Sales Expert: Home Service Businesses Need To Up Their Prices Now! - Joe Crisara - Local Marketing Secrets

Episode Transcript
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(00:00):
Hey there, and welcome back to Local Marketing Secrets.
I'm your host Danny Lieberman, and today I'm with Joe Cracera.
If you'd already know Joe, he's known as America's Service Sales
coach and the creator of the Pure Motive Service system.
Joe has helped thousands of contractors go from scraping by
to running thriving high ticket businesses by transforming how
they sell and surf. He's the founder of Service MVP,

(00:23):
author of the best selling book What Should We Do, and one of
the most respected voices in thehome services industry.
Now, in this episode, we dig into how local service
businesses can confidently raiseprices, create options that
convert and build trust that turns customers into lifelong
fans. So if you want to turn your
sales process into a marketing advantage, this one's for you.

(00:43):
Now, without further ado, Joe, welcome to the show.
Hey, Danny, thanks for inviting me here.
Definitely. I want to say thanks to you for
the effort you make to help homeservice professionals, including
your own family. It sounds like your your parents
and your family as a service family and it's honored to be
here with you. And I didn't know we also shared
a similar geographical location from back when I was younger.

(01:06):
So definitely I'm, I'm excited to be here, Dan.
Yeah, No, it's, it's good to have you.
No. And that's so funny.
It's such a small world. We're actually from a very
similar area. You've gone to a lot of the
restaurants in my area in Glenview.
You're in Mundelein, northern Chicago suburbs.
So, so crazy. Such a small world and so good
to have you here. Yeah.
Talk to me more about your background.

(01:26):
How did you initially get into the trades in this whole world?
You know, I grew up, my dad was a plumber and his dad was a
plumber and his grandfather was a plumber.
So basically it goes back a fulllot of generations, people in
the plumbing industry and they were in Melrose Park, IL, not
too far from where you're at. And and so my dad, he was he he

(01:51):
told me got me started and I became a journey.
I'm a plumber and eventually gotmy license and that and then I
also got involved with HVAC because we he decided that he
said you should just get you know, you should do something
different. That's going to be more like the
future. Get anything plumbing was a good
future. So he got me involved at HVAC.
He said it'll be a little easieron your knees and stuff like

(02:11):
that. And he was right.
It is the lead, but it's not noteasier in the attic or any of
that part over there. So no matter what trade you're
in, I've realized electricians, HJC guys, whatever you do, it's,
it's one of the hardest things that people grind out every
single day just so all of us canlive a normal life that things
we expect to have at our fingertips.

(02:32):
Those providers like your fatherand your mother and people like
that in your family, Danny and my family have just done for
years. And so I, I married a woman that
was urging me to get my own start my own business.
Like in the early 80s. That was really, I honestly
would have just been happy beingan employee, but then she pushed

(02:52):
me into it and I really didn't know how to run a business.
It seemed pretty like a simple concept.
So I was all gung ho about 1985,you know, wound up driving
myself about $500,000. I think it was $471,000 exactly
in debt. And back then 471,000 when my
average ticket was about $92 or my average sale for equipment

(03:16):
like a water heater was like $350.00, I was charging and
furnace and AC was like $15142.00.
So there's just no way I would have got out of debt.
And until I met one of my clients who kind of took pity on
me and he saw me, he was in Gurnee, IL and his name was
Dave. And Dave said that he's a
pharmaceutical salesperson. And he said, Joe, let me go over

(03:39):
how you should offer your solutions.
And so the core thing that he taught me when I was 1991, about
$471,000 in debt. By December of 1994, I was debt
free. And then when I went to go pay
off all my suppliers, go ahead the money to go out of debt, of
debt, they were all telling me you should go to work, you

(04:00):
should go help my other clients get out of debt.
So I started being single handedly at the suggestion of my
suppliers, they would give me the names and it would give me a
few like starting money that give me like 1500 hours to go
help this guy get out of debt orwhatever.
And it turned into a business ofits own.
And so and so I sold my sold my service business, which had been

(04:22):
very successful. Now at this point with the, you
know, over 25% net profit after taxes by, by the time I, the
1994 came around and I sold it in 2001 to one of the biggest
companies now in Illinois, whichis ABC Plumbing bought the
company. And so they went on to now be a
huge company. They got investment money and

(04:43):
things like that too. And they, they still use our
system or a part of the system that we brought there when they
bought me. And so we, and we've been, I'm
kind of like Forrest Gump. I've been around with a lot of
big companies, small companies that turn to big ones and big
companies, small company. I'm working with a single person
company in Alabama. The guy doesn't even read books.

(05:04):
So I mean, it's a, it's a whole,you know, I just try to help
people with the what, whatever their level of skill is or what
they the way they like to learn.I've learned to kind of shift
the way, the way I like to learn, which is just doing it,
not just learning reading it. I wasn't much of A reader either
when I was younger, but then I started reading more of it.

