Don't Forget About Networking

Almost all business owners realize that networking is a valuable activity that they should engage in to spread the word about their business.  For example, most people who join their local Chambers of Commerce do so because they feel that the networking opportunities provided will be valuable to them.  However, the irony is that once they’ve joined they usually fail to regularly participate in this very activity that motivated their membership.

Yet business success studies show over and over again the importance of networking for all business leaders, even to the extent of providing personal value in terms of enhancing careers for non-business owners in leadership positions.  Networking just works and if you are not engaging yourself in this vital business activity, I’d like to give you a few reasons to reconsider.

First of all let’s look at networking in a traditional sense.  In Guerrilla Marketing terms, it is a marketing tactic.  It usually will be a valuable component of your marketing plan if used regularly.  Some of the values of networking are the following:

·        It is a Lead Generation tactic.  Often networking creates interest on the part of others to learn more about you or to physically contact you to do business.

·        It results in referral sources.  Networking usually introduces you to people who feel so good about what you do that they are eager to refer their customers and acquaintances to you for the great products and services you provide.

·        It is educational.  Active listeners can pick up lots of great tips and advice at networking events that will enhance their business or their lives.

·        It keeps you informed of current local events and opportunities, even the latest business gossip!

Lately, I’ve uncovered a couple of new benefits of networking.  Perhaps they are not technically “new”, but they have not always been considered as outcomes that business leaders would obtain primarily via networking.

·        Recruitment of employees.  In the past, recruitment was done primarily through advertising.  Whether it be classifieds or job boards in the past, or the more modern career sites like Monster or Career Builder or even Craigslist, you simply picked your venue, posted your job ad, and waited for the resumes to roll in.  Today, not so much.  One of the top methods now recommended for recruitment is good old networking.  Telling everyone you know or meet that you are hiring and helping them to understand the kind of employees you seek has become one of the best sources for quality hires.

·        Finding prospective buyers for your small business.  Since small businesses under $1 million in valuation don’t often attract business brokers, one critical way to find interested buyers it to simply network the fact that your business is for sale.  Some of the people that need to know are bankers, competitors, suppliers, sales reps, customers and others in your sphere of influence.  If you are in the midst of an exit strategy for your business, you might be nervous about putting the word out about your interest in selling, but it may be the very best way to find a buyer willing to pay you top dollar for your productive business.

Remember that we live in a time when networking can be done both actually and virtually, and I encourage you to embrace both.  Social media venues are not just for sharing personal life details, but for conducting serious business, too.  Networking on these platforms may feel a little different than the traditional “meet and greets”, but in many ways the exact same things can happen, and you will only limit your networking effectiveness if you fail to utilize both.

Nervous about networking?  Not sure how to go about it?  Ask us about how to design a networking strategy that can help you achieve your business strategies and goals.