Far too often accountants have no real strategy for referrals, even though it is possibly their best resource for new business.
Quite often, some initial contacts are established and communications made. However, it is then common practice to sit back and hope something comes our way rather than being proactive with our delighted clients and network.
Put yourself in the shoes of those you are hoping to receive a referral from. Are they busy people? Do they have other things to worry about rather than your business? Is your business offering front of their mind or do they remember you when prompted, such as when they are asked if they know an accountant or bookkeeper or when you remind them?
Consider your own circumstances, in terms of those that may be expecting a referral from you. Can you remember exactly how they could help you or your contacts? Are you motivated enough to seek out referrals for them? Do you have a strong enough “What’s in it for me” that encourages your potential referral activity?
There are two initial steps to manage referrals. Who do you really want as a client to be referred to you? This could be specific names or an ideal client profile. Then, who are the most likely people to refer those clients?
For example, I was speaking with one of my mentees last week about her desire to work with startup businesses. So we explored all the type of businesses that would touch a startup business and therefore be in a position to make such a positive referral to her. From the list, she was then able to name contacts in her wider network that ran businesses such as printers, bankers, insurance brokers and web designers.
My challenge to businesses that I work with is; How can you move your relationships from the ‘nice to know’ type, those people you say hello to at every networking event, towards being an advocate that is looking out for opportunities on your behalf?
This is also perhaps where choosing the right networking group can help, as some are very focused on not only building a personal relationship, but creating the focus to move your contacts up this scale.
How can we increase our profile and be front of mind for referrals? The objective has to be on how you can get others talking about you and your reputation in a positive way. Firstly, consider how you can be supportive of others. This may be giving referrals, offering support or providing advice. Do you have opportunities to be known as the ‘go to expert’ for your services or niche area? Are you able to speak at events either by invitation or by offering yourself as an expert resource?
One activity I saw used by a firm of accountants in Oxford, was offering themselves as an expert hotline for tax advice in a specific sector. They may never have received a call, but I bet they did. However, they positioned themselves as the local experts and ran a campaign telling everyone about such expertise.
Other ways to continually raise your profile and keep yourself front of mind with your potential referrers could be a newsletter, where you are again sharing your market knowledge and expertise or perhaps by simply being seen. I don’t mean being seen sipping a glass of wine at the next event, but contributing to forums or groups on LinkedIn, releasing blogs or building your credibility via social media.
All this activity has one objective. How can you keep yourself in the mind of your referrers? If you are forgotten, even for a day, then this could be a missed opportunity for them to refer to you.
Here are my top three tips to referrals work for you:
- Communicate your ideal client profile to your referrers
- Look to use a three-step reference. For example; At ABC co, we are accountants who help clients by… and like to work with businesses in the… sector, such as… They are now aware of your expertise and how you help, but you have narrowed their thinking even to a point they can picture the specifically named business. You are now not only an accountant, but someone who can help that type of business
- Gather proof you can do it and share this, especially when it is said by others
- Testimonials, awards, case studies or success stories
- Have a compelling offer for the prospect and the referrer
- What is the real reason why you will receive a referral? One accountant once made me realise that it was not just because they liked and respected me, but because we did such a good job their work was extremely profitable
Finally, here are some proactive activities to make a difference to the level of referrals received:
- Create referral certificates/vouchers with a great value offer and circulate these to your potential referrers. Such ideas make it easy for them to recommend you
- Review your client’s customer and supplier lists. Can you identify any contacts you would like to work with and then ask for a recommendation to them? They can’t say they don’t know them
- Ask for more testimonials, as it’s felt easier than asking for a referral. Then on receipt, you can follow up with a referral request. “Thank you for the testimonial, you obviously like what we do, so do you know anyone else…”
- Establish an affiliate programme with a business who has the same type of clients and prospects. A good example right now is around auto enrolment set up with an affiliation providing advice and administration
If you only do one thing then just ask for referrals more often. However, ask for the right business and provide a reason why. As a minimum you get feedback to develop how you ask in the future.