(05:25):
But so that's what I do today. I just have a whole business
that teaches people the same thing that Dave taught me to get
out of debt. And if you're not out of debt,
it makes it more successful thanever.
And if you are in debt, then it can definitely help you turn
that corner and and move the right direction.
Makes sense? Yeah, no, you definitely have an

(05:45):
incredible story and you are a total industry veteran.
I mean, you've been in it for solong, I feel like everybody
knows you. I just want to get clear on the
debt part because I feel like this is so fascinating.
I just want to dive in a little bit more.
How did you get into 500K worth of debt?
How does that happen? Well, you know, dysfunction,
dysfunctional situations like that, it loves, it loves secrecy

(06:10):
and privacy. So honestly, publicly, you never
would have known I was in debt until but one of my clients
could see it. He, he knew the earmarks.
He because he went through it himself.
He told me. And I think when somebody has
been through it before, you can see it in real, you can kind of
see the earmarks of it. Today, if I go to a place, I
went to a place that was a pretty successful company, they
were doing about $20 million andthey took me for a tour of the

(06:32):
company and I'm like they said, what do you think of the
company? I said, well, it looks pretty
good, but it sounds like you're not making any money.
Like, what's your net profit like 3%?
And they go, how'd you know that?
That's exactly what a net profitis?
And I said, well, that's becauseI can see that the guys, you
know, the uniform pants are, aregot holes in the pants and
nobody's fixing it. Or your trucks don't have

(06:53):
signage. You got magnets instead of
signage. You got, I said your parking
lot's not even paved. I said, so you can see things
that are just hidden in plain sight.
And, you know, I got in the debtbecause I was too afraid to
collect the money. I was, yeah, I would do work for
people thinking that when I finished the job I would get

(07:13):
paid. Well, I had a couple really big
jobs. One was a $87,000 job in Lake
Bluff, IL and another job was innot too far from you in Highland
Park, IL and big projects over $100,000 there and I thought I
just trusted I would get paid. I did all the work, I got all
the equipment, I did all the duck work and the plumbing and

(07:35):
everything and wound up with a builder, went bankrupt and then
claimed he couldn't pay me and there I had bad debt.
So I had probably just those twojobs alone were almost $200,000.
But honestly, I had a lot of receivables at the time because
I did not understand that that clients would be happy to pay if

(07:57):
you just requested the payment before you began the work, you
know, So I turn now to all the service providers say stop, stop
doing the work without collecting your money.
I say it's, you know, I have 100.
I know have I now have a new payment program for all
contractors. It's 100% down, nothing left to
pay when you're finished. That's the best, the best way to

(08:18):
do it as opposed to doing the work first and then people try
to negotiate the payment later that that's not you can't
sustain that way of doing it. So because of my fear that I
would lose the job if I tried tocollect the money upfront, I
that's, that's how I got into debt.
Honestly, I was too weak. I didn't, I didn't understand

(08:39):
how the science of pricing and the science of collection.
And there's a whole science behind every one of those
things. Danny, does that make sense,
Sir? It does, yeah.
Talk to me about the science of pricing, and that's what should
you shoot for in terms of profitmargins.
Well, you know, it's, I think first of all, the first step is
to make the menu of your pricing.

(08:59):
You know, if you only come to the client like you mentioned
somebody in your visit, your house is a carpet cleaner for
instance, or something like that.
If somebody says, hey, we need to get that stain out of the
entryway carpet over here. And of course, if you cleaned
only that carpet, the rest of the house, would they have dirty
carpets? I don't realize if I clean this
spot, the rest of the house willlook awful compared to this

(09:22):
clean carpet here. So you'd say, well, the premium
option would be let me clean every room in the house.
The next option would be let me do the living room, dining room
and the entryway. Then let's you do the living
room and the entryway and then just the entryway.
Like if I was doing it that way,it makes sense.
If you were doing a pest control, it's like, yeah, we
could get rid of that Ant infestation, the bottom option,

(09:43):
but we also could take care of the Wasps and things like that
to make sure we do something with that.
And then we can do a perimeter. They not just not just the spot
problem, but you know, continuation of the of the
solution to make sure that we take care of the insects, the
rodents and everything else likethat.
You know, so there's things you can do that extend the services.

(10:04):
So the premium option would be apermanent solution for
everything, the mid range solution would be a professional
solution that expands beyond what you asked me for, and the
bottom option is just the thing you asked me for.
You know, so you only asked me for to fix a faucet.
That's the fix the faucet. Then we could replace the faucet
would be better replace the faucet with a better faucet and

(10:26):
do the risers and shut off valves.
And then we could do faucets in the in the laundry room, in the
in the Potter room, and then thefaucets in the kitchen, laundry
room, Potter room and master bathroom.
So you start to see how all the faucets would get replaced with
the risers and shut offs on the premium option, the bottom
option, just put a cartridge in the old faucet like you want me

(10:46):
to and let customers choose for themself with the famous
question at the end of it, well,here's all the prices, what
should we do? And that's what we have
trademarked that and wrote a book with that title.
And you know, what should we do is the question we asked to
close the deal makes sense. And so somebody says, well,

