In this episode: Is it what you know or who you know? Jon Peyton recalls watching colleagues with deeper networks get promoted ahead of him, then finding that the same dynamic is even stronger in business. Rather than play politics, he explains how to build a network on value instead of favors, and how to tell whether the network you have is helping you.
Key insights
- Knowledge and results don’t always win. Relationships often decide who advances, in a corporation or in the market.
- Trusted advisers such as attorneys, accountants and insurance agents tend to refer within their existing circles, even when something else would serve their clients better.
- Creating useful content lets you reach the people you serve directly, and gives your referral partners something worth sharing.
- A strong network puts value first. If the people around you always have their hand out, they’re helping themselves, not you.
- Followers aren’t a network. What counts is engagement and the value that flows both ways.
Episode timeline
- 0:00 Is it what you know or who you know?
- 0:41 Watching others with deeper networks get ahead
- 3:21 The game of politics
- 4:49 It’s no different in business
- 5:35 Why referral networks stay closed
- 6:43 Going straight to the audience with content
- 8:37 Building the network around the end client
- 10:16 Value over the good old boys’ club
- 13:01 When everyone has their hand out
- 14:23 Tracking how your value is used
- 15:51 What a value-first referral looks like
- 19:03 Followers aren’t a network
- 20:07 Your personal network matters too
The episode in brief
Results don’t always speak for themselves. At two firms, Jon earned degrees and certifications and produced strong results, then watched people with less knowledge but deeper networks get promoted ahead of him. They could play the political game and he couldn’t. It wasn’t that he was unkind. He just couldn’t stand the fakeness.
It’s even more pronounced in business. When Jon started his own firms, he assumed he’d left politics behind. Instead, he found that the professionals clients trust most, such as attorneys, accountants and insurance agents, usually refer to the people they already know. Even when something new would better serve their clients, few want to take the time to learn about it.
Start with the end client. Rather than fight closed networks, Jon built his around the client. Publishing content, through search, social media and an online community, let his firms reach business owners and executives directly. It also gave referral partners something useful to pass along. When an adviser shares a helpful piece, they look like the expert, and the content reaches the people it was made for.
Value first, not the good old boys’ club. The goal is a level playing field where what you know matters more than who you know. Jon’s test is simple: if the people in your network are always asking for something or keeping score, they’re focused on themselves. In his experience, those who give eventually get back, even if it takes months or years.
Measure what you can. You can’t track every act of goodwill, but you can track how people engage with what you offer, from downloads and subscriptions to what they do next. That tells you which partners are finding value and passing it along. What matters most is what your network does with your value for the people you serve.
What a good referral looks like. Jon describes asking a trusted accountant to review a client’s tax situation at no charge, knowing the accountant will put in real work to find what the current one is missing. The same goes for the right attorney. When one professional has reached their limit, the right person in your network can step in. That’s a network built on value.
Followers aren’t a network. Thousands of connections on LinkedIn or Instagram don’t mean anyone is engaged. The same goes for your personal life: friends, family, coworkers and community. Surround yourself with like-minded people who give, and you’ll be happier in whatever you take on.
Key action items
- Audit your network. List the people you rely on most and mark whether each one mostly gives value, asks for it or rarely engages.
- Lead with something useful. Share one piece of helpful content with a referral partner this month, with no request attached.
- Track what happens next. Pick one simple measure, such as replies, shares or introductions, to see which relationships create value both ways.
- Strengthen the personal side too. Reach out to one friend or family member you’ve been meaning to reconnect with.
Listen next: Episode 7: Entrepreneurship: The Nomadic Journey
This episode is educational and isn’t legal, tax or financial advice. Speak with your own attorney and advisers about your situation.