Darwin’s Theory of Business Networking
Many of us are quick to stick within our flock. Looking to exchange referrals with fellow associates within a single industry may be easy but it’s a big mistake many professionals make. It may seem like an attractive strategy but remaining “industry-centric” will ultimately hamper your ability to create referral opportunities.
There is a certain comfort that we share when networking with associates within the same industry. After all, you may serve similar clients, have similar credentials, and can probably relate in a myriad of ways. Unfortunately, this is only half the equation and you can’t expect maximum results. For example, you may know some real estate agents who join networks exclusive to the real estate industry. The first problem is apparent. What is the incentive for other agents to pass up new business? The second problem is that the lack of diversity within your network can make you susceptible to market shifts. The current market epitomizes this dilemma; the real estate industry is in turmoil therefore, the best place to look for a referral is going to be from associates outside your industry.
Try adding complementary associates to your referral network. For example, it may be a good idea for a financial planner to add accountants to his or her network. If the accountant is good at what he does then he is likely to be working with quality clients as well; client’s who are concerned with their finances, take control of their financial future and are willing to pay for quality services. This makes all of the accountant’s clients a possible fit for the financial planner. There are many combinations that work for different reasons. Check your network and see who your trusted associates are exchanging referrals with.
Remember,every professional industry goes through highs and lows, busy seasons and quiet seasons, and slumps and surges. The key is to give and receive referrals when it is appropriate. Furthermore, having a diverse professional network ensures that you are reaching potential client’s whom your direct competitors have not. This idea of diversity is not exclusive to small business networking. Even in nature, the most diverse eco-systems support the most life. The same rules apply in business.
Tags: Business Networking, Referral System
