Referral $$$ [RE-wrenches]

[Michael Welch]

At 08:49 AM 05/02/2000 -0700, you wrote:
   
>         We are all in the same business here - I don't see any need for a
>commission based on a lead from another part of the country. Lets just
>help each other out huh? We will be helping RE at the same time.
>         We all work pretty close - there is no reason we can't help each other
>out. I think where commissions are appropriate they can be worked out on
>a case by case basis - wrench to wrench.
>         Frankly - I'm not sure this sort of thing is what the wrench list was
>designed to facilitate.

Hello Ron and Wrenches.

The list was originally thought of in terms of technical info. This is your list, and I see discussions of dealer business a very good additional use of this list.

That said, I want to also agree with Ron.

I see that pay for referrals is a bit dangerous, and might add an unsavory edge to the biz. The thing that bothers me the most is that referrals may end up going to the dealer that is willing to pay for it, or pay the most. This may not be the best dealer for the job. Some dealers WILL look at the money and not the experience/capability/longevity of the referred dealer. That is not in our long-term best interest.

 From what I have seen and heard, experienced installing dealers are doing pretty well. Many that I have had contact with have been working pretty steadily, unlike 5-6 years ago when everything was so iffy. So, while it is always nice to have more funds flowing into the coffers, most of the experienced dealers have a pretty good income right now.

As far as newer, unestablished dealers go, I say give them a chance with referrals if there are no experienced ones nearby. If you run into a problem with their work or if they turn out to be weasels, then don't refer to them any more. The word will spread about these guys, and without peer support they will not do as well as the rest of you.

It is my opinion that this movement (and that's what it is, in addition to a business) has been steadily building based on non-financial incentives. 

So, instead of wanting a price for your referrals, please make those referrals based on the abilities of the referral recipient. And if your company also has appropriate abilities and reputation, you can rest assured that you will get referrals yourself. I see no need to throw money into the picture. I think it might be bad for the industry.

As a director of a non-profit that deals regularly with home scale RE, I give a LOT of referrals (several of you on the list have gotten them). Those folks that do a good job, are known to be customer-friendly, and score zero on the weasel continuum are the ones that continue to get referrals from me. I do not expect anything for my referrals, except that the dealer continue doing a good job.
   
Michael Welch
   
------------------------
"Society is like a stew. If you don't keep it stirred up, you get a lot of scum on top."

			Edward Abbey
         
Michael Welch, michael.welch at homepower.com www.homepower.com
      Associate Editor, Home Power magazine
      Office Coordinator, Redwood Alliance
      (Not HP mag's #s) 707-822-7884 fax: 707-822-3481
      

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