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Monday, August 8, 2022

Referral Marketing’s Unfair Advantage: Predictive Actions, Modeling Daily Behaviour, & Feedback Loops For Decision Making

The social selling space has evolved drastically over the last few years.

A select group of companies have continued to dominate in the rapidly changing space and reap massive rewards outpacing the competition while average companies are declining.

If you look deeper into the behaviors, systems, and processes the winning companies deploy, you’ll discover where their ‘unfair advantage’ comes from.

When I was a young 18-year old promoter in a direct sales company, the owner of the company shared a thrilling talk on the importance of tracking your numbers with the main message being “If you cannot measure it, you cannot manage it.”

The statement continues to be true today.

Most direct selling company’s data that is used for decision making comes from transactions, orders, commission payouts, all historical events that happen when and after the sale is made.

All the data leading up to the sale is rarely accounted for…

Years ago teams would call into team conference calls to share their ‘daily numbers’ of dials made, presentations hosted, follow-up meetings booked. Some more sophisticated teams would even post their numbers into a google sheet to share.

In the end, the corporate teams have rarely had access to the data of what the field is ‘actually doing’ to grow sales.

The missing “presale” date becomes a challenge when wanting to provide content and tools for social sellers to win.

Because the data source(your independent promoter’s actions) are not accurately tracked, corporate leaders resort to interviewing top sellers to gather data on ‘what’s working’ and ‘what’s not’. 

The challenge is then enlarged as many top sellers do not have the depth of data required themselves and are only sharing feedback from the phone calls they’ve had with their own teams. 

If you’ve ever run a corporate team you know the feeling of how awkward this position can be. If you don’t take action on certain top field leader’s suggestions in these feedback sessions they can become offended or feel you are playing favorites.

How do we escape the drama of the old broken feedback cycles? 

‘Predictive Action’ Technology

Companies around the globe are learning that if you want to get the pre-sale data, you need a story and platform powerful enough to have your members actually use the system you’ve deployed. 

We’re now seeing companies create online platforms and mobile phone apps that ‘feel like’ a top leader suggesting what to do throughout the day and modeling the proper behavior for members to imitate. 

The power of these predictive action platforms is that the field actually adopts and uses them at rates high enough to bring real-time feedback loops of actual data. 

A brief list of applications include:
– How to invite a new contact
– How to followup with a prospect
– How to have a customer reorder
– Training and leadership development
– Best practices for sharing in social media
– Mentorship opportunities downline
– Share streaks and consistency of your team’s behavior

Companies with predictive action platforms can answer questions like:
“How do the majority of our members share our story in English? And in Spanish?”

“Which social media content are members willing to share from our library? Out of what they are willing to share, which assets get the most guests to our shopping cart? Which pieces of content are driving purchasing?”

“What messaging is NOT WORKING? Where are our field reps sending everything we’ve coached them to say and are still not getting results?”

“What training content is the field actually finishing?”

“What responses to objections are most effective for our members in each language and country?”

What are the benefits of “daily feedback loops”?

1) Compliance
Needless to say, most organizations that deploy independent affiliates to share their company’s stories are concerned with compliance.

The predictive systems not only suggest what to say compliantly but because the corporate teams can track the results, the contact can be continually improved.

When organizations do the work to create complaint systems that are relevant and actually convert sales when their promoters use them today, they remove the incentive and temptation for independent promoters to make outlandish claims to get sales.

2) Financial Savings
The feedback loop from predictive engines can guide your content creation plans.

Because you now have data on what your promoters are willing to share and which styles of content are converting the best, you can focus your content budget on producing videos and ‘shareables’ that have a higher and higher impact.

The financial savings of knowing which content to produce, which to leave behind, what to translate into other languages for your market expansion, and more are all benefits of daily feedback loops. 

3) Confidence
Predictive platforms give your sales teams a path to run on.

When ‘would-be’ promoters are seeking an opportunity for a side-gig or social selling opportunity, they are always asking themselves “Is this something I could succeed in?”

Because the predictive platforms present a proven path to follow, even the newest members of your social selling community can have the confidence to commit and take daily actions promoting your offers.

About Ben:
Ben Dixon loves referral marketing. His family found direct sales back in 2006 and had success using technology to create home-based businesses. Since 2010, Ben has focused on serving referral marketing, party plan, mlm, and direct sales companies across the globe with the technology they require to empower their passionate fans to virally grow their businesses.

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