Question

Topic: Strategy

Partner Referral Program

Posted by aaroncagen on 10/3/2008 at 10:00 AM ET 25 Points
Any suggestions on how to establish a partner referral program?

I want to partner with vendors who serve the same segment as I do. What's the ideal way to establish and maintain relationships with mutual vendors?
To continue reading this question and the solution, sign up ... it's free!
SUBSCRIBE
Or, SIGN IN

RESPONSES

  • Posted by wnelson on 10/3/2008 at 10:20 AM Accepted
    Aaron,

    Developing a good referral program with others means first establishing rapport and then trust. This is important because no one will risk introducing you to their clients blindly. Even if you offer a reward. There's too much at stake. It also means being willing to GIVE and genuinely interested in helping the others versus making it one-sided. If the relationship is a "one way suck of energy," you will not be taken seriously.

    Dr. Ivan Misner, founder of BNI, writes a lot on word of mouth marketing and establishing a referral pipeline. Here's a recent copy of Successnet in which he writes: https://www.bni.com/successnet2005/successnet05/Oct_2008/founder.shtml

    He often writes on this for www.entrepreneur.com and has several books.

    Not everyone likes BNI - They are formal and make their local chapters follow the BNI rules. But, they have great education on how to establish that referral pipeline and the process works. Give Dr. Misner a read.

    I hope this helps.

    Wayde
  • Posted by CarolBlaha on 10/3/2008 at 10:24 AM Accepted
    You identify them and approach them one by one. You probably would only want one business per catagory, and no directly competing firms. Consider creating a lead group, and thru time, you'll weed out those who take without giving and have a vibrant group.
  • Posted on 10/3/2008 at 9:54 PM Accepted
    This is a topic I speak and coach about-- creatign Power Alliances.

    I have been working with 3 people for quite a few years. Had others on the site, but they've been fired. I also have "partners in waiting". Some make it to be on my website, others do not.

    I would say that it takes me about a year to develop a relationship with one. And that it's never over. It's a continued relationship. I email mine monthly and expect the same.

    Mine work with my ideal clients and have standards and integrity beyond belief. If they say they're going to do something and they don't they are out.
  • Posted by aaroncagen on 10/7/2008 at 2:35 PM Author
    Thanks. Any suggestions on how to approach them and develop the relationships?

    Many thanks
  • Posted by wnelson on 10/7/2008 at 5:37 PM Member
    Aaron,

    How to approach them: Identify those PEOPLE who fit the roles/industries that call on the same clients as you. Go after the "cream of the cream" - those that are most successful. Contact them and let them know that you have contacts that they may desire and they have contacts from whom you could benefit (you really have to have something to offer them, or it won't work). Suggest that the two of you should get together to learn how to work together and benefit from each other. First meeting is a "getting to know each other" meeting only. It may take more than one. Then, propose a meeting where you work on a strategy to exchange referrals and how to do that. That meeting would concentrate on "who" and how you make the introduction to each other. Remember: You have to be willing and able to "give" as well as receive for this to work.

    Do this multiple times over - making sure you don't include too many competing individuals or you will have divided loyalties with respect to helping others. The key to success is your genuine desire to help others to succeed. It doesn't work if you go in with an attitude to "take" only.

    Keep in mind that building a referral network takes time because you have to build rapport first and then trust. It could take you 8 - 10 months to see returns. Of course, the referral network also has longevity - it will bear fruit 8 - 10 months after you stop working it as well. In other words, establishing it takes more effort than maintaining it (like landing new clients is harder than maintaining existing clients). Thus, patience is required. It's an investment in the future, not something that you can do for "immediate rewards."

    Wayde
  • Posted by CarolBlaha on 10/7/2008 at 9:08 PM Member
    You just simply identify and call them. They are in the same boat as you are-- looking for "warm" leads. When I have done this, identify the ground rules. There are leads where you can say "x told me to call" and those you cannot. Remember you are as much value to them as they are to you. You are all on equal ground. If they aren't hungry or give you "tude" they will not be partners for you. They are takers only. You need givers - give and you will get back. If they just want to take, they are not partners.
BACK TO TOP

Post a Comment

Related Discussions

Community Info

Top 25 Experts
(Strategy)