(11:07):
that's a lot of money. And so, yeah, it is a high
investment. So what should we do?
I got to think about it. I gotta think about it.
We'll take all the time you wanna, I'll stay right here.
What should we do? Like, you know, I'm saying
there's like the what should we do?
Every business including yours, Danny, when you were doing your
SEO and things like you could say, well, here's the, here's
the here's the things I can do, what should we do type of a

(11:28):
thing, you know? OK, Yeah, no, I know this is
definitely. Like I'm pretty sure people come
to you with like, I wanna just get, I just wanna SEO.
But you look at the website, you're like that.
That website needs to get updated, so or whatever, or the
branding they need to get done or whatever, you know what I'm
saying? Or so you know, there's more,
there's more than just the one problem people bring you.
And so your job as a professional to say here's how

(11:49):
the whole thing would work, whether it's SEO, whether it's
plumbing, it's a service that you as a professional know,
Danny, what's the best way that's going to work the best
The we got to update the branding with the website.
We got to get your social media.You know, all that stuff is part
of SEO. It's not, you can't just pick
out SEO only. And so it's the same thing that

(12:10):
with every trade has the same thing whether it's tire repair,
whether it's plumbing, heating and air conditioning or whatever
you're. And so if you did that, there's
a science behind you. As a science, 15% would choose
the top options, 74% would choose the middle options, and
only 11% which is the bottom. So you'd wind up upgrading about

(12:31):
80 to 89% of the time if you didthat.
And without having to sell it, without having to push it or
recommend it, you just say, here's the premium way where
it's permanent and it's done theright way.
Here's the professional way. We take care of most of
everything. We expand a little bit more than
you asked us for. And here's the bottom option
where you just do it the way youwant to do it.
And that's the way it has less warranty, less, less coverage,

(12:53):
less whatever on the bottom option.
We we stand behind it more in the middle option and we stand
behind it permanently on the topoption.
Does that make sense? Like there's just more
permanency in the top. It's permanent, it's high
quality, it's safer, it's healthier, all the rest of it.
That's called peer motive service, by the way.

(13:13):
Peer motive service is identifying what does the top
option represent? That's the higher purpose then
does that make sense? It can't just be like when I
mentioned all that stuff I didn't even bring up money
honestly. So getting the pricing right
isn't as important as putting the price in the right order.
Premium mid range and economy prices.

(13:36):
Stacking up the current prices you already have into a more
premium solution to do more of your service would be what you
need to do first. Secondly, once you do some more,
you'll, you'll come in touch with the fact that we don't
charge enough. Like I can't, I can't say that's
permanent for that kind of money.
Well, then charge more and it's like, okay, so there's a sense
we get like if I said Danny charge enough for the SEO, the

(13:59):
website and stuff like that would be a 10 year guarantee
that I'll come back and update this thing for 10 years.
It's like, could you do that for5000?
Hell no, I'd have to charge like50,000 for all that or 100,000
for all that if it was 10 year, a 10 year warranty on it or
whatever is that makes sense. So, so if I said you got to
stand behind that website, the SEO, the social media and
everything for 10 years, then I'd say come up with a number

(14:21):
you're comfortable with them andit probably wouldn't be 5000 or
whatever it would be unless you know, you follow me on that.
It's like now it's seem like that'd be 150,000 Joe.
And I said, well, that's your price for that kind of an
option. So no matter what kind of
business it is, a pet care business, you name it, any
service that you do for you saidyour mom does, helping the

(14:42):
people who are disabled or whatever, right?
Things like that you mentioned. Mental health.
So that's just how. Do you kind of yeah, there's a
more premium way of doing that, right.
And she could provide that too. So it's every business like
that. So, so get the pricing structure
right, premium mid range economyand then you'll start to realize
that I can't make it permanent for that price.

(15:03):
And that kind of makes you understand that I need to raise
the price because you'll start there saying I can't commit to
all that warranty and service like Joe saying like I can't do
that. Well, of course not, not not for
the price you're currently charging.
So that would make you have to raise the price to be able to
cover it for a longer. Like on a furnace in AC, if I
said I'm covering it for 12 years and you can't write a

(15:25):
check for anything, even if lightning strikes it, like, holy
shit, I have to charge like 7000for that.
I said there you go, that's yournumber, you know, so charge more
because that's the thing about it.
So I would say money is not my master, though.
I try to get the service down 1st and the way I'm going to
present it, and then I try to figure out if I can do it for
that price. That's the second element of it,

(15:46):
Danny. Does that make sense?
Yeah. No, it definitely makes sense.
OK, there's a lot together there.
One part is that the IT seems like there's kind of a a bell
curve distribution of most people are going to be in the
middle. But you still should have some
of those outside services for people that might just want like
a one time kind of, you know, cheaper option.
And there will be people for that premium option.
So you want to make sure that nomatter what business it is,

(16:07):
whether it's my SEO agency or whether it's a home service
agency or sorry, home service company, that might be, you
know, HVAC, roofing, whatever, that they need to make sure that
they're providing a premium option.
Because just based on statisticsand what you said that about 15%
of people are going to want thatpremium option.
So if your typical ticket, you know, let's say a typical pest

