How to Get Referrals at the Point of Sale

I was asked, “How do you get referrals at the point of sale?” Unfortunately the person did not leave their e-mail so I hope they eventually find the Blog answer. LOL

This is a great question and one that, believe it or not, has a simple answer; ASK! I’m not joking. The primary reason that most salespeople don’t get referrals is that they don’t ask for them. This happens for a number of reasons. First, often the salesperson is nervous asking for referrals, believing that if they upset the customer now that perhaps they will decide not to go through with their purchase. This is an unwarranted concern. Another reason salespeople fail to ask for referrals is simply the fear of rejection. Some salespeople don’t feel comfortable asking for referrals at the point of sale because they have a belief system that says, “I can’t ask for referrals yet because I haven’t provided any service to them yet.” This is a classic case of how one’s own belief systems get transferred onto the client. If a salesperson believes this—even if they ask for referrals—they will decrease the likelihood of getting names because unconsciously they are sending bad vibes to the new member. Still another reason why salespeople don’t ask is they just don’t know how. Hence, they don’t want to sound silly and avoid it all together.

When a salesperson doesn’t ask for referrals at the point of sale they miss a tremendous opportunity to turn one sale into many because when someone is enrolling they are most likely to give referrals for several reasons. First, this is when the customer is most excited about their purchase. The club (and hopefully you) have not done anything to upset them and they have a positive association. Second, people have a need to justify their purchases. By getting others involved in a product or service they have purchased the customer feels better. Finally, referrals help a new member stick with their exercise program by creating a support system. For all of these reasons and others that I won’t even get into, asking for referrals at the point of sale is important.

The good news is that asking for referrals at the point of sale is not difficult. You only need several things.

A system that outlines the referral program at your club, ensuring it has value, scarcity and urgency.
A referral form to use with members at the point of sale.
A script so you can memorize the presentation.
Referral passes to use once you have obtained the referrals.

The basic philosophy and approach is outlining to the member that they have guest privileges to the club at a certain rate per visit (for example, $15 per visit). Next, offering the member a certain number (3-5) of special guest passes that allow their select friends to try out the club for free (1 day to 1 week).

Because these passes have value and without them the member has to pay for their friends to try out the club, there is a strong incentive for the new member to give the referrals.

Of course, there are many, many details about a referral program that will impact the success of getting names. Perhaps in future Blog postings we can address those specific issues and concerns. In the meantime remember the basic rule to getting referrals at the point of sale—ask!
I have posted a great article on an in-club referral program with a twist on my website. The link to the page is www.healthclubsalestraining.com/referralprogramwithatwist.html

In good health, Casey