How to Choose A New Niche to Prospect

Transcript

Joe Troyer: Jamie says you’ve worked on a ton of lead gen niches. I know one of your favorites is water damage remediation. I live in a coastal area and those guys are all swamped and not wanting more leads. What are your next two to three favorite lead gen niches, good ROI, easy to close, et cetera. Excuse me, first and foremost, sorry about that.

Joe Troyer: Are your water damage people really too busy though? You say that they’re swamped and that they don’t want more leads. What I’ve found in the water damage restoration, remediation type of verticals, Jamie, is that for those guys it’s feast or famine. What I mean by that is like when it rains it pours right? When they’re busy, they are busy and they are like, it could be a natural disaster. It could be lots of flooding. It could be like a whole city was flooded and so there’s just jobs everywhere and everybody needs them. It could be that the power went out and then there was flooding, right? And they are either so, so busy that they’re having to turn away work or the opposite has happened. What I mean by that is that they can’t get any business.

Joe Troyer: So it’s feast or famine mode all the time in that vertical. So what I found is that people in that vertical are very open to advertising because they never want to be in that famine type of mode. And many of them have been through that famine type of mode multiple seasons and multiple times and multiple times, even throughout a year or throughout their history as a business. And it sucks because when they go through those famine type of stages, they have to let go of their team. They obviously can’t pay them if they’re not working, if they’re not on jobs. That’s obviously, you start to deal with some emotion there and emotion makes people buy. People don’t want to have to fire their team. The same team that’s working around the clock to help them when they’re busy, quite literally a month or two months later could be let go because there’s no work.

Joe Troyer: So I haven’t found that water damage companies or restoration companies don’t want more leads. That’s not been the sentiment that I’ve gotten selling to them and helping lots of marketers sell to them as well. So that’s water damage. That goes as well with mold and kind of be entire restoration space.

Joe Troyer: Other niches so to speak. For me, the criteria is is pretty simple. I want to be able to get to somebody pretty easily. So you might be able to look at your vertical, you might be able to look at your relationships Jamie and say I have a strategic relationship with this person and this person has access to an entire vertical.

Joe Troyer: I was speaking with a gentleman a week ago yesterday and he has a really interesting in with trailer home parks. Yeah, trailer home parks, crazy niche. When you’re in the trailer home park business, owning the trailer home park, you’re not really in that business. What business are you in? Give me some feedback in the chat. What business are you in? You’re in the real estate business, right? You’re owning property. That’s where it is. It’s a real estate investment kind of play.

Joe Troyer: So he has a unique in into that industry. And for him, because of that, he knows the numbers that make sense to him and he has an in. For me, I would never even consider that niche. I wouldn’t even think about it. I can drive past, and I don’t, but I could drive past the trailer home park every day and I could not think about that vertical.

Joe Troyer: So it’s very easy, I feel like for people to think about a niche and for them just to pick like something obvious or something that they hear your talk about all the time. If I were you, I would think about what are the connections and what are the ins and what are the relationships that you have because he was telling me about this and he’s got a one to many type of relationship in that vertical. He knows one of the key suppliers and key vendors in that relationship that I would say 90% of these trailer home park companies are corporations across the entire United States use. And I would probably say intern nationally as well. They all need marketing. Essentially they’re like apartments. They need to fill their units so that they can make the return that they’re looking for on that real estate and cash off the real estate investment. So that then they that equity stream coming in and it’s paid off.

Joe Troyer: So I would think about your unique scenario of ins and relationships and think about that one to many card because that one to many thing is, and don’t get obsessed with it, but it’s crazy. If you could make that relationship happen in a one to many type of scenario, like this example, that guy has $1 million business sitting below him if he can make one deal just happen, right? If he can make a pitch to that supply company, that vendor, that services all of these home parks, trailer home parks, then he’s got $1 million business quite literally overnight and he doesn’t need to build any other business. And could just be in that one vertical. So if I were you I would think about what are those kind of leverage points, those one to many type of sales as well.

Joe Troyer: Then I would think about as well, a criteria should be do you like the niche, are you going to get sick of it? I know that a lot of people ask about niches and some people that have been in the space for awhile, they ignore the niches conversation. I’d really suggest that you don’t. Pick a lane, stay in your lane. If you want to pick two or three lanes to play around until you can then focus down to one, that’s fine. But pick a lane and stay in your lane and become the expert in that business. Your workload is going to drop by 75% because you know how to prospect, you know the messaging. You know the fulfillment, you know the keywords for SEO, you know how to optimize, you know what kind of content to write. Everything just becomes a rewrite. You know what offers work. You know what landing pages work and it’s quite simply you put somebody in the same system over and over and over again versus recreating.

Joe Troyer: I was working with a guy that’s becoming a really good friend of mine, business wise and personal. He’s got over 200 clients in the same vertical. 200, 200. That’s freaking crazy. I can’t even think about that. 200 agency SEO, not agency. He’s got 200 SEO marketing clients in one vertical. Now the only way that you could gain to that level and scale, I believe, is by focusing on a vertical. Think about the work that would be involved if you are in multiple verticals. I don’t think you could do it. I don’t care how big your team is. I’d want to pull my hair out and I’ve been in those times types of scenarios.

Joe Troyer: When I built my last agency to just over $84,000 a month, meaning it was over a million in annual recurring revenue at that run rate, we were helping just home services businesses, but we are helping multiple verticals inside of home services. When I look at that business, I’m like man, if I would’ve just concentrated it on one vertical instead of four under home services, we would have been able to, the messaging that much better. Our fulfillment process would have been way more repeatable. It would have cut down on 75% of the documentation and the change and we would have gad so many less mistakes,. And I believe at the end of the day, my exit of valuation number probably would have been doubled if I would just stuck in one.

Joe Troyer: So I think if you haven’t chose a niche and if you haven’t verticalized, if you’re not not staying in your own lane so to speak, I think you’re missing the boat. Sorry for the rant, but I think it’s important. I kick myself in the ass every day for not being more focused in my agencies on a vertical or two.




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