Tuesday, August 17, 2010

Are Quality Business Referrals In Danger?

When I first started in business, nearly 10 years ago, there were definitely fewer opportunities to network. The unspoken 'rules' were quite simple. You belonged to a group, you got to know the members of that group over a period of time and, if the opportunity arose, you passed business to your fellow members in the form of referrals.

Referrals can be delicate transactions - both for the giver and the eventual recipient. Personally, I don't feel comfortable giving referrals unless I can wholeheartedly endorse the product or service, either through personal experience or a well developed, and trusting business relationship. My reputation is at stake.

If I were to pass on a referral and the recipient of the product or service had a bad experience, that would damage two of my relationships. And, if the recipient of that unfortunate experience was a client of mine, that could have far reaching negative effects on my business as well!

With so many different breakfast, lunch and evening networking groups, taking place weekly, fortnightly and monthly - you can certainly meet a lot of people. But are you going to get to know any of them well enough to refer business to? Also, when you've met at least half a dozen web designers, how do you decide which one to give your referral to?

So while it's great to have so many new networking opportunities, we do need to take care that these are not at the cost of developing precious business relationships and the giving and receiving of those highly-prized referrals.

© Louise Barnes-Johnston, 2005-2007

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