Referrals play a crucial role in sales success, as indicated by Tom Hopkins. Achieving one referral per sale places a seller in the top half, while two or more referrals place them in the top 20%. Referrals are considered prime prospects due to established credibility.
In a leads-driven business, advertising is vital, but referrals are often overlooked. Successful businesses use referral programs, offering incentives like rebates or discounts.
To generate referrals for a closet system business:
- Ask for referrals immediately after installation, leveraging the customer’s satisfaction.
- Be specific when asking, prompting with categories like neighborhood, work connections, or family.
- Utilize good service to gather referrals through post-installation surveys.
- Direct designers to call recent customers for referrals.
- Create a satisfied customer list for credibility in presentations.
- Express gratitude to customers and ask for referrals in notes.
- Reward customers who refer new business with gifts.
- Boost sales by leaving door hangers with contact details on neighboring homes after installations.
These strategies aim to maximize the potential of satisfied customers and enhance the effectiveness of a referral program in the sales process.
