GEEKNOTE: The OTHER kind of Networking - Referral Networking

GEEKNOTE:  Gulfcoast Networking sounded like such a great name when we created the company ten years ago.  After all, computer networks were pretty much the only types of networking that any of us thought of ourselves as being involved with. 

It wasn't exactly true then and it is even less so now.  It became apparent at a recent Chamber trade show that "networking" has taken on a new meaning for a large part of the business community.  We are adjusting our marketing materials to clarify that we are an IT company, not a business referral networking group.

Referral networking takes several form and is often the best type of advertising that a business has.

Informal referrals from satisfied customers are key to any company's survival.  Our advertising budget is, of necessity, very limited and so our primary source of new customers are folks that have been directed our way by folks who use our services or have used them in the past.

We get a fair amount of new business from the yellow pages.  If your computer is broken, you can't very well go online to see who can fix it.  Even so, referrals from satisfied customers still out perform the yellow pages.

The only online advertising that has had measurable results has been advertisng on Angie's List and even that has been because of the comments left by Angie's members that have been pleased with our service.

In spite of having window lettering a foot high and a storefont right downtown, we don't get much walk in traffic.  Part of that has to do with the walkability of the downtown, something I've been harping on since before I was elected to city council.  The downtown has ornamental trees instead of the shade trees it needs in order to be an inviting place to walk.  I'm hoping that city staff has finally figured this out.  The trees downtown are coming up on needing to be replaced and I look forward to seeing shade trees installed this time.

Special events, while probably good for the bars and restaurants, actually hurt other downtown businesses like mine because of the traffic snarls they create.  There is probably a complete GEEKNOTE that can be written on special events, but suffice it to say that things have gotten better in this regard and I expect that trend to continue.

In our experience, conventional advertising has fallen flat.  Part of this is because of the decline of the newspapers in our area and part is simply due to the expense involved in blanketing what print media remains in a fashion that actually works.  Radio and TV have likewise been very expensive propositions to do right.

That brings us back to gaining business by referral and how to formalize that process.

Ten years ago, both my business partner Tim and and I were both active in the Seven Springs Rotary Club.  Rotary clubs are organized for the primary purpose of doing good things, like working to wipe out polio, provide potable water in third world countries, and supporting various charities closer to home (eg. the YMCA).  A secondary benefit of belonging to a rotary club or similar civic club is that you meet folks you may ultimately want to do business with.  Tim and I met while attending club meetings.

The local chamber of commerce also serves as a means of conducting that other type of networking, "business networking".  I've been involved with the West Pasco Chamber of Commerce in one fashion or another for the last 20 years.  I even served a term as Chairman of the Board.  Attending Chamber events can be a valuable way of meeting other business owners that you otherwise might not meet.

A relatively recent addition to the mix are so called "business networking groups" that are organized primary as a means to exchange leads.  The Chamber has some networking groups and there are several free standing groups, such as BNI (Business Networking International) and NPI (Network Professionals International), both of which have chapters in our area.

The idea behind these groups is that members will share leads with others in the group and promote each others businesses.   The groups are restricted to one member in each business category.  Most of us tell our friends when we get good service from a local company and the networking groups simply formalize this process.  I've done business with almost all of the members of my NPI group and they likewise have come to me when they've needed something in the computer / IT realm.  I can comfortably recommend their services when one of my customers or someone I know personally needs a particular type of work done.

I'd love to talk to you if you would like to see if belonging to a business networking group might benefit you and your company.  The group I belong to meets on Tuesdays for lunch in downtown New Port Richey.  Give me a call at 847-2424 and I'll fill you in on the details.

I've also done business with a number of our customers.  This is much more informal, but we have added some structure here too.  We've installed business card holders at our checkout counter to make referrals easier for us to make when someone comes in and asks us if we know somebody who does a particular type of work.

When you need a particular type of work done, who do you use?  Do you tell your friends when they need the same type of work done?  I'm guessing that the answer to the second question is "yes" and you've been doing referral networking even if you haven't thought about it as such.

Needless to say, we'd love for you to think of us when you or your friends need help with their computers or computer networks.

As always, feel free to drop me a note or give me a call if you have any questions about your computer or the Internet.

Rob Marlowe, Senior Geek, Gulfcoast Networking, Inc.
http://www.gulfcoastnetworking.com

(Rob also serves as deputy mayor of the City of New Port Richey. Opinions expressed here are his own and do not necessarily represent the position of the city.)