The Referral Engine by John Jantsch (Review)
The Referral Engine: Teaching Your Business to Market Itself was written by John Jantsch who is also the author of Duct Tape Marketing.
Every small business owner, consultant, sale person, or online business should have this new book in their library.
The Referral Engine is an easily read book (233 pages) with a great summary at the end called, Workshop which is a convenient list of those strategies discussed throughout the book in a short, easily reviewed format.
The work itself starts off with a not-so-startling statement,
Despite what some might suggest, there are no real secrets in business–only truths you haven’t yet figured out how to apply.
That statement made me laugh because it is so simple and so true!
Before I get into my gushing over this book, here is what you’ll find:
The Realities of Referral
This chapter gets into defining referrals, why people give them, what motivates them to do so while giving you a foundation to understanding them. The formula I enjoyed seeing outlined? Innovation + Action = Growth
The Qualities of Referral
This had some great gems and I couldn’t help but reflect when a local business began hiring teens to handle their clientele—and sadly within a year she was out of business. Jantsch talks about the link between customers and your staff and how hiring the right people, giving them the right training, and other components play key roles in getting better quality referrals and leveraging them. The take away from this section? Give to Get.
The Path to Referral
Now Jantsch gets into strategic and tactical applications with the Four Cs of Marketing: Content, Context, Connection, and Community. Basically there are two groups—the traditional and the tech savvy. However learning how to combine these for optimal results while targeting specific groups ( prospects, customers, providers, staff, partners) is a great suggestion. The take away in this chapter is the customer life cycle: Know, Like, Trust, Try, Buy, Repeat, Refer.
The Referral System View
Lately there has been a lot of talk about transparency (or authenticity) and this chapter ties it in to innovation, core differences (such as a unique sales position) and leveraging your networks. Discussed are referral entry points and how to use them effectively.
Your Authentic Strategy
Referral brand elements are included in this section and defining and visualizing aspects of the business and customer is only one piece of the puzzle. Defining how things work in your world is referred to as the “secret sauce” aka “This is how we do it here” (or TIHWDIH) but I enjoyed how it presented the strategic action plan which is valuable for any small business owner.
Content as Marketing Driver
Leveraging content, speaking opportunities, using advertising and public relations are a few of the tips in this chapter but the examples of how they can be applied can help any small business spark additional ideas. The testimonial gathering party idea was unique but there are also many good resources in this section (and in all sections of the book).
Convergence Strategies
I’ve heard the term, “hub and spoke” before but using it both online and offline is an action that helps visitors, customers, and prospects. Power tools, blogging, podcasts, videos, and elunch ideas are introduced here. Again, some great tools are resources are listed to help you get started. One of the things I recently started in 2010 was a schedule of tasks for each week and month so I was glad to see John’s example and glimpse into what his efforts look like…and you get some suggestions as to how to create your own action plan.
Your Customer Network
Do you know your number for referrals? This is the number of people (friends, neighbors, and colleagues) referred to your business by clients. Basically, if you are not getting lots of referrals this chapter can help you determine why and help you fine tune that process. Again, the chapter ends with a customer network action plan that can help you outline the process or implement one.
The Strategic Partner Network
Businesses that have a common customer base make up part of your Strategic Partner Network and this chapter discusses how to identify, build, and activate this referral network which is one I think a lot of people overlook.
Ready to Receive
This chapter gets into the how and what that is involved in revving up your referral machine and includes resources and tips on how to get it (and keep it) going.
Referral Specific Campaigns
This is a fun collection of real life examples of the referral cycle and what happens when you set up and start up the referral machine.
Snack Sized Suggestions
This will make niche specific businesses jump for joy since examples from specific businesses are shared in short paragraph form.
Workshop
A nice summary of the entire book can be found in this chapter and makes it an easy reference point for those who might not like taking notes in the book.
John Jantsch spent a lot of time pondering this topic and put pen to paper to produce a book that should end up being a well worn, well marked up resource for anyone in business or sales.
Although he is well known on the web for being an award winning social media publisher, this book can be a vital tool for both online and brick and mortar businesses.
It would be best put to use if it was kept open on their counter (or desk) during the day to read, review, and to remind you of some important business concepts that many overlook or forget. (Hey John–now you need to produce one of those flip over perpetual desk calendars–just give me a credit blurb for the idea. LOL)
One of the great things within this book is that all the resources and sites of those businesses that are included in the book are also right on The Referral Engine book’s website.
This provides a great resource online and also a clever strategy for generating referrals—and for creating goodwill. (I hope the businesses listed will track the referrals coming from that website.)
The powerful piece of work can be used as a lifetime reference addition in any small business library–because although the world may change, certain principles remain the same and those principles are outlined well within The Referral Engine.
What I liked about it (and what I think you will too) is that it is engaging and filled with interesting stories, case studies and examples.
Again, it is in a simple format so that you can implement and remember what was presented easily so don’t be surprised if you power through it in a day.
However, I would recommend that you use sticky notes, a highlighter, and be sure to write notes in the margins so you can take full advantage of the contents so you can adapt them for personal use.
In my experience, I find people always miss the point by focusing too much on the niche specific information.
Marketing and referral strategies work the same way across industries and business types but what John Jantsch does well is to address this “niche mindset” by using examples from a wide variety of retail shops, service businesses, and from other professionals, consultants and sales teams.
I think this work would be of vast value to the small businesses here in the mountain region because most fail to collect any customer data or fail to follow up with customers to bring them back or to reach out to ask for more support or for referrals.
Right now we are in one of the “dead zones” of the year and many of the small business owners are crying but doing nothing to change this process—and it has been that way for the twenty-something years that I’ve been associated with the community.
The Referral Engine would be a great book to read now so that some of the suggestions and strategies within the book could be implemented before the next “dead zone” in the fall.
John Jantsch did an amazing job of presenting concepts clearly and in an easy to digest format so I highly recommend that you add The Referral Engine: Teaching Your Business to Market Itself to your library–and while you are at it, consider adding Duct Tape Marketing to your cart as well.
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Comments
LOL–thanks for stopping by John. I tend to get into more details for people on some of the programs and books I review because I know I like to see what I am getting into before I pluck down my money.
I really enjoyed your work and think it will be a huge value to anyone who buys it and applies the techniques–plus, I always love when someone gives me additional resources and ideas that I have not come across or thought of myself!
Wow – certainly I loved the kind words about the book, but the complete and thorough overview will help a lot of people get a total feel for the book before considering putting their money down – thanks for that!