Business networking, how it works and how it helps professional growth

business networking is a fundamental strategic activity for creating and maintaining professional relationships that can foster opportunities for growth, development and success in the workplace. In addition to being a tool for exchanging ideas and resources, networking translates into connections that can positively influence the professional path, both at an individual and corporate level.

It is a real practice that is becoming increasingly popular in contemporary society, also thanks to the network and the effects of the Covid-19 pandemic, now behind us. Here, then, is what does business networking mean in concrete terms, how it works, the strategies for developing it effectively and the benefits it can offer in the long term.

What is business networking?

business networking is becoming increasingly known even outside the world of marketing. It is, in fact, the sharing of information or services between people, companies or groups. A method that allows you to grow your relationships for your work or, in general, for business. The connections, at the base of networking, are fundamental for building professional or personal relationships; this is because networking helps to establish and build meaningful relationships for the benefit of all those involved in the exchange of information and services.

If we want to give a practical definition, we can say that:

business networking is the process of building and maintaining a network of professional contacts with the aim of creating synergies, collaborations and business opportunities. It is not just about accumulating knowledge, but about establishing meaningful relationships that bring added value to all parties involved.

This process can take place through different channels:

• live events (conferences, fairs, industry meetings);
• digital and social platforms, more or less professional (LinkedIn, thematic groups, online communities);
• informal networks (friends, former colleagues, mentors).

Networking is a two-way activity: to gain benefits, it is essential to be willing to offer value to others, whether it is knowledge, resources or opportunities. It is a bit like most marketing relationships, but in a much deeper and more nuanced sense.

Why is business networking important? 4 essential reasons

In an increasingly competitive market, networking is not just a “nice-to-have”, but a crucial aspect of building a solid career or growing a business. Some of the main reasons why business networking is important include four aspects.

1) Access to professional opportunities

• Most job offers and professional collaborations are not publicly advertised but are developed through direct connections. Having a well-built network increases the likelihood of accessing these opportunities.

2) Developing your reputation and personal brand

• Being present in the right contexts and actively contributing to industry discussions allows you to position yourself as an expert or authoritative figure, improving your personal brand.

3) Support and mentorship

• A strong network provides access to mentors, partners and colleagues who can provide feedback, advice and support at critical moments in your career or business management.

4) Business expansion

• For entrepreneurs and businesses, networking is a way to meet potential customers, investors and business partners. A quality connection can turn into a collaboration or a major sale.

Business networking as a "parachute"

Strong relationships are important in private life as well as in the world of work. They are precisely what allow us to have a wealth of contacts that can lead to personal and professional growth. On the other hand, as human beings, we are still social animals and we need others especially in our working lives. It is possible, therefore, to build a stable and solid network of acquaintances that allows us to become good networkers and that can be used as a "parachute" in case of need and necessity.

Those who are extroverted and expansive by nature, always showing a personal attitude towards others can be helped in building a network. But even if you do not have these innate abilities, it is possible, since business networking has a scientific basis, to build over time a structure of connections that can be profitable and that can create new economic opportunities.

The first rule for building a network of business networking contacts is that it is built over time and, above all, thanks to a continuous exchange with the other.

In this regard, we must not forget that in relationships there are always givers and takers (Adam Grant). Takers are those who take without giving anything in return from relationships and are in contrast to givers who tend to give unconditionally. To build a valuable and exchanged relationship with others, you definitely need to be balanced in giving and taking and avoid appearing greedy or selfish in the eyes of others. Valuable relationships are the fundamental pillar of business networking to which is added a friendly attitude, the ability to involve your interlocutors and the willingness to give value and the right importance.

Business networking as an "opportunity"

The opportunities that a solid and valid network of acquaintances can bring to business are many both in terms of reputation and word of mouth and for new partnerships that can be developed over time. It is clear that having a network of valid connections and relationships to rely on to develop business ideas can make the difference in many situations and can give value to your business.

The network can be a source of new perspectives and ideas, the exchange of information, experiences and objectives is one of the fundamental advantages of networking because it allows you to acquire new perspectives, which allow you to look at work with different eyes. Networking, if used well, can increase skills, thanks to the continuous exchange of information and opinions you have the opportunity to come into contact with different ideas and visions and to always be stimulated, learning new skills that are fundamental for the contemporary hybrid work world.

Business networking: an evolution of word of mouth

Business networking is often associated with word of mouth, but this is not exactly the case. As analyzed, business networking is based on the construction of a social network, which certainly also passes through and thanks to word of mouth, but not only.

Word of mouth has always existed and, especially in small towns, it is often used to advertise oneself. The Internet has certainly changed and improved the practices of spreading word of mouth, leading to and ensuring an acceleration of the phenomenon, without however distorting its nature. Although competition has increased, thanks to digital, and customers are increasingly careful in selecting products and services, even today selection is based on trust and previous knowledge, in short, even today everything is based on recommendations made by other users.

Word of mouth is therefore added to the construction of a network of "partners", thanks to business networking, who can provide recommendations.

How business networking works and how to make it profitable

Networking requires planning, strategy and authenticity. We could enclose the main steps of the strategy in several fundamental pillars.

Identify the objectives

Before starting, it is essential to define what you want to achieve. The rule is to "ask lots of questions" and, of course, look for answers in the right industry. For example:

• Looking for a new job?
• Expand your company’s market?
• Get advice from industry experts?
  A clear goal guides how you build and use your business networking network.

Attend the right events

Conferences, workshops, and industry trade shows are great places to meet professionals with similar interests. It’s important to prepare in advance, knowing the speakers and key attendees you’ll meet.

As a general rule, as with personal relationships, the first rule is to don’t skip important events. If a partner has organized a launch event, it’s a good idea to show up and be supportive. Relationships require work and effort, but when needed, they know how to repay everything that has been invested in them.

Use digital platforms

LinkedIn is the main tool for online business networking. To get the most out of it:

• optimize your profile with complete and up-to-date professional information;
• share useful and relevant content to attract the attention of other professionals;
• connect with key people, sending personalized messages.

Cultivate relationships

It is clear that for the network of acquaintances to work, it must be nurtured and built over time. You need to dedicate space and attention to relationships and make them become relationships over the years from which you can take and give value. To do this and to obtain positive feedback from your social network, it is important to dedicate the right amount of effort.

On LinkedIn, for example, but also in "real life", networking does not end with the first meeting. It is essential to maintain contact with the network, sending periodic updates, good wishes or sharing useful resources.

Be generous, proactive and honest

Offering help, advice or connections without expecting anything in return builds trust and consolidates relationships over time.

Another rule? Ask yes, but not always. It is clear that if you always ask your partners or your network of acquaintances, they will not look favorably on you. It is essential to know when and what to ask for.

Finally, you must always be honest and sincere, as in personal relationships, to avoid connections that are not solid.

Whether you are a professional looking for new opportunities or an entrepreneur aiming to expand your market, investing in networking is one of the most powerful tools at your disposal.

Original article published on Money.it Italy. Original title: Business networking, come funziona e come aiuta la crescita professionale