Learn what new research reveals about the importance of referrals in building sales pipeline and get practical tips for implementing and running a successful referral program based on the research.
New Research Reveals How to Raise Your Referral Game
1. Truman Tang
Senior Advocate
Marketer, Influitive
@trumantang @influitive
New Research:
How To Raise Your
Referral Game
Matt Heinz
President, Heinz
Marketing Inc
@heinzmarketing
2. Housekeeping
Join the conversation on Twitter!
@heinzmarketing
@trumantang @influitive
#advocatemktg
Questions welcome!
The slides will be emailed to you after the webinar.
The full research report will be available in late November.
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3. Last slide first
• Referrals are awesome
• They close faster, at a higher rate, and with more
lifetime value than other leads
• Formal referral programs are key to:
• Greater lead volume
• Lower marketing costs
• Better sales forecasts
• Marketing-driven referral programs are key
• Best-in-class companies let sales sell; marketing drives
referral strategy & execution
4. Survey details
• More than 640 respondents
• B2B sales, marketing and executive leaders
• Variety of industries and company sizes
5. Highlights
• Only 30% of companies have a formalized referral
program
• Companies with referral programs:
• 40% of leads come from referrals
• 2X increase in referral lead volume over 12 months
• 69% report faster time to close
• 59% report higher lifetime value
• 71% report higher conversion rates
7. Two keys to higher
performance
• Marketing manages the program
• 3X more likely to achieve 2015 revenue goals
• Formal tools are in place
• 3X more likely to accelerate creation and conversion
Only 22 percent of companies have these in place!
9. From the front lines…
• 56 percent of sales reps deem referrals “very
important”
• 68 percent of reps with formal referral programs
rated their referral tools as effective or highly
effective
• Vs 40 percent of those without formal programs
• 45 percent of reps with a referral program expect
their closed deals to increase in the next 12 months
• 47 percent of those without a referral program expect
their sales to remain flat
10. The impact for larger
companiesAmong companies with 200+ employees:
12. Referrals aren’t passive
Be proactive: don’t wait for referrals to come to you!
1.Sales – Ask every prospect
2.Marketing – Nurture customers toward referrals
through smaller requests
3.Both – Make it fun, easy and transparent
4.Both – Connect advocates directly with prospects
in their network
13. Fun referral contests
Going, Going, Gone! How We Auctioned Our Way to 26 Hot Customer Referrals
How We Got Our Advocates Fired Up To Send Us 20 Referrals
Marketo success story coming soon!
15. Last slide last
• Referrals are awesome
• They close faster, at a higher rate, and with more
lifetime value than other leads
• Formal referral programs are key to:
• Greater lead volume
• Lower marketing costs
• Better sales forecasts
• Marketing-driven referral programs are key
• Best-in-class companies let sales sell; marketing drives
referral strategy & execution
16. Your homework…
1. How does YOUR company generate and manage
referrals today?
2. What is your 2016 referral strategy?
3. Who will own it and execute it?
4. How will you manage and measure it?
87 percent reported highly effective sales efforts
Vs 42 percent without referral programs
67 percent reported highly effective pipelines
Vs 36 percent without referral programs
Nearly 4X more likely to have a “very involved” marketing department in referral activities
58 percent vs 15 percent