Over time, even the most seasoned BNI groups can lose sight of the fundamentals. Obviously, one of the most important concepts in referral marketing is the referral itself. So, today I am focusing on the following 3 fundamental concepts. First, we need to understand what constitutes a referral. Then, I will review the proper way to fill out a BNI referral slip. Finally, I will discuss some important issues with regard to closing a sale that began as a referral.

A referral slip is perhaps the most important BNI ‘tool of the trade’. It is why members spend hundreds of hours each year networking in BNI. So, it is one of the most critical concepts to understand. First and foremost, for a referral slip to be counted, it must be completed properly. This means that contact information must be included. A referral slip with the words, “I will get back to you with the information” is simply not yet a referral and cannot be counted as such.

Next, we need to make sure we are using the thermometer properly.  Consider the referral thermometer as a measure of  the level of introduction. For instance, If I mention a name in passing and the person is expecting a call, the level is a one. If I follow-up with a testimonial and strong recommendation, it may be a 2 or 3. If I continue with a telephone introduction, that may be a 3 or 4. If I go with someone on a sales call to the referral, that would be a five.

Knowing the level of introduction is important for someone being referred. No one wants to call on a referral and have the person at the other end of the phone say, “Who are you?” In BNI, we try to give referrals at level 3 or above. Anything less than a one is simply a lead … and we do not give leads in BNI. We give bona fide, qualified referrals.

It is also important to note that a referral should only be given the first time a new customer is introduced. So, when I have the printer in my group produce business cards, that is a referral. A week later, when I ask him to print other items, it is not a new referral.

Finally, if you are receiving referral slips and are not able to close a large percentage of the sales, I have some bad news. You are not getting referrals … you are getting leads. If this is the case, ask someone for assistance with your sales manager minute or focus on the way you are asking for referrals. Many people in the group are eager to assist you. After all, we are all in BNI to make money!