Occam’s Razor (Part Deux)

by Bryan Neale

We got a lot of response to our blog about Occam’s Razor and how to apply it in developing a referral system for salespeople. I thought I’d continue the conversation and give you some more ideas for establishing a referral network that actually feeds you good, qualified leads. (Remember, William of Occam said “don’t make things too complicated” and “the simplest solution is usually the best. ”

Step #1: Develop a Demographic and Psychographic Profile of Your Ideal Client
Demographic is the objective info about your ideal client.

• 5-50 salespeople
• 4-100 million in sales
• HQ’d in the Midwest
• Privately held

Psychographic explains the “touchy/feely” elements of an ideal client.

• Forward-thinking and progressive
• Frequently uses outsourced resources
• People-centered culture

Step #2: Create a “How to Refer People to Us” Sheet
Type on less than one page the method you’d like your referrals to use to introduce you. You can tell them to just pass along your business card or go as far as introducing you on a 3-way call.

My favorite method I call the “Three Headed e-mail” TM. Here you simply ask the referral source to e-mail you and the prospect. Have the referral include a short introductory paragraph about you and one about the prospect. Ask him to include cell phone numbers or direct dial numbers in the introductions. Then you have an intro, a direct phone contact and an e-mail. What more could you want?

Step #3: Find a Way to Compensate People for Referrals
This can be uncomfortable. Keep in mind that some companies aren’t allowed to receive gifts or kickbacks for things like referrals. The compensation can range from a thank you note to a small gift to a large monetary share in the deal. Whatever it is, just make it clear what you give to people for introducing you to referrals who become clients.

Think like William of Occam and you will do more with less. You’ll be the envy of your sales team and perhaps someday find yourself in wikipedia.org with your own entry.