Referral Marketing Training Company | Referral Institute

By Mike Macedonio
President, Referral Institute

Compare a lead that you receive from an advertisement with a similar lead (that is, referral) that you get from someone you know.

The referred lead is easier to close and costs less to obtain. Often, the referral provides a higher-quality client or customer with less chance of misunderstanding or disappointment.

When we asked business owners why referral business is better than the business they get from ads they have placed, they say the referred business—

• is easier to close

• will generate on average five times more revenue in the first year
has the lowest acquisition cost

• is more likely to refer other clients

• has far fewer objections

• has a stronger sense of loyalty

• remains a client longer

—and most important of all—

• has a higher sense of trust

This last point is particularly important. Relying on the advice of a mutual friend or acquaintance, the referral starts with a higher level of trust for you and your product or service.

Getting dozens of people to send such referrals your way every day is what building a successful referral-based business is all about.

Excerpt from The World’s Best Known Marketing Secret, Building Your Business by Referral, 4th ed..

Mike Macedonio is a Partner & President of the Referral Institute. Since 2001, he’s seen the Institute transform from a handful of professional trainers collaborating and working together, to a top franchise organization. Mike has played an instrumental role in the organization’s growth, and was responsible for spearheading the acquisition of 40 new franchises in 8 countries, which he accomplished in only 2 years! Mike Macedonio is the Co-Author of the New York Times best selling book Truth or Delusion, Busting Networking’s Biggest Myths, as well as the fourth edition of The World’s Best Known Marketing Secret, Building Your Business by Referral.

By Tom Flemming
Director of Training
Referral Institute Tampa, FL

A lot of people call me and tell me, “Tom, I’m not getting all of referrals I feel I deserve.”

The first question I ask them is, “Have you been asking for referrals?”

When they think about it, they are a little perplexed. So I suggest to them that every morning when they wake up, put ten pennies in their left pocket.

And each time through the day, as you ask a person for a referral by stating, “I’m expanding my business and I need your help. Who do you know who…”, move that penny from your left pocket to the right pocket.

At the end of the day, see how many times you have asked for referrals. You will develop the habit of generating referrals for yourself by asking the right people for those referrals.

Over ten years ago Tom Fleming got involved with the Referral Institute, but somewhere along the line, the Referral Institute got into him. Since 1999, Tom has been training and touching the businesses and lives of Ten’s of Thousands of professionals via the Referral Institute’s teachings. Prior to 1999, Tom worked for various fortune 500 firms while obtaining a Bachelors in Business from Boston University and an MBA from Babson College. Since beginning with the Referral Institute in 1999, Tom has contributed as an author to two best selling books by Dr Misner, is a Master Trainer for the Referral Institute and is also a contributing author to Dr Misner’s latest CD Pack called “Networking Secrets”. Tom can be reached at tomf@bni.com.

by Phil Bedford
Master Franchisee, Referral Institute Middle East

Have you ever noticed how the world’s tallest building is always built during economic boom and then a recession follows straight afterwards? Think of the Burj Khalifa and many other structures. Economic trends are cyclical. Hence, tough times and boom times will continue forever.

During the good times companies do not tend to invest in marketing because they don’t need to – sales are good.

In tough times, they don’t invest because they can’t afford to.

The great thing about your network is, it is not effected by market trends it is there during the good times and the bad, always working for you. Well, it is if you develop it.

Start looking for those key relationships and develop them now. There’s never a perfect time.

The best time to invest in your network is NOW.