Imagine a tree in the middle of a forest, once eager to reach out its branches and connect with the surrounding trees. Over time, though, it’s weathered too many storms, and now its branches droop, weary and withdrawn. It no longer stretches toward the sun, feeling like no matter how far it reaches, it won’t make a difference in the dense canopy. The winds of opportunity whisper past, but the tree stands still, tired of the effort, unsure if it’s worth the reach anymore.
I recently came across this interesting fact – companies who actively engage in networking see a ROI of over 50% in terms of new business opportunities. Those with well-established networks tend to experience 24% faster revenue growth compared to those that don’t prioritise networking. It’s true to say that face to face or online, networking groups have experienced explosive growth over recent years. One thing is for sure, with the increase in online networking opportunities, the art of networking has changed. Some businesses have blossomed, whilst others have fallen off the tree. Here are some ideas to burst through the broken limbs blocking the minds and motivations of fresh enthusiasm and intent.
My client isn’t in the room
Imagine being in a room where everybody is intent on selling their services. They’re not really listening to each other. Their number one goal is to sell to someone in the room. Doesn’t work, does it? They’re missing the point. Networking is simply about exchanging information or business cards and the real work is done afterwards. Online this means making good use of the chat space to gather contact information and folllow up. Entering a room with the intention of finding people to sell to often leads to the “my client isn’t in the room” attitude. Dig deeper, work the room. Listen. Be prepared to break up the huddle groups, and get to know the twosomes and loners. Get their details and contact them afterwards. Better still, before you reach out, check them out on LinkedIn first and show them you know something about them. Whatever you do, don’t go in the for the direct sell. These people may not be your prospective client but they may know someone who is. Don’t push for an introduction, Build trust first. Recently I was approached by someone with a referral and I hadn’t spoken to them for seven years. Granted it didn’t seem like seven years and we had remained on the periphery of each others networks. But the trust was there. It’s all about the long game.
Too much too soon
Operating in the community development space, I can see where business people are failing to maximise their potential to increase their client base, especially when there is an over-reliance on others to reciprocate. Over the last couple of years ‘collaborations’ has been the buzzword of choice, yet so many collaborations don’t get off the ground. There are too many expectations too soon. Again, it can seem like a uneven balance of effort and reward. Maybe that’s because there are a couple of steps missing in the leap from networking to collaboration. These involve the trust-building activities of ‘coordinating’ and ‘cooperating’. Himmelman’s Collaboration Continuum covering the four stages of networking, coordinating, coordinating and collaborating, respects the need to develop deeper levels of trust as we progress. Take small steps, build proof that everyone involved is committed, before you run the the sprint to the finishing line. Keep watering and allow the seeds to germinate and grow.
‘Not my target audience’
Instead of setting the stage for disappointment, take a different viewpoint and talk to your ‘not-my-target’ audience. There are at least three new avenues:
1 they may know your target audience and become a referral partner. Be patient and find out.
2 they may work with your target audience and you could become strategic referral partners (this could become a group of businesses referring between each other, making it easier for the customer to access a range of services)
3 they may be a competitor and they’re friendlier and smarter than you think. Talk to your competitors and see how you could accommodate each other for mutual benefit. How could you coordinate your services to improve access for customers? Maybe geography, times of service, complimentary services?
These are examples of cross-pollination.
I once worked in a university research unit where its success was based on competitors coming together to share their knowledge, experience and growth journey. As a result, the whole was greater than the sum of the parts and everybody benefitted. These people were exchanging information, and sharing skills, knowledge and resources for mutual benefit and to achieve a common purpose. These were professional development workshops which enhanced the skills of participants who became a community. As they took up senior positions in their organisations, they sent their staff along, resulting in two networks. I was able to tap into these networks in a new role when I needed help fast. I reached into the communities created by these networks and solved my problem.
Spaghetti referrals
Another trend is to develop referral partners and networks. This strategy works with limited groupings in that it becomes difficult to develop a reciprocal relationship with an accountant when your network reach includes at least ten of them. Strategy flies out of the window and you end up with a spaghetti junction of roots competing for attention.
Not enough trust
Like young saplings needing fertiliser to grow, building trust is the foundation to a successful collaborative venture. It starts with testing the water. Maybe start with synchronising activities for a common purpose, such as training providers sharing timetables to maximise opportunities for students, or chemists sharing information about out of hours opening times. Cooperation is an easy step to take.
As trust develops, you may then look at sharing resources for mutual benefit and to achieve a common purpose (coordination). Sharing a physical space with a business that is connected with your customer base, creating a hub, with a centralised reception is such an example. In one situation, I worked with organisations that improved their purchasing power by creating a buyer’s collective to benefit from bulk purchase discounts.
A definition of collaboration is to is to commit to the possibility of producing an outcome greater than one that would be developed in a silo. It incorporates coordination and cooperation. Underpinning this is a strong foundation of trust, measured by small successes on the journey to this point. Force fed plan(t)s don’t have the strength to stand their ground in a forest of innovation, personalities and competition for the light and success.
I’ve been observing the lifecycle of networking groups for years, more recently comparing changes in business networking activities with community development principles. It is fascinating to see how business networking is evolving, and aligning these changes to community building models, including models I have been using with our clients.
How good are you at networking? Check out this Networking Skills Self Assessment tool.