"Burn the Boats" to Achieve Referral Success

I recently saw a blog post by John Jantsch of Duct Tape Marketing that takes one minute to read, but can literally transform your business and even your life.

Here's the core of it (click here to read the rest):

Sometimes knowing and doing have a hard time intersecting. I learned years ago one of the best ways to get something done is to give myself no choice.

There is a fable that tells about a captain coming ashore to conquer a new land and finding his forces outnumbered 10-1. Seeing this a sergeant asked what they should do, to which the captain replied, "burn the boats."

For example, he says, if you want to do more public speaking, get yourself booked for a speech.  If you want to get in shape, enter an upcoming 10K.

So what are some referral-related "boats" you can burn?  Here are a few ideas:

• Schedule a referral event and start getting the invitations ready.
• Book an evening at an exclusive restaurant for a client advisory board meeting.  Then, you can actually set up the client advisory board (free registration required)!
• Make 5 lunch reservations for two over the next 30 days.  Now find top clients to fill those slots, and then figure out who they know so you can ask for introductions over lunch.
• Really want to challenge yourself?  Make those reservations for three. Now you need to ask the clients to invite the people you want to meet.
• Get up from your desk right now, walk into your branch manager's office, and tell him or her that you are going to commit to getting at least 2 referrals per month, starting this month. (Don't have a manager? Call a mentor or close friend whose opinion of you matters, and commit to that person.)
• Book a lovely vacation for yourself and your spouse for a year from now, with a nonrefundable deposit. This will be your reward for meeting your referral goals and increasing your production.  If you don't meet the goals, you're going to eat the deposit!

As Jantsch writes, it's funny how your priorities can change when you have no choice. Stop choosing NOT to get referrals. Instead, choose success—even if you have to force it on yourself.

An Attitude of Gratitude

Believe it or not, there is actually something more important in the followup process than converting referrals into clients. It’s making your referral sources feel glad that they sent some potential business your way.

If you’re a gardener, this analogy will resonate. In the grand scheme of things, it’s neither here nor there if one of your tomato plants doesn’t bear fruit one season—what’s really important is that you keep the soil healthy and fertile so it can produce more plants for you next year. And to do that,
you’ve got to feed it, pamper it, and protect it.

Here’s a surefire process for making sure your referral sources feel appreciated and well cared for. Upon getting a referral:

1. Thank the referral source. Sending a thank-you note (free registration required) is compulsory, even when a referral doesn’t pan out. Do it immediately upon receiving the referral, and handwrite it on nice stationery or a notecard. Promise to keep the source posted on your progress with the person he’s recommended, if you feel comfortable about doing so. Taking time to acknowledge a referral source’s help and express your gratitude is not only common courtesy, it also positions you well for getting more referrals down the road.
2. Act quickly to contact referrals. Whether you prefer lunch meetings, phone calls, e-mails, or regular mail, it is important to make contact with referrals right away, so that you demonstrate respect for your referral source’s willingness to share information with you.
3. Provide updates. Don’t assume that prospects will report back to referral sources that you’ve contacted them (although you should always treat prospects as though that were a certainty). It’s very helpful to keep referral sources—especially current clients—up to date with your progress on the referred lead, whether the news is good, bad, or neutral. When referral sources know you are actually acting on the leads they’ve already given you, they’ll be more likely to give you more.
4. Say thank you again. When you actually sign up a referral as a client, express your gratitude with a nice gift. Choose something appropriate that shows you know the referral source and his or her interests; the more personal, the better.

Studies show that these tokens of appreciation nearly double the rate of repeat referrals—and considering the lifetime value of a new client that you're able to sign up thanks to the generosity of your referral sources, it’s just the right thing to do.