I was talking to Gavin Lira, the founder, and CEO of The Empathy Firm. He is my go-to guy when a seasoned entrepreneur or successful business owner is looking to get more PR.

We talked about the power of niching down and how that drives referrals.

Niching down helps in referrals.

When you choose a niche, and you’re known for something like Gavin, who’s a world-class PR, and I’m pretty good when it comes to VAs and locals. So, any lead you get will always be worthwhile because if Gavin receives a lead for hiring VAs, he’ll send it to me. And if I get a lead in PR, I will send it to Gavin.

So it is worth talking to any person who is a customer, even if you can’t service them directly, because either they are your client or they become a referral you can give to somebody else.

You may try to do everything for everybody and keep happy big-ticket clients, but it will not work as there are many moving parts if you do everything.

I would loop in an expert with his skills, as that might complement my skills and would benefit a client in a package. That way, you can confidently take on any particular client because anything you can’t do, you can form a partnership with others, and there’s absolutely nothing wrong with partnering. 

If you are a potential client, it’s better to go through a referral than to go through direct, as you will have someone else’s relationship and trust in that.

referral
Me and Gavin sharing information

Getting referred by others

So, not to say the other vendor or the agency will not take good care of you, but for example, if it’s coming through Gavin, then I know that whoever Gavin’s referring to me is going to take care of me. Because Gavin’s reputation is on the line, so they must do good. 

It is nice to work with people you trust and know are good at what they do. You don’t have to micromanage them as they are great at what they do. There will be a sense of ownership as their establishments are hard, and they can step in.

Think about what you want to be known for

So, consider your niche and what you want to be known for.

And when you’re known for that, you will be a source of referrals for all other people. Your business will grow without lots of salespeople and cold calling.

It’s a lot easier to close a referral, especially when it’s a higher ticket package and doing a lot of work for the client to get excellent results, than trying to get all these little deals to add it all.

Have the right client

Having the right client is more important if you’re a service business.

But many agencies or service providers waste a lot of time talking to people who are nightmare clients.

When it’s a referral, it’s more likely to be a high-quality client.

For example, if we do PR for a small e-commerce site, they will not get nearly the same ROI as a big eCommerce client.

If you get a 5% increase on a company doing $10,000 a month versus doing $10 million a month, you’re still doing 5%, but your value is way higher, and you get a longer runway.

When you provide more value, you can also charge more for that. So it’s a win-win all around.

It would be best if you had the higher authority to increase your brand and to be better known in a particular niche instead of you talking about yourself. You will reciprocate when you honor other people, and more will speak well of you.

So if you want better word of mouth and more referrals, start by talking well about other people you respect. And that is a huge personal brand authority hack. Almost nobody does it.

You should ensure you’re edifying good people at work because otherwise, it can have adverse effects.

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