Definition: Developing and using contacts made in business for purposes beyond the reason for the initial contact. For example, a sales representative may ask a customer for names of others who may be interested in his product. .
The ability to network is one of the most crucial skills any entrepreneur can have. How else will you meet the clients and contacts necessary to grow your business? But many people are put off by the idea of networking, thinking it requires a phony, glad-handing personality that oozes insincerity. Nothing could be farther from the truth.
Think a moment. What does a good networker do? How does he or she act? What is his or her basic attitude? You'll probably be surprised at how much you instinctively know about the subject.
You may decide, for example, that a good networker should be outgoing, sincere, friendly, supportive, a good listener or someone who follows up and stays in touch. To determine other skills an effective networker needs, simply ask yourself "How do I like to be treated? What kinds of people do I trust and consider good friends?"
Now that you have an idea of what attributes a good networker must have, take an objective look at your own interactive abilities. Do you consider yourself shy and regard networking groups as threatening? Do you tend to do all the talking in a conversation? Do you give other people referrals and ideas without a thought to your own personal gain? Can people count on your word?
Many people go to networking events, but very few know how to network effectively. Networking is more than just getting out and meeting people. Networking is a structured plan to get to know people who will do business with you or introduce you to those who will.
The best way to succeed at networking is to make a plan, commit to it, learn networking skills and execute your plan. To make the best plan, ask yourself: What do I want to achieve? How many leads (prospects) do I want per month? Where do my customers and prospects go to network? What business organizations would benefit my business? How can I build my image and my business's image? What would I like to volunteer to do in the community?
Make a five-year networking plan listing your five best customers, five targeted prime prospects and five targeted organizations. Next, set goals for involvement in each organization, determine how much time you will need to commit to each organization and prospect, and decide what kinds of results you expect.
Now that you have a plan, get committed. Tell yourself that you will devote enough time and effort to make it work. Half the battle of networking is getting out there and in the swim.
The other half of the battle is learning to network effectively. Typically, ineffective networkers attend several networking groups but visit with the same friends each time. Obviously, this behavior defeats the entire purpose of networking. If you stick with familiar faces, you never meet anyone new. And since most people stay within their circle of friends, newcomers view the organization as a group of cliques. This is one reason people fear going to new organizations by themselves--they're afraid no one will notice them.
The trick with networking is to become proactive. This means taking control of the situation instead of just reacting to it. Networking requires going beyond your comfort zone and challenging yourself. Try these tips:
- Set a goal to meet five or more new people at each event. Whenever you attend a group, whether a party, a mixer or an industry luncheon, make a point of heading straight for people you don't know. Greet the newcomers (they will love you for it!). If you don't make this goal a habit, you'll naturally gravitate toward the same old acquaintances.
- Try one or two new groups per month. You can attend almost any organization's meetings a few times before you must join. This is another way to stretch yourself and make a new set of contacts. Determine what business organizations and activities you would best fit into. It may be the chamber of commerce, the arts council, a museum society, a civic organization, a baseball league, a computer club or the PTA. Attend every function you can that synergizes your goals and customer/prospect interaction.
- Carry your business cards with you everywhere. After all, you never know when you might meet a key contact, and if you don't have your cards with you, you lose out. Take your cards to church, the gym, parties, the grocery store--even on walks with the dog.
- Don't make a beeline for your seat. Frequently, you'll see people at networking groups sitting at the dinner table staring into space--half an hour before the meal is due to start. Why are they sitting alone? Take full advantage of the valuable networking time before you have to sit down. Once the meeting starts, you won't be able to mingle.
- Don't sit by people you know. Mealtime is a prime time for meeting new people. You may be in that seat for several hours, so don't limit your opportunities by sitting with your friends. This is a wonderful chance to get to know new people on either side of you. Sure, it's more comfortable to hobnob with familiar faces. But remember, you are spending precious time and money to attend this event. Get your money's worth; you can talk to your friends some other time.
- Get active. People remember and do business with leaders. Don't just warm a chair--get involved and join a committee or become a board member. If you don't have time, volunteer to help with hospitality at the door or checking people in. This gives you a reason to talk to others, gets you involved in the inner workings of the group, and provides more visibility.
- Be friendly and approachable. Pretend you are hosting the event. Make people feel welcome. Find out what brought them there, and see if there's any way you can help them. Introduce them to others, make business suggestions or give them a referral. Not only will you probably make a friend, but putting others at ease eliminates self-consciousness. A side benefit: What goes around comes around. If you make the effort to help others, you'll soon find people helping you.
- Set a goal for what you expect from each meeting. Your goals can vary from meeting to meeting. Some examples might be: learning from the speaker's topic, discovering industry trends, looking for new prospects or connecting with peers. If you work out of your home, you may find your purpose is simply to get out and talk to people face to face. Focusing your mind on your goal before you even walk into the event keeps you on target.
- Be willing to give to receive. Networking is a two-way street. Don't expect new contacts to shower you with referrals and business unless you are equally generous. Follow up on your contacts; keep in touch; always share information or leads that might benefit them. You'll be paid back tenfold for your thoughtfulness.