By Gerri Leder
Looking around for a good summer read that will advance your business? If you are like many advisors and asset managers, you are looking for fresh ideas for growing your business. In that case, read on…
The basic human condition requires food, clothing, shelter and the need to refer. Really – is referring a basic need? A wonderful discovery made by author John Jantsch suggests it is, in The Referral Engine, Teaching Your Business to Market Itself.
Jantsch claims there is a physical reason that referring feels so satisfying. “The hypothalamus likes validation,” he says, referring to a tiny part of the brain that helps regulate thirst and hunger, maternal behavior, sexual urges, aggression and, he says, your propensity to refer. People love to refer because it feels so good.
Consider an additional benefit to the referring party: once you refer a friend to a good financial advisor, you can go back to him when you are looking for a great surgeon. That connectivity feels good –people love to connect and share ideas.
Social currency is accrued to those who refer. Many people like to build up social currency by helping out, a version of the give-to-get mentality that is mostly rooted in doing well by those they like.
Jantsch says that although referrals are the number one business source for most businesses, few of us have a system for generating referrals. And, to further weaken our access to them, most people aren’t doing anything worth being talked about. Most people are boring and nobody talks about boring businesses. How is that?
He illustrates this point through the business professional in the airport intentionally wearing a nametag, which he found makes him more approachable and leads to conversation. Now, I am not recommending nametag-wearing, but it works for him. In my own experience, one of the most successful financial advisors I’ve ever known who referred to himself in the third person as “The Wizard”….these examples present an unforgettable quality and except for trust, remembering is the highest order in referring, isn’t it?
What if you could be remembered for being smart, for the quality of your ideas or the brilliance of your investment approach? Think about how you can leave an indelible impression that leads to referrals.
When you believe that what you offer is truly remarkable, that your clients are better off working with you, (your firm or practice) over others, then making that value available to as many people as possible becomes the highest purpose of your business, Jantsch writes. Wow.
If I haven’t convinced you already that Jantsch’s The Referral Engine should be on your summer reading list, let me make this clear: his fresh ideas on referrals can help anyone looking to learn more about the science of referrals, re-invigorate the referral stream and become committed to developing an effective system for generating referrals. Let me know what you think.