(16:28):
control package might be $100 a month.
But someone, you know, maybe they're super rich, they really
care about pests, whatever it is, and they want to get on the
$1000 a month, then you know, why wouldn't you provide that?
So that makes complete sense. It's like, you know, some people
have a more, it's more importantto some people.
The pest control element of it. That's what that's what you are
a pest control business. There are some people who have a

(16:51):
greater fear of the different kinds of pests.
Some like some people have, whatdo you, some people have
normalized pests in their home, like God, it's just another
cockroach, you know, and other people like cockroach, Oh my
God, like, you know, so it's like there's different people
and there's different, the people have normalized a
different way of living, right? And so there's the one guy who

(17:14):
finds one cockroach, he'll pay 1000 a month to get it fixed.
Another guy who would be just get rid of this.
I'm, I'm good with the cockroaches.
Leave the just get rid of the ants.
Those are killing me, you know, whatever it would be.
So, you know, so you got to havesomething for that person, the
cheapest thing you could do and then you have the better one
that takes care of this and that.

(17:34):
And of course, you know, as a, if you're a pest control
company, you would know that business more than anybody.
And you know, what kind of pestswould bother people more than
others? And how can I, how can I do it
more frequently would be anotherway of doing it.
How could I do it more permanently?
So they come back do it do it before the season that would

(17:56):
happen or after the season. You know how how are you going
to do it more more immediate control like if you call me a
service agreement that if you call me between the the
treatments, I'd be out here immediately to take care of that
problem and mitigate that problem immediately vehicle VIP
service there now that would cost more money if I said you

(18:16):
could do that anytime you want right.
So that way you'd have to chargemore to make sure that you could
respond whenever the client wanted you to make sense.
So the bottom line is that when people say you can't do that
kind of service you, this guy doesn't know pest control.
And I'd say, well, I do know pest control from a consumer's
point of view. And so I definitely would pay
anything not to have pests in myif I saw one cockroach in this

(18:38):
house, I'd be like, holy shit, to stop the house.
So we got to move out until thatgets solved.
I don't want, I can't even have one cockroach.
I'll see what I'm saying here. So, so the bottom line is that
everybody's got different. And that's something you could
do too. You could put people in up in a
hotel, that could be a service they would do.
And while we take care of the mitigation of these pests and

(18:59):
I've seen pest control where they have the the whole tent
over the house and do that kind of a solution.
Of course, you could put people in instead of telling them to go
to a hotel or go somewhere else,you'd say I'm going to put you
in a hotel for a week or whatever kind of a thing and
include that with the service. Does that make sense, Sir Dan?
Yeah, no, 100%. So it's all about solving
people's problems. And some people are going to

(19:20):
want to have the entirety of theproblem solved, which is
obviously going to cost much more than just one component.
So absolutely love that. Yeah.
So just don't hold Knack and don't because that's what I was
doing. I was only doing the cheapest
thing I could do, but when I wasin debt, based on the average
invoices, you can see I was really just kind of Macgyvering

(19:41):
everything and just fixing what was already there.
I was. I wasn't even replacing the
parts. I would just fix the part.
You know, back in the old days, that's how I used to be.
Definitely. Earlier you mentioned your book.
What should we do? Can you talk about that book and
kind of what's the concept? You talked about it a little
bit, but let's go deep on there.Well, you know, it goes over.

(20:02):
I think when people read the book, there's a lot of
familiarity. To what they are already going
through now. So what you're going to read is
like, Oh my God, that guy soundsjust like me.
Like that's exactly what I did wrong.
Then I'm doing it now like that way, you know, So there's a lot
of people who have discovered wehave over 100,000, I think
128,000 copies of the between audio books on Amazon and

(20:24):
Audible and Amazon book sales. And there's been a lot of people
who have, it's changed their life because it's 430 pages.
We're not talking about a light duty walk around the park.
It's, it's on the audio, It's 9 1/2 hours.
It's a lot of lot of content. And so if you get the book, be

(20:46):
prepared to change your life because it's going to tell you
specifically, how do you, how doyou make a friend with a client?
Like you think you already know how to make a friend, but you
might be doing it just a little wrong.
How do you diagnose the whole system, not just the one
problem, but how do you stop theproblem completely?
How do you take care of the client service to make sure that
they don't have to do anything? And it goes over the whole

(21:10):
customer service experience. But there is mixed in there,
Danny, a lot of stories about the things I did wrong as well.
And then there's the stories about how it got right.
But there is built in there thatthe science behind everything,
the science of connecting, science of diagnosing, the
science of creating the prices, the science of service

(21:32):
agreements and warranties, the science.
So it's really has a, it's like a manual about like personal
therapy in a way, because I can see that somebody else has gone
through this and I know I can, Ican succeed.
And then there's an element of the science element where, how
do I get this stuff done now? That's why that's why the book
is so thick because it's like really three books in one.
One is like like looking at yourself and seeing why do I

(21:56):
think this way? 2 Here's the things we have to
do to make it better and three scripts and things like that so
you can actually do it, but it implemented in place makes
sense. Awesome.
OK, So people should definitely go read that book.
Basically everything you need toknow regarding sales, all the
mistakes you've made, growing several companies.
I want to, yeah. A little bit here.

