Short advice from a YouTube speaker arguing that most businesses should begin by relying on referral deals rather than cold-traffic acquisition. The speaker says referrals produce warmer leads who already understand price and context, letting founders learn and generate revenue before investing heavily in cold-traffic performance.
Referral deals are harder than cold traffic because it's coming from a trusted lead source. Like cold traffic is I think essential a large scale business, but I think most businesses should start with referral based one. It's easier because the people are coming in warmer. They have an understanding. They almost always know the price. It's pretty rare that you're going to get a referral. You're going to be like, it costs what? Because the dudes or the person is going to tell them. It just makes sense so they have all the context and if they're on there, it's because they want to be on there. It's very hard to like twist the arm of someone you know, it's, hey grandma, come over here and talk to this random dude. That's not really going to happen very often. So if you can just do a concerted effort to push more referrals in the beginning, then you're going to get a lot of your mistakes out of the way and you're going to be able to build enough revenue to where you can afford to not be a rockstar on cold traffic straight away.
