Avoid tired referral tactics

I was really disappointed to see the following recommendation in a recent newsletter from JustSell:

Here are 3 simple ways to ask for the referral (remember, requesting a referral can happen anywhere throughout the sales process)…

FIRSTNAME, who do you know that might find PRODUCT/ SERVICE valuable?

FIRSTNAME, who else are you working with that might benefit from PRODUCT/ SERVICE?

FIRSTNAME, do you have any FRIENDS/ COLLEAGUES/ ASSOCIATES/ CLIENTS that might be interested in PRODUCT/ SERVICE? Do you have a number where I should contact them?

In our experience, the "who do you know who might benefit" approach just doesn't work.  If you get any referrals this way, chances are very slim they will be worth your while. People don't define their networks based on who might be interested in a particular product or service, any more than they define themselves that way (which is why effective selling starts with a discussion of client needs, not product features).   

Think about it.  Clients don't write things like "might be interested in college planning" next to their friends' names in their address books.  Instead, we can say to a client, "If you have friends or co-workers with young children who have mentioned they're concerned about paying for college, I might be able to help them like I've helped you." This approach immediately narrows the field and makes it easier for the client to relate to the request in a more natural way (because people DO categorize their networks in terms like "people with young children" and "people with whom I share a specific interest or concern or challenge.")

To be even more effective, clue in to things your clients tell you about their lives, and use that information to gain referrals.  If you discover that your client is on the development committee at her kids' private school, for example, you may be in a great position to suggest that perhaps the school would be interested in putting on an evening program about college planning.  That's not the kind of thing the average client thinks up on her own when you use the old "who do you know who might be interested in..." spiel.

So don't waste your time with tired, worn-out referral tactics.  Learn why, when it comes to referrals, the trick is in how you ask (free registration required).