I was involved in a meeting with owners of small businesses last week. One of the topics was the importance of networking in a recession. The consensus of each of the owners was that, for them, networking is the most cost effective way of building a route to market. Once trusted relationships are in place opportunities are consistently uncovered and shared. You do not have to keep hunting for that one off elusive piece of business.
Your return on investment keeps multiplying as you maintain the relationships.
Another benefit of networking that is little appreciated is this: Over time your costs actually decrease! Once you find the right networking groups and your inner network you spend more time with fewer people.
Compare that to the costs involved in other marketing. You only continue to get results by continuing to spend more.
There is a great quote from James Caplin in this article, Network like no tomorrow, by FT Columnist, Stefan Stern:
“Good networkers form mutually beneficial relationships with other people,” Mr Caplin says. “It’s all about being reciprocal – being of value to someone else who is in turn valuable to you. Effective networking is really ‘a way of being’ – knowing what you have to offer and being prepared to offer it – rather than a sudden burst of counter-productive activity during a break at a conference.”
According to the article James Caplin is working on a book on networking provisionally entitled 'I hate networking'. I look forward to reading it.
I was having a drink with a friend recently who was coming to the end of a contract. He was considering a change of business as he had nothing to move to. During our conversation it became clear that he was only considering something different because that appeared to be somehow easier.
I asked if he knew anyone that could help and he said he couldn't think of anyone. Over the next hour or so I got him to identify 6 Companies that were likely to need his expertise. I then got him to tell me about the people he had worked with & for in the last couple of years. We identified 6 of those that he would phone the next day & arrange to meet for a coffee or drink.
During one of the telephone calls he was asked if he was available for a new project in a couple of weeks!
He is now committed to keeping in contact with these people on a regular basis.
I don't suppose that you know people that you should stay in touch with? What about the people you have worked with & rate highly. People that you can help & advocate, because if you can do that for them they just may be able to do it for you.
I attended a marketing presentation for the owners of small businesses last week.
During one of the discussions people shared the number of different marketing activities they undertook. The average was about 4 or 5 with only a couple including advertising.
The general view was 'advertising doesn't work'. Most of the people who said that had tried it once. Usually with something like Yellow Pages, a local version or an equivalent online directory.
The people who were successful in advertising did it consistently & persistently. They used media which was read, listened to or watched by their target market. For them it was not a one off or occasional activity.
This reminded me of people who say 'networking doesn't work'.
It doesn't if you generally meet people once or twice and expect something first. It does when you get to know people over time & help them with advice, support and introductions. That is where Repetition, Reputation and Results comes in. Think of them as the 3Rs of Networking.
You get to know people by repeated activity and meeting regularly. This means joining a group then consistently attending, and contributing to that group.
You build your reputation by what you give to others. The knowledge you share, the support you provide and the introductions you make.
This motivates others to give back to you and deliver you the results you deserve.
Towards the end of the article Nigel suggests that you adopt a giving attitude in your networking & writes,
"Successful people tend to be helpful people. One of the reasons for this is that many people have helped them to get where they are today. They tend to be happy to give information, advice and (when you get to know them), introductions.
I suggest that you do what they do: give without expectation of return.
It's impossible to give in this life, without getting something of equal or greater value back in return"
