A referral partnership is formed with the prime purpose of getting more referrals.
So why do some of these partnerships fail? Here are some reasons.
Failure to keep partners informed about status of referrals
In order to manage lead volume and quality, it’s important that every customer, prospect, and sales rep enrolled in the referral program is kept in the loop regarding the status of their referrals and any incentives tied to them. When referrals are made and disappear into a “black hole,” engagement plummets, operational costs of managing escalations increase precipitously, and the program loses credibility.
Failure to keep and maintain an effective system of referrals
A referral program must be well strategised, tested and continually optimised to ensure peak performance. Therefore, when you have a program in place, you must ensure that all people concerned are aware of the system that must be utilised. A good set of rules, clear objectives, a common goal and follow-up and measurement of results.. Failure to have these in place results to system breakdown – thus, failure of a referral partnership.
Lack of communication across all parties
In any partnership, there must be clear communication. Actually, it is impossible for any system to work well when communication is inexistent. Constant keeping in touch, updates and problem-solving or analysis of what areas need extra work on – all of these can be straightened out with communication.
Taking and not giving
It doesn’t matter if you are building relationships online or in person. The most successful referral partners apply the deposit strategy. They are focused on making a deposit in a prospect or referral partners’ “relationship” account. It might simply be by sending an article of interest to a person. Or sending a link or video with content that is relevant to your target.
Givers are also great at connecting people. They pay attention to who needs what and when. Then, they take time to introduce clients and colleagues to each other. Givers want to do something for you before they expect anything in return.
Failure to answer a need
Referrals are most effective when they are the result of a current need of the prospective client. After all, what is there to answer if there is no demand? It is always prime that people in a referral system make sure that they are informed, and are responding to what customers are searching for.