When you ask most people what the easiest type of business for them to close is, most people inevitably respond that it is referrals.

Now let’s take a step back and examine why referrals are sometimes the easiest to close.

I think it is because of several main things.

1) Someone recommended you
2) That someone wasn’t you
2) That someone had some level of credibility with another person
4) The person “was looking” or had a need to begin with.

Lets analyze these a bit closer.

1) Someone recommended you – 3rd party endorsement or “social proof”
2) That someone wasn’t you – once again, we tend to doubt people and what they say themselves, but if other people say it (who have nothing to gain) we tend to trust them more.
3) Once again, social proof, and perhaps some authority is involved – the higher the credibility and belief you have of the other person and his or her level of intelligence the more authority they have.
4) NEED – some type of pain was present or identified.

What is the most important thing out of all of these things. Well, I think it is #4. Why? Because no matter how respected so and so is (the person who refers you) if the person being referred isn’t interested or doesn’t perceive a need then the others above don’t really matter.

If someone tells me I need to get my carpets cleaned — that there is the best carpet cleaning company in the state – and that they do a good job — and I really don’t think I need my carpets cleaned – none of that matters. Because the need is not there. Sure, occasionally someone has so much influence that even though someone does not think they need it they will still do as the referrer recommends out of respect, but if #4 is not there, then you have problems.

But, if I think my carpets need cleaned to begin with then #’s 1-3 from above, all can come into play of whom I choose.

So, I think #4 trumps everything. How does this apply to you and your business?

Let me explain.

In proper marketing you are attracting people to your business. Like bees to honey. People know they have a need, then they FIND you. Now don’t lose me here. Most people get this. But then where they screw it up is NOT using #’s 1-2-3 from above to accentuate their marketing. How can this be accomplished?

Case studies. Proof. Testimonials. These can be used to build credibility.

In tomorrow’s post I’ll go more into detail with some examples and the also talk more about #4. I’ll explain why most “marketing” is poor, what it does and doesn’t do, and how you can market properly to attract people to your business.

But ask yourself this. Isn’t it easier to have people coming to you who are presorted and ready to hear what you have to say? It is certainly a lot easier than cold-calling, or even networking.

In the meantime, feel free to subscribe to RSS, send some people this way, or email me some honey (boy I wish we had that attachment system in email ) ….oh…and I’ll have the main site setup soon.

-Matt

Tags: building a case, credibility, educate, emotions, endorsement, Marketing, psychology, psychology and perception, referrals, social proof

This entry was posted on Wednesday, April 29th, 2009 at 4:46 pm and is filed under Marketing. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.