(22:17):
They're going to servicemvp.com.You can get the free, even get
the free audio book. I'll give it to you for free.
Just go to servicemvp.com and the audio book.
I just thought you had to download the service MVP app and
you can get it for free honestly.
So awesome. OK, so everyone should go there.
That link will also be in the description, Joe.
Now talk to me about your 3 keysto sales.

(22:38):
So you kind of have your three CS.
Can you talk about those and howyou came up with that and why
it's important? One more time about the three CS
or which one? Yeah, yeah.
So you have. It's at least what I have here.
This could be wrong. Character, evidence and
communication. It's OK, That's good.
That's so it doesn't have the four BS and have the three CS.

(23:00):
Yeah, that's fine. I try to keep track of my
material when I got there. Well, you know, character means
that when I say I'm going to do something, I'm going to do it.
So if you do read the book, character means that I'm going
to read the book and I'm going to take the lessons and put them
into place. And you actually do it because
this world, Danny, is filled with people who say they're

(23:22):
going to do something but never actually do it.
And that's bad character. So don't, don't, don't read a
book like that or don't say to Danny you need to hire him to do
your website, but then don't give him the material he needs
or don't give him access to yourteam or whatever he needs.
You have to follow through. And character means that, yeah,
I'll help you with this. And then you don't help in a way

(23:43):
it makes sense or you don't implement the thing that that's
there's no service that's ever done that.
If you don't implement the service, there's no value.
If you don't implement pest control or whatever it is that
you're going to do, right? So the number one is character
says, let's make sure that the end result, the objective is to
use the service. And I'm going to do this.

(24:04):
I'm going to show you what we'regoing to do.
I'm going to do it for you. That's character.
Character means do what you say you're going to do to competence
is that you're going to learn itand understand the science
behind it and you're going to practice it and, and make sure
that you, I say 5-5 and five competence is gained by reading

(24:25):
something or listening to it five times and then trying it
five times just by yourself and then trying it five times with
the public. And now you're getting your feet
under you as to how you're goingto put in competence.
Competence is repetition, honestly.
And then you got to commit to that repetition.
And then finally, communication,which is for every person who

(24:48):
loses their job, Danny, Harvard University did a study that said
for every person who loses theirjob because they're not good at
the work they do, you know, if you're not good at SEO or if
you're not good at pest control,you know, for everybody who
loses the job because they're not good at it, there's eight
people who lose their job because they can't communicate
value, whether they're communicating to the internal

(25:11):
employees or to the external customers.
If you can't communicate value in your job, you're going to
wind up getting fired or going to wind up not getting work.
Makes sense. So if you look at the
unemployment situation or peoplewho seem like they just never
can find a job, they're just notgood at creating value.
They're not, they're not good atseeing the value they provide.

(25:32):
They don't believe in themselves.
They don't, they're not competent.
They they say they're going to get a job, but they never look
for one. Those are cut character issues.
You kind of saying that so you can you can see not just in
sales, but in life, there's people who have poor character.
Oh, yeah, I got to get a job. You've been saying that for two
years, John. Yeah.
It's like, oh, yeah, I'll get one pretty soon.
What are you doing right now to get one?

(25:53):
Nothing. At least you're not.
So you're not doing it. You're not.
That's bad character. Makes sense now.
Now you got to, you know, practice.
How am I going to get this job? Look into it and study it,
Figure out the science is honestly, anybody could get a
job in 20 seconds if you just knew what to say to somebody to
create value. And you have to practice it.

(26:13):
So you believe in it and #3 you know, put it, put it in place
and communicate it. That's the thing you got to do.
So I really feel that it's not just a key to service, but I
think it's the key to a life that's well lived, honestly, you
know? Awesome.
So you have to learn how to create value and then be able to
communicate it. Awesome.
Something I want to ask you, which this is kind of general,

(26:34):
but I feel like this would be useful that let's say you were
to step into the average home service business, you know, but
maybe let's start with like a company maybe doing 500K to
$1,000,000 a year. What are some of like the top
problems that they're dealing with and what would you do to
fix them? I think a lot of the biggest
problems are the same problems that I had when I was losing

(26:56):
money, which is that I would, I'd go out there and give people
advice about how to do something, literally teach them
how to do my job. And then the value then
decreases. Does that make sense?
Like if I tell you how to, if I told you how to, if I was a
plumber and I said, well, you need to get yourself a new P
trap and go go out and get a faucet and here just go get a

(27:17):
wrench. I and I told you how to do
plumbing. Like I think the average service
provider talks too much about how to do their work, you know,
and then in a way you're gettingthe client like, yeah, I could
do this myself or whatever. And so whenever the plumber or
air conditioning guy or pest control guy starts talking to
the client and they literally talk their way out of a job

