Anyone have a referral network?

R

Richard Grasa

New member
I was thinking of setting up a referral network this year. I was thinking something like someone will join the network and I will give them a bunch of business cards that they will write their name on the back of. The cards may even have a 10% off or a free wax upgrade to entice people to come in. The person will give the cards to their family and friends. When their family/friend comes in for the detail they will give me the card. I will then make note of the person's name on the back and then they will get 10% or another amount of that job's cost to the customer.



Anyone ever do something like this?



I remember back when I was in my early 20's I did this for a friend who promoted a night club. I handed out free pass cards and for every one he got with my initials on the back I'd get a couple bucks. Worked out pretty good until the club got shut down. Maybe this would work well for something like a detail shop as well.
 
I offer referral discounts, but it's word of mouth. I don't hand out cards or flyers or anything like that. I just tell my customers that I offer referral discounts if they know anyone that might be interested. I usually will give them $10 off their next detail. Has worked out well for me.
 
Word of mouth is great, and I have alot of that going on as well, but it takes time to get to the point where word of mouth is all it takes to keep you in business. It takes some work getting all those customers that will spread that much word of mouth. In the meantime, we all need to market our business in other ways to find those customers. I think too many people bank on word of mouth too much, and then end up going out of business when they realize it takes much more than that, especially for a young business.

I have heard of some businesses having these networks and doing very well with them. I want to try to find out if anyone has any negative feedback about such a network before I go ahead and start one.
 
Your right that word of mouth only is not going to support your business 100%. And I think most businesses realize this. Therefore they have other marketing campaigns or strategies as well. For example using ad words, craigslist, or other online resources. Getting out and talking to other businesses in the area. Passing out flyers, hitting up car shows, etc etc. The list of potential marketing strategies goes on and on.



If you think your referral idea is worth a shot do it. Your not going to loose much on doing it other than some business cards, which are pretty cheap. I think it would be worth a shot. Even if you only do it for 3 or 4 months and see where it gets you.
 
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