Benefits of Business Networking

Proper business networking has the potential to help you in a range of ways. You can improve the way your business works by learning from others, and you can gain new clients and referrals. Networking is more than merely a good idea today; it is essential. The following are some of the biggest benefits that you and your business will get when you start to network.

Increased Business and Referrals

Naturally, this is one of the biggest and most tangible benefits of business networking. It is also the reason that most people decide to pursue networking in the first place. When you network, it has the potential to help you increase the business that you have through direct connection with other individuals and businesses, as well as through the referrals they can provide to you. Though this is one of the biggest advantages, but you will find some other benefits to networking.

Make New and Interesting Connections

When you are out there and meeting other people in various businesses, it presents you with new opportunities. You can find ways to market and cross promote with companies that you might not have considered before. You can find new opportunities, too, such as partnerships, speaking engagements, asset sales, and countless other potential benefits. Consider your business goals and try to find new opportunities out there that could help you to reach them.

Networking will also offer you some great connections with those that can help you out down the road when you need them. The people you connect with now could become very influential later. Networking with the right people can provide you with some great benefits now and in the future.

Advice from Peers

Having other people that you network with who are running their own businesses, marketing, or taking care of other business-related tasks can be beneficial as well. Together, you will have a wealth of knowledge that you can share with one another. You can get advice from someone who is fantastic at marketing, for example. You could give them advice on how to improve the workflow in their production line.

Help Others

Keep in mind that when you are networking, you are not only reaping the benefits that it can offer. You are also offering your advice and help to those who need it. In order for networking to work, everything needs to be reciprocal.

More Confidence

You will find that your confidence starts to increase the more you network, as well. Even though you might own a business, you might not be confident about networking when you first start. The more you do it though, the more skilled you will become and the more your confidence will soar and you will find that you become better at networking.

Business networking is one of the best ways for your business to grow and for you to become a better businessperson. As you can see, it offers you some fantastic benefits, so be sure to get started sooner rather than later.

10 Questions for a Networking Referral Power Team

A power team is a group people of complementary professions. They work with the same clients, but do not take business away from each other. Great examples of these are easily found in the real estate and wedding industries. A realtor, mortgage broker, building inspector, title agency, and a real estate attorney all service clients looking to purchase property. A wedding planner, photographer, and florist are among the many professions that cater to the bride-to-be. If these professions form a power team, when one person in the team gets business, he or she can refer the client to every other member in the team.

Read More: Entrepreneur 

Business Networking & Referral Relationships

Business Networking and building reciprocal referral relationships with others is hands down one of the fastest and most inexpensive ways to build your business. Fewer than 10% of people do it right. I wanted to share some tips on building a business network that is reciprocal and mutually beneficial, but also maintaining that network, and growing it successfully. I’ve broken it down into 6 steps.

  1. Seek complimentary service providers to your industry – but don’t assume.
  2. Ensure a like mindedness.
  3. Set out expectations and discuss goals.
  4. Monitor and track the business you exchange.
  5. Measure the results.
  6. Check yourself!

1. The easiest way to start off building your own personal referral network is to seek complimentary service providers to your industry.. As an example – if you work in web design, it might be prudent to try to meet someone who works in printing, graphic design, public relations, or advertising. If you work in real estate, maybe meeting a mortgage specialist, a home inspector, or a general contractor might be a good idea. A complimentary businesses to business network is more likely to mutually refer – however, assuming that just because you work in the same realm referrals will be flying between you is naive. The act of referring and exchanging leads is an attitude, and it isn’t guaranteed just because the business networking potential between two people is so high. There are just as many successful business networks made up of professionals in unrelated industries as there are in related ones.

