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Can Business Networking International Help Your Consulting Business?

By crooky | February 2, 2008

Note: I appologize for not posting this on Friday. My schedule got “out of whack”.

In an effort to find better ways to promote my business, I have spent a great deal of time in January visiting Business Networking International (BNI) chapters in the Greater Vancouver Area. I’ve actually visited the three top chapters in terms of numbers. My sister-in-law, Baljit Siekham of Alchemy Organizing, introduced me to the organization because her business has benefitted from huge ROI after joining. I thought “hey, I gotta check this out”. Now, let me preface the following statement: I have met wonderful, warm people through BNI. I met an ongoing business partner through BNI (who is not a member but was checking it out, like me). I may have just sourced a new sub-contractor for my own business through BNI. I have also seen some people make A LOT of money through BNI.

BNI logo

However, I have been watching the groups very carefully and have come to the following conclusion: BNI works for B2C consultants and companies (companies who sell goods and services directly to the public) but not for B2B consultants (like me - people who sell their services to other businesses). Last week, I had several people from these chapters ask me if I was interested in joining and I said “no” and explained why to them. Some of them disagreed and said they knew a friend of a friend of a friend who had a B2B business that had thrived in BNI. Others agreed wholeheartedly with me and could see the logic of my findings. The fact remains that out of the 100+ people I met through BNI in the last month, I met maybe four people who were B2B consultants. I should point out that the B2B people I met were largely in the graphic design and marketing/communications field - I’m not sure why but they seemed to be doing well enough.

Before I go on to discuss why BNI doesn’t work for people like me, I’d like to explain to you what BNI does:

BNI is the largest business networking organization in the world. We offer members the opportunity to share ideas, contacts and most importantly, business referrals.

This is right from the BNI International web site. I would like to add my own observations on the real value proposition of BNI:

  • You get a network of evangalists and friends that can prop you up, help you out and bring new business to you.
  • It adds structure to self-employment. A lot of us just kind of drift as consultants and freelancers. BNI forces you to bring some structure and goals to your business. This is important.
  • It’s energizing. I always feel great after leaving a BNI meeting and as some other members have said “it starts off my day/week on the right foot”.

    • For some, the referrals are working. My sister-in-law has certainly reaped the benefits of her membership. I’ve used referrals that she has provided. I got my last real estate agent and mortgage broker through her BNI chapter.

    I believe that the real reason all these B2C businesses thrive in BNI is that their products and services are discreet and transactional. Florists, professional organizers, accupuncturists, financial planners. Some of them work at no direct cost to the customer - like a mortgage broker. Others offer goods and services that can be procured for less than $100 and consumed almost immediately. Most importantly, these are all services that anyone I know could conceivably use.

    My services, on the other hand are of little use to my mom or my best friends’ roomate. My ideal clients are other consultants, small businesses, government agencies or medium-sized high tech firms. I was in a BNI meeting three weeks ago and asked (as part of my elevator pitch) “how many of you know a consultant?” Out of 20+ people, only three people put up their hand. To me, that means they’re running in the wrong circles for my business. Additionally, there is very little that I can do for a customer for less than $5,000 and most of the projects I do last one to four months. Not exactly transactional work.

    Furthermore, even if a BNI friend of mine did know someone who knew someone who could use my services - that’s a degree of closeness too far away. The work that I do is not only relatively expensive. It’s business-critical in most cases. That means that most of my clients want referrals from someone they know who has already worked with me. The trust level must be extremely high - higher than when I’m looking for a florist or a real estate agent.

    So, that’s what I’ve learned about BNI in the last month. It’s a great organization but it has to be the right fit for your business. If you, like me, are in a relatively specialized B2B consulting business - BNI is not likely going to work for you. I suggest that you visit a local chapter and see for yourself though. It’s a very engaging experience.

    *********************
    Aaron “Crooky” Cruikshank is the Principal and Founder of Friuch Consulting. He has written professionally about science and technology for ten years.

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    Topics: Business of Consulting |

    One Response to “Can Business Networking International Help Your Consulting Business?”

    1. Can Business Networking International Help Your Consulting Business? | Best Mortgage Says:
      February 2nd, 2008 at 12:47 pm

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