Referrals - Contractor Talk - Professional Construction and Remodeling Forum

**Nathan** · 11-03-2003, 12:40 PM

What does your company do to encourage referrals?
Do you offer any incentives?

-Nathan

**Floorwizard** · 11-03-2003, 12:54 PM

I have an Alaskan airlines milage incentive. When a client buys from me, I give them a refferal bonus of Alaska airlines miles, if their friends and family buy from me. The miles depend on their purchase. It works well.

Grumpy · 11-03-2003, 03:45 PM

I give them $150 if I make a sale from their referral.

**Nathan** · 11-10-2003, 08:41 PM

wow, $150 seems pretty high. I bet you would have the same results with $100 or $50 incentives. The money just makes them think.

-Nathan

Grumpy · 11-10-2003, 08:58 PM

We've done the math. Each job costs us $150 on average. Why mess up our averages?

Next year it may be $100 or $200 depending.

I am a total ass but when ever I receive a referral I always add $150 to the job I am bidding. Their friend doesn't know it but they end up paying for the referral fee.

**Nathan** · 02-17-2004, 08:33 PM

I'd like to hear what everyone else is doing to encourage referrals too.

**Teetorbilt** · 02-17-2004, 09:24 PM

Where I am, just returning phone messages and showing up (especially on time) will get you more referrals than anything else I've tried.
Birddogs work but if they don't run into anyone for a few months that need your services they tend to forget you.
Word of mouth has been, by far, the best for my businesses.