We define marketing productivity as the optimization of your time and resources in regard to your marketing. If you have more time than resources these days, a highly effective way to optimize your marketing efforts is to build strategic relationships through business networking.
You may be wondering, “how do I do that?” And, “why should I do that?”
Well, read on because we are going to answer those questions and more.
Marketing Strategy Effectiveness
[Theresa] When you think about marketing your business these strategies likely come to mind:
- Paid Advertising (for example, on Facebook or Google)
- Content Marketing
- Social Media Marketing
- Email Marketing
- Video Marketing
- Creating a Facebook Group
These strategies can all be effective. But whether or not they are the right ones for you will depend on your type of business and the resources you have. I’m referring to time, money, and skill.
[Meghan] And, it’s important to consider your time, money (or budget) and skill when choosing your marketing strategies since they influence your choices. For example, if you have more money than time, then running ads may be a beneficial strategy for you.
On the other hand, if you have more time than money, then any of those other strategies could be a good choice. The downside is that some of them require certain skills.
For instance, video marketing requires some tech and editing skills. Content or email marketing requires writing and organizational skills. If you don’t have the skills, then you have to have the money to outsource those tasks.
No matter how you choose to market your business, your efforts should be maximized and productive.
What is Business Networking
[Theresa] Well said. When it comes to marketing, one highly effective strategy that no one talks about is business networking. Networking, in my book, is the embodiment of marketing productivity.
The purpose of marketing is to generate revenue for your business and productivity is being effective and efficient with your time and resources, which is why the art of networking is such a great solution for anyone who owns a business.
Everyone has the time and resources to network.
Transactional Networking
[Meghan] But, what may pop into your mind when you think about networking is a lot of people at a bar or restaurant passing around business cards. Then, after the event, you never see those people again. Or, at least until the next event. Sound familiar?
That is what many networking events look like. But, that’s not really helpful most of the time.
[Theresa] That’s right. Or perhaps you have some business networking experience. You may even have gone so far as to join an organization where passing a certain number of referrals every week is required.
But, you’ve found that the quality of the referrals you receive aren’t very good and don’t lead to business. And worse, the referrals you’re giving aren’t so great either.
Both scenarios are examples of transactional networking. You give me your business card and I’ll give you mine. Or you give me a referral and I’ll give you a referral.
There’s nothing authentic about that kind of networking because something bigger and more important is missing.
Relational Networking
What’s missing is the relationship. Relational networking is much more constructive, productive and rewarding than transactional networking.
[Meghan] We know that consumers buy from who they know, like and trust. But it’s also true that that trust can be transferred.
In other words, a consumer is also likely to buy from you if they are referred to you by someone that THEY know, like and trust.
[Theresa] And, when it comes to giving and getting referrals through networking, this is also true:
You are more likely to be referred by someone you have built a relationship and trust with.
And you are more likely to refer someone who you know, like and trust.
However, that trust doesn’t happen through the act of handing someone a business card. It’s something that gets developed through relationship building with the right people.
I know this to be true because I’ve personally been strategically business networking for four years. And when I think about it, I’ve actually been networking all throughout my entrepreneurial journey.
[Meghan] Since Theresa has built a strong, in-person network—one that has helped build her business—she’s going to share some of the benefits of networking.
Benefits of Relational Networking to Your Business
Learn How to Speak About Your Business
[Theresa] The first benefit of networking is that you gain clarity about your business AND, more importantly, you learn how to speak about your business. You can’t effectively market a business that you can’t explain or discuss.
Have you ever heard the phrase, “If you confuse, you lose?”
When you’re not clear about what you do, who you help or how you solve problems for those people, no one else will be clear either.
One of the main purposes of networking is to help others picture someone they may already know and can possibly refer to you.
[Meghan] When you aren’t clearly able to express that information, other people can’t envision that person. In other words, a lack of clarity leads to a lack of referrals.
[Theresa] Additionally, many people mistakenly use terms like, “anyone” or “ everyone” to describe their ideal customer. When you use those terms, no one comes to mind.
Another rookie mistake in networking is to spew out ALL of the ways you help your ideal customer. In other words, you list every product or service you offer. This also leads to confusion.
In networking, you want to deliver a clear message. Networking can help you develop that message. The more you get out there and speak with people, the better you will get at talking about who you serve and how you help.
[Meghan] If you’re new to business networking, don’t expect to get it right the first time. You’ll continually be tweaking your message. That’s ok. Just be patient, practice and keep moving forward. Over time, you’ll be able to deliver your message like an experienced pro.
