Proactive Public Relations - How a Referral Program Can Build Customer Loyalty

Without being proactive with your PR you are not going to be successful in your business. You cannot rely on the yellow pages and mainstream media advertising in classified sections of the newspaper. People are now more likely to rely on advice from their friends and trusted colleagues whilst also seeking to educate and inform themselves of products and services online.

Chances are that you already have very satisfied customers and clients who may be happy to promote your business. They may be happy to promote your business but may in some circumstances forget or not know exactly what to say when referring to you.

With a referral program, you are proactively encouraging your existing clients and customers to refer you to their own network of friends and colleagues. Here are some benefits of a referral program:

A referral program makes customers think about why they like you- If you have your own referral program with prizes and incentives for people giving referrals you can get more referrals. If the incentives are strong enough you will activate some clients. These guys will become raving fans who will go out of their way to refer business to you. They will think about exactly why it is that they like dealing with your business and they will tell their associates about it.

A customer who is referred to you is a much easier sale- All of the evidence suggests that the best and easiest sales are those that are referred to you. Referrals are almost liked closed sales. You don't actually have to do any selling. I am sure you'd much rather spend time closing your deals as opposed to chasing leads. Telemarketing and cold calling sucks and I'm pretty sure it is not what you imagined yourself doing when you started your business in the first place.

It leads to more correspondence between a business and their customers- A referral program is a great excuse for you to get in touch with your clients and customers and maintain regular contact. You can send out a newsletter and mention who is the leading referrer to increase the level of competitiveness amongst participants.

It is a great idea for you to start a referral program for your business. A referral program can be a great way to get cheap sales staff. These guys use your product or service so can easily explain their benefits to other potential products or services.

Hamish Jones is the founder of Best Business Deals. Check out the blog for more great proactive public relations and Media advice.