Friday, July 6, 2012

The power of referrals

If you’re wondering why I talk so much about customer service, it’s simply because word-of-mouth referrals are your best and cheapest resource for getting new customers. Conversely, no amount of marketing can fully reverse the harmful effects of bad-mouthing your restaurant on social media for the world to see. One bad review on Yelp alone can significantly decrease your referrals and cost considerable time and effort reversing the trend.

  • Just how much does customer satisfaction help referrals? 
  • How many of your customers are sent via referral?

You can learn from these experiences by surveying our own customers. How many were referred by someone? How good is their experience now? Would they refer a friend? The answers can help you set benchmarks for improvement and increase your word-of-mouth referrals. Who couldn’t use free advertising and excited new customers?

Once you are able to bring new customers, the next phase starts, building customer loyalty. That is another topic, which I discuss often time. Check back this blog a often as you can.

Andre Plessis
Restaurant & Hospitality Consultant

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