You Shall Be Judged By the Company You Keep! Your company's references must be managed, evaluated and checked to make sure it's helping to get new clients.

By Phil La Duke Edited by Frances Dodds

Opinions expressed by BIZ Experiences contributors are their own.

Shutterstock

Nothing exposes a company's amateurish approach to sales and mawkish marketing than announcing (usually via its website) its lofty list of satisfied customers. On the other hand, potential clients can be nervous about sourcing work to new firms that may lack the requisite experience to deliver on the many promises they are likely to have made. So while it's important to have references, it's more important to have the right references; and that can be tricky. Many companies screw up what would seem to be a slam-dunk -- providing references; it's easier, and more common, than you might think. Picking the appropriate references can literally mean the difference between winning life-changing contract and spending long hours on proposals that ultimately fall flat. When picking references make sure that you:

Choose companies who know you well.

When you select a reference it's better to have a company for whom you have done meaningful and successful projects and that can provide clear insights into your organization's strengths than a well-known company for which you have done a handful of small projects on which you performed in mediocrity. Companies that know you well are also more likely to advocate on your behalf.

Related: 10 Steps to Building an Impeccable Professional Reputation

Choose companies who represent you what you do best.

People tend to choose companies with whom they are comfortable without considering whether the projects represent the BIZ Experiences's true talent. It's not enough that a reference speak well of you, you also have to ask yourself how well the reference can articulate to others those things at which your organization truly excels.

Choose companies that align with your values.

In many cases people choose companies for whom they done repeated projects without considering how a potential customer might perceive the referencing company. BP was once a highly respected company that many BIZ Experiencess would kill to have on their client list, but after the Gulf of Mexico oil spill many BP vendors found themselves in the embarrassing position of having to distance themselves from the public backlash. Scandals aside, I have seen BIZ Experiencess proffer references from their prospects' most hated competitors.

Related: 3 Steps to Repair a Damaged Reputation

Know how your reference will answer the tough questions.

Before selecting a company as your reference, don't be afraid to ask them pointed questions about their assessment of your organization. Ask your potential references questions like: "What do you think is my company's greatest weakness?" or "How might I have been more responsive to your needs?" If you aren't happy with the answers your potential references provide you should reconsider providing them to a potential client.

Ask permission to use the company as a reference.

I was once sourcing a video production and had to choose between three companies. When I read the proposals I noticed that one company had referred to a project from an organization I had recently left (which was a well-known large automotive supplier). Not only was this a clear violation of my former employer's policy against references and a violation of its signed nondisclosure agreement, the proposal insinuated that it had done a major video production for the company when in fact the project in question was the vendor making 500 copies of a DVD, what was worse for the customer was that I was the contact on that project.

Related: Why References Work Better Than Classic Vanilla Ads

Ensure that your contact feels comfortable providing a reference.

Many organizations are forbidden by corporate policy or are barred by their legal department from providing a reference. Still others may simply feel as uncomfortable providing a reference as you feel about loaning your next door neighbor money. When you ask for a reference you are asking for a favor. You don't have the right to get angry if the company doesn't feel comfortable providing a reference, thank them for considering your request and move on without harboring ill feelings.

Phil La Duke

Iconoclast

Phil La Duke is a speaker and writer. Find his books at amazon.com/author/philladuke. Twitter @philladuke

Want to be an BIZ Experiences Leadership Network contributor? Apply now to join.

Growing a Business

Forget Investors and Co-Founders — Here's How I Built a Lean, Scalable Business on My Terms

You don't need a partner or investors to build something that lasts. You need vision, systems and the guts to go all in on yourself. Here's how I built alone — and why I still would, even now.

Personal Finance

How I Streamlined My Financial Reporting for Less Than $50 a Year

From revenue tracking to investment screening, Amsflow delivers.

Side Hustle

This 26-Year-Old's Side Hustle Turned Full-Time Business Led to $100,000 in 2.5 Months and Is On Track for $2.5 Million in 2025

Ross Friedman's successful venture started with a "Teen Night" in Boston, Massachusetts.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for BIZ Experiencess to pursue in 2025.

Business News

How Much Does Apple Pay Its Employees? Here Are the Exact Salaries of Staff Jobs, Including Developers, Engineers, and Consultants.

New federal filings submitted by Apple reveal how much the tech giant pays its employees for a variety of roles.

Growing a Business

Product Returns Don't Have to Be a Sunk Cost — Here's How Tweaking Your Return Strategy Can Make You Money

As brands navigate today's shifting retail landscape, returns recommerce is becoming an essential strategy to unlock accessible price points, foster customer loyalty and stay agile.