Business Networking - Is It an Art or a Science?

But first let's define Business Networking and then discuss what it is and what it is not.

Wikipedia defines Business Networking as a "socioeconomic activity by which groups of like-minded business people recognize, create, or act upon business opportunities".

Business Networking organizations have created models of referral networking activities, and teach their members, that when followed, these models will allow the business person to discover and build new business relationships which will result in more business referral opportunities.

However, these activities will not give rise to generating business opportunities without the participant successfully building relationships with other participants deep enough where trust is established. The process required before trust can be established is often referred to as the Know Me, Like Me, Trust Me Learning Curve.

Know Me, Like Me, Trust Me.

Like any process, it's a series of steps where business professionals take the time to get to Know, Like and Trust others before feeling comfortable referring their best clients to.

The Know Me, Like Me, Trust Me Learning Curve takes time to complete. Therefore, Business Networking activities are designed to shorten that learning curve time thus maximizing the participant's rate of return on invested time.

So how does this referral marketing methodology work?

First, they need to Know you.

It may seem obvious, but people have to Know you exist before they'll do business with you. They need to be keenly aware of the product and services that you offer. More importantly, they need to understand what makes you and the way you render your services different from your competitors.

Not only must other business professionals be aware of you and your business, but they need to Know what makes you different. They need to answer the question for themselves, "Why should I use you over your competition?"

Secondly, they need to Like you.

Your prospective referral sources need to answer the question, "Would I feel comfortable working with this person?" Unfortunately, many people judge a book by its cover. Therefore, a professional appearance is paramount. Even the roofer, plumber, etc needs to be aware of this when they are out in public doing their business networking activities. Enhancing your appearance will only increase the number of folks who are willing to get to know you better.

But your appearance is only one small piece of getting people to Like you. What you say and how you say it will play a large role in your likability. People are always watching you even when you are not speaking directly to them. Your attitude will determine your altitude in business. People naturally gravitate to likeable people. Always be warm and genuine and folks will see someone they want to get to Know better because they are starting to Like you.

The third step in the learning curve is Trust.

Once someone Knows you exist, recognizing what you offer is different and finds you Likable to the point where they are comfortable speaking with you, it's time to establish Trust. Many times in the Business Networking environment, the Trust factor is not established without at least a small leap of faith.

A cautious potential referral source may engage your services for them personally before referring you to others. This is called a First Degree Referral. The First Degree Referral is a lower risk proposition than referring you to their clients (i.e. a Second Degree Referral).

This first referral will either establish Trust or it won't. Most of that will be up to you.

So, is Business Networking an art or a science?

So it can be argued, that Business Networking is both an art and a science. The art is successfully making and developing relationships which is hinged upon successfully navigating the Know Me, Like Me, Trust Me Learning Curve.

The science is creating the best or optimized environment for the Know Me, Like Me, Trust Me process to successfully take place and maximizing the desired outcomes as efficiently and quickly as possible.

From both respects, one thing is clear. People are apt to only do business with people and organizations that they Know, Like and Trust. Business Professionals who learn how to effectively and efficiently use Business Networking as the center piece of their marketing plan will be rewarded the most.