(27:40):
because they are giving people too much advice about the, if
you're a pest control, giving too much advice about the kind
of chemicals you're going to useor about the methods you're
going to use, or you're giving too much detail on your service.
And that decreases the value of the service.
Because now the clients like, whoa, I think I could probably
do that. I mean, I just go buy that

(28:01):
chemical he's doing and let me go on Amazon, see if I can find
some of that stuff. And next thing you know, you
talk to your way out of a job. So that's the number one thing I
think they do wrong. So that I would advise shut up
when you're diagnosing the situation.
Just talk about the family or the people who live in the home.
Don't talk about your solution yet.
Just say let me take a look at things and as you're looking,

(28:24):
shut up when you're looking. Don't don't give people an
education while you're looking. Now, after you found the
problems and whatever it is, plumbing problems or drain
problems or HVAC or electrical or pest control problem,
whatever, whatever the scope of the problem is, shut up about it
and then write it down. And now you got a scope of the

(28:44):
problems, right. So write down the problems and
write down the solutions, the premium mid range economy
solutions. Because the second mistake is
that people always give the cheapest option thinking that
they have to compete on price with competitors.
But you don't have to compete onprice.
You have to compete on service. Service Danny is the knife that

(29:07):
cuts through the fog of uncertain value.
Let's say it one more time. Service is the knife that cuts
through the fog of uncertain value.
So when people are looking at prices, but they see somebody
who's got a much better service,then all of a sudden they
understand the price is going tobe higher.
It's like when you walk into a hotel, like, OK, if you walked

(29:30):
into a Motel 6, you wouldn't even be inside, you'd be out.
It's not even not even a lobby. You're like, man, this, this
can't be very it can't be very much for this place right now.
You walk into the courtyard by Mary.
It's like, oh, look at they got a nice lobby and little gift
store over here. It's going to be a little bit
that's I can see that's going tobe more money than the one where
it's not even a lobby. And then I walk into like the

(29:50):
Westin hotel downtown Chicago orthe Swiss Hotel around the river
north over there and it's like, holy shit, look at this lobby.
This is going to be so the way the service provider has already
done more service by making a bigger lobby, making a bigger
gift store, a coffee shop, whatever they provide.
You got a barista, you have a Starbucks inside the lobby.

(30:14):
That's going to be more money than a people who don't have a
Starbucks in the lobby or a person doesn't have a coffee
machine. It's just sitting outside the
the Motel 6. You know, it's interesting.
You could go to the River North when I was at the motel at the
Swiss Hotel, which is one of thebest hotels in Chicago.
It's a triangular tower there right in river north.
And you look across the river, you can literally see the Motel

(30:36):
6 all right at the other side ofthe river.
And it's interesting those two things like they're both on the
river. But I do know that this room
costs about 900 bucks. While I was at the hotel and
that room, it's I saw the sign, it says $69 or whatever, you
know, So it's interesting that the same location and the same
same service, one could be $900 open school and the other one

(30:59):
says $69 and the doors are wide open.
It's like, yeah, we're we alwaysgot a room for you, right?
So the cheaper things honestly usually have a higher capacity,
you know, you could do more of it.
Therefore more, more of the moreof the bigger crowd, the more
premium options are more fewer for fewer people, but they are
more profitable because you don't have to do, you don't have

(31:22):
to serve 1000 people. You get to serve 200 people.
And you'd be you'd be making more, more money on less effort.
Because I think the American dream is really playing.
It's how can I do as little as possible for work and still do
make as much money as possible? That's that's really the
American dream is really surrounding that, you know, make
as much as you can for the leastamount of effort possible.

(31:45):
And nobody's afraid to work. Like I'm not afraid to work
either. But I would say I only got so
much mileage in the tank. So make sure that you choose the
work you do wisely so you can enjoy the work you do when you
have passion behind it, because if you do too much of it, you're
going to lose the passion behindit.
Makes sense? Yeah, for sure.
Something else I wanted I wantedto talk about is specifically

(32:08):
regarding sales. So I know you have a huge sales
background, you've closed a lot of big deals and you've also
helped other people close big deals.
How do you like for someone that's never closed a big deal
before over like 10K, how do youhow do you go about that?
How do you make sure that you close these high ticket deals?
It's ironically you have to say to yourself, money's not my
master. I'm not going to focus on the

(32:28):
money, only focus on the solution and let the money take
care of itself. Now, if you think the money is
too much and it's like no way somebody's going to spend that
much, then try to do a thing with financing or something
where you can help people find the money more easily.
It makes sense. Or break or break it down and
give them the whole price for the project, but then maybe
break the project down to smaller sections so people can

(32:51):
afford it. That's what I would say if
you're trying to find a way where you feel better about it.
But honestly, what I can teach you right now is that sales
people who focus on how much money something is are the ones
who are going to lose the job. You're focused on the wrong
thing. You have to focus on the
consumer or the client. You have to know everything

