Want to know the most effective , yet under-used strategy to get more referrals?
Want more referrals for your business? The best strategy is also the simplest: ask for them.
Many business owners feel uncomfortable asking for referrals.
They assume that if customers are happy, they will refer others automatically. But that’s not always the case.
The businesses that ask for referrals get more of them.
Why Asking for Referrals Works
Referrals follow the 80/20 rule. Around 80% of your referrals will come from just 20% of your customers. These loyal clients are willing to recommend you—if you ask.
Customers who refer others are likely to do it again. But they also need recognition and appreciation. A simple thank-you note, phone call, or small gift strengthens the relationship and encourages future referrals.
The Cost of Not Asking
If a customer refers someone and doesn’t get recognition, they may not do it again. They might even complain to others, saying, “I can’t believe I referred them a customer, and they didn’t even say thank you!” This is known as the “attitude of gratitude” in marketing.
If people feel unappreciated, they’re less likely to refer. That’s why businesses should show gratitude whenever a referral happens.
How to Encourage More Referrals
- Ask Directly – Customers won’t always refer on their own. Be proactive.
- Express Gratitude – A thank-you message, gift, or discount can strengthen the relationship.
- Avoid Over-Commercializing – Incentives work in some cases (like B2C), but for B2B, a personal approach is more effective.
The Referral Tombola – A Game-Changer for B2C
For businesses with high-volume customers, the Referral Tombola method works well. This approach rewards referrals by entering customers into a draw for a special prize. It has been used successfully by major brands to generate hundreds of new referrals.
Final Thought: Just Ask
The biggest mistake businesses make? They don’t ask for referrals. Start today. Reach out to your top customers and ask them to introduce others.
Referrals are one of the most powerful growth strategies, and they cost little to nothing. So, what are you waiting for? Start asking and start growing.