Step #2: How To BUILD Your House
List In Both Size AND Quality. . .
Today we continue with the last article of “Step 2” in our process, which is how to BUILD your house list in both size and quality (if you’d like to see the 4-Step process we’re following, click on Article #8 in our Past Article Bank).
I’ve saved the most powerful strategy for last. Today I want to share one single strategy you can use tomorrow morning that can create such astonishing growth of a quality House List, you’ll nearly fall-over with amazement.
It’s called “The STRATEGIC ALLIANCE Strategy™” and it will be the most valuable “business-building” strategy you’ve ever learned for growing your business. The only thing I ask is…just promise me you’ll use it, OK?
Here’s how it works…
Quickly answer this question: What compatible service companies or other professionals do you know who have ALREADY established a trusted relationship with people who could be YOUR clients as well?
Did a few names come to mind for you?
Perhaps it’s your accountant or investment advisor. Or your insurance agent (auto, life, etc.). Or maybe you thought of a mortgage broker you work with or an architect or builder you know.
Or maybe it’s a pest control company, carpet cleaner, painter or plumbing business. Or pool service, landscaper or roofer.
WHY am I asking this question? Because there is enormous value in crating a STRATEGIC ALLIANCE with these people.
What is a Strategic Alliance?
A Strategic Alliance is a relationship with a compatible product or service provider to introduce your products or services to one and/or the other’s House List (or client lists).
Notice I didn’t say, “endorse” products or services. I said, “introduce.”
As a practicing agent, it’s important you stay away from any type of endorsements, because you don’t want the potential liability that could come from an endorsement “gone bad.”
Why is a strategic alliance so effective for your business?
By having your strategic partner introduce you to his or her clients, it helps TRANSFER his or her existing credibility over to you.
See…your alliance partner has already established a relationship with his or her clients. Their clients already know them, trust them, and will listen to their expertise.
And there’s huge power for you in that relationship.
The power of strategic alliances is with the trust both you and your alliance partner have already established with your respective clients. That trust crosses over to the person or company you’re introducing (yes, I know I’m being redundant, but this is important).
Think about it from your own perspective…if you were to receive a letter from a service provider (whom you know and trust) introducing the services of another company’s product or services, wouldn’t it positively influence your perception of that business?
And if combined with a valuable free gift or service (or special offer), it will clearly motivate you to at least listen to that service provider.
And here’s the MOST IMPORTANT part…
Once your alliance partner introduces you to their clients, you can now ADD all those names to your own House List and continue your relationship-building contact with them.
It’s a fast and powerful way to multiply the size of your house list with quality people. And since you’re not “competitors”, it’s also a win-win strategy.
What kinds of strategic alliances can you create?
There are a number of ways strategic alliances can be used. For example, you could introduce another business to your clients (a “Host” alliance – hence, you are “hosting” them to your clients.).
Or another business can introduce your services to their clients (a “Guest” alliance – you would be a “guest” to another business’ clients). Or you could introduce each other to the other’s clients (a “Reciprocal” alliance).
How do you create a Strategic Alliance?
Creating a Strategic Alliance is easier and faster than you think. And the minute you do just one, you’re going to have the knowledge, confidence and skill-set to create dozens of alliances – and watch your income grow and grow.
All you have to do is try one or two…and you’ll be sold. Just follow these 5 steps…
STEP 1: Identify Kindred or Compatible Businesses.
Think through the service companies you deal with on a regular basis. The secret is to find a service provider whose clients best match the type of client you serve the most.
The better you know the owners or managers of such a provider, the better. And it’s important they have a formal list of their clients (House List) – such as a database.
Once you’ve made a list, you now need to approach them about the advantages of creating a Strategic Alliance with you.
STEP 2: Approach the Service Provider with Your Strategic Alliance Proposition.
If you’re feeling uneasy about approaching a service provider about a Strategic Alliance, please don’t. Any service provider should turn flips to work with you because it can mean increased business for them as well.
And consider this: If you have a House List already established (regardless of size), you have a powerful asset on your side – the ability to introduce the service provider’s services to YOUR clients.
Hopefully you already have a relationship with the service provider and trust each other, because that’s the key to introducing each other’s services. Don’t attempt to create a Strategic Alliance with someone you’re not fully confident can provide first-rate services to your clients.
Now, at this point, you’ll either want to call your service providers, or you can send them a letter. Would you like a sample letter you can use to help motivate a service provider to work with you?
OK…here’s a sample you can use to create your own letter (remember, this is “A-Pile” mail – so make sure everything is very personal).
You’ll notice many important elements designed to get your reader to respond to your letter: A-Pile personal mail, a benefit-rich lead, intrigue and curiosity, “them” focused – not “you” focused, credibility, call to action, and urgency.
If you really want to get the attention of your reader, try sending this letter by FEDEX. Why?
