Networking

Networking, which is a technique used for acquiring contacts and maintaining good professional relationships, is a way to build a network of contacts with other entrepreneurs with similar interests or who operate in similar market segments.

It is such an intrinsic part of building a business that you almost don't have to see it as a task to accomplish, although I advise you to look at it as such so you don't accidentally overlook it. Take it as the lifestyle of the successful entrepreneur, as it consists of fostering good relationships with other business owners, with customers, with industry peers, with community leaders, with family, friends and in general with anyone who can help you in your business opportunities.

If you fail at this, you will lose a lot. Let me clarify, networking is not about selling more and better, it is about creating a flow of potential future sales that can last you a long time. When you attend a business lunch or dinner, your main objective should not be to make your sale, this is just a bonus. Your goal should be to network with new business partners and get to know them better.

Independent entrepreneurs are very influential people in their area of business and share with them information about your company through a good and attractive proposal, in a concise and clear way, with the purpose that they remember you and recommend you as a potential partner, as well as recommend you to family, friends and clients with whom they have contact and who may be interested in your services or products.

Knowing all this, you can understand why networking is an excellent technique to build your clientele. It is an indirect way to increase business, since it is not through closing sales at that very moment, but to build a greater number of these in the future. Create a bridge to potential customers you may have in the future. A good analogy for this principle is the saying: "you can give someone a fish and they will eat for a day, or you can teach them to fish and they will have food forever". The interpretation of that analogy to networking would be that you can either insist on a small sale today or be patient and create good relationships that will bring you more clients and more sales in the future.

Types of networking

From a didactic point of view, networking can be divided into several types, but keep in mind that they all have the same objective, what changes is the way in which it is done. Below, I present you with some of the categories in which networking is separated.

Offline Networking

This type of networking could be seen as the more traditional model, i.e. the one you would do in events and meetings organized in physical places to interact with people and start reciprocal collaboration ties.

This type of networking does not only include business events or meetings, but also any training or professional meetings, such as courses, lectures, or workshops, which offer a space where participants can interact with each other.

Online networking

Also known as digital networking, this category has the same objective as all types of networking, to meet and establish relationships with business partners, investors or mentors who are in line with our objectives. The difference is that in this case the interaction occurs through the Internet, particularly through social networks.

This type of networking has been catalogued by many as colder and more distant than face-to-face or offline networking. It is no less true that this type does not give us the closeness of a face-to-face meeting, but nowadays we cannot deny the possibilities offered by digital and social platforms, which bring us closer to each other.

Although currently there are mechanisms to close the gap of distance, and we can not deny the ease that gives us, being able to establish relationships with anyone anywhere in the world and from any location.

Business Networking

This kind of networking is closely related to the two previous ones since it would be the specific business interactions that you have in the framework of professional meetings. They can be in physical spaces or in virtual spaces.

Informal networking

This is the type of networking that we do in the framework of our daily life, often without realizing it, in social interactions that we have away from our work environment. The main characteristic of this type of networking is to listen carefully to the person or people with whom you are interacting, to notice the opportunity to offer your products or services, or also to establish a potential business relationship with them, always without being rude or invasive.

Strategic Networking

This is the one in which we use and combine all the previous types of networking as we see necessary, since it responds to a longer term strategy and to the fulfillment of more important objectives. We have to keep in mind that each modality fulfills objective and useful aspects for its segment, but in real life the lines between each type are more blurred, so the ideal is to combine them all to make the most of their advantages. For example, you can start a business relationship at a face-to-face meeting in your market sector, but then extend and maintain it in the digital framework.

These are not the only types of networking that exist, but this is a sample of the main ones to give you an idea of how to recognize them so you don't miss them.

Advantages of networking

Nowadays, networking in business is a common and essential practice in the health of a good company, since the market in general is becoming more and more a place where entrepreneurs build their image. And much of this identity relies on the relationships you build and the impact they can have on your career.

Let's briefly explain the advantages of a good networking practice:

• Consolidate your network of contacts: Participating in networking events is one of the best ways to create and strengthen your business relationships, but it is not the only one. You can also consolidate your network by using tools such as LinkedIn, one of the main social platforms for networking, or establish your business relationships in an academic space.

• Increase your job opportunities: Networking assists you in greatly increasing the perception and quality of either your personal brand or your business brand, which allows you to access opportunities that you would not have had otherwise. This is mainly due to the fact that many companies use the referral system to do their hiring, as opposed to making their offers public. Similarly many company directors attend events for the purpose of handing out their business cards, which can then be taken into account when embarking on partnerships or agreements.
• Gain knowledge: By networking you increase your chances of gaining knowledge and new practices that enrich your business experience. Having a wide and updated network of contacts is an essential source of new and invaluable information.
• Improve your visibility: Without a doubt, efficient networking will make you known among your colleagues, clients, business rivals and potential investors as a reference or an expert in your business, which will give you more notoriety and attract more clients.
• Increase your opportunity for innovation: By increasing and fostering your network of contacts, you can use them as a source of inspiration for the renewal and innovation of your projects, as a generator of ideas to keep you updated and in line with current trends.

How to do networking?

How you network will depend on your specific business objectives, the particular qualities of the industry you are in, and the type of networking method and space you choose. Here is a set of general recommendations that can serve as a guide:

• Keep abreast of events about your business segment: Join professional forums about your industry, LinkedIn groups related to your business segment, and follow industry leaders. This will allow you to stay updated on online and offline meetings and gatherings that align with your goals and interests.