A 15 Step Plan For Creating Constant Referrals
Marketing Ideas & Sales & Marketing for Professional Services

A 15 Step Plan For Creating Constant Referrals

June 10, 2022

by Tony Vidler  CFP logo   CLU logo  ChFC logo

 

The best way to generate constant referrals is by having “centers of influence” delivering qualified and interested prospects to you regularly. To do this successfully – especially with a number of COI’s – there 15 steps you have to work through.

 

It is a simple idea, and like so many other things which appear simple it requires thought, planning, and excellent execution to deliver the desired results.

 

A center-of-influence (COI) is an advocate for you and your business…but with a difference to your average referrer.  They are an advocate who is superbly positioned to introduce your ideal prospective clients on a regular basis because of their role, or influence, and they want to help you.

 

The process of building the right sort of relationships with the right potential COI is usually lengthy, but incredibly worthwhile if done well, as just a few well-chosen COI’s can deliver virtually all the new prospective clients a financial adviser could need. Put simply; just 3-5 good COI’s can make an advisers career.

 

There is a process however to cultivating the right COI’s to constantly deliver great referrals.

 

The Process

 

Before you can begin to cultivate a COI you need to arrange your thoughts and be able to answer these three questions:

 

1.  Who are you targeting in the way of ideal clients?

 

2.  Why are you the best person for those clients to be dealing with?

 

3.  How can you demonstrate – or evidence – that you are the logical choice for a potential COI to use?

 

Now comes the bit that advisers usually just don’t think about…does the potential COI actually have potential for you?

4. Is the potential COI working with or targetting the customers who are a good fit for you?

5. Does the potential COI have “authority” (do they influence tose prospective customers)?

6.  Does the potential COI have “reach” (do they actually have a network or sphere of influence)?

7.  Is there an alignment of interests and values between the potential COI and yourself?

…NOW you can start to think about how to approach and develope a possible relationship with a genuine Centre-Of-Influence possibility…

…and the next phase of the process is to plan the approach and the positioning.  The main considerations for this are:

8.  How are you going to set up the initial approach professionally, and position the discussion?

9.  You must be able to provide solid rationale to the COI about why THEY should help YOU.  (Hint: focus on consumer benefits; professional process and standards; and ways of eliminating reputation risk for the COI)

10. Can you demonstrate your process and business methodology to the COI, so they can be confident in what you do, and how you do it?

11.  Do you have a strategy for ensuring that you are in turn enhancing the COI’s position or business?  Are you helping the influencer in return?

 

Finally, there must be a considered approach to ongoing execution if you want a regular stream of the right sort of referrals to keep coming from the COI.

12. How do you intend staying in touch, and building the depth and strength of the relationship with the COI?

 

13. How, and what, feedback will you provide to them?  (This is a crucial step that is often the single biggest barrier to a successful centre-of-influence relationship if it is not done appropriately and regularly.  Bear in mind the requirement to balance professional reputations, privacy/confidentiality issues, and the fundamental human need for reinforcement that a “transfer of trust” has been handled the right way).

 

14. Optional: Recognition & Reward.  It may not be necessary to provide recognition or reward to the COI, but then again, it might be.  It IS important though that you have considered it carefully, and have clear parameters as to what is appropriate and how you will manage any needs on the part of the COI for recognition or reward.

 

15.  NOT Optional: Are you prepared to make some serious effort, for as long as it takes, to position and build the right relationship with someone who can generate a constant flow of the right prospective clients for your business?

 

Anything less than a full effort from the outset to address all of these points for a prospective center-of-influence will result in disappointment – for everyone.  To make it work well though, all you have to do is think through, and then follow, the process.

 

You might also be interested in this related article:
How to work with multiple COI’s in the same sector
Get financial adviser coach blog updates via email.
Enter your email address to follow this blog and receive notifications of new posts by email.
Join 323 other followers

sidebar_tony
Facebook: 2831, Twitter: 13272, LinkedIn: 689

Follow tonyvidler on

Comments (0)

Leave a Reply