Networking Success Tip - Develop a Business Networking Plan

You've made your choice. You've decided to use business networking as a way of "getting" more clients, more referrals and more sales.
What are you "getting" yourself into?
You're getting yourself into a process where relationship building comes first and business building follows.
Networking is the most effective face-to-face business building tool in existence.
Business networking is all about establishing and maintaining relationships that foster trust, friendship and referrals.
A referral is the act of introducing someone you trust to someone you care about.
People buy from people that they like and trust. People give referrals to people they like and they trust.
Those who are ready, willing, and able to give referral leads want to know that you can be counted upon, and that you can be trusted to "deliver as promised."
Now you know everything about networking there is to know.
You're ready to jump in. You're ready to make the most of every business and social networking opportunity.
You load yourself up with your business cards. You create flyers and brochures to serve as handouts. You practice your introductory "elevator" speech.
You get in your car. You drive to the meeting location. You enter the gathering. You begin to follow your predetermined networking plan.
What is your business networking plan? What goals are included in your plan?
Whether you network to promote your business, get referrals or build a database, you must have goals. You must have a plan.
What is your networking plan? Is it written out?
You may ask, "Why do I need a written plan?"
After all---you may want to go to the event and just "schmooze." (Schmooze is a technical term for friendly communication in a group setting).
The "all I want to do is schmooze a little" mindset is the companion piece to the selling strategy entitled, "I'll just go into the appointment and see what happens."
Effective business networking, and effective selling, can certainly include some "schmoozing." However, any expectation of consistent networking or sales results without a well-defined strategy falls into the category of wishful thinking.
Your networking goals should be clearly defined within your overall marketing strategy.
If you're like most business people, you don't have a marketing strategy. Most business people "wing it."
Your networking strategy is clarified in your marketing plan. A written business plan includes a marketing plan component.
A well written business plan contains the goals and fully researched projections for your business. It is against these goals and projections that you measure your business successes and shortcomings.
If you can't measure it, you can't manage it.
I believe that every business should have a written business plan. If you've not yet gotten around to the task of developing a full business plan, you can still develop a simple, stand-alone marketing plan, one that places the spotlight on business networking, on a single sheet of paper in an hour or less.
Decide on your networking strategy. Make the strategy simple, e.g. collecting names for your newsletter database.
Decide on your networking goals. An example of a networking goal might be, "Out of the people I talk to at the networking event, I will find three who have an interest in receiving my newsletter."
Please keep in mind that a well conceived marketing strategy does not equate to a business "quick fix." As with any marketing or advertising plan you must have patience. Effective marketing is a process, not an outcome.
If you don't have a networking plan, you're not alone. 9 out of 10 of my clients ask for some assistance in formulating both a "do-able" networking strategy and an effective introductory "elevator" speech.
If you are interested in receiving a set of questions that will make it easier to complete your simple marketing plan project, please go to the resources section of the BusinessSuccessBuilder.com website and download your complimentary copy of "A Simple Plan."
Networking Success Tip from Ike - Write out your networking plan. Make your goals accomplishable. Commit to your plan and follow it.

Ideas For A Business: Network Marketing Online Is Easier

Looking at ideas for a business? Are you serious about building a business of your own? Take a look at network marketing as you can make a lot of money as an MLM distributor if you do it the correct way.
In the past MLM (Multi-Level Marketing) opportunities were tried and failed by many people. Today the success ratio has increased greatly. This is because the Internet makes it possible to build a very large network marketing business from the comfort of your own home.
The business opportunity enables you to make money when products are moved through your MLM organization. This is done by building a downline of distributors and then wholesaling and retailing products.
1. Selling products to retail customers is important. To exist every business needs to sell products. When you sell at the retail level you are increasing your cash flow because of the markup of the products themselves.
A fast way to get products out to customers is by using the internet. The MLM company will ship the products for you. They even collect the money from the customers and send you commissions on a predetermined basis according to the compensation plan.
2. Building a large downline of distributors is where the money comes from in network marketing. You do this by personally enrolling people.
The more people you personally sign up the larger your group can become. You also make money when the people you enroll are enrolling new distributors.
Most MLM distributors will buy their own products and the company will reward you on a percentage basis for those purchases as well. Your income can increase dramatically as your group develops into hundreds or thousands of people.
Using Internet based products allows you to build a worldwide operation much faster. Because there is so much competition in physical products such as nutritional supplements online, Internet products are a great way to build an MLM business.
Ideas for this include membership training sites, shopping clubs, domain names, and much more. Anything that provides instant access online gives you the chance to build your business all around the world with no shipping involved.
The Internet enables you to present your business opportunity by using a company provided website or by developing your own website. Many MLM companies provide excellent marketing materials that you can plug your Internet business into.
We suggest network marketing as a perfect business opportunity for all the above reasons. As you look at ideas for a business you certainly want to closely analyze MLM opportunities.

