The Danger of a Referral

There is a concept we train inside of Sandler, known as ‘prospecting hierarchy.’

Many believe that a referral is at the top of this hierarchy, but it is just below “new business from an existing account” (Expand inside of the Sandler KARE model). However, for most salespeople, a referral or “warm introduction” is still gold at the top of the sales pipeline.

The excitement from getting a warm introduction can make some salespeople not want to do the things they should do inside their sales process.

Although in sales, we love getting a referral, we must stay committed to being in our usual selling system. This starts at the beginning before you even receive a referral.

First, you must start with an Up Front Contract to the person giving the referral, that states, while you appreciate the introduction, you must still qualify the opportunity.

Everyone wins when the salesperson is still committed to qualifying –
1. The salesperson doesn’t end up going through the motions to keep someone happy.
2. The prospect has no pressure to say yes, just because they were introduced.
3. The referee has little pressure to know that the salesperson isn’t going to try to sell something to the prospect that isn’t wanted or needed.

Stay committed to qualifying, even in referrals.

Speaking from experience, straying away from the Sandler Selling System can have huge time, money, and opportunity costs on referrals, that you will learn from quickly.

Or, take the advice of this blog, and qualify hard even if you think the referral is “in the bag!”

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