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You are your network, the magic of 10 percent

February 19th, 2009

recession marketing connectionsIn this article, we look at how you can make lovely revenue streams from putting clients and colleagues together.

As a web designer I meet regularly with colleagues in sister industries; I have print design buddy, a PR/copywriter buddy, and an ecommerce buddy. A twice yearly Starbucks or lunchstravaganza is enough to catch up and work out what the crossover is between our businesses.

I also take a keen interest in my clients’ business; What are their challenges? How are their staff doing? What are their marketing efforts? Being genuinely interested in your clients well being, can only be good. By understanding your clients plight, you can grow your business.

So, all you have to do is put the two together. Let’s take an example: Last week I was at an engineering firm client of mine, I heard them say that their print ad campaign was costing too much. I listened. I realised that a PR campaign would get them greater trade paper exposure at a significantly lesser cost. I also accept that I can’t do PR as well as my PR colleague that specialises in this field. “Would you like my PR colleague to pop in for a chat? He could talk you through ways to publicise your business, and cut your expenditure”

I then get on the phone call my PR colleague, tell him to give this guy at the engineering company a call, and remind him of our 10 (or 20%) agreement. Which is: If my lead results in him getting some business from said engineering firm, he will give me 10% of the total fee.

He is happy to give me 10% for he realises that 10% saves him the hassle of telemarketing, of networking, or any of his own lead generation.  You need to ensure you have your colleague email you a “sure I will give you 10% introduction fee for leads that result in sales.”

There is nothing wrong with monetising (yuck word) your network. Your thinking, and your connecting people is worth the 10 percent. Don’t feel guilty. You are the conduit, the spark that is helping business grow.

So, you can do two things to embrace this strategy:

  • Think of colleagues in related industries meet occasionally, understand their services, and agree to 10-20% commission for leads deals
  • Go through your clients, hear what their business survival needs are map the above services onto their needs.

I hope this helps, you see the landscape that your clients businesses operate in, and how your business can have a wider remit, and you can be a connector, an enabler, a thinker. Good luck.

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Paolo marketing, strategy

  1. King Paul
    February 19th, 2009 at 14:56 | #1

    The magic of community. Even if you don’t go for 10% and you and your network just refer business around you are still helping your businesses be stronger. For sure you find some people who are only interested in the bottom line but when you help people out a certain percentage of them appreciate it and help you back, over time you notice and weed out who are the Lusers and there you have it, a network of businesses that support each other and refer business around, much stronger than a business on it’s own fighting all and sundry to grab what it can.

    Ever think how different the world would be if everyone collaborated like this rather than fearful people trying to cut each others throats.

    I know which way i prefer.

    If you like, you can apply this in your life. Be nice, notice who is also nice, spend more time with and energy on those people. Voila. Happier life, more fulfilling relationships. It’s that simple!

  2. February 19th, 2009 at 17:54 | #2

    I like this approach. Everyone wins! Also, the client likes you better because you “add value”. I believe that’s the phrase du jour.

  3. February 19th, 2009 at 18:56 | #3

    Interesting post!

    Do you mean “yuck word”, and not “yuck work”?

  4. February 19th, 2009 at 20:33 | #4
  5. February 20th, 2009 at 09:56 | #5

    @King Paul
    I totally agree, with you I think collaboration is good. It can be a reciprocal arrangement rather than monetary.

    Some leads though will only ever be 1-way and by thinking of the money, it is definately a sharpener and could be a saviour in these harsh times to come.

  6. February 20th, 2009 at 10:31 | #6

    The magic of community is a very nice idea but I’ve always found that if you give people a vested interest in passing you leads they will generally go that little bit further to do so.

  7. February 20th, 2009 at 11:44 | #7

    Networking and cherishing well established connections is key.
    100% with you!

  8. November 23rd, 2009 at 15:17 | #8

    I have to agree wholely with the article, its a great way of motivating people to think of your own company in their day to day working lives.

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