Finally - Home Based Business Network Marketing Explained In Simple Language

If people all around you are speaking about getting involved in home based business network marketing, and you are not sure what they are talking about or why they are so excited, your questions will be answered by the end of the short article. You are going to know what that means and why it may be in your best interest to find one that is perfect for you.
It you hear the term, network marketing, and all you can think of is those TV channels that sell products to lonely people, you are probably doing too much channel surfing. Actually it is another term for multi-level marketing. Many individuals have been able to use it to become financially free and make various dreams come true.
Regardless of what you might refer to it as, home based business network marketing really can be exciting since you have the opportunity to work in tandem with a group of individuals who share a common set of dreams and goals. When you recruit other people to join you, the better they do, the better you will do. When the system works as it is designed, no one is left to themselves, and everyone works with each other.
When you join a network marketing company, you agree to buy a set amount of products on a monthly basis. You have to option to buy more than the minimum and to sell the extras to people for a higher price, but it is not required. In the past that was expected, but these days the purchases are generally for the purpose of personal consumption.
When you join a network marketing program you sign up for monthly products, for a cost of about fifty to one hundred dollars. The people that you sign up to join your downline also make the same purchase minimum each month. Your direct referrals are your 1st level, and their direct referrals on your 2nd level.
This downline will go on about five or ten levels deep. You make money from everyone on your team that is below you. On the other hand, everyone on your team that is above you, makes money on your purchases.
In time and with work, it is possible to make some very good monthly income with MLM network marketing. You will need to have duplication in your organization. This means that you not only must get good at finding referrals, but you need to train them to find referrals and they need to train their referrals to keep the process going.
Many network marketers have built teams of hundreds of individuals in their downlines, earning them a lot of money each and every month. Home based business network marketing is not guarantee to make you rich, but with work and dedication, you may find yourself more than making up for that job that was lost, or you might even finally be able to fire that boss you don't like.
People are very excited about home based business network marketing, and for good reason. A lot of money can be made while helping other people to be successful. When they do well, then you also do well. Sometimes it seems complicated, but it really isn't. You refer people to join under you and teach them how to refer people to join under them. Everyone makes purchases each month, and you will earn a profit from all your team members who are below you. You team members above you make a profit from your purchases. When your referrals start duplicating what you are doing, and it continue to grow downward, you can end up with some very good monthly income.

Business Networking International Review - Review on BNI

Business Networking International otherwise known as BNI was founded by business consultant Ivan Misner in 1985. The company forms referral networking groups all over the world. These groups meet on a weekly basis and the objective to attend and become a member in a BNI group is to increase your referral business.
Benefits
There are many benefits to joining a BNI networking chapter or any other networking group. The number one reason anyone joins a networking group is to gain referrals and increase business. The larger your network is the more business you are going to create. Another great benefit of networking is the knowledge and information you will receive from other professionals in various different fields. Your public speaking skills will also improve with practice.
Drawbacks
There are several strict rules and guidelines that members in BNI have to abide by. Some of these rules include: Only one member from each profession or industry are aloud into a BNI Chapter. You are only aloud to miss two meetings per year. Members of a designated chapter are not aloud to visit other chapters. This is called cross chapter networking.
Costs and Start-up
BNI recruits business owners to start chapter networking groups in their community. The presidents receive training to start and run a networking group. The president of the new chapter receives a free membership for the first year of the group starting up. The president position is rotated every year through an election process. The president does not receive any compensation for running the group. The membership cost for BNI members is $330 with an additional first year registration fee of $100.
Conclusion
BNI has been a very successful business model for many years and seems to be very effective for small business owners to generate referrals. The only real problem that I see with BNI is their inability to pay the presidents that run and manage the group. The presidents do a lot of work soliciting and recruiting potential members to the group. They are benefiting for their business, however this takes a great deal of time away from them actually running their business.
There are many competitive business networking groups out their and BNI is definitely the largest networking organization out there. I would make sure to research diligently and choose the right networking group for yourself.
There is a new business networking organization that is looking to revolutionize the networking arena. The Biz Society is based on a social networking platform and pays their presidents 20% of all membership. This organization allows any business professional to start a group in their area. They give them the tools and instruction on how to start and run a successful group.

Business Networking in China

Thousands of foreigners from all parts of the globe are currently residing and doing business in China. Physically removed from their home business contacts, networking becomes doubly important for building new business relationships, as well as for enjoying social intercourse necessary for keeping one's sanity while living in a new and different country.
To fill this need, business associations and networking groups organize hundreds of networking events throughout the year. Most of these take place in two of China's biggest cities, Shanghai and Beijing, which are home to a large percentage of foreign business people working in China.
Let's look at some of the business networking opportunities in China.
Some of the best networking events are organized by the various chambers of commerce. The largest chamber, the American Chamber of Commerce, organizes dozens of events throughout the year. Many of these take the form of lectures or seminars with guest speakers. Others are "membership mixers" especially designed for networking.
The chambers also organize less formal events such Aussie Drinks, a weekly gathering of people interested in business networking and meeting socially. It's sponsored by the Australian Chamber of Commerce.
You don't necessarily have to be a member to attend chamber events -- guest are usually welcome.
The Fortune Connection Club in Shanghai (FC Club for short) is part of a global networking organization. They sponsor excellent events in stylish venues such as Shanghai's Azul restaurant. Examples of typical FC Club events are the Entrepreneur, Business and Finance Social Networking Evenings and the Fashion, Media and Creative Industries Social Networking Evenings.
Another networking organization that puts on good events is the OK, Deal! Club in Shanghai. An example of an OK, Deal! event is the Business Mixer and Social Networking Night which brings together business people, entrepreneurs and head hunters. Attendees must be at least 25 years old and have a minimum of 4 years work experience. The event is held in a 5-star hotel.
Other regular networking opportunities are provided by Green Drinks Shanghai. Green Drinks is mostly for people working on environmental issues, but anyone can come including people from business or government.

