Are You Networking for Pleasure or Networking for Profit?

Are you Networking for Profit or Networking for Pleasure? “Cha-Ching.” Listen again. . . “Cha-ching” . . . it is the sound of profit! It is heard in every corner of the world, in hotels, restaurants, on the greens, at the beach and all the places people gather, to close and communicate about the deal!  It is an exciting opportunity!  Something good is about to happen! We call it business networking. Networking is the exchanging of information and establishing mutually beneficial relations with others.  It’s people making connections, supporting, providing contacts and linkages to resources.  The purpose is to generate money and support to achieve our goals and to enjoy our lives. Consider profit as an advantageous gain or return, often declared by entrepreneurs as the bedrock and purpose of business.  In networking, it is the positive force of two profit centers and interrelated components: (1) economics and (2) pleasure. Economic profit is information gained from others that improves our business, such as, an untried solution to a business challenge, money saving ideas, a referral of new clients or customer.  It is learning of resources, opportunities, magnificent tips or sometimes, where to find the best bargains. It is the foundation for alliances and partnerships. the buying/selling of businesses or even real estate.  Possibilities abound! Pleasure profit is derived from information that supports all areas of our lives, the quality of our work life and personal relationships.  It is giving and receiving, providing assistance and enjoyment (receiving pleasure) and the feel good experiences in what we do.  In networking, these profit centers are in operation simultaneously, requiring a balancing act in socializing and business connecting.  The process demands conscious awareness of the purpose and motivation for engaging in a conversation.  Most significantly, it demands attention to keeping track of time and subtly, the potential for profit. Networking Dollars In business networking, there are two kinds of currency: 1.    Social Dollars results in developing and increasing social contacts (pleasure profit). 2.  Business Dollars results in increased business (economic profit). From this perspective, it is a good idea to reflect on the ROI (return on investment) of your networking encounters and budget accordingly.  If you are networking to increase business and the result is little business, you used social dollars. Determine what percentage of your expenditure is for business or social purposes and make adjustments accordingly. The Networking Budget There is a cost (usually food and beverages) associated with business networking.  Regular participation in the networking process can exceed your monthly grocery or cell phone bill! There are organizations specifically formed for the purpose of networking and making business contacts.  Often there are membership dues.  They offer an array of supportive services, guest speakers, workshops and professional growth opportunities.  What is the cost?  Is it a line item in your budget? What is the benefit?  How can you profit? Additional cost includes the invitations we extend to those we desire more time with.  Often we invite them, at a minimum to Starbucks for coffee or most likely, breakfast or lunch that can extend the time.  Again, food!  The good news, with record keeping, networking is to your tax advantage, it is the cost of doing business!    Often, ask yourself, am I balancing expenditure of social dollars and business dollars?  Are my networking activities contributing to my economic or pleasure bottom line? The Networking Plan of Action The purpose of business is profit.  Networking demands a plan of action and conscious awareness of the economic and pleasure aspects of business.  As you make contacts and converse, listen for information that will indicate that the person is a resource for you or can support your goals.  What is your outcome? What should you listen for?  Simply, ask yourself these questions: Does this person have a business, career or profession that can support my goal? Does this person appear to have contact to other sources or resources that will support my goal? Is this person in a position to support my goal? Does this person indicate a desire to support my goal? Conversely, listen for clues that will aid you in supporting their goals or needs.  Provide them with ideas, tips and resources.  Networking with Integrity The word profit implies that someone received an economic advantage through a business deal or that someone lost in order for another to gain.  It doesn’t have to be that way. While networking, it is important that people not experience thoughts or feeling that they were used, manipulated or deceived, after providing information. Sometimes, the over use of social dollars are interpreted as a desire for a continuous personal relationship, when intent was strictly business, economic profit.  Be genuine and sincere in communications when establishing new business connections and receiving or requesting information from others. The essentials of economic and pleasure profit in business networking are:  Connecting with others to balance economic and pleasure profit. To give and to receive. Listening to others. Having clarity about your own motives. Monitor and balance the personal expenditures of social and business dollars. Creating value for others. Keeping agreements and commitments. Meeting the behavioral needs of others. Maintain, respect and take tender care of relationships developed in the networking process.  By doing so, you will enjoy, benefit and profit in many ways, for years to come. 2009-05-25T17:22:42Z