8x8 Strategy: Prospect Relationship Building

1. The 8x8 Plan: Building Strong Relationships with Potential Customers

In a competitive business world, building strong relationships with potential customers is critical for sustainable growth. Modern marketing and sales strategies rely on the concept of “Relationship Marketing,” which focuses on building long-term relationships with customers rather than just completing immediate deals. The 8x8 plan is an effective tool within this framework, aimed at raising brand awareness and building trust with potential customers over a specific period.

2. Theoretical Framework of the 8x8 Plan

The 8x8 plan is based on several scientific principles and theories in the fields of psychology, sociology, and behavioral economics:

• Mere-Exposure Effect: People tend to prefer things they are repeatedly exposed to. Consistent communication with potential customers increases the likelihood of them becoming more receptive to your brand and offers.
• Social Exchange Theory: Social relationships are based on the evaluation of costs and benefits. Providing added value to potential customers (useful information, valuable advice, special offers) increases the likelihood of building a mutually beneficial relationship.
• Reciprocity: People feel obligated to return a favor or service they have received. Providing something of value to potential customers increases the likelihood that they will be more willing to listen to your offers or even buy from you.
• Familiarity Principle: The more familiar an individual is with a person or brand, the more likely they are to trust it. The 8x8 plan helps build this familiarity through continuous and organized communication.

3. Components of the 8x8 Plan

The basic 8x8 plan consists of eight interactions (Touches) with the potential customer over eight weeks. These interactions can include a variety of methods, such as:

1. Direct Mail: Sending letters or postcards containing valuable information or special offers.
2. Phone Calls: Making friendly phone calls to introduce yourself and listen to the potential customer’s needs.
3. Email Messages: Sending emails containing engaging content or information relevant to the potential customer’s interests.
4. SMS Text Messages: Sending text messages to remind them of offers or upcoming events.
5. Social Media: Interacting with potential customers on social media through likes, comments, and shares.
6. Content Marketing: Sharing articles, blogs, or videos that provide useful information and solutions to potential customers’ problems.
7. Events and Seminars: Inviting potential customers to attend events or seminars organized by your company.
8. Personal Visits: (When appropriate) Visiting potential customers in person to give a presentation or build a stronger relationship.

4. Designing a Custom 8x8 Plan

The effectiveness of the 8x8 plan depends on how well it is suited to the targeted potential customer. The plan should take into account:

• Demographics: Age, gender, geographic location, income level.
• Interests and Needs: What problems does the potential customer face? What solutions are they looking for?
• Preferred Communication Channels: Does the potential customer prefer to receive information via email, phone, or social media?

Example: Custom 8x8 plan for potential sellers (FSBO - For Sale By Owner)

1. Week 1: Call to schedule a preview. Preview the property and leave an “FSBO Packet” containing valuable information and advice.
2. Week 2: Send a card titled “How to Avoid the 5 Deadly Mistakes When Selling Your Home: Mistake #1 - Pricing Your Home Incorrectly.”
3. Week 3: Send a card titled “How to Avoid the 5 Deadly Mistakes When Selling Your Home: Mistake #2 - Failing to Showcase Your Home Attractively.”
4. Week 4: Phone call: “Hello, this is [Your Name] from [Team Name]. Is this a good time? I have a client with a buyer representation agreement and they saw your home while driving by, and asked me to call about it…”
5. Week 5: Send a card titled “How to Avoid the 5 Deadly Mistakes When Selling Your Home: Mistake #3 - Using a Hard Sell Approach During Showings.”
6. Week 6: Send a card titled “How to Avoid the 5 Deadly Mistakes When Selling Your Home: Mistake #4 - Not Paying Attention to Showing Feedback.”
7. Week 7: Send a card titled “How to Avoid the 5 Deadly Mistakes When Selling Your Home: Mistake #5 - Believing Open Houses and Newspaper Ads Will Sell Your Home.”
8. Week 8: Phone call: “Hello, this is [Your Name] from [Team Name]. Is this a good time? I wanted to follow up with you: If you are unable to sell the home on your own, when would you consider hiring a strong real estate agent like myself to sell your home?…”

5. Measuring and Evaluating the Effectiveness of the 8x8 Plan

To ensure the effectiveness of the 8x8 plan, results should be measured and evaluated regularly. A variety of metrics can be used, such as:

• Response Rate: The percentage of potential customers who responded to one of the interactions in the plan.

  • Formula for calculating Response Rate: Response Rate = (Number of Responses / Number of Contacts) * 100

  • Conversion Rate: The percentage of potential customers who became actual customers.

  • Formula for calculating Conversion Rate: Conversion Rate = (Number of Customers / Number of Leads) * 100

  • Customer Acquisition Cost (CAC): The total costs associated with implementing the 8x8 plan divided by the number of new customers acquired.

  • Formula for calculating Customer Acquisition Cost: CAC = Total Marketing Spend / Number of New Customers

  • Customer Lifetime Value (CLTV): An estimate of the total revenue a customer will generate throughout their relationship with your company. (This metric shows the long-term impact of building relationships).

  • Simplified formula for calculating Customer Lifetime Value: CLTV = (Average Purchase Value * Number of Purchases per Year) * Average Customer Lifespan

6. Integration with Customer Relationship Management (CRM) System

Using a Customer Relationship Management (CRM) system is essential for effectively implementing the 8x8 plan. A CRM system allows❓ you to record and track all interactions with potential customers, assign tasks to team members, remind them of deadlines, and analyze data to evaluate the performance of the plan.

7. Modifications and Adaptation

The 8x8 plan is not a one-size-fits-all solution. The plan should be continuously modified and adapted based on results and feedback from potential customers. Adjustments can be made to:

• Types of Interactions: Replacing some interactions with more effective ones.
• Timing of Interactions: Changing the timing of interactions to maximize impact.
• Content: Modifying the content to make it more relevant and interesting to potential customers.

8. Transition to the 33 Touch Program

After completing the 8x8 plan, new potential customers should be moved to an appropriate group in the customer database and integrated into the ongoing “33 Touch” program. This program aims to maintain and strengthen the relationship in the long term.

Conclusion

The 8x8 plan is a powerful tool for building strong relationships with potential customers. By understanding the scientific principles and theories underlying the plan, designing custom plans, and measuring and evaluating results, you can increase your chances of turning potential customers into loyal, long-term customers. Remember that success in building relationships requires commitment, perseverance, and a focus on providing real value to customers.