Networking is probably the most misunderstood method of marketing yet.
What is networking?How should we go about it? Is networking just for acquiring new business?Does it work for only certain types of businesses?How have people built their entire business based on networking?I set out to answer these questions and I welcome feedback and comments from everyone.The Purpose of Networking?
Successful networking is neither art nor science. It is a result of commitment, determination, and plenty of hard work. The ability to succeed in this area, is not innate. Like any new behavior, the more you practice the skills of networking, the easier they become. Oh yes, there are skills to effective networking. Of course like anything else, networking requires constant attention. That means having a proven networking strategy, keeping sharp, staying in touch with people, and maintaining communication in a sincere and genuine way. We will look at methods of successful networking, how to develop your own business network, and how to make sure that you are never more than one phone call away from getting what it is that you need.Networking Defined
“A business relationship formed to meet the needs of two parties or more on an ongoing basis.”Networking’s Bad Rap
Today, it seems that networking has a bad reputation. Many dismiss networking as a viable marketing medium. It’s not surprising really. Just attend one of the many networking meetings in your area and fend off the jackals that hungrily compete for your business or contact list. Often times I’ve found myself being eyed up at networking meetings only to feel like a goldfish in an aquarium full of piranhas. Will I be chewed up or just swallowed whole? To say the least it can be a real turn off. Most people go to these events with one thing on their mind, “getting business for themselves. NOW!” How naive they must be to think that people will give up their trusted contacts after having just met them! But networking is far more than just exchanging business cards over coffee and doughnuts.Don’t Be Afraid To Give It Away
Over the years, I have come to realize that networking is about building long term relationships that are based on trust, credibility and genuine concern for the other person. Believe me, it’s not about how many business cards you have, or even who you know. It’s about who wants to know you. True networking begins when people really want to know you, and when people call you for advise or to get your opinion before they make a change in their business. But how do we attract people to us? What will make people want to know us? The old adage applies here. What’s in it for them? President John F. Kennedy said, “It is not what your country can do for you, but what you can do for your country.” But, how can we help others? The same is true in networking. What do we have to offer that may be valuable to others?Step One
The first step is to identify business categories that you want to build a relationships in. For me, as a business advisor these include CPA’s, financial consultants, designers and ad agencies, attorneys, media representatives and more. What are the categories for your business? The trick is to meet these people and build a relationship BEFORE you need their help.Step Two
Our next step is to perform a self-inventory of our skills, abilities, talents, and contacts as they relate to our fellow networkers. I suggest creating a chart which includes in formation such as our fellow networker’s name, type of business, specific needs and desires as well as their talents, abilities, contacts, memberships and so on. Some of the abilities, which could be valuable to others in your network, may have absolutely nothing to do with business. For example, I’m fairly good at golf. I found out that someone in my personal referral network was interested in finding some golf partners. I have invited that person to play golf in our foursome several times. Not only have we had the pleasure of including them in our activities, but I have had the opportunity to find out more about their business and talk to them about what it is I do and how I help my customers. As a result, I have received a referral for a fairly large printing job, which we are working on at this very moment. I am also a classical guitarist. I was playing a tape in my car one day while taking a fellow networker and prominent Real Estate Agent to lunch. She heard the music and told me her daughter was getting married and she wanted to have that kind of music for the cocktail hour at the wedding. When I told her that it was me and I would play for free at her daughter’s wedding, she was ecstatic. She reviewed her contact list with me and wrote a letter to every person on the list introducing me as a resource for them.
What talents, abilities, contacts, and skills do you have? How can you exploit them to HELP others!Step Three
The third step is know what to say when in a networking situation. Helping the other person is of course foremost, but we also have to make sure that our fellow networkers know and understand what it is that we do and HOW we have benefited our clients. I like to boil this down to what I call a “Benefit Profile.” The “Benefit Profile” should be no more than 30 seconds, NOT sound like a sales pitch and include the following:
- Your typical client
- Client challenges
- Client benefits
- How you are different
My Benefit Profile is as follows:
My customers are typically companies in the $2 million to $10 million range. They have exceptional product quality and responsive service. In the past they were very profitable but now find they face price competition from cheap imitators. They like that our marketing and management consulting programs go beyond just preparing ads and promo material. They say we’re more affordable because we’re NOT paid based on a percentage of advertising. Our mission is to propose creative solutions, influence direction and generate greater profitability for our clients. (Learn more about how to build powerful “Benefit Profiles” in my upcoming Dale Carnegie Class in Long Beach, CA starting this December).Know Where the Bodies Are Buried
As Harvey Mackay states in his book, Dig Your Well Before You’re Thirsty, “Networking may not be rocket science, but studies prove it works with rocket scientists.” Consider the scientific community. Scientific superstars are typically perceived as loners, nerds in white coats. Nothing can be further from the truth. The reality is that scientist and engineers are the best networkers on the planet. They know who to dial-up when they need to find grant or research money. When they are stuck with a problem they can call on the experts in the field to get their opinion. They even know how to become celebrated in the press to promote themselves and new discoveries.Some may be familiar with the movie Six Degrees Separation. It refers to the theory that there’s a chain of no more than six people that link every person on this planet to every other person. That means if we know the right people and they respect, trust and admire us we can get to know just about any other person we need. It’s all about people.Taking a Risk
Taking a risk is critical when building an effective networking team. By taking a risk, I mean allowing yourself to fail. This gets back to the concept of giving for the sake of giving and expecting nothing return. Of course we want to network with those that have the capacity to help us in the future, if not now. But if others know that we are giving to them strictly for the reason of helping them, they’ll be much more inclined to refer us to those that might have the capacity to buy our product or service.