Conversion Contribution

Can there be an advantage to referring customers elsewhere when a company can%u219t satisfy its customers needs?Marketing research has shown that not only will it not hurt a business to refer customers elsewhere it can even assist in conversions!! There are a couple of reasons for this.

One reason is that customers admire honesty in the businesses they shop at. By referring a customer over to another company, especially a competitor you are showing the customer that you have their best interests in mind. Customer trust is priceless, after all it keeps them coming back!

A shopper who has a need satisfied by completing a successful purchase is much more likely to pursue another purchase soon after, even if it wasn%u219t such a necessary want. So by referring a customer to a competitor which leads him to a purchase you are increasing your chances of having him return and purchase something you do carry!

A satisfied shopper can drop a quick post or tweet about a purchase or a happy browsing experience which greatly encourages third party conversions.

To illustrate this point, review the following scenario. A popular bath soap company that retails all kinds of bath essentials, oils and creams, doesn%u219t stock the particualr cream that a browser is interested in. Obviously the first step can be to offer, without being too pushy, a comparable cream that is stocked by the company. If that doesn%u219t seem to satisfy the customer it may be in the best interest of the salesperson to refer the browser to another bath soap company which may stock the particulalr item. After such a display of honesty and integrity there is a great chance that the customer will return to purchase other items stocked by the company in addition to suggesting to all friends and acquaintances to shop at this particular bath soap company. The company will lend up benefiting over and over again from that competitor referral! What a worthwhile suggestion!



Leave a Reply