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your thoughts on this business idea please...

by BUFFALOBT
7 replies
Idea is to put together groups of non-competing home service companies(landscaper, house cleaner, pool cleaner, etc.) for a cross-referral new customer lead program in specific neighborhoods/areas.

Each business would get 50 5x7 glossy postcards with a list of each business for that particular neighborhood to leave behind when they service their current customers in that neighborhood.

Something like..."We serviced your home today!"...and "Looking for other high-quality home service companies in NAME OF NEIGHBORHOOD?"...call or email us at MY NUMBER or MY EMAIL ADDRESS and get 20% off your first service(s)!".

I would distribute each lead ongoing.

Each company would pay $19.95/month to participate and get UNLIMITED, WARM, word of mouth new customer referrals.

Your thoughts are appreciated- thanks!!
#business #idea #thoughts
  • Profile picture of the author AmericanMuscleTA
    I like the idea, but the problem I see is... You're counting on that contractor following through with leaving the cards with their clients.
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    • Profile picture of the author BUFFALOBT
      Originally Posted by AmericanMuscleTA View Post

      I like the idea, but the problem I see is... You're counting on that contractor following through with leaving the cards with their clients.
      Agreed and thanks for your input!

      It would be a "word of mouth" type of program where obviously you would need buy in from each participating business.

      Makes me think of needing to add something that would motivate each business to be sure to leave it behind...something that would also directly benefit them, while also promoting the cross-referral aspect.

      Maybe it's a combination asking for referrals leave behind along with the other benefits of the cross-referral part. So they would be motivated from a selfish standpoint as well.

      Currently- if I'm not home to see it...I might not know my landscaper and pool company was here. So this could be a way for them to increase their visibility with their current customers, ask for referrals, and participate in the cross-referral part.

      Now you got me thinking again!
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  • Profile picture of the author AmericanMuscleTA
    You're welcome!! Thinking is always good!! ha
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  • Profile picture of the author jherewini
    Hi,

    What you are proposing is all ready being done as a customer loyalty program. its free for businesses to register, their is no monthly fees to pay by the business owner, they integrate the program into their business in the following ways

    Online, Offline or via their eftpos, and the benefit of the program is this when you introduce a lawn mowing service, pool cleaner, house cleaner etc. When the mowing service customers spends money with the house cleaner business and vice versa.

    The business owners benefit, the customers benefit and you the introducer of these businesses benefits. Anyways feel free to contact me if you want more information about this service.
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  • Profile picture of the author Freebiequeen1999
    Getting service techs to do anything more than their j-o-b can be an exercise in frustration

    You might have a few go - getters but many will balk at leaving literature, "forget" it, and so forth.

    One problem with this model too is that it may work for some biz and not for others. In a neighborhood of pools...the pool cleaner might do OK....the house cleaner, pressure cleaner might do really good as those are smaller services lots of people need...
    if the neighborhood is newer? the major service people may be out of luck...

    the numbers IMHO do not work for major services - air cond, plumbing, remodeling....they need a lot more numbers than that
    the up side is if they get one sale they make lot more than the smaller service type biz

    I know of one company here who has a like a shared email list thing...they put their list into it and
    all the biz email people are send shared emails, and there is a small website with their coupons

    they did ok for a few years (maybe ? 7 or 8 year ago) but pretty slim pickings now
    I have spoken to a few biz owners who used to "belong" to this sort of co-op - they felt that "some" biz did not really put in the same effort, did not have many emails to share...that some of the employees of other biz did not pro-actively get emails etc
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    • Profile picture of the author The Niche Man
      Sounds like a good idea. But of course thinking up the idea is the easy part. Now you'll have to find a way to differentiate yourself and establish trust in relation to your competition. For example places like Angies list and other similar companies that already dominate this space.

      "Why should I do business with you instead of Angies List?"
      Not trying to be negative, just thinking like most of the prospects you'll face.
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  • Profile picture of the author BUFFALOBT
    Thanks again for all of your input!

    I agree 100%...relying on business owners to do something extra outside of their normal routine, and ask them to pull their own weight...just asking too much.

    Back to the offline drawing board...
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