The Art of Effective Networking

Olivia Whelan, the Founder of Vici Marketing explores how to maximise networking opportunities to ensure the successful growth of your franchise network.

Does the thought of networking make you cringe? Fake smiles, limp handshakes, forced small talk and the obligatory game of business card pass the parcel. Yet, successful networking is one of the most important tools in a franchisor’s business armour and it is a cheap yet highly productive way to promote your franchise network, increase sales and build mutually beneficial business relationships. Effective networking is an art form rather than an exact science and there is so much more to networking than running round a room collecting business cards!

What is networking?
It might sound somewhat Machiavellian, but networking is all about cultivating a contact for your own business or personal advantage. Good networking is about forging ongoing relationships with both old and new contacts to share information, promote your business and explore new ideas. In other words, what can you do for them and what can they do for you? Since the emphasis is always on relationship building and mutual communication, the most successful networkers are those who show genuine interest, are eager to assist and always follow through after the event. However, networking is NOT a euphemism for selling and those people who use networking events purely as a sales opportunity will fail miserably and waste both their money and their time.

The benefits of networking
So many people underestimate the immense power of networking and yet research shows that word of mouth referrals generate 80% more business than a cold call. Therefore, proactively integrating a networking strategy into your franchise network is essential to ensure its ongoing growth and success.  

But for you sceptics, here are just some of the key benefits that effective networking can generate for your franchise network:


•    Increased targeted sales leads
•    Increased referrals and recommendations
•    Increased company presence within the marketplace
•    Increased & cross fertilisation of franchise recruitment candidates
•    Development of new business partnerships & joint ventures
•    Development of national account contracts
•    Sharing ideas & solving business problems
•    Assistance in dealing with potential or existing franchisee issues
•    Building strong mutually beneficial business relationships
•    Increased influence within your industry or the franchise sector
•    Increased access to venture capital and finance
•    Increased operational efficiency and productivity
•    Development of administrative support mechanism (e.g. lawyers, accountants, mediators, printers, web-designers).

Building your network
Good networkers are always looking out for their next networking opportunity. There are thousands of networking events across the UK each year relating to franchising, business or specific commercial sectors. Below is a list of some of the key networking opportunities in both the franchise and general business arena:
 


Franchise:                    
➢    BFA Regional Forums
➢    BFA Annual Conference
➢    Franchise Marketing Awards
➢    Third Wednesday Club
➢    The Franchise Training Centre
➢    HSBC Women in Franchising
➢    National Franchise Exhibitions
➢    Franchise Marketing Conference
➢    BFA Franchisor of the Year Awards


General:
➢    Business Link
➢    Business Networking International (BNI)
➢    Chamber of Commerce
➢    Business Clubs
➢    Breakfast Clubs
➢    Religious Groups
➢    Rotary Clubs
➢    Business Training/Courses
➢    Trade Shows/Exhibitions

How to work a room
Knowing how to “work a room” is the key to effective networking. But the basic ingredients are good communication skills, a warm smile and a big dollop of confidence!  

Before attending a networking event, try and get hold of the delegate list. This gives you the opportunity to prepare and research who will be attending and who you would like to meet. First impressions are everything, so practice in advance describing both you and your business in under 30 seconds. You need to grab and maintain your listener’s attention to stimulate questions and provoke a two-way conversation.  

When entering the room do take a drink or a plate for food (if appropriate) but avoid taking both – you will not only need to keep one hand free to shake hands at the start and end of your encounters, but you will also need to be able to hand out your business card or brochure.

If you do not know anyone, scan the room for a friendly looking group who are not having too intense a conversation. Walk up to them, make eye contact with one person, hesitate outside the group for a few seconds and then move in. If the conversation is in full flow do not interrupt to introduce yourself, but at an appropriate lull in the conversation, smile and introduce yourself by clearly stating your first name and your company name only. Any more information will be forgotten in these types of transient encounters.

Find common ground quickly by asking simple questions about both them and their company. It is important to establish a two-way conversation rather than interrogating them or giving a solo performance about yourself. Always maintain good eye contact and be aware of both your own and their body language. Every conversation has a natural ending so know when it’s time to leave and state how much you’ve enjoyed meeting them. If appropriate give your business card and ask them for their card so that you can continue a conversation with them at another time. It is then time to move on and repeat the process.

Maintaining your network
Networking is only effective if you actually dedicate time to looking after and maintaining the network that you build. Regular follow-up telephone calls and emails are invaluable to keep in touch with your contacts to show that you are pro-active, organised and reliable.  

Equally, do not be afraid to make requests of the people that you have amassed within your network. Utilise their knowledge and skills for information, ideas, encouragement or recommendations. This will strengthen your relationship with them and encourage them to contact you in the future.  

Always remember that networking is not just a one-off quick fix result. Developing business relationships that are built on mutual trust and respect takes time, effort and careful cultivation. Therefore maintain momentum by regularly attending a variety of networking opportunities and always follow-up after each event on an ongoing basis.  The slow drip approach is far more effective in the long term than short sharp bursts followed by drought!

Article from Franchisor News, Winter 2007.  To find out more about Franchisor News and to subscribe for FREE, click here.