Free-Reprint Article Written by: Judy Murdoch See Terms of Reprint Below.
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Additional Article Information: =============================== 345 Words; formatted to 65 Characters per Line Distribution Date and Time: 2006-10-11 10:24:00 Written By: Judy Murdoch Copyright: 2006 Contact Email: mailto:[EMAIL PROTECTED] For more free-reprint articles by Judy Murdoch, please visit: http://thePhantomWriters.com/free_content/d/index.shtml#Judy_Murdoch ============================================= Special Notice For Publishers and Webmasters: ============================================= If you use this article on your website or in your ezine, We Want To Know About It. Use the following URL to let us know where you have used this article, and we will include a link to your website on thePhantomWriters.com: http://thephantomwriters.com/notify.php?id=3696&p=load HTML Copy-and-Paste and TEXT Copy-and-Paste Versions Of Article Are Available at: http://thePhantomWriters.com/free_content/db/m/pay-cash-for-referrals.shtml#get_code --------------------------------------------------------------------- Why You DON'T Pay Cash for Referrals Copyright (c) 2006 Judy Murdoch Highly Contagious Marketing http://www.judymurdoch.com/workbook.htm >From time to time, a business owner will ask me whether it's ok to give customers cash payments in exchange for qualified referrals. It seems reasonable: companies pay their sales people to develop new business; aren't customers and colleagues who send referrals the equivalent of sales people? The answer is NO because what motivates a sales person is entirely different from what motivates a referral source. And the source of motivation makes all the difference in the power of the sales message. Sales people are motivated by money. I don't mean to imply that money is the only thing sales people care about. The good ones believe in their products and services and are jazzed by the idea of building a business. Still, if the money wasn't there, they'd go sell for someone else. People make referrals because it makes them look good to others. When you solve someone's problem by referring them to a company whose products and solutions are a perfect fit, you have passed on a bit of "secret" information (they didn't know about the business after all) and you have enhanced your credibility and reputation. This is what gives referrals such extraordinary power: someone is so certain the referred business will do a superb job that they are willing to put their reputation on the line. Indeed, they believe that giving the referral actually will IMPROVE their reputation. That's quite a testimonial. When you pay someone for making a referral, you taint the motivation and they lose credibility as a referral source. Think about paid celebrity endorsements. You see a well-known actress touting exercise equipment on TV. Does she use that equipment? Probably not. It's more likely that she has a personal trainer and uses state of the art fitness equipment to remain a size 4. We assume she's doing the promotion because the company is paying her to do so. On rare occasions, a cash gift might be appropriate, perhaps when it is entirely unexpected and is truly a gift. But as a policy, cash for referrals are a bad idea. --------------------------------------------------------------------- Judy Murdoch helps small business owners create low-cost, effective marketing campaigns using word-of-mouth referrals, guerrilla marketing activities, and selected strategic alliances. To download a free copy of the workbook, "Where Does it Hurt? Marketing Solutions to the problems that Drive Your Customers Crazy!" go to http://www.judymurdoch.com/workbook.htm You can contact Judy at 303-475-2015 or [EMAIL PROTECTED] --- END ARTICLE --- Get HTML or TEXT Copy-and-Paste Versions Of This Article at: http://thePhantomWriters.com/free_content/db/m/pay-cash-for-referrals.shtml#get_code ..................................... TERMS OF REPRINT - Publication Rules (Last Updated: May 11, 2006) Our TERMS OF REPRINT are fully enforcable under the terms of: The Digital Millennium Copyright Act http://thomas.loc.gov/cgi-bin/query/z?c105:H.R.2281.ENR: ..................................... *** Digital Reprint Rights *** * If you publish this article in a website/forum/blog, You Must Set All URL's or Mailto Addresses in the body of the article AND in the Author's Resource Box as Hyperlinks (clickable links). * Links must remain in the form that we published them. 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