& Your Sphere-of-influence
Your sphere of influence plays a large role in successful mortgage marketing and many questions surround the concept of sphere of influence like…
- What is a Sphere of Influence?
- Why is my Sphere of Influence important?
- What is my Sphere of Influence worth?
Many people think they have a grip on their sphere of influence because they’ve managed to keep their contact information in a list or in a CRM. However, few understand what it’s really worth. This particular insight is going to cover in brief your sphere of influence and what it’s worth. While I would always suggest you keep an up to date and accurate list of your past clients, you should also include friends, family and those whom you do business with above and beyond your past clients. For example, if you get your haircut at the same place or have a particular store you shop at often, the individual that serves you or for that matter the owner(s) should naturally be in your sphere of influence. They should be someone who knows exactly what you do and why you do it. You exchange money with these folks regularly, so it becomes a synergistic relationship that should NEVER be neglected. This person or persons have enormous value and here’s why:
The power of Your Sphere of Influence:
To see the power of the concept of sphere of influence, grab the Yellow Pages, and go through it alphabetically — all of the different industries in this enormous book of lists. Note the names of anyone you know, if even just casually, from the industries listed as you go along. You’d quickly see that it starts to create a decent sized list. Then take the White Pages, doing the same thing with first names from A to Z. You’d realize that when combining the list of people from various industries, close friends, family, past clients, along with the people you do business with outside of work, the list comes to about 200 to 250 people. In many cases, it’s bigger than that!
Most people who perform this exercise come to the same conclusion, even with people that aren’t all that outgoing. But this isn’t anything new; one could Google Joe Girard, otherwise known as The World’s Greatest Car Salesman! This is the main thing he looked at as he built one of the most successful sales careers in American history. Consider for a few moments how difficult it can be to gain the trust of someone you don’t know, yet how easy it is to work with someone whose trust you already have.
People do business with those they know, like and trust; it’s axiomatic that you need to do a good job and, therefore, needless to point out. But looking back at the list, it’s true that not everyone on this list would be close enough to invite to your kid’s wedding or be invited to your 10th wedding anniversary. These are people you know even in the most casual of ways; they’re acquaintances. The thing to consider is that it’s not only you that this phenomenon exists for; it affects everyone YOU know! Put yourself in the middle of, say, 200 people. What’s lost in this thought process is that each person has a sphere of influence of their own that equates to about 200 to 250 people. It’s true that there’s going to be some overlap between people and their individual spheres. However, when you consider the math, it can become daunting, which is a good thing. This is where the value of your sphere of influence really comes into play.
In the graphic below, you’ll see that you are in the middle of your sphere of influence. The connections to people that you know and the connections to people you don’t, move in any and all directions. That’s what makes your sphere of influence so valuable. I feel it is important to also point out that you may or may not have an impact on the people that you know, but they exist and they are real! The difference between someone you know, and someone who knows you, is the difference between 6 files per month vs. 8 files per month or 72 files per year vs. 96 files. The difference of 24 files is a lot, unless you’re a superstar. Then it might be something like 40 or 50 files per year.
Consider that any one of the thousands of people that span any connection in your sphere of influence should know you, what you do and who you are. And if they don’t, they should be able to ask a friend or family member, possibly someone who cuts their hair, and that person should recommend you.
Have you built strong relationships, so that each of the people in your sphere have become ambassadors for you and your business? It’s a valid question and certainly worth thinking about.
When it comes to mortgage marketing, these things might seem obvious, but in over 85% of the cases they’re neglected. When people sign up to do a monthly mortgage newsletter, they’ll sometimes ask if their list is safe and while that’s needless to respond to, consider this: if I handed you a list of names, addresses and phone numbers of people who’ve bought houses, would they do a loan or refi with you just because you have their name? Couldn’t you just walk out of your house and knock on the neighbor’s door and turn them into a file? They have a house, they have a mortgage. The point is, the list in your sphere of influence is only that, a list. Once you see the potential value in your list, its value is directly proportionate to the relationships you have with the people on that list. This begs the question: “Why should someone do business with you, rather than any and all available options they may have?” Why not call Jay Farner from Quicken Loans, Greenlight or Lending Tree?
To create ambassadors for you and your business from your list, there’s no trick, no gimmick, but more of a simple truth. In my next article, we’re going to talk about that directly.
If you want to find out sooner, no problem, just Set Up A Call and we’ll talk about what you’ve been doing and really get a handle on what works best for you and your business.