Top broker Joshua Vecchio shares five tips to make your referral relationships the best they can be.
Director of Discovery Finance Group, Joshua Vecchio has written over $250m, using techniques and tips being shared on his website Top Broker.
I know it is easy to get busy in our day-to-day work, chasing applications and forget about our referrers but in a lot of cases they are the lifeblood of our businesses. Not only do they give us new leads, according to research by the Wharton School of Business those leads have a 16% higher life-time value than other leads.
Other research has suggested that referral leads convert roughly 30% better than leads generated from other marketing channels. This makes complete sense – people trust friends, families and advisers more than other sources so it’s only logical that a referral is going to be sticker than a person walking in off the street.
So how to you generate more leads from referrers? How do you better leverage those relationships and have them consistently generating leads to help build your business sustainably over time? I know it can be challenging trying to figure out how best to work referral partnerships, so I’ve put together the top 5 secrets for brokers to connect and work BETTER with referral partners.
1.Build Stronger Relationships
Similar to other articles we have written about customer relationships, you need to build even stronger relationships with your referral partners. If your referrers aren’t sending you leads, it’s probably not because they don’t think you are capable but because they don’t trust you! Stronger relationships lead to better trust between you and referrers.
Imagine a situation where you refer a client through to an Accountant. That referral tells the client that you trust this person and they will deliver on their promises. If that Accountant doesn’t deliver, your relationship with your client will be damaged. If they don’t know you, they won’t trust you. You need to earn this trust by adding value and building stronger relationships way before people start referring clients.
2.Ask Better Questions
Ask thought provoking questions to get the other person thinking. Be sure to actively listen to the referral partner and get them talking 80% of the time. Find out some of their pain points and look for ways to help alleviate these issues. Always keep the point of view ‘what’s in it for them’. I have the motto in life ‘If you help enough people get what they want, you’ll have everything you want and more’. This rings very true with referral partners.
Further to this, it’s important to recognize that the best referral relationships are cultivated through genuine relationships. People want to work with people they ‘know, like and trust’. No matter who you are trying to build a relationship with remember to treat that person like a friend rather than a business associate. This will take the referral relationship to the next level, find mutual interests, have a laugh, and show you care.
3.Have an Abundance Mentality
Don’t keep score, have an abundance mindset. Keeping track of how many referrals you’ve given and received isn’t going to achieve anything. Always look for ways to give, connect and share. The law of reciprocity, keep giving and expect nothing in return – look for opportunities with your own clients to refer back. Offer to publish their insights on your blog or monthly newsletter – you need to be adding value before taking! This attitude alone will separate you from the rest.
4.Build a Reputation
Once you have a strong relationship and people trust you it becomes easier to refer you to their clients – but this isn’t enough alone. You want to be known as the Mortgage Broking Rock Star, the Broker that has a reputation for getting deals done, for being able to do something more than the average broker, for being able to add value to the referrers business– What is it that you do in this area to add this value?
You should understand the referrer’s Business, and what clients they target – If they are an accounting firm that mostly caters for Self Employed clients then you should know the policies of each bank that specializes in this space, the options for valuations if their clients are wanting to purchase a property or even understand what they can do if they have outstanding ATO tax debt. You need to understand their pain points first, add value second and then ask for business third.
5.Become a Better Connector
Introducing your referral partners to other professionals that would benefit from each other is a brilliant way to strengthen the relationship. This can be as simple as a short introduction email suggesting they get in touch and leaving the referral partner do the work from there – This strategy, whilst simple, is extremely effective. Think back, when was the last time someone went out of their way to introduce you to someone after listening to your struggles? Once you’ve made the introduction be sure to follow up to see how things went.
Referrers can your best raving fans – They are the advocates that help build your businesses, and when we know from research and experience that referrals are warm leads then you need to do all you can to grow this source.
This article originally appeared on Top Broker, a growing online space where tips and strategies are shared by Australia's top mortgage brokers.
I know it is easy to get busy in our day-to-day work, chasing applications and forget about our referrers but in a lot of cases they are the lifeblood of our businesses. Not only do they give us new leads, according to research by the Wharton School of Business those leads have a 16% higher life-time value than other leads.
Other research has suggested that referral leads convert roughly 30% better than leads generated from other marketing channels. This makes complete sense – people trust friends, families and advisers more than other sources so it’s only logical that a referral is going to be sticker than a person walking in off the street.
So how to you generate more leads from referrers? How do you better leverage those relationships and have them consistently generating leads to help build your business sustainably over time? I know it can be challenging trying to figure out how best to work referral partnerships, so I’ve put together the top 5 secrets for brokers to connect and work BETTER with referral partners.
1.Build Stronger Relationships
Similar to other articles we have written about customer relationships, you need to build even stronger relationships with your referral partners. If your referrers aren’t sending you leads, it’s probably not because they don’t think you are capable but because they don’t trust you! Stronger relationships lead to better trust between you and referrers.
Imagine a situation where you refer a client through to an Accountant. That referral tells the client that you trust this person and they will deliver on their promises. If that Accountant doesn’t deliver, your relationship with your client will be damaged. If they don’t know you, they won’t trust you. You need to earn this trust by adding value and building stronger relationships way before people start referring clients.
2.Ask Better Questions
Ask thought provoking questions to get the other person thinking. Be sure to actively listen to the referral partner and get them talking 80% of the time. Find out some of their pain points and look for ways to help alleviate these issues. Always keep the point of view ‘what’s in it for them’. I have the motto in life ‘If you help enough people get what they want, you’ll have everything you want and more’. This rings very true with referral partners.
Further to this, it’s important to recognize that the best referral relationships are cultivated through genuine relationships. People want to work with people they ‘know, like and trust’. No matter who you are trying to build a relationship with remember to treat that person like a friend rather than a business associate. This will take the referral relationship to the next level, find mutual interests, have a laugh, and show you care.
3.Have an Abundance Mentality
Don’t keep score, have an abundance mindset. Keeping track of how many referrals you’ve given and received isn’t going to achieve anything. Always look for ways to give, connect and share. The law of reciprocity, keep giving and expect nothing in return – look for opportunities with your own clients to refer back. Offer to publish their insights on your blog or monthly newsletter – you need to be adding value before taking! This attitude alone will separate you from the rest.
4.Build a Reputation
Once you have a strong relationship and people trust you it becomes easier to refer you to their clients – but this isn’t enough alone. You want to be known as the Mortgage Broking Rock Star, the Broker that has a reputation for getting deals done, for being able to do something more than the average broker, for being able to add value to the referrers business– What is it that you do in this area to add this value?
You should understand the referrer’s Business, and what clients they target – If they are an accounting firm that mostly caters for Self Employed clients then you should know the policies of each bank that specializes in this space, the options for valuations if their clients are wanting to purchase a property or even understand what they can do if they have outstanding ATO tax debt. You need to understand their pain points first, add value second and then ask for business third.
5.Become a Better Connector
Introducing your referral partners to other professionals that would benefit from each other is a brilliant way to strengthen the relationship. This can be as simple as a short introduction email suggesting they get in touch and leaving the referral partner do the work from there – This strategy, whilst simple, is extremely effective. Think back, when was the last time someone went out of their way to introduce you to someone after listening to your struggles? Once you’ve made the introduction be sure to follow up to see how things went.
Referrers can your best raving fans – They are the advocates that help build your businesses, and when we know from research and experience that referrals are warm leads then you need to do all you can to grow this source.
This article originally appeared on Top Broker, a growing online space where tips and strategies are shared by Australia's top mortgage brokers.
