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Join the club: How networking can boost your business

Whether your company is home-based or on Main Street, you need to mingle with other business people. It's refreshing. It's energizing. It can lead to new work.

"Working alone, you can get very comfortable with being by yourself," says Susan RoAne, San Francisco-based author of How to Work a Room and a professional speaker. "But that can lead to you missing out on marketing and losing your social skills."

In addition to keeping you in top form, networking can generate business and hook you up with people who can help you with your firm.

"I can trace hundreds of thousands of dollars of business from my association membership," says Paul Johnson, principal of Panache and Systems, a sales and marketing consulting firm based in Atlanta.

Get a good group fit
The easiest way to expand your outlook and company connections is to join a local business association -- or start one yourself. For example, if you are in the graphic arts and home-based and know several other owners of similar businesses, arrange a monthly get together over lunch.

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What type of association you join depends on your interests and your company, says Johnson. He uses three questions to decide whether to join an organization:

  1. Is it an educational opportunity for me? "You want to learn something from members of the organization," Johnson says. In other words, joining will give you a chance to broaden your horizons.
  2. Do the buyers of my product or service belong to this organization? If your ultimate goal is to meet new customers, you should join a club or association where they belong.
  3. Does the organization have something to do with my business? If you're the owner of a software development firm, joining a local software or computer technology association may make sense.

Tracy Schneider, principal of TLS Marketing, a marketing consultancy in Seattle, says there are numerous groups you can join. They include athletic clubs, alumni clubs, minority or women's clubs, as well as the familiar general business organizations (Chamber of Commerce) and community service associations (Lions and Rotary clubs).

Before joining, do your research. How often does the club meet? How many members does it have? What can you offer the group? What can it do for you in return?

Maximizing memberships
Once you've picked an organization, make sure you have the time to truly give back to it, says RoAne. If you "over join" and become overextended, your networking may backfire, she warns.

Your participation can help both your business and the group. To maximize a membership consider:

  • Becoming an officer.
  • Giving a speech or holding a seminar for members.
  • Writing an article for the association's newsletter.
  • Organizing an event for the club, such as an auction to benefit charity.

Although the connection between putting on a charity benefit and marketing your company may seem non-existent, by helping others you'll be helping your company.

Look at Johnson and his firm, Panache and Systems. He gave a speech to a local technology group in Atlanta. That paid off a few months later when a person came across his speech on the association's Web site. The admirer of Johnson's speech ended up becoming a lucrative account for the company.

Long-term associations yield best results
Johnson's experiences also show that when you're networking, it's better if you're in it for the long haul, not for some quick marketing fix.

"The biggest mistake that people make when joining associations is to think that networking is a short-term process," Schneider says. "It's not, 30 seconds of 'Here's my business card and this is what I can do for you.'"

Instead, it's about building trust and being visible, says RoAne. That takes time and effort, not just handing out a business card. RoAne's three rules of networking are:

  1. Networking is a lifestyle, not a work style. Insincere and artificial attempts to gain business will only fail, RoAne says. "It has to come naturally," she says. That means being on the lookout for opportunities for yourself and others all the time -- not just on the second Tuesday of the month when the Rotary Club meets.
  2. Networking is an enrichment program, not an entitlement program. Join an organization because you truly believe in it and are interested in working for it. Joining a club simply to look for sales prospects will make you look insincere and manipulative. "You're missing the whole point," RoAne says. "The best point of networking is putting people together, not just getting business for yourself."
  3. Networking is an art, not a science. "It's the art of communicating and the art of connecting and establishing a comfort level with people," RoAne says. "It's not something that you can easily quantify."

When Johnson goes to a local business meeting, he doesn't use it as an excuse to hand out his business cards. Instead, he imagines himself as a host for the event and tries to put others at ease and take a genuine interest in what people are doing.

"If I see someone with a puzzled look, I'll introduce myself and see if they need some help or direction," he says. He'll also spend time listening to attendees, finding out what they do for a living, instead of just promoting himself and his company.

"I never hand out a business card unless it's requested," Johnson says.

'Membership has its privileges'
Also look for other marketing paybacks beyond social functions. Schneider likens it to the American Express slogan: "Membership has its privileges."

Belonging to an organization may give you a free listing in an association directory or a chance to advertise in the association's monthly newsletter. Even giving a speech to the club or writing an article for its newsletter can be a simple way to promote yourself and your business.

When you invest the time and effort to get to know the people in associations, what they want and what they need, the result can be like a winning hand in poker. Your club membership will pay off in spades.

Jenny C. McCune is a contributing editor based in Montana.

-- Posted: Aug. 27, 2001

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