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Future Business,

frenchy | Posted in Business on January 5, 2008 05:45am

If your schedule is filled with confirmed work for the future than this isn’t going to interest you.. If not hopefully it will be a point of departure for discussions on getting new business.

   I’ll share with you what has worked for me in the past and how you can do something similar and still not succeed.

  Start out by listing everybody who you know could possibly provide you business..  Do not include jobs you have finished but expect no referrals from..

   You may include those who said sometime in the future I want to add this or that.  (even if it’s a vague sometime in the future) 

  Like most people that is likely to be a rather short list.  Next add to that list any organizations or groups that provide referals to the type of work you do.. Check to make sure you are part of that group or listing.. does it require membership? Are your dues paid? Do you get better referals if you take an add out in their publication?    That can be a very effective way to reach potential customers at minimal cost

  At best you have less than an hour doing this..

  Now you need to set up your bird dogs..

  A Bird dog is someone who points out a lead to you.. It may be a waiter,  barber or your wifes hairdresser or whatever. It’s someone with a lot of contact with the community..   Now before you go wading in here you need to understand the ground rules..

  You can waste a lot of time and effort (not to mention money)  if you don’t get it right. Those sort of people get asked to do this sort of thing all of the time.  If they do it they expect reward  that reward has to be significant (not a couple of bucks added to the tip)  I used to pay $20.00 for the conversation  another words just a chance to talk to someone and use them as a referal. I would pay $500.00 for the sale.  In cash! Dead presidents, folding green! No 1099 no checks..

  That may not be enough!

   If he has several contractors on line he might be getting the same or better from others or he may give the lead to several contractors.  You need to be open and honest with them.   Explain what you are seeking (do it privately)  ask if they have someone already and if they do and you offer them nothing they don’t already have  They won’t be your bird dog..  Get your hair cut someplace else.  ;-(

  Don’t limit yourself to one barber etc.  I used to get a trim in every barbershop in Southern Minnesota

     Then use that information wisely..

   I would go into commercial contractors with that information and share it with them.. free..  That way I could be assured that the next time I showed up they’d ask me in to see them rather than tell their secratary they were busy.. When it finally did come time to buy something I was their consultant not just another salesman..

  The point of the above is don’t go through your contact list asking for jobs.  Give them something in exchange for their time.. Something that they can use.. “I see that Jones contracting has such and such a jop lined up, won’t that leave you free to make a good bid on the waterhouse project?” 

  All this will take time.. Time you probably want to spend pounding nails or doing something..

   Well without doing this how many nails can you pound when the books are empty?

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Replies

  1. frammer52 | Jan 05, 2008 06:58pm | #1

    good points.  now if they will actually do it.....   very good advice.  after you get these leads work them to death, be persistent.

    1. frenchy | Jan 05, 2008 08:06pm | #3

      frammer

        You must be persistant but you can't be offencive. I should probably start another thread about timing and percistance. 

      1. Jim_Allen | Jan 05, 2008 08:14pm | #4

        Dont' start another. Just spit it out here. Bob's next test date: 12/10/07

        1. frenchy | Jan 05, 2008 09:55pm | #8

          Blue,

           The short /simple answer is ask those who you contact what their schedule is..  "So you don't think you'll be doing it this month, what about next month, should I put a note to stay in touch with you then?" 

            Note,

            stay in touch with you then is a key phrase.  It implies that you have their permission to be in touch.  If they don't want that they will tell , No we were thinking more in terms of next year.  .... whatever..

           Then ask what sounds like a clarifing question but is actaully more of a close question.  So were you thinking of starting us next year about this time? 

            That question really is asking if you are the selected contractor.  (a form of close)  but it's put in a manner which allows them to correct you without eliminating you.  Further it's not percieved as being pushy at all because they understand that you need to pencil them in for scheduling purposes..

          1. Jim_Allen | Jan 05, 2008 10:13pm | #10

            Frenchy, I'll bet I could learn a lot from you. Your sales skills are impressive and all of your tidbits are appreciated. I especially like your style of asking questions. I agree that it is a mini close. It also creates and schedules that next event. I sat with a few real estate friends last summer for long periods and would watch them as they interacted with new clients. They did sales and property management. I was amazed at how incompetent they were. They understood nothing of what you talk about here. Occasionally, I would offer some tidbits about some sale stuff that I've learned but most of the time, it would go right over their head.I've seen them turn away people coming in to rent a house without getting their names and numbers! They would just tell them: sorry, we don't have any houses available for rent..they are all filled up....then watch them walk out and drive away! YIKES!!!!!! Aren't these potential buyers and renters? What if another client comes in this afternoon with a new listing that they want rented?!!!Sales is a skill and I don't mind you sharing all your secrets. How much of this stuff is book learned or seminar learned? Bob's next test date: 12/10/07

          2. frenchy | Jan 05, 2008 11:50pm | #11

            Blue,

             I'd say over the past 40 + years about 5% comes froms from books and another 10% from seminars. Fully 30% came from dad or grandpa. Both were sales men. the rest is just plain experiance.. doing something in a way that yields results and repeating it untill it stops yielding results. 

