Use This Amazing Old Method Of Getting New Business

Do you know your CAC? For those of you wondering, that’s your Customer Acquisition Cost. If you don’t know, you better ask somebody!

BTW, if the profit generated from your average customer, is less than your CAC you got problems!!

Most of us are constantly trying to grow our business, that means getting new customers! I’ll bet you’re spending a good sum of money on ads and marketing?

Here’s something you should know:

92% of consumers

Prefer a recommendation from a friend or family member over all other forms of advertising

Referrals: The Lost Art and How To Get Them

I don’t like working any harder than I have too. Having an ads and marketing budget is essential, but are you actively trying to get referrals?

  • Referrals generate 3-5x higher conversion rates than any other channel
  • Referred customers bring you 25% higher profit margins
  • Customers acquired through referrals spend 200% more than the average customer.

Referrals are pure gold!!

There are a few ways to go about getting a referral. Let’s start with the direct method first.


91% of customers say they'd give referrals, only 11% of salespeople ask. Click To Tweet

If you’re afraid to ask for a referral, you have to ask yourself “why?”.

If you’re doing a great job, asking for a referral shouldn’t give you the cold sweats!

If you’re afraid your customers won’t want to refer you, then use this as an opportunity to find out why and make changesYou should have a great relationship with your customers.

Need ways to improve customer relationships? Read
Why Customer Retention is So Damn Important To Your Business, and the $66,000 answer

So let’s assume you’re awesome and your customers love you.

Let’s get you some referrals!!

The least intrusive way to get a referral is to send a friendly email. You should be in regular contact with your customers anyways.

So send an email asking for a referral. Here’s one that we’ve sent to our customers.

Hey Customer!

Did you know that 92% of consumers prefer a recommendation from a friend or family member over all other forms of advertising? We take that very seriously around here! If you know of any friends or colleagues that could benefit from our services, we’d love to introduce ourselves.

Don’t worry we are not going to spam them or sign them up to any of our email lists. That’s not our style! 🙂

We simply want to see if we can help their business via social media.

Let us know that best way to contact them, and maybe give them a heads up do we don’t look like weirdo stalkers! lol!

We really appreciate your business and look forward to providing the best social media services anywhere!!


Here’s a couple of key points!

  • We make it clear we are trying to help their friends
  • We never talk about selling anything
  • We assure them we won’t spam their friends This is so important!

This is not intrusive or needy. You can send a follow up as a reminder.

Remember, if you harass them they’ll assume you’ll do the same to their referrals.

You can send an email like this every 3-4 months. People come across new contacts frequently so you should remind them to help spread the word. Yes that has gotten us new customers.

Social Media Shoutout

This is not a direct referral but in this day and age it’s still very effective.This works best when you have a physical product.

Having one of your customers endorse, pose with, or post a picture using your product is a great referral.

The average social media user account has 300 followers. If you could get just 10 people to participate that’s on average 3000 “referrals”.

Want to make sure more people participate?

Run a contest with a giveaway.

Your post should read something like this:

Hey we are giving away one of our (product) Want one? Post a pic of you using one of our (product) Be sure to use #Ineedmore(brandname) Be creative!!!

We have used this many times!

Here’s an Instagram contest we ran with one of our clients Thalia Capos. Followers were asked to post a pic using one of their capos, if they didn’t have one,  they could take a pic of their old capo. All participants used the hashtag #iwannathalia

The winning post got a record setting number of likes and comments for our client.

thalia capos

This contest got a ton of exposure, new followers, more traffic, brand awareness, and a small bump in sales!

I’ll bet you referrals have been  an untapped market for you business. These techniques work! If you’ve been trying to find new customers be sure to add referral marketing to your strategy. It’s comes at a very low cost and can be implemented immediately.

Now what kind of marketer would I be, if I didn’t ask you for a little referral? Now do the right thing, share this post on social media?

Action Steps

  1. Assess your customer relationships
  2. Compose referral request email 
  3. Create Social Media Referral contest
  4. Share This Post!