Business Networking - How To Effectively Compete When You Are Not Alone

Business Networking - How To Effectively Compete When You Are Networking In A Non-Profession Exclusive Group

As many seasoned Business Networking professionals know, there are a number of organizations that offer the very best training to its Members in the art and science of Business Networking. Personally, the 5 years I that received Business Network Referral training and guidance with the number one Business Networking organization in the world has been nothing short than life changing for me. Learning and mastering proven referral based marketing techniques of accelerating relationship building is the most important factor in my many years of success in business.

Without this education and training, I would have surely failed.

But what do you do when you are outside the confines of your Business Networking organization? You know, in the real world where there may be, in my case, two or three other computer guys in the room. How do you compete with that? The answer is quite simple.

But first, let's talk about what not to do.

First, don't get up tight and defensive. People can sense this. Yes, it's disconcerting at first to realize you are not the only one who, in my case, "sells" computer services. You must get a grip and realize that the way you render your services really is quite different than any of your competitors.

Secondly, don't resort to price competition in your Business Networking. Simply stating that you are cheaper than anyone else is only going to bring you short term customers who will quickly move on to the next service professional who may be cheaper than you the next time they have a need. In the service business, price is much further along in the sales process as it should be. People hire service professionals based on "Know, Like and Trust" and then price.

Thirdly, don't make the mistake of not observing how your competition presents themselves. Remember, it's not about you! It's about your prospective customers and potential referral sources. You can learn a lot about your competitors by watching how they present themselves.

Listen carefully to what they say and how they say it. Pay close attention to their entire presentation "package" - How they look; How they say what say; Be keenly aware of their body language; Watch their audience's reactions as they speak and interact with others. With a little time spent observing and talking with your competition, you'll be amazed how much you'll learn.

OK, so what should you do with this observed competitor "intel"? First things first.

First, adjust your own emotional attitude about competitors being present. You should truly be glad that they are present. If you are mentally defensive, trust me, it will show and you'll be think more about how you feel vs what you should do. You should openly embrace your business networking competitors. Your frame of mind is the most important thing to adjust to effectively compete.

Secondly, you need to show your audience that the services you offer are different than anyone else in the room. Though everyone says they want to save a buck but, in reality, price is usually the last consideration before someone hires a service professional. The most important factors are they need to Know, Like and Trust you first, long before price comes into the picture. (Yes, this was worth repeating.)

In a technical service industry, like the computer repair and network support business, most consumers are afraid of the technical stuff. They need to feel comfortable that YOU are the right person and the process of working with you will be painless; maybe even enjoyable.

Thirdly, Do Not use any technical jargon, what-so-ever, unless it's absolutely necessary. If you do, you should give a very simple explanation of each term, etc. Speak to their fears. Use simple language when describing what you do and, above all, comfort them that they have nothing to worry about if they use your services.

Your message must convince them that you, personally, will take great care of them and their issues. For example, one of the most successful insurance companies on the planet, Allstate, tells their audience that they are "In Good Hands". You need to communicate this same message too.

So the next time you are doing your Business Networking thing and or avoiding going to networking events because there may be competition there, remember the following:

1. Go with the idea that you are there to learn about other people including your competitors and, yeah, to have an enjoyable time.
2. Use your Business Networking skill set and do some reconnaissance. Learn how to best differentiate yourself from your competition in ways that are important to your potential customers.
3. When you have an opportunity to get in front of a prospective customer and or referral source don't use industry jargon, ask questions and speak to their concerns.
4. If you find yourself talking "price" right away, you're probably not in front of the right prospect anyway. Move on and adjust your approach.

Referral based marketing is one of the most powerful tools a service professional can use to siginficantly boost their business especially during economically challenegd times.

The next step is yours. Learning and mastering effective Business Networking techniques will ultimately determine your business success or failure. Obtaining solid Business Networking training is where you should start. Knowledge and skill in Business Networking separates you from your competition.