(33:13):
about them so you can make a more customized, relevant
solution that serves their exactneeds.
Makes sense. Now, if you do that, that's
customer service. The, the if I, if I don't do
that, I have no service. I'm just, I just have a
commodity like the parts I sell or if I'm a, if I'm a pest
control person, I'm not selling chemicals honestly, because if I

(33:37):
was just being a chemical salesman, I wouldn't need me.
We just sell you the chemicals, right?
So, so stop focusing on the parts of the materials or the
chemicals in the case of pest control, focus on the service
you offer. And, and who in the family is
the most afraid of these kind ofinsects?
So it would be for instance, or how does this, how does this

(33:58):
impact your life in a negative way?
You know, where does it happen? Like we would think we would if
we're not customized, it could be on the deck.
My grandmother comes over and she's afraid of whatever kind of
insect and you'd be like, man, we can't have any problems on
that deck. So we got to make sure we take
care of that area. So we got to really deep dive

(34:18):
into that area and make sure we mentioned that a client.
Yeah, we're going to put extra attention on the back patio
where you have that stone patio so your grandmother doesn't be
afraid. She's not afraid when she comes
to visit you. That would be a much better
approach when you're selling a big ticket.
Like if you're trying to sell something that's going to be a
commercial project of some sort or even a big home where like it

(34:42):
furnace and AC. The average people who sell
furnaces and ACS with our thing is about 28 to 32,000.
The average person in general sells of about 8000, you know,
so basically the difference is there's more stuff we take care
of. We do the ductwork, the AC, the
heating, the air quality of the control system.
So you're doing more stuff for, but every one of those things

(35:03):
have to be more personalized andcustomized to the people because
of the only doing it to ask, stack up the bill hire, nobody's
going to buy it makes sense. So anything where you sell
premium solutions have to be more personalized solutions as
well. So the more personal you make
the problem and the more personalized you make the
solution, the higher people willpay to solve the problem and

(35:27):
purchase that solution. Makes sense?
That's really good. And then this what?
Is the balance that this way you're not focusing on money,
you're just focusing on the the problem and how it's impacting
them personally and the solution.
Now that's going to, you know, personally impact them too.
And this way the money just is abyproduct of getting the job
done. It's not something that we're
focusing on primarily. So ironically, most customers

(35:51):
say what's it going to cost? That's the first thing they
wonder. So you know what, let's go into
the problems and the solution that we can see what it's going
to cost later. That's another pro pro tip.
Don't talk about money in the front end.
Talk about problems and solutions in the front end and
then show the money at the end. Except for Dan.
Yeah, no, that, that also seems more fulfilling as well.

(36:12):
Like I, I don't like purely focusing on money and just how
can how can I stack up more retainers?
But it feels good. It feels fulfilling when I'm
helping a lot of people. A lot of different people have
different problems. You know, my agency is different
than your company or another service based business, but it
feels really good to help people.
But then, like you said, the money is just a byproduct.

(36:32):
It's just something that's needed to make sure there's a
financial reality, to make sure I have the right manpower, the
right materials, the right safety.
They said if I'm a task, I have to do things and make sure I
take care of and make sure it's safe for people.
You know those things that it's called pure motives, quality,
reliability, safety and health, customer service to know the

(36:53):
people, customize relevant, to make sure it's personalized and
then honesty, even when it's notpopular.
That's what I call pure motive service and that's what we
teach, which if you focus on pure motive service, then the
money will come to you in drovesbecause you're not focused on
making money. Money comes to people who do
excellent service above and beyond.

(37:16):
But that way I. Definitely agree.
I've got a quote here that I'd like to read you.
This is something that you said and you say repeatedly.
I'd like to hear your thoughts on this and kind of expand on it
if you could. So the thing you've said before
is don't sell to make money, sell to liberate your customer.
Can you talk about that? Yeah, I think, I think when

(37:38):
service providers put their customers in a prism, if you
will, is that when they they've decided for you, like here is a
solution that I'm going to give you only as opposed to give
people the freedom to choose premium, mid range or economy
solutions of your own. It's like, and even if somebody
asked me like Joe, which one do you would you recommend that I

(38:00):
purchase? I would say, well, John, my job
is to find the problems and how they affect your family and find
the solutions and how those affect your family.
And then your job is to pick theone that's right for you.
That's that's your job. I can only make the more
permanent premium, high quality and best service solution.

(38:22):
The mid range one, which is veryprofessional and has a lot more
service too, and then the bottomone, which is what you asked me
for. Now if you want to get what you
asked me for, that's the bottom option.
You want to get something betterthan you asked me for, that's
the mid range and the premium. So you're free to choose the one
that's right for your family. So the word freedom, which is
what really every country in theentire world has the belief that

(38:47):
they are. Even people in countries that
aren't we, we don't think are free.
And there's a question as to whether people feel like United
States of America still has freedom, right?
There's still element of freedomthat's being questioned here.
So losing freedom is honestly something nobody wants in any
culture of any kind. Having more freedom to choose or

(39:10):
liberating people that freedom, then I think that's really what
you look at. So I got to give my customer the
freedom to choose what's right for them.
That's really it. They could even tell customers
that, you know, Danny, I'm here to give you the freedom to
choose what's right for you. Even if it's not me, you can
always choose the one that's right for you.
Does that make sense? And I'll be fine.
I'll still be your friend if youchoose somebody else beside me.

