In this Blog post.
* Family celebrations.
* Business discussions.
* New Biz Ideas.
I hope you all enjoyed a great holiday period over
Christmas and New Years, our family certainly did.
I was at a family gathering and catching up with
cousins from interstate that I haven’t seen since last christmas and ended up
having a great conversation which inspired me to draft this blog post.
As often happens at family and other gatherings, I
am pulled aside and asked for advice on business or finance in general, though
on this occasion I was the one asking questions about my cousins business. She
has created a franchise company based on a new children’s product and they are
doing very well, with now 55 franchisees, and 8000 hits per month to their main
website. I was more interested in the legal side of setting up a franchise
Through our conversations as I was learning more
about her business and how it operates, ideas are exploding in my mind, tons of
little ways to help improve her online presence etc. She sells products to
families for children in the work from home market, so its a no brainer to refer
her to advertising in facebook and setup a page etc. We all know about this
stuff so there’s nothing much to learn, though my cousin learned a lot during my
brief run down of Facebook and advertising on there etc, specifically how
targeted you can get in that demographic etc.
Though here’s where it gets interesting, I had
thought of a friend who might be interested in one of these franchise
business’s, and asked her about it. My question was, how much for one of these
franchises? She was baulking at replying, so I said, just roughly how much ball
park? She said well depends on the region. I told her the region and she said
roughly between $30k and $50k depending, but unfortunately that region is
completely gone, one person bought both regions beside each other in that
location, and (with a depressing look on her face) says that we get so many
emails for that region and other popular ones every day from people looking to
I asked quietly, erhm, what do you do with these
email inquires? She replied. I delete them, why?
Ok, at this point as I’m sure a lot of you can
imagine, my mind is racing. I don’t want to come across as a smarty pants, so I
run the conversation something like this.
If I am understanding you correctly, you are
receiving email inquiries from people interested in purchasing a franchise for
the amount of roughly between $30 and $50k? A. Yes.
People are finding your website via a search
engine and looking to spend money with you? A.. Yes.
Would it be fair to say, that these people who
have sought you out, would consider you an authority in this industry? A. yes I
Do you have friends or know of other similar
related business? A. Yes.
At this point, you can see it all starting to fall
into place in her mind.
I said, there are a couple of different scenarios
here, 1. You can do deals with other related companies, where you can get a
referral fee, for referring a new franchisee to other companies. Or 2. If you
are not confident of actually getting your commission from these companies, you
can sell them these leads “per lead” and bill them each month. If they don’t pay
you, you send these leads to their competitors.
Personally I would research the other companies
you can refer these prospects to, rate them by quality, then email them or get
your staff to phone them, apologising that the region of inquiry is taken,
though our good friends at XYZ Co have an excellent opportunity that is
similarly priced to our etc etc.. get a copy guy to draft a killer letter etc.
I’d put them on a list and email them with all the
great related companies to suit the work from home market, which this Franchise
is. With an unsubscribe link at the bottom, So they can opt out any time.
If she wasn’t my cousin and I had more time
myself, I could of offered to buy these leads for $50 each or even $20 I suppose
and create a little script where they add the leads as they come in and the
prospects get my email series that I would have previously setup etc. I nice
little money making machine.
The reason for this blog post is, firstly it was
just a very cool conversation and I was so happy to be able to help her make
significantly more money each year, and secondly, if she didn’t get it about
those wasted emails, maybe there’s others out there who read this blog who may
benefit from it, or generate similar ideas with their business’s.
As I’m typing this, my mind is going like this,
hmmm.. maybe I should contact other Franchise Companies in Australia and offer
to buy their leads and create a list of work at home opportunities and stick
them on it, it would be so simple to make up a script where these companies
enter a name and email address and they get paid via paypal every time they
submit a new name and email address. The list mails out opportunities till they
unsubscribe…….. If only there were more hours in the day.
Currently the last 12 months I have been
developing two other companies which go live early this new year and have more
than enough on my plate.
Wishing everyone who reads this blog post a very
Happy and Prosperous New Year for 2011.
P.S Look forward to your comments.