Secrets of Lead Generation - How to Use Referral Marketing to Generate Swarms of Leads

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The objective in business lead generation is to woo prospective customers to try your product/service and then eventually convince them to buy your service/product for long-term use. One way to attract prospective lead is to advertise and send out newsletter via email. But the most effective strategy is by using referral marketing.

Referral-generated customers tend to be more open to your product. They require less convincing and negotiation. This may be because your product was not introduced to them by a stranger; your product was referred to them by their friend, family or colleague. So it makes the experience more personal and more trustworthy.

Here are tips on how to use referral marketing to generate leads:

1. Give your existing clients incentive in return for referring your product to others.

2. Let them "give a gift" to their family and friends. You allow your clients to give free sample of your product to someone they know - gift certificates are the most common referral gift given today.

3. Pay it forward - let your client give free gift to three of his friends and his three friends can also give three free gifts to their friends building a chain. You do not need to do anything after a few such referrals your leads will just grow on their own. This will lead to a steady flow of customers.

4. Create a relationship with a non-competitive company that has the same target market as you have. Have them automatically refer your company to their clients; you can do the same for them or you can give them incentive per client that they refer.

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