Because everyone opens and reads FEDEX packages. You can even start your letter by saying, “I’ve sent this letter by FEDEX because it requires your immediate attention”. Then continue with the rest of your letter.
Now, when they call you, you need to talk about the program and QUALIFY them – make sure they have a good client base, an electronic database, etc. so you can easily create the program with each other.
You can see that the above letter implies that you have at least a small House List in which you can reciprocate with your service provider. If you don’t have a house list, it makes this kind of program more difficult because there’s little incentive for the provider to introduce their clients to you.
Also, please don’t offer any monetary incentives for sending you clients – its illegal (or severely restricted) in every state.
STEP #3: Send an Introduction Letter (your Strategic Alliance introduction) to Each Others’ House Lists.
Once you locate your Strategic Alliance partner, you now need to create an introduction to each other’s lists. Your goal is to bring greater VALUE to each other’s clients as a result of the “relationship” you have with your Strategic Alliance partner.
Here are a few tips for making this all work correctly:
- Your letter needs to be very personal – A-pile mail…
- Your “offer” must be special and unique…
- Clearly explain the benefits of the offer – what it will “do” for the reader…
- You need have a reason “why” you are introducing the other person…
- You need to make an offer (or follow-up) that’s extremely appealing in the eyes of the client.
Would you like to see a sample letter you and your Strategic Partner can use to introduce each other’s programs to your mutual House Lists?
OK…Here’s a letter you or your alliance partner can use to introduce a special program or offer for the other’s services…
Do you see what this letter does? It makes the reader feel they’re getting a favor and something of great value as a result of being a client of your alliance partner – and that’s the most important point of the letter.
Now…with this letter in hand, don’t you think you can send a letter to YOUR clients introducing your alliance partner to them?
If they don’t have a quality newsletter to send (shame on them!), perhaps you can make another special offer to them from your partner – such as a free consultation or free sample, etc.
STEP #4: Input Your Strategic Alliance Partner’s Clients Names Into YOUR Database for REGULAR Contact!
This is a no-brainer. Get the names from your strategic partner and add them to your database. You’re about to start sending them something of great value on a monthly basis – and you’re now making yourself the first person they think of when they think ‘real estate.’
STEP #5: Send an IMMEDIATE Follow-up Contact to Your Alliance Partner’s Clients.
The baton is about to be passed. Don’t fumble the process by being complacent. You need to immediately send an issue of Service For Life!® to these clients – WITH a cover letter that follows up on your Alliance Partner’s letter, and explains WHY you’re writing today.
Some agents even enclose a copy of the original letter your Alliance Partner sent to them – similar to the one above – to jog their memory.
If you want a sample letter for your contact, see the letter I provided you in Article 10 for guidance (the links to previous articles are right under the header of this article above).
Now…are you ready to start a few Strategic Alliances of your own?
The “secret” to making this system work is…
- Deliver on your promise: follow through…
- Start the conversion process: you’re now adding dozens or hundreds of people with the “blessing” of your alliance partner. It’s now time to start cultivating them into higher and higher quality contacts you can rely on for new business, referrals and repeat business.
- Continue to provide honest value – even if they don’t send you business immediately.
With a little practice, you’ll be creating Strategic Alliances and building your House List in no time. But don’t forget the conversion process. The only way to make the process work is with continual, personal contact, giving continued value, and motivating new clients, referrals and repeat business.
Today’s Action Plan:
I want to share a little secret with you. After 34 years of building 4 multi-million dollar companies and teaching more than 22,000 agents how to create breakthrough production and lasting profits, I’ve learned…
Most Agents Simply Don’t Want To Do
What’s Required for Success
That’s a harsh thing to say – but I truly believe YOU don’t fall into that category. I believe you’re different.
Why? You’ve shown you’re sincerely interested in achieving greater success because you subscribed to this course.
So promise me you’ll try just ONE alliance. Pick a compatible service provider you know well. Make the call – send the letter. And get something going.
And don’t forget to add those names to your database.
Coming Up Next…
Have you ever heard of the “Real Estate Success Pyramid™”?
Well…it’s probably the most important epiphany (that means “a sudden intuitive leap of understanding”) you’ll ever learn for growing your business to become a steady six-or-seven-figure income generator.
In just one image, The “Real Estate Success Pyramid™” will give you the easiest, clearest vision to freedom, wealth and independence from your real estate business.
This is the end of Step #2 of our process: Building Your House List in Both Size and Quality. We’re now going to focus on taking your new (or regenerated) House List and CULTIVATING it into a non-stop client-generating system.
There are 7 Essential House List Cultivation Systems™ you’re going to learn in Step #3 of our process for cultivating your House List – and you’re going to love each and every one of them.
I’m serious…this is incredible stuff!
To start the whole process off, I’m going to introduce you to the “Real Estate Success Pyramid™” in the next article – article 15.
So check out Article 14…coming up in just a few days…