Getting your business’s name out to new customers is crucial for small businesses. But for some business owners, traditional advertising and publicity techniques aren’t nearly as effective as making face-to-face connections with potential customers or clients. 

Most people think of “networking” as one of those uncomfortable events where people mill about in a room full of hors d'oeuvres and pass out business cards.

That is not networking.

Those events are an opportunity to meet new people. Networking is what you do afterwards. It is the process of developing relationships with other business people, and finding ways to make yourself useful to them.

Sometimes networking will lead to referrals or sales, sometimes it won’t. The point is to have a large number of people think of you as a useful person to know. 

By practicing the strategies and tips outlined below, you can take full advantage of the business opportunities that arise from effective networking.
 
Meeting new people

Many people think of networking as something that only happens at events and functions specifically designed for the cause. While those functions indeed can be a great source of new leads, some of the best connections can be made during chance interactions.

People form impressions of others within the first 20 to 30 seconds – this has led to a concept called the “elevator speech”. It is a short statement about yourself that you can make within that short time window to convey useful information. The speech should not be overly formal, but it should cover the following bases:

• Who you are
• What you do
• What makes you different
• How you can help the person you’re talking to or someone they might know

An example of an elevator speech might be:

“My name is Jane Smith. I own a dog-walking business that serves people living downtown. If you know anyone who needs a responsible, experienced dog walker, have them give me a call.”

A simple, straightforward description like this is all you need, but you need to give it whenever an appropriate time presents itself, whether it be at a business function or a chance meeting on the sidewalk. You absolutely must have business cards on hand at all times so all interactions end with an easy way to reconnect.

"Networking" meeting survival guide

Networking meetings are not nearly as intimidating as people make them out to be. The reason is simple: Everyone is the room is equally intimidated by a large group of strangers, so if you take the initiative to stick out your hand and say “Hi”, whomever you talk to is mostly relieved that they didn’t have to open the conversation.

Following are 10 useful tips to make the most of your time:

1. Have a goal
   Think ahead of time what you hope to accomplish through meeting new people in a business context, particularly when you’re attending a networking or business function. Are you there to meet solid prospects who are interested in your services and can afford them? Are you there to get your name out into the professional community? Or are you just there for the food? Knowing your purpose and keeping it in mind can keep you focused so you can use your time effectively. Also, having a specific goal will help you avoid wasting time chit-chatting with friends you already know.
    
2. Dress for success
   Make a point to dress one level higher than the people in the room. If people will be in casual clothes, wear a dress shirt. If they will be in shirt and tie, wear a sport jacket also. You want to stand out, but not so much that you don’t fit in the room.   
    
3. Keep the conversation brief
   Networking events are a tool to meet people you can follow up with later. Conversations should be short and focused, thank them for their time, then move on to someone else.
    
4. Keep the conversation about them
   The typical conversation starter is “What do you do?”. When they tell you, ask another question about what they do. That will keep the conversation going. Usually, your new contact will at some point ask about you. If they do, great. If not, it doesn’t matter. They won’t remember what you say anyway. When you send a follow-up note afterwards, you can remind them what you do. If you try to force in a comment about what you do, it will bring the conversation to a screeching halt while both of you try to figure out what to say next.
    
5. Keep your hands free
   It is very difficult to shake hands or trade business cards when you have a plate loaded down with mini egg rolls in one hand and a beer in the other. Eat before you show up – you’re at the event to work. Also, by avoiding the snacks, you don’t have to worry about your breath. 
    
6. Take breaks
   After meeting four or five new people, take a short break. This is a great opportunity to write some quick notes on the cards you’ve collected and scan the room for new people to meet.
    
7. Prepare beforehand
   If you are going to a cattle ranching convention, it would be useful to read an article or two on the subject before you show up.
    
8. Practice
   No one enjoys meeting someone cold in a room full of strangers. You will likely never enjoy it. However, it is a vital skill for business success, and if you can teach yourself to do it effectively, that will give you an edge against competitors.
    
9. Keep track
   Thousands of successful, large businesses have begun with nothing more than a collection of useful data. By networking, you are developing a collection of useful business people. Have some system to keep track of the people you meet and what they do. 
    
10. Follow-up
    Always follow-up on new people you meet, whether they appear to be immediate sales prospects or not. Follow-up strategies are covered in more detail below.

The techniques and strategies above are the ones you will always use to meet new people and build your network. They work just the same if you are in an elevator, in line at the bank or at church on Sunday morning. 

Follow up to build relationships

Sometimes it’s easy to forget that the point of networking is not to collect business cards, but to form relationships.

Meeting a handful of quality contacts is far more important that the quantity of contacts you make. After meeting someone new, write a few notes on the back of her card about where and when you met, any interesting items that came up in your conversation, and any promises to follow up (specific information, etc.). As you meet more and more people, it will be harder to remember all the things you discussed in a five-minute conversation three months past.

After meeting someone new, be sure to follow up with an e-mail, phone call or a note. Take time to learn about the other person's businesses and use your contacts to match other people’s products and services. It’s a good part of building relationships, and those businesses may think of you the next time they need to make a referral.

You can have a form e-mail already prepared for these follow up notes, but be sure to take a moment to personalize it a bit before sending. Mention something they said about their business, or refer them to some information they could find useful such as an article you read recently. Most of all, DON’T hit your new contact with a heavy sales pitch. You want to start a relationship with them. If a sale is appropriate, you can work your way to it.

However you keep track of new contents – a file, database or contact software – be consistent and diligent. Important contacts, such as potential clients, should be flagged for another follow-up later – perhaps send the person a link to a useful article or a Web site dealing with their industry. It will show that you have an interest in their needs, which can lead to more sales-oriented conversations.

Also, don’t forget that networking is not just about your sales. If you meet an accountant and you know someone who is looking for such services, introduce them. You may not gain financially from every introduction, but if you make such work a habit, people in your network will return the favor.

Finally, be patient. Remember that it takes far more than one quick conversation to establish a potentially rewarding business relationship. Many new leads may take months to bear any fruit, if they bear any at all. Successful networking is more than just hard selling – it’s getting to know people in your industry and making the connections that establish your business within that community.