Referral Source Marketing Strategies that Work

As you look to grow your business, a strong marketing plan is an important component of success. When considering and developing your marketing plan, look beyond the traditional forms of advertising, direct mail and email campaigns. Marketing to the multiple referral sources in your community is a proven and effective way to get the word out about your business and broaden your client base.

Define Your Ideal Referral Source

Really take some time to think about the organizations that could be ideal partners in promoting your business within the community. You will be surprised at the number of businesses that fit the profile. The more detail you provide when defining potential referral sources, the more successful this segment of your marketing program will become.

Establish Your Program

At every DME provider across the country, employees wear multiple hats, playing many roles to keep the organization moving forward. It’s important to designate a specific person within, or to hire someone from outside your company, to operate your referral source marketing program. Choose this person wisely. Take time to consider the qualities needed, as this person will become the face and image of your company in the community. Don’t assume you can mold this person into what you need. That could be a waste of time and money. Select an individual who fits the mold from the start and needs only company-specific training to hit the ground running.

Establish Your Message

Before you send your marketer out into the community to promote your business, he or she must have a great story to tell. That story will make or break this new program for you. What do you want your new champion to say about your company? In other words, what sets your DME business apart from the competition? What makes you different? Educate referral sources about your company. Does it have a unique history in your town? Is it second- or third-generation owned? What types of professionals do you have on staff—PTs, OTs, ATPs? If you have staff members who have been employed there for many years, talk about their extensive experience and commitment to the community. Talk about the services you offer and the product solutions you have for their clients. Have a strong understanding of the manufacturers you partner with so you can share their stories as well.

Target the Right Referral Sources

Every community is different, but those communities with an overall large population or a high population of senior citizens or have a variety of organizations that can develop into referral sources. Consider:

• assisted living facilities
• adult day care centers
• senior community centers
• physical and occupational therapy outpatient centers
• rehab hospitals
• geriatric medical practices
• home health care agencies

Build the Relationships

Once you’ve developed a target list of potential referral sources, it’s time to create relationships with them. Building these relationships will be the most challenging aspect of this program. Sustaining these relationships will be the most important. The fastest way to damage a referral-source relationship before it even starts is by not following the proper channels with each organization. The process may take some time, but by following a few common sense steps, long-term success can be had. Start with a well-written, concise letter introducing yourself as the new marketing manager for your company. Include a business card and explain that you will follow up with a phone call to arrange a meeting. Give a time frame for contact, and ensure that you follow through. First impressions make lasting impressions. If you state in the letter that you are going to follow up with a phone call this week, and you don’t call for three weeks, you have wasted an opportunity to make a good first impression. Continue to build the relationship by holding regular meetings and in-services. Educate your referral sources on your company and the products you carry, especially in any area of expertise. Introduce just one or two products at each meeting to avoid overwhelming them. Be accommodating. If meeting early in the morning before the store opens, offer to bring in breakfast and coffee. Invite them to visit your store to see more of your selection during the hours they are closed, even if it means you have to open the store and be there just for them. Provide several copies of a marketing kit for each location. Your marketing kit should include product specification sheets, Medicare worksheets if applicable, consumer-oriented brochures with your company’s contact information, a complete list of contacts within your company and an emergency contact during nonbusiness hours.

Run a Successful Referral-Based Event

If at all possible, offer to hold the event outside of business hours, based on your referral sources’ convenience. Explain that conducting the event outside of their business hours will enable you to be more efficient with their time. If you are holding the session at your store, make it invitation-only and be certain they understand that refreshments will be served (be specific if it’s light snacks, breakfast, lunch or dinner). Ensure they know it’s free of charge.

Track Activities to Determine Success

The only way to ensure success of your new referral source marketing program is to track your marketing manager’s activities daily and monitor those sources that provide the most referrals. Establish a database system within your organization and use the database to keep daily call and appointment logs with action items clearly noted. This will help keep track of promises made and information requested to make certain everything is completed on time. During the course of conversations with each and every customer, ask them how they heard about your company or why they are there. Keep track of this data so you know which sources are actually referring business to you and which are not. Those that are referring business to you should be thanked with a handwritten note or a phone call, especially in the beginning as you work to build a solid relationship. Sources you have visited with that are not referring to you will need more follow up. In the event a customer buys a product and becomes your client, follow up with the referral source as well. This will show the source that you are a true business partner with them and that the time spent building the relationship is not one-sided.