It’s been said, “It’s not about what you know, it’s about who you know.” This phrase especially applies to those who want to master the art of the brown nose while climbing the corporate ladder at a large multi-billion dollar company.
But this article is not for such people. This article is for entrepreneurs and small business owners who are wondering:
a.) “How can I get the word out about my company?”
b) “Where can I get more leads and sales?”
c.) “Where can I meet other like-minded business owners and employees to learn and exchange ideas?
There are many ways to market a business. The most obvious is direct marketing, such as newspaper ads, flyers, brochures, TV commercials, and radio spots. All of these are great when done correctly. But first, you must decide which medium is right for you, and then you must design or pay someone to develop your message. Once this is done, you sit back and wait for a response. Direct marketing works, but it has to be done right to get a good return on investment. You probably won’t get it right on the first try and adjusting your strategy is the only way to get profitable results.
Networking as a marketing tool
There is another way to market your business with many additional benefits that you simply cannot get with direct marketing. It’s called Networks. Most small business owners and startups don’t do it or don’t do it enough. Those who are doing it know it works. There are many ways to network and this article will go into detail about many of them. And no, we’re not talking about “networking” with the stranger at the gas station and telling them all about your business.
My business, a web and graphic design studio, was only a few months old when I realized it was time to start meeting new leads face to face. Yes, initially I kept myself busy while exhausting the resource of “friends, family and their referrals”, but I knew my business needed something more if I was going to be in it for the long haul. I started with a networking event that I was dreading going to because I didn’t like meeting new people. I’m great with people when I meet them, but I had a really hard time talking to complete strangers, especially business professionals.
The first event was a Chamber of Commerce luncheon. From then on, my desire to meet other entrepreneurs skyrocketed. I was shy at first, but you just have to go with the sharks, so to speak. I quickly overcame my fear of speaking to new people, as well as my fear of public speaking. If you love talking to new people, you can skip the whole “getting used to” step. Some small business owners are very good at running their businesses, but contact with other people may not be their strong suit. That’s why you have to force yourself to network or have another more sociable person in the business do it for you.
Networking is great because so many things are happening at once. You meet motivated people like you. You are talking about your business and learning about other small businesses. You are brainstorming ideas that will benefit everyone in the group. Eventually, once people know and trust you, you’ll start getting leads and sales.
You have to put in the work and time to get results from networking. Networking is all about developing relationships and that doesn’t always happen on the first try. There’s a lot of commerce in our capitalist society, so when you’re producing a big-ticket item like a custom website, home remodeling, or financial services, people will be much more inclined to buy from you if they trust you. The same principle applies to almost everything you sell. Once people know that you are a legitimate business owner, they will have no problem buying from you or referring someone to buy from you.
OK, enough about networking in theory. Let’s explore some groups, organizations, and other ways to network.
open network groups
Chamber of Commerce – Almost every city has one. Some are invaluable, while others can be a complete bummer. It really depends on where you are and who runs the organization. Our local chamber of commerce has been great at starting my networking mistake. Although I have put other people in my industry who may be competitors, I have actually formed alliances and a referral system to exchange business with them. Plus, you’ll meet a ton of people in other industries that you can learn from. There are some common factors that apply to all businesses, so it’s to your benefit to learn how other people are running their businesses so you can borrow or innovate their ideas.
Just google “Your city: Chamber of Commerce”.
small business alliances – I know my city has one and it’s incredibly beneficial because they focus on the growth side of running a business. They help with all the questions a small business owner might have, like: What do I need to know about my lease? Do I want an employee 401K plan or who can help me find good insurance? Anything related to small business growing pains! Try this site and see if there is a local chapter http://amiba.net/. Keep in mind that there are plenty of other small business alliances outside of the American Independent Business Alliance. My SBA is actually a local that is not associated with AMIBA.
meetup.com – Yes, there is actually a site that connects people and brings them together in real life. I have yet to go to the Meetup.com event, but that’s only because I discovered the site a few weeks ago. It looks very promising. “Meetings” are usually free, and if they cost money, you usually pay for food, drinks, and space.
Meetup.com has every type of group imaginable, from single moms meetups to Dungeons & Dragons meetups. If you search hard enough, you’ll find the gold nuggets that relate directly to small businesses, entrepreneurs, or even your industry. The great thing about Meetup.com is that you can start your own group if they don’t have what you’re looking for!
rotary clubs – We are not yet part of a Rotary club, but are a well-established business networking organization that helps the community. Being part of a Rotary can add additional credibility to your business. From their site: “Rotary is the world’s oldest service club organization. It is made up of more than 32,000 Rotary clubs in nearly 170 countries. Members of these autonomous clubs are called Rotarians and form a global network of 1.2 million of leading businesses and professionals, all volunteering their time and talents to serve their communities and the world. Individual Rotary clubs, in turn, belong to the worldwide association Rotary International.”
lead groups – These groups have one goal in mind: networking. Some are national and others have a chapter. Some are open and some are closed. You have to do a lot of searching to find these groups, but they can be some of the best resources out there.
Google “Positive Customer Groups: Your City”
Closed Groups
Suggestion – This is a networking group that only allows one company from each industry, hence the title of a closed group. The exclusivity of closed groups is great if you can get in with a good group that has every intention of growing. That means you’ll have all members acting as your salespeople, which is much more cost-effective than hiring a 20+ person sales team.
This group has a greater sense of trust among members than let’s say a “Chamber of Commerce”, because you are with them every week and get to know each member and their business individually. There are plenty of chapters in the US, so check it out at http://www.letip.com
BNI – Very similar to LeTip. One company per industry. Both BNI and LeTip have training programs that help you learn how to market yourself to others quickly and effectively. The only drawback is that closed groups usually don’t allow you to be a part of other closed groups, so you should choose one you like and stick with it. Loyalty is important. If you have more than one person in your company, divide between the different closed groups. Visit http://www.bni.com for more information.
Networking is essential for small business growth.
I’m sure I missed a lot of groups on the list because I don’t know what they all are. Some intense Internet searching or communication with other business owners can generate great results for your area.
I’m pretty new to the networking game. I can’t imagine what it will be like in a year or two, but I promise you it will be exciting. There is no other way to grow a business like small business networking because you will come face to face with like-minded people. They are going to be your customers, allies or, in some cases, both.
One thing is for sure though, if you stick with these like-minded people in the groups and organizations mentioned above, your business will grow faster than you could have imagined. If you’re sick of spending money on direct marketing or just sitting around wondering why your business isn’t growing, get out there and meet new people. The worst case scenario is that you will make a friend and get a free meal.