5 reasons why networking matters

Uncategorized - Comments (1) - Published on March 4 2015

There are many reasons why you should aim to be an effective networker. It’s good for you, it’s good for your career and it’s good for your business. What’s more, if you approach networking with the right attitude you will enjoy the activity and want to do it more. Here are my top five reasons why you should aim to be a great networker:

Reason #1 – We do business with people we like and trust

It’s popular to believe that buying has become a depersonalised activity and that the hiring of staff is based purely on an objective assessment of a candidate’s skills. But the evidence is that, even today, most transactions in business are about relationships. We do business with people we like and trust. You can achieve a certain amount through marketing and advertising campaigns and it is possible for selling to be a completely anonymous business, but at some stage your customer, client or prospective employer is likely to come face to face with YOU. Their decision to buy or hire will be influenced by a range of factors which, at some level, will almost certainly include how much they like and trust you. Relationships are at the heart of any successful business. And so it is important to invest time in making connections, building relationships and maintaining those connections over time.

Reason #2 – Word of mouth marketing really works

I have been running a business for several years and ALL of my clients have come to me through word of mouth. Now, that’s not unusual for my type of business but all companies, regardless of size or industry, rely to some extent on word-of-mouth marketing.

Surveys into the impact of online marketing show that peer recommendation is the most trusted form or advertising, whereas online search, banner advertising and other ads are among the least trusted (NIELSEN – Global Online Consumer Survey – July 2009). Even with the explosion of online review applications (eg, Yelp, Google, Urbanspoon), research clearly demonstrates that word of mouth—product recommendations made by family, friends, work colleagues, or neighbours —is still the most effective way to win new customers. (The Harris Poll #74, June 3, 2010). At the same time, many people fail to recognise the value of customer referrals and the power of networking as a form of word-of-mouth marketing.

Reason #3 – Being good at your job is not enough

Like it or not life is not a meritocracy. The truth is that your skills, qualities and experience are likely to go unnoticed unless you are prepared to promote yourself. This means seeking opportunities to communicate what you have to offer and your career aspirations. I’m not talking about trotting out a sales pitch to everyone you meet, but I am suggesting that a more proactive approach to advancing your career is required. And this involves building a useful supportive network.

Reason #4 – Well connected people are ‘in the know’

The surest way to pick up on a new opportunity – whether it’s a new client, new job or changes in your market – is to be well connected. How many times have you heard about a job vacancy or a potential new project through a friend or work colleague? The grapevine is a wonderful and powerful communication channel and you should use it. By developing your networks you not only stand a better chance of knowing what’s going on but you are also more likely to be remembered when one of your connections wants something that you offer. Networks are vital as a means of sharing knowledge and information. What’s more, a good networker who enjoys meeting and learning about other people will broaden their outlook and develop a useful body of skills and knowledge, making them an interesting person to know.

Reason #5 – Networks are a valuable source of support

Networking is not just about finding opportunities and advancing your own interests. A good network is one that is based on give and take, trust and respect. There are people in my network who I know I can ask for help when I am thinking through a new idea or dealing with a particularly difficult problem. And they know I will do the same for them in return. If you build your network in the right way, you will find that it can be a valuable source of support and advice.

This is an excerpt from Jeanette Purcell’s “No-Nonsense Networking” – 6 steps to raising your profile.