Build Real Relationships
[Theresa] The second benefit of networking, and I think the most important, is building real relationships. In the beginning, the focus will be on building business relationships, but over time, you’ll find that other types of relationships evolve.
Through networking, I’ve created referral partners, been a customer, coached, found mentors, been a mentor and developed some of my closest friendships. Networking has been rewarding on many levels.
This is important because the key to networking is the connection of relationships. And, as my trusted friend and colleague Rob Genovesi says, “If you’re not building relationships, you’re really not networking.”
[Meghan] You may not remember, but Theresa talked about networking in the episode about SEO alternatives for lead generation. She said that “cultivating relationships is the secret sauce of effective networking,” and she’s so right!
Personally, relationship building has had the biggest impact on my business. To build a valuable network, you need real connection to people, not just another name in your address book.
So focus on relationship building first.
Cultivate Referral Partners
[Theresa] The third benefit of business networking is that you cultivate referral partners. Having great referral partners is born from your relationship building efforts.
From a marketing productivity perspective, trying to build strong relationships with everyone you encounter would be a waste of time and, frankly, impossible. So when it comes to referral partners, you want to look for “connectors”.
A connector is someone who works with or has access to your ideal customer avatar. They are feeders to your business.
For example, a chiropractor and a physical therapist who both specialize in sports injury management.
Or take me, for example. My best referral partners are other business coaches. You might be thinking, “but Theresa, isn’t that competition?” The answer is always, “it depends.”
If it’s someone who does something very similar to what I do and works with my same avatar, then probably not. But if it’s someone that does coaching for corporate executives, that’s not a conflict because I don’t work with corporate clients.
When I meet a prospect looking for executive coaching, I know who to refer that client to. And when I refer, I’m building good will between me and the other coach. So when they meet a prospect who is a good fit for me they pass them off. Win-win for all.
[Meghan] The referral partners you create contribute to your business’ bottom line. Those are the relationships that create revenue.
The time you spend nurturing those connections are income-generating activities. And creating income is vital to running a business. So, make finding connectors a goal of your networking.
Create Collaboration Opportunities
[Theresa] The fourth benefit of networking is the opportunity to create collaborations. Massive benefits can be achieved through collaboration.
And while you don’t need to practice business networking to form them, it increases your chance of finding those opportunities.
Collaborations are partnerships that are mutually beneficial to both parties.
For example, Meghan and I have a collaboration with The Messy Desk Podcast. And we met through networking.
Both of us were members of the same online community for a long time. We then met in person at a conference. Over time, we built a professional relationship that turned into a friendship. The fruit that bloomed from the tree we planted is this podcast.
[Meghan] So, develop the right relationships and you too can find the right partnerships.
Build a Team
[Theresa] The fifth and last benefit of business networking is that your network becomes your team. This is especially helpful for solopreneurs, who often feel alone in business.
Building relationships to acquire referral partners and develop collaborations are only a small part of building a valuable business network. You can leverage your network for many different things.
For example, you can
- Facilitate a mastermind with people who have different strengths than you and meet monthly to brainstorm, work out problems and celebrate wins
- Leverage the knowledge of someone who possesses a skill you want to develop
- Find a mentor who can help you get to the next level in your business
- Use your referral partners as an unconventional sales team
- Ask trusted network partners for feedback on things like landing pages, blog posts, social media posts and more
These are only a few ideas for making the most of your business network.
Give Business Networking a Try
[Meghan] But, you can’t take advantage of any of these benefits unless you try networking for yourself. And with many networking events going virtual, it’s easier than ever to get started.
Simply checking out your local MeetUp will reveal fun events and things to do. You don’t need to visit a networking specific event per se, but it’s a place to start, especially if you enjoy in-person interactions.
I’ve done most of my networking online via social media and business-related membership groups (like the one where Theresa and I first met). So, that’s where I started.
[Theresa] But again, you have to start. You may feel a little uncomfortable at first, but every time you do it it’ll get easier.
I’m a total introvert, so in the beginning I really had to push myself and get outside of my comfort zone. As a matter of fact, I had to set very specific goals for my networking in the beginning. For example, I would plan a strategy in advance of the meeting. For example, my goal would be to introduce myself to three new people and learn two things about each of them.
Over time, it began to feel more natural. So, give it a try. See for yourself how developing a strong, professional network can benefit your business and improve your marketing productivity in the long run. You can do it!
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