              The standard of selling is that one person in 100 will still be making a living in sales 5 years after they start. and if 100 make it maybe one of those 100 will earn an above average income over their lifetime..

              Those are just numbers.. Like baseball it's really a numbers game.. the more at bats you have the better your batting average becomes,, right up to the point where your talent falls short of the requirements..  We all fail.  The only question is when we fail do we learn from our mistakes and move on or quit..  

  2. User avater
    Lawrence | Jan 05, 2008 07:04pm | #2

    Hey Frenchy-- Not admiring your Minnisota Climate!

    Good ideas... Like your Bird dog analogy.

    Spilled milk syndrome, "Making up for what we should have done while the economy was good by husseling later".

    Think back to every time you heard "I don't have to do marketing--word of mouth keeps me busier than I want to be".

    I can personally remember hearing that... then seeing their new website, blog or paid google ads within a week or two.

    It's like that kid in school that never studied... trying to be cool. It is only when you saw them graduate with honors that you found out they studied many hours a day.

    "Being able to charge more, choose which jobs to take and staying local are all benefits of having more quality marketing happening than you need." (from a blog post about selling too cheap this morning)

    It's not doing everything perfect that makes us a success... just positive steps in the right direction.

    Good Job Frenchy... it often doesn't take a grand effort to make things turn around during lean times.

    L

     

    GardenStructure.com~Build for the Art of it! Decks Blog

    1. frenchy | Jan 05, 2008 08:15pm | #5

      Lawrence,

           I knew that things would cycle out as well,  however as much as I prepared it didn't help when virtually no new home construction was going on..

        I'm doing pioneer work right now.  that's where you look for new cusomters/clients/ comapnies who haven't done business with you..

        If you think it's hard to follow the leads recieved from your bird dogs,, pioneer work is massively worse..

      1. User avater
        Lawrence | Jan 05, 2008 08:53pm | #6

        Ok Frenchy-- Is that Blue there?  Allen? 

        How long were you working with those guys? How far to the nearest large city? What kind of work do you believe will sell and what do you want to specialize in?

        How much of a Real Estate Correction has happened in your area so far? (expect another 15 points next year)

        That's the trouble with specializing in large projects like homes. When nobody is building... you have to have alternate gig set up already.

        Where do you think I come from? 1990, first gulf war happened and 3 big jobs cancelled. That's when I changed my contract and started taking deposits. 92-93-94 we finished 2 projects that took years just in time for a recession. (Built a newspaper in 5 months from dirt floors and block walls to moving in furniture-30,000sf, and a Tennis Court/Guest Home that took better part of 3 years--crew of upto 50) 

        That's when Framers were working for $165/sf nails inc. in Barrie Ontario... south of the border in Michigan.. $3.50-5.00. That is about when I decided my jobs would last less than 2 weeks on average--so that we have word of mouth working for us. When you have 2 clients in 3 years you don't have a company anymore.

        All the builders had gone into renovations or gotten jobs in factories.

        I haven't been slow since... now we generate leads enough to keep hundreds of guys working. I learned the hard way. Most of us contractors have thick skulls.

        It is not easy to be in business in the best of times.

        Time for creativity.

        L

         

         

         GardenStructure.com~Build for the Art of it! Decks Blog

        1. Jim_Allen | Jan 05, 2008 09:35pm | #7

          Yes Lawrence, I'm blueOne of the things you understand about business is that your primary job is no longer a skilled trade. You have successfully transitioned and realize that your most important job is to market and sell. It's work and just as hard as the physical side of the business. Bob's next test date: 12/10/07

          1. User avater
            Lawrence | Jan 05, 2008 10:06pm | #9

            You are right Blue--

            "...your most important job is to market and sell", strong emphasis on transitioned into. That takes time. I'm just now reaching the point that I have to get back into the building part time to stay on the ball and in shape. (equally important).

            We all need balance. I can't believe how quickly we begin to fall to pieces when we spend too much time on the computer.

            LGardenStructure.com~Build for the Art of it! Decks Blog

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