the time to deliver a phone call "thank you" and send a card.  Not a pre-printed letter, a hand-written note.  A pre-printed note is okay, and certainly better than nothing, but a handwritten note on stationary says volumes about how you treat your customers.

Read how three small businesses put these practices to work here:  Put Your Customers to Work for You - Entrepreneur.com

Be the Hero,
Mark