Building a trust and a client base through networking - Johnson Consulting Services - Secrets of Success

Home Office Computing, Sept, 1991 by Jayne Carlson

Building Trust And a Client Base Through Networking

Consulting is a business where people need to know and trust you before they'll do business with you; they need a chance to check out your abilities," explains Jill Johnson, owner and founder of Minneapolis-based Johnson Consulting Services. Much of Johnson's success can be attributed to her effective, incessant networking. It has put her company on the map and fuels its growth.

Johnson launched her marketing and management-consulting firm from home four years ago; last year's revenues exceeded $100,000. At 31, Johnson is thriving in a field dominated by middle-aged business veterans. And she's been racking up the credits to prove it: the U. S. Small Business Administration named her Minnesota's Young Entrepreneur of the Year in 1990, and last year she was voted the youngest-ever president of the Minnesota Chapter of the National Association of Women Business Owners (NAWBO). Most recently, Drake University named Johnson the winner of its Young Alumni Achievement Award.

Johnson, who has worked with clients in 10 states and abroad, has built her business brick by brick. To develop experience, she worked for two international consulting firms for six years. To overcome her age handicap and establish credibility, she invested $2,000 in image building. She hired a national graphic-design firm to develop professional business cards and letterhead and bought top-of-the-line report covers. "Everything was designed to position Johnson Consulting Services as a legitimate business. I was very professional about my business and never referred to myself as a freelancer. I wanted people to take me seriously," explains Johnson.

The depth and quality of her work warrant that she be taken seriously. As a consultant, Johnson puts together business and marketing plans and develops growth strategies for clients. Her business plans for clients have obtained as much as $5 million in financing. Often, the sheer quality of her work gains her referrals. A mortgage banker with a major bank on the East Coast who handled the financing for a project she'd worked on was so impressed with the quality of her reports that she hired Johnson to do work for her bank. But it is Johnson's relentless networking that has really helped her business.

OLD-FASHIONED NETWORKING

Johnson becomes involved with organizations and works herself into highly visible leadership roles. In addition to being president of NAWBO, Johnson also serves in the Active Corps of the Service Corps of Retired Executives (SCORE), has chaired three committees of the Greater Minneapolis Chamber of Commerce, and has worked closely with the U.S. Small Business Administration.

Johnson stresses that effective networking should never be approached with a "What's in it for me?" attitude. "People know when they're being pandered to," explains Johnson. She defines networking as "working and partnering with other people to accommodate mutual interests." Part of what attracted Johnson to consulting was the opportunity to build personal relationships with a diverse group of people.

Her networking activities are varied. She makes herself available and willingly acts as a resource to area business leaders. She works actively to assist women in the business community. She nominates people she respects for awards. And thanks to a natural speaking ability, she delivers a minimum of 25 speeches a year to captive audiences packed with potential clients.

How does Johnson translate networking into revenue? "Networking creates an awareness. It doesn't turn into money until the contact has a need," says Johnson. And the lead times can be very long. For example, Johnson recently landed a project with someone who attended a speech she delivered three years ago. Her volunteer activities with the Greater Minneapolis Chamber of Commerce not only resulted in a contract with the organization but also gained her $20,000 worth of referrals from its president. Networking led Johnson to a project with a Japanese firm looking to sell medical products in the United States.

ON-LINE DEMOGRAPHIC DATA

Johnson's access to an on-line demographic database, offered by National Planning Data Corporation, has been an invaluable asset in her research for clients. For a nominal monthly fee, Johnson has access to almost any type of detailed demographic data for any given set of geographic coordinates that a project may require. This kind of research saves time and provides sophisticated information essential to the business plans she writes for her clients.

"The ability to access demographic data is extremely critical when writing business plans for people making million-dollar decisions," explains Johnson. She uses Lotus 1-2-3 to manipulate the demographic data to propose what-if scenarios and to identify market opportunities for clients. This use of technology allows Johnson to gain a better understanding of where each client best fits into the marketplace and what steps are necessary to make that fit. Johnson then discusses her findings with her client before making a final recommendation. Together, she and her client interpret the information Johnson has put together and develop a detailed plan of execution.