Most MSPs are on a mission to grow by expanding their client base. But as we all know, finding new leads and getting them to close isn’t easy and doesn’t happen overnight. MSP referrals are an effective, and often neglected, lead-generation strategy.
What Is a Referral Network?
A referral network is a group of advocates who send clients your way. At the heart of your managed service provider network are your happiest clients, and from there, your network can ripple out to include individual professionals and other businesses. Some of this happens organically through word of mouth as you build a reputation and nurture relationships in your industry. But building strong, reliable B2B referral networks requires effort.
84% of B2B buying decisions start with a referral.
Are Referrals Easier to Sell?
Yes! Think about it: If you’re shopping for a new refrigerator, you’ll probably do some research and read customer reviews before you make a purchase. After all, who wouldn’t be interested in candid, first-hand experiences from people with nothing to gain?
Reviews are persuasive, and many buying decisions are made based on glowing and disparaging reviews. MSP referrals are similar but even more powerful because they come from people you know and trust.
Today’s consumers are more informed than ever before, and business is incredibly competitive. The managed services space is no different. You can bet your prospects are doing their homework and are understandably hesitant to hand over the keys to their infrastructure to a stranger.
MSP referrals can not only get your foot in the door with a prospect; they can absolutely make it easier for prospects to make a decision.
B2B buyers are 5x more likely to engage when introduced.
Start with Your Customers
Motivate your customers to send you referrals with a recurring email campaign offering a reward with impact. Tip: Don’t make the critical mistake of offering a reward that doesn’t provide sufficient value. Encourage clients to act with a reward that makes it worth their while.
4 Keys to Sustaining MSP Referral Network Momentum
- Identify qualified referrals. Make a list of potential referral sources outside of your client base. These are businesses or vendors, like telecom or cloud providers, likely to be working with potential clients.
- Focus on relationships. Sustaining a strong small business network is a long-term effort. Now that you’ve identified your potential referral sources, take the time to initiate contact and nurture those relationships.
- Demonstrate your value. Create opportunities to provide value to potential MSP referral sources by giving them reasons to work with you. Examples include offering to speak at a seminar or writing an article.
- Perform regular check-ins. Make a habit of personally reaching out to one of your best customers each week. Use this time as a quick touch-base. You never know where the conversation could lead.
Referred customers have a 16% higher lifetime value.
-Journal of Marketing
One final note: Don’t lose sight of the foundation of every solid small business network—your happy customers. Satisfied clients take dedication and hard work. Keep your promises. Guard your brand. Protect your reputation by continuing to do whatever it is that keeps your clients happy.
Marketopia Can Help
With an award-winning agency, digital marketing experts and sales enablement solutions dedicated to the technology industry, Marketopia provides proven solutions to help MSPs accelerate growth.
Contact us to learn more about our monthly marketing campaigns for prospects, clients and potential referrals. Schedule a free MSP growth consultation today.