Want More Referrals? Here’s What You’re Doing Wrong
Business owners often vent about their struggle to get other companies to send them referrals. They offer a 20% cut and expect partners to jump at the chance. But here’s why that isn’t working:
- Their customers risk disappointment if your service falls short
- They fear losing that customer to you forever
- They see no value or reciprocity coming their way
No surprise they’re not excited to play along.
If you truly want referrals, flip the script. Give your partners something they can sell as their own product at whatever price they want. Yes, that means absorbing your hard costs—but it’s usually cheaper than chasing new customers on your own.
Here’s How It Works:
Let’s say you offer accounting services. Create a specialized tax lookback service and hand it to your partner to sell for $5,000. Charge them nothing. Let them keep every penny.
Then, once you’re doing the work, you ask the customer:
“Would you like us to review other years or maximize deductions for this year as well?”
Suddenly, you’ve built trust, your partner looks like a hero, and you’ve opened the door for lucrative upsells.
The Key:
Design your offer around the partner’s perspective—not your budget. Craft the upsell strategy to ensure it’s profitable for you in the long run.
That’s how you create a referral machine—one that gets people excited to send you customers.
