I honestly cannot believe I haven’t done a post solely about the Sphere of Influence before. This is one of the more important elements of sales and marketing. Using your SOI is critical to generating business! It is the audience that has the highest Return on Investment (ROI)!
Let’s face it: Using your SOI = High ROI
What is a Sphere of Influence or Golden Group?
Your Sphere of Influence is an audience comprised of your friends, family, current clients and former clients. It is colleagues (not your competition) in your business or other related businesses. It is the greatest source of your referrals. For the purpose of this post, lets call them the “Golden Group.” “Sphere of Influence” is a term that seems sort of vague and unrewarding.
If you are a sales person, you are in the service industry — really, you are in the Relationship Business. You are NOT in the product business. After all, one sale does not a career make. Building relationships with potential clients, helping them achieve their goals, and keeping in touch with them AFTER their transactions is how you build a lasting business. If you do that, Continue reading
I have been working with several established real estate agents in the Boston area. We are working together to improve their business and generate leads. Some of them are just starting to do some regular “passive” marketing for the first time in a long time. Many of them are doing “active” marketing for the first time in their careers! That is right: they have not been calling people. An experienced agent can build on their existing book of business — that should be their largest source of revenue and it yields the highest return on investment in their marketing. By reaching out, those agents are bound to create activity. Let me give you an example:
Agent 1: She has been in the business for over twenty years. She committed to making 10 calls to former clients in her first two weeks with me. She got two appointments and she is confident those will become listings in the next three to six months. That is a 20% return. Continue reading
So, you have taken the time to lay out a marketing budget, even down to how many times you want to do things during the year. Could timing have an affect on your return on investment (ROI)? Sure it can. If your annual market numbers have reliable curves and spikes, use those to your advantage.
I tend to think that the time to spend money on marketing is when potential clients are considering using your service or product. So, how do you figure this out? Think about what you do, how long it takes for someone to make the decision, and gear your marketing toward that time.
Example: Real estate marketing
In the Northeast, typical market curves go up during spring (the busiest season) and fall (second busiest). Most of the closings tend to occur during June. We know the average time between contract and closing is 45 days, and that potential clients start looking for a house 30-60 days before that. That means, potential clients begin their search or start thinking about listing their house at the beginning of March. That is when your first postcard should land in a potential client’s mailbox (or any other marketing efforts). Continue reading