As a coach, you know how valuable referrals are for your business. They can help you attract more clients, increase your credibility, and grow your network. But how can you build a referral network that works for you and your niche? Here are some tips to help you get started.
Before you ask for referrals, you need to know who you want to work with. Think about your target market, your niche, and your value proposition. What are the problems, goals, and challenges of your ideal clients? What are the benefits and outcomes of your coaching services? How do you differentiate yourself from other coaches in your field? Having a clear profile of your ideal clients will help you communicate your value and attract the right referrals.
The client-coach relationship is a two-way street. You have attributes in the client that you will accept, of which you have direct control and final say. The client has attributes in the coach that they will accept, of which they have the final say. Where those two overlap is where you have agreement and acceptance. It is ultimately your choice for how specific you want to be in your circle and ensuring the overlap -- where coach and client agree -- can sustain your business.
Your ideal client is already looking for you. They have already decided to pay to solve the problem. They are already talking to others about the problem. What they need to see and hear from you isn't how you are better or best, but how you are different. The secret is to show vs tell. - Be a generous human - Listen in the market - Share insight - Show proof - Invite
One of the most effective ways to build a referral network is to ask for referrals consistently. Don't be shy or wait for your clients to offer them. Instead, make it a habit to ask for referrals at every stage of your coaching relationship. For example, you can ask for referrals when you sign a new client, when you deliver a great session, when you receive positive feedback, or when you complete a coaching program. You can also ask for referrals from your past clients, your colleagues, your friends, and your family. The key is to ask politely, clearly, and confidently.
Referrals are a great source for your funnel, but make sure it feels like you are asking for something other than a sale or lead. If, during a great conversation the person mentions someone who might benefit from your coaching or you know they know the person you want -- especially if it would inherently benefit the person you are talking to -- ask for an introduction, but I encourage you not to use the word "referral."
How about approaching this differently: Don't ask for referrals, ask for an introduction. Make a list of 20 people who have your audience. Figure out the win/win/win without competing. Offer something special for their people. Make them look great. Overdeliver.
Create a system where you ask for referrals at the height of your working relationship (ie: after you've just delivered a project, hit a milestone, provided positive analytics). Be sure to continue the referral ask on a regular basis (ie: once a quarter) because people are busy and can often forget, or they may not know someone the first time you ask but someone might come up the second time you ask.
Another way to build a referral network is to provide value and incentives to your referrers. Value can be anything that helps your referrers solve a problem, achieve a goal, or learn something new. For example, you can offer a free consultation, a discount, a bonus, a resource, or a tip. Incentives can be anything that rewards your referrers for their efforts, such as a commission, a gift card, a testimonial, or a referral back. The important thing is to make your referrers feel appreciated and motivated.
Never be afraid to give free advice or to offer free workshops. Sharing your knowledge is one way to give back to the community, but it also signals that there is far more valuable content that you can offer that is of high or even higher quality than you just shared, assuming what you just gave is also high quality. This also shows that you are passionate and knowledgeable, as opposed to selling overpriced snake oil. Having satisfied clients who give testimonials builds credibility and shows prospects that your offer is the real deal. Incentives do not have to be monetary. For example, if you have a Client A, who has a Client B, and helping B will make them a better client to A, then you have shown value in providing the referral.
Something to consider: What makes something valuable is when it helps the person and it gives them something to share with others. Use that perspective as your guide.
Referral or word of mouth works really well for service based entrepreneurs. It’s like a true marketing. It’s never a bad idea to provide free value to people, having said that don’t let this become a habit too. There needs to be a balance, little that you know you will never be able to actually monetise your referral network. So balance my friend is the key.
Building a referral network is not a one-time event. It's an ongoing process that requires nurturing your relationships with your referrers. You need to stay in touch with them, follow up with them, and thank them for their referrals. You also need to keep them updated on your services, your results, and your availability. You can use various tools and channels to nurture your relationships, such as email, phone, social media, newsletters, or events. The goal is to maintain trust, rapport, and loyalty.
Finally, you need to track and measure your results from your referral network. You need to know how many referrals you get, how many of them become clients, how much revenue they generate, and how satisfied they are with your coaching. You also need to know which referrers are the most active, the most influential, and the most profitable. Tracking and measuring your results will help you evaluate your referral strategy, identify your strengths and weaknesses, and improve your performance.
Tracking how you receive clients allows you to understand what strategies and methods work best for your business. It allows you to spend your money and time improving those areas or less on areas that do not yield the desired results. Each method has a cost to it usually in the form of time and money, but if you spend far more than you are taking in from a particular method, you need to reevaluate it.