It's a known fact that people like to do business with people they know or with whom someone else recommends.
Entire businesses such as "Angie's List" and "Trip Advisor" are created for people who want to see what other people have said about a particular business or service. Today, most people make their purchase decisions based on referrals from their sphere of influence. So, knowing this, why is it such a challenge for some sales professionals to ask for a referral?
The key to obtaining referrals is to ask at the beginning of your time with them. We want to set the expectation that referrals are a normal part of our business. You might ask, "how can I ask for a referral when I haven't built rapport or even earned their business yet?"
When you first meet someone, a simple question is to ask if they know anyone who lives in the community. Your follow-up response could be something such as, "The reason I ask is that many of our new homeowner's have been referred to us by existing homeowners". In making that statement, you are reinforcing that the prospect made a good decision by visiting you today.
This is the perfect time to explain the "Referral Program" (if you have one, great. If not, it might be a good idea to consider creating one).
If they acknowledge that they know someone who lives in the community, it opens the door to building rapport. Ask about whom they know, what they know about the community, etc.
Another perfect time to ask for a referral is when you have finished writing the contract. At this point, you can ask if they know anyone else who might like to live there. If you have a referral program, you can then give them a card explaining your "Friends Refer Friends Program."
It is likely that once they start showing their family, friends, and co-workers their new home, a name might pop up. Even if they can't think of anyone at that moment, let them know you will check in with them from time to time.
A robust referral network is the key to continued sales success. Have a plan where you are consistent about asking for referrals and keeping your name and builder's name in front of your past clients.
Additional tips include sending an anniversary card commemorating their closing as well as hand-written notes or emails acknowledging a child's birthday or the start of a school year. Be creative! Keep your previous customers up to date with what's new. Anything that lets them know you are still in your community selling wonderful, brand new homes and, most importantly, that you haven't forgotten about them once they closed on their home. They are very important to you and your continued success. Referrals are the best!