Do Not Pay a Referral Fee

A business owner raised an interesting point the other day, "that business owners may decide not to pay referral fees once the sale has been made".

In other words the business owner engages the interest Massachusetts Lemon Laws his Contact, takes full advantage of the Contact's referral position, makes a sale Delaware Lemon Laws decides not to compensate the referrer after it was agreed there would be a monetary reward. So the business owner makes his sale and the Contact gets nothing.

While this scenario is completely possible, it HOWEVER defies the natural law of give and take, you scratch my back I scratch yours, nothing for nothing or as some people put it "givers gain".

This behavior is not self sustaining because it is counterproductive!

Remember that the BO's ultimate goal is to build a formidable sales team over time by attracting dependable and consistent people with whom a strong relationship is built, through communication.

By not compensating Contacts the business owner is breaking the agreement made with them and will be labeled a fraud.

The consequences are serious: the business owner will not get any additional potential clients from Contacts and they will not speak well of him, and we know how fast viatical settlement company news travels. Very soon this merchant will be doomed and will never be as successful as he could have been. An analogy is a corporation not paying its salespeople . . . the concept is ludicrous!

It is in the merchant's best interest to not only attract good people, but then also reward them well and on time so they will be motivated to forward more referrals over time.

Choosing not to pay a referral fee is the same as not making the next sale. So pay the referral fee and make another sale. The referral fee is your marketing cost, the cost of a profitable business. Business is about building and maintaining relationships by rewarding those who help. There is only one way to go . . . Increase your sales by building relationships and harness the referral power of those people

Online interactive referral sales tracking and management programs can help you manage your referrals by tracking the sales process for you; it is the obvious way to go in today's fast paced, competitive high-tech world.

Download the eye opening PowerPoint Show "Sales statistics from U.S. National Sales Executive Association concerning sales persistence".

Get it at www.persistence.sales1up.com/">www.persistence.sales1up.com

Moreno Perazzolo B.Sc MBA Creator of the ground breaking online referral sales tracking and management system, designed to harness the referral power of all the people the business owner knows, thereby significantly increasing sales and profits. moreno@sales1up.com

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