Marketing directly to businesses or medical practices that need cash flow help is one way to develop new business. These direct marketing efforts focus on the end-user of the product and require a large volume of targets and numerous contacts per target. Can more efficient efforts be used to accomplish these marketing strategies?
Leverage is the key. To define leverage in this context we mean contacting an individual (or business) who services, supplies or advises numerous businesses that you would consider viable targets for factoring services. Working with one “referral source” can open up opportunities to present your factoring services to numerous targeted end-users. This leverage allows you to reach more prospects using fewer resources. Send ten letters to ten end-users or contact one referral source and has access to ten of his clients, which is more efficient?
However, there are more benefits than just leveraging your marketing efforts to get to more targets. We can first see that we benefit from a referral’s already existing business relationship. Credibility is one of the objectives we need to accomplish when attempting to present our financial products. So, what better way to begin that process than getting recommended by a person with an established business relationship with our targeted prospect?
Referral sources that provide goods or services to our potential clients can also give us information required to “qualify” the prospect. Cash flow issues are no more apparent than suppliers not being paid promptly. It is therefore a very solid way to know if a prospect is in need of factoring or is well capitalized with sufficient working capital to run his/her business.
Who are these referral sources? Aside from suppliers to our targeted prospects, we must also consider advisors to them as well. Accountants, attorneys, bankers and payroll services can be of use. In healthcare prospecting we can use (in addition to the ones just stated above) external billing companies as referrals.
Your marketing efforts must be efficient, cost effective and organized. Think about how to maximize your marketing/sales dollars and how to get strong qualified prospects to grow your cash flow business. Develop your referral base.