Why We JoinThe Role of Personal

Invitations in Building Business Networking

Groups

Steve BrewerDecember 18, 2002

Star Tribune Newspaper

Worthy of My Attention

Meet Weekly to Exchange Leads

Growing Movement1,000 Groups in 19975,000 Groups Today50 Groups in Twin Cities

My Experience as a Group Member

Our Group Was Successful

New Group Struggled to Grow

No Plan for Growth

Worthy of Research

My Research

ProblemNot All Groups SucceedingNo Data for Decision Making

Personal Invitations vs. Other Methods

Research Question

Are Personal Invitations More Effective Than Other Marketing Methods for Building Twin Cities Business Networking Groups?

Literature Review

Research by Taylor (2000)

Old Boy Networks

Success of Informal Networking Groups a Function of Size

Observation & Interviews

Observed 17 Networking Groups

Interviewed Group Leaders

Findings – Operating Rules

For-Profit Organizations

One Member Per Industry

High Member RequirementsMust Be Voted InAttendance/Lead Passing

Findings – Source of Guests

50% of Guests Come from Personal Invitations

Remainder of Guests From Other Sources

Newspaper ListingsTrade ShowsWeb Sites

Written Surveys

17 Groups

40% of all Twin Cities Groups

Median Group Size - 10 members

Sample Size – 208

32 Questions

Did You Visit Any Other Networking Groups Before Joining This Group?

No Other Groups 54%

1 or More Other Groups

44%

Are You a Member of Any Other Networking Groups Similar to This Group?

One Group Only 49%

Formerly Member of Other Group

24%

Two or More Groups 26%

How Did You First Learn About This Networking Group?

Personal Invitation 73%

Newspaper Listing 4%

Trade Show 2%

Web Site 2%

I Am Group Founder 4%

Since You Have Been a Member, How Many Guests Have You Invited to the Group?

41%

16%23% 8%11%

0%

20%

40%

60%

80%

100%

0 1 to 3 4 to 6 7 to 10 > 10

Number of Guests Invited

Who Has Invited More Than 3 Guests to their Group?

38.5%

50.3%

0%

20%

40%

60%

80%

100%

Large Small

Members of Groups

The New Business I Generate From This Group Has:

Exceeded My ExpectationsMet My ExpectationsFailed to Meet My Expectations

Exceeded Expectations

40%

Met Expectations 38%

Failed to Meet Expectations

21%

Who Is Meeting or Exceeding Expectations for New Business?

83.6%

63.4%

0%

20%

40%

60%

80%

100%

Large Small

Members of Groups

Research Question

Are Personal Invitations More Successful than Other Marketing Methods for Building Twin Cities Business Networking Groups?

Yes

Conclusions

Inviting Guests Is Crucial for Building Groups

Larger Groups Are More Successful

More ReferralsMore Revenue

Create a Welcoming Culture

Why We JoinThe Role of Personal Invitations in Building

Business Networking Groups

Steve BrewerDecember 18, 2002