06 October 2009

The Truth About Networking

By Sarah Lochead-MacMillan, SLM Group

You have seven seconds to make a good impression when you walk into a room.

globalnetwork.jpgWhat a scary thought, why would you ever bother to network? However, in today's climate many of us do not have an unlimited pool of money to spend on our professional development, on marketing ourselves and our products, or any form of advertising.

So here's a secret… people like to do business with those they have met face to face, or with people recommended to them by someone they have met face to face.

Here's another secret… networking is NOT about selling yourself or your product/business. Does that shock you?

So, you ask again (or you would if we were talking), why network? Because, networking is essentially about building relationships and meeting the needs of others. Guess what? (What? you say). The natural outcome of building relationships and meeting the needs of others sincerely and consistently is that they will, in turn, meet your needs also.

Case Study

Let me tell you a story from my own experience.

I came to New Zealand with my husband and 8 month old son, having never been here before nor knowing anyone here. As an employee at the time, it was my role to actively gain new business. That was a daunting prospect when you do not know the people, the culture, the country and when half the time have no idea where you are- literally (praise to the gods of sat nav!)

After my repeated requests to my boss for help with introductions to the right people fell on deaf ears, I knew it was up to me. I had to focus and find my "niche" before I lost my nerve. I researched women's networks because experience has taught me, that on the whole, they are usually more supportive and more welcoming than some of the "old boy" networks I have come across on my travels.

I happened upon a breakfast group called "Supercharged Breakfasts". The facilitator welcomed me straight away and I knew she would be a lady to keep in touch with. I took her business card, added it into my email contact database and started a regular contact programme with her. We met for coffee several times but it wasn't until a year later I was able to add value to her.

She wanted to meet John Key (not long before he became prime minister of NZ) just as I was due to attend a small breakfast he was speaking at. I invited her along, and even offered her my place if it was too late to book her in. Luck was with us and we went together. Whilst at the breakfast I coached her on how she could approach John personally, and get there first after his speech. Breakfast and speaking over, she went off like a shot and got right in front of him, talked with him and beamed all the way back to me. She has since introduced business to me and we will shortly be working on a joint venture together. Our networks, joined together, are far more powerful than our two smaller, separate networks.

I also met another interesting lady with whom I have kept up contact these past three years. She mentioned she was starting a brand new venture, an online community for professional women. She was intriguing and her concept was so exciting I offered to spread the word. The site, of course, was this one, professionelle.co.nz, and I kept my word, having mentioned it to in excess of 8000 ladies.

I am honoured to have both those ladies and so many more in my network and I look forward to coffees with you all soon to continue to add value to each other.

The argument for networking in a business sense:

Smart businesses know that word of mouth marketing (networking) is cheaper and far more effective than any other marketing effort. It's true; there have been studies and research. Research shows:

  • Networking is nine times more effective in changing customers' attitudes towards a product or service
  • Networking is more effective than a third party review of a product or service
  • Customers acquired through networking have a long term value of nearly twice of the value of customers acquired through normal marketing channels

The argument for networking for personal growth:

Networking is actually vital to the expansion of your profile and helps quickly build respect and credibility. People will remember you for what you give, your time, your attention, and your genuine desire to listen to others and add value, to get to know them and their products and services better. The consequence of networking well will mean others will be introduced to you who will help, support, guide you and befriend you on your journey.

Networking can find you:

  • Peer support
  • Mentors - both personal and business
  • Coaches
  • Friends
  • Fun
  • And a natural expansion of your network!

Not everyone you meet whilst networking will be a prospective client, sale or mentor. They may simply become another valuable contact for you to add to your network, that you can then offer to others.

Connectors

The people who strive to bring others together are often referred to as "connectors". They will be the ones who will earn the most reward. "Connectors" are not born, nor are they genetically gifted, they are simply people who have made a conscious choice to connect others. They will connect others in a personal introduction, even if the value add is not obvious at first.

What Networking is Not!

If you think networking means:

  1. ...You attend an event...
  2. ...You drink and eat and get uncomfortable...
  3. ...You stumble through some conversations...
  4. ...Collect a few business cards...
  5. ...Go home and file them...

...You are sadly mistaken!

But don't worry; learning to be effective at networking is simple. To become a confident connector and reap all the benefits from this is not rocket science. It is simple, it is common sense and it is easily learnt. Only you will be able to decide whether you want to use the tools or not. If you do, you will be stunned by how easy it is to network when you have all the answers!

Acknowledgement

Sarah Lochead-MacMillan is a former senior relationship manager for New Zealand's largest Bank, founder of the professional women's network The Very Early Lunch Club and founder of the ANZ National Bank's internal women's network. She now runs her only successful company the SLM Group, teaching others effective networking, undertaking regular mentoring for business owners, financial planing and forecasting and helping businesses communicate with their own Bank.

Sarah Lochead-MacMillan - sarah@slmgroup.co.nz - 021 134 5568

 

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