2. Make sure you’re on the same page! Ensuring a like mindedness includes meeting someone who genuinely wants to be in a referral relationship as much as you do and is prepared to invest their time and energy into building it in the same way you are. Ask questions about your potential network partner’s business and their experience with previous referral relationships they may have been in. Try to get a gauge of their level of seriousness with business exchange. Determine if you have the same approach to looking for opportunities for your referral partners. Sensing whether someone’s interest is fleeting and short term is easy. You want people looking to establish long term relationships. Talking and doing is two separate things. More often than not, people will talk. Try to deal with business networking doers.

3. Put it all out on the table, speak frankly, and discuss your mutual expectations and goals. Do you have a sales target for your fiscal year that you want your referral relationship to help you hit? Articulate it. Do you expect a certain number of referrals? Let it be known. Are you looking for a certain kind of client? Say so.

4. I had the opportunity to speak with a Michael Hughes from Networking For Results recently, and something he said really resonated with me. Following through on the referrals and leads exchanged in a referral relationship is critically important. This is what builds trust. Many people put so much time into building these relationships that they let the actual business get away from them when they’re finally getting the referrals. You’re failing the big picture if you’ve successfully achieved steps 1-3, but then blow even one referral opportunity.  Never put yourself in a situation where you’ve forgotten to call a referral, let it drop off, or managed it poorly.

5. Measuring the results of the business you exchange with your referral partners is important. How many of the leads are you closing? What’s your batting average? What’s the typical transaction value if it’s successful from certain partners? Are your partners qualifying the referrals properly? Analyze and tweak how you can mutually be enhancing your relationships.

6. Make sure you’re doing everything you said you’d do, and that your attitude towards your network is consistent and in line with a genuinely reciprocal approach. If you’re not doing what you expect, change the behavior fast.

What Are the Benefits of Referral Marketing

In the last few years, many business professionals have realized the importance of networking and referrals. It’s worth mentioning that the tremendous power of referral marketing can be used by all kinds of entrepreneurs and business organizations. Both online and offline business can use professional referrals to generate more leads and increase sales. When it comes to professional networking, referrals seem to be the best choice. When a professional doctor or legal expert refers your practice to a customer, it makes sure the customer is more inclined to contact your business.

Bad practices in various industries have brought infamy to the term ‘referrals’. These days, the term generates thoughts about annoying and pesky emails or friends and relatives trying to recruit new people to use a service or product. However, when referral marketing is properly executed, it leads to better business and customer loyalty. Moreover, professional referrals are different from online referral marketing practices. In the former, a professional refers your business to another customer who might be interested in a similar service. For instance, a doctor may refer a pharmacist to a patient.

In simple terms, referral marketing makes use of word-of-mouth advertising, which is a very effective method of promotion and advertising. It’s important to understand that professional networking is a simple process. When a trusted professional refers your business to a customer, it builds more trust and respect in the mind of the customer for your business. This has a major impact on your conversion rate.

Key Benefits of Referral Marketing

It’s important to understand that professional referrals can reduce your sales cycle and sales expenses. With referrals, you don’t have to spend a lot of time calling disinterested and cold prospects. This way, your business can focus on interested customers and their influences.

Referral marketing can build a lot of satisfied customers. In fact, the cycle self perpetuates with satisfied customers referring your business to other interested customers. Thus, the process starts from professionals referring your business to customers, but continues with satisfied customers bringing in more leads. Professional networking via referral marketing can also increase your sales revenue.

In recent years, many business coaches and trainers have emphasized the importance of referral systems. According to most professionals, the closing ration for non-referred leads is just 10 percent as compared to 60% with referred leads.

There’s no doubt that networking via professional referrals allows you to save a lot of money on advertising. This is one of the most important benefits for business organizations. You should use the referral system wisely to establish a huge network, effective business to business interactions and customer loyalty.

Proper communication can benefit all the parties involved. You should set aside a marketing budget to kick start your efforts, including costs of discounts, freebies and many other incentives to encourage your customers to refer the products and services. When a professional refers a customer to your business, it’s better to return back the favor. This allows you to build rapport with other professionals in your industry and get more leads in future.