In the business world, especially for the self-employed, word-of-mouth is often considered a real bargain. It is an effective and inexpensive way to acquire new customers. A survey carried out on LinkedIn with the tool Waalaxy showed that the majority of the 100 professionals interviewed attribute their new business opportunities to word-of-mouth.
However, despite this recognition, few freelancers choose to be paid for the business they bring. Not asking for compensation for recommendations is a big strategic mistake.
This can affect the sustainability and competitiveness of a business provider. Here are three main reasons: first, it's difficult to trade favors fairly in professional networks; second, not getting paid can devalue your work; and third, the competition is ready to value what you do.
This article explains why it is essential for business suppliers to ask for compensation for their contributions. This helps strengthen their position, boost their business, and maintain a competitive edge.
In business, we like to be of service when we receive one. But in varied and specialized professional networks, it is not always easy. Often, the provider's network does not correspond to the needs of the people to whom he has brought business. For example, you can refer someone whose services are not useful to your own customers. This makes reciprocity difficult and creates an imbalance in the exchange of value.
When a Provider recommends your services, he shows his confidence in you and wants to support your business. If you don't get paid for this contribution, it can be seen as a lack of recognition. Asking for compensation shows that you value your work and your network. Receiving a share of the revenue from your recommendations helps to establish a relationship of mutual recognition. This encourages the provider to continue to recommend services in the future.
If a contributor does not see his efforts recognized by A remuneration, he may feel undervalued and lose motivation. Without tangible recognition, they could reduce their commitment or stop recommending services. This may slow down the activity of the provider. Getting paid creates a virtuous circle, encouraging the provider to continue to generate quality leads.
Sharing a portion of the revenue with the businesses you bring business to is not just a matter of gratitude. It is also an effective way to retain these valuable partners. By asking for a commission, you show that you value not only the recommendations, but also your network and expertise. This approach creates a long-term relationship of trust, encouraging businesses to continue working with you. Plus, it shows others in your network that you deserve their trust and referral efforts.
In a competitive market, business providers are a valuable resource. If your competitors pay the providers, you risk losing opportunities. Imagine that you are a provider and that you have the choice between two similar companies. One thanks you but does not offer you anything tangible, the other offers you a commission for each customer brought. You will probably choose the second option, where your work is valued financially.
Requesting compensation for business brought in can be a winning strategy. This creates a virtuous circle where financial recognition pushes businesses to invest more in working with you. Offering compensation builds loyalty and encourages long-term collaboration. This shows that you see these individuals as strategic partners and not as temporary ways to get new contracts.
Finally, an attractive remuneration policy can attract new businesses to your network. Professionals are more likely to work with you if they know they will be rewarded for their efforts. This can broaden your reach and increase the acquisition of new customers through qualified referrals.
Asking for business brought in can give you an important competitive advantage. This approach strengthens your existing relationships and attracts potential new collaborators who are motivated by the idea of working with someone who values and rewards their efforts. In the end, this means an increase in your turnover and a solidification of your position in the market.
