How to Leverage LinkedIn to Get Leads

If LinkedIn isn’t working for you as a business development tool, the trouble might be less with your actions than with your expectations. LinkedIn is not a magic bullet. Simply posting your profile and accepting a few invitations is about as effective as going to a networking event and standing at the edge of the room waiting for someone to find you. You have to jump in and participate.
The next mistake people make with social networking is to forget all the rules of traditional networking, believing that building relationships online is somehow different. To network successfully in person, you would take the time to introduce yourself to someone, have a conversation, get to know each other, and find ways to add value.

Only once people get to know, like and trust you will they feel comfortable partnering with you, hiring you or referring business to you. Sometimes you hit it off immediately and breeze through the know, like and trust stages within five minutes. More often the process will take a few more discussions. Trying to shortcut the process by being too focused on making a sale rather than developing a relationship won’t get you very far.
Networking successfully online follows the same process. It has to, since there’s a real person behind every profile. Even though you can’t see them, they’re no different than if they were standing in front of you. They still want to be heard and feel appreciated. They want to know you’re sincere. And they don’t want to feel like a target for your sales pitch.

LinkedIn facilitates the flow of information and makes connecting and staying connected easier. (For more information on getting started with LinkedIn, click here for a Web exclusive.) Here’s the right way to use it to grow your business:
Partnership Development.

LinkedIn is a great place to find referral partners, strategic alliances and joint ventures. These are other companies that could serve their clients better by partnering with you and vice versa. Building mutually beneficial relationships is what networking is all about. Think about your clients’ broader needs outside of what you can provide, use LinkedIn to search for companies in those industries, then find people one or two degrees away with whom you can start a conversation. But don’t try to rush things and start asking for referrals before you’ve gotten to know each other. Remember that your contacts are putting their reputations on the line when they refer business to you, so they have to get comfortable with you first.

Prospecting and Research.

If you have a target list of companies you’d like to work for, search your connections for people who currently work there or have worked there. At some point, you want to be able to get to a decision maker, but having the chance to speak to someone else could greatly improve your knowledge of the company and prepare you to approach the decision maker more effectively. That conversation could even spark an introduction to the decision maker, if your LinkedIn contact feels it’s appropriate.

Lead Generation.

Use LinkedIn to extend your offline relationships. Connect with former colleagues, classmates and associates. Invite people you meet at networking events to connect with you. One of the great things about online networking is that you can keep tabs on your contacts unobtrusively, without having to send e-mails or make phone calls to “check in.” You can see when people take on new roles or post questions that are relevant to your business, then make contact and offer your help. Always find a way to lead with value in order to get a favorable response.

Two people who regularly use LinkedIn for business development are David Leaver and Virginia Steinberg of Opus Partners, a boutique sales strategy firm in Westchester, N.Y. Earlier in the year, one of David’s LinkedIn connections, a college classmate, referred them to a contact in the Boston area. They immediately looked up the contact’s profile and her company’s profile, and in less than 10 minutes figured out her sales organization structure. This background research helped them impress the prospect, develop a strong statement of work, and land the deal in less than 60 days.

While LinkedIn played a role in helping Opus get the business, it was David’s relationship with his college classmate that started the process. Strong relationships will lead to stronger referrals. If you’re going to ask for referrals or hope to get them from your connections, having real-world experience with each other is valuable, but gaining someone’s trust online can be the next best thing. LinkedIn can make some parts of the process easier and faster, but remember that the magic is in the relationship itself, not the tool.