(39:31):
I'm fine with that. So if you say I don't care if I
get the job, I want to make sureI give you freedom to choose
instead. They ironically will choose you
about 9595% of the time. If you want to give them
optionality, you don't want to push them.
That makes sense to talk to me about I.
Think that's part of it. I think the the optionality part
of it is the thing that is at the heart of freedom, right.

(39:52):
If we don't give that, which oneare you choosing?
The premium one where you just oversell everybody, the economy,
one where you don't make enough money, you can't stay in
business. So you know what I'm saying
there? You have to give people all the
choices. I believe that the universe
rewards people who give freedom to other people.
That's why I look kind of like. That's really good.
Yeah. I know that that also ties into

(40:13):
things of like, oh, well, you have to buy today, you have to
buy right now, you know, all those kind of guarantees that
people give and try to try to provide or make a scarcity or
urgency. So yeah, I see that a lot.
I don't. I mean, those things can be good
in theory, but at the end of theday, basically like what you're
saying is being as honest as upfront as possible, giving them
options, providing that freedom.I think that's huge.

(40:36):
So that's great. It doesn't.
It's not just by way. It's not always popular, you
know when that's why I say honesty and giving people that
freedom. Sometimes you got a drag,
customers kicking and screaming.They're they're not, they're
not, they're like, I just want to get that one problem fixed.
And it's like, you're going to get that if you want it, but I'm
also going to give you other things too.
Whether you want it or not, I'm going to show it to you.

(40:57):
So even if people don't want that, it's like going to a car
wash. You don't tell the guy, I don't
want to. I don't want to see the other
car washes. I want to get the basic wash.
It's like you just don't, you don't even mention it.
You just choose the basic wash. Well, you don't like you don't
you don't bitch at the guy at the car wash or if you can see a
menu at a restaurant, why did you put filet mignon on the
menu? I don't want Floyd.

(41:18):
It's like you don't, you don't complain about it.
You just don't buy it and you get the salad if you're not
wanting it. So, you know, so I think a lot
of service providers are mistakenly thinking that the
consumer will look at them bad if they were to offer the
options that are premium. Honestly, it's only that way if
your mentality is pushing the premium option, you don't got to

(41:40):
push it. People will push themselves.
It's a, it's like a they're freeto choose the one they want.
Remember not not pushing them toit.
Let them choose from themselves and volunteer when a customer
makes a voluntary commitment like that.
Danny then they can never be talked out of it.
Even if the neighbor comes over and says how how can we spend so
much money? It's like, because I got this

(42:00):
extra service, John, shut up. You know, they're they're going
to tell the neighbor to shut up or whatever.
You could have got a cheaper somewhere else.
It's like, I don't want a cheaper, I want it better, you
know, so so but by doing it better now here's the kiss of
death, Danny doing it being moreexpensive, but doing the same
service that everybody else does.
So you can't do the same serviceeverybody else stuff and just to

(42:22):
be more expensive, that's not going to work.
Makes sense. You got to do something above
and beyond what they would do for people like that.
Makes sense a little. Bit deeper on that, like what
does above and beyond look like is, is that more than going into
experience or is that just fantastic out of this World
Service? Looking if, if you literally
name a service, I can tell you like, for instance, I have a guy

(42:44):
who does garage floor coating. He, he puts epoxy coding.
There's a company in Chicago. It's pretty famous for that too.
They can't think the name of it,but there's so they, I've
actually, they kind of work under the same guideline we
talked about. So for instance, if you're going
to do the coating on your garagefloor, put epoxy coating in the
garage floor. Well, just in case you didn't

(43:05):
notice, you have a, you have a bunch of stuff in your garage.
It's got to get moved, right? You have like you got the car,
you got all the bicycles, you got the camping gear and
everything in the garage. Basketball, you got every
sporting duffel bag. You can be a basketball duffel.
Baseball, though, you got all these things in there, right?
So normally they'd say, OK Joe, you have to move everything out

(43:28):
of your garage so we can coat your floor.
So you're putting that burden under the customer that's not
above and beyond. That's why that job is worth
only 32. You're probably going to coat
the garage for about 3000 if youdid that right now, if I said
our crew will come in, take all of your stuff out of the garage
and put it in a trailer of ours.And we will wash everything and

(43:51):
wipe it down before we put in the trailer.
And then we will put the trailerin your front yard in the right
on the on the street, right in front of your home with our name
and everything on it. That's going to be there for a
couple days while we come in thenext day.
And we are going to do that garage floor coating, let it dry
overnight. And then the third day we come
back and put the stuff back in your garage.

(44:12):
But we organize it for you. We we do that right and look at
the options for the garage company.
You got the floor coating is theone.
So first of all, let us move thestuff out of the garage and
clean it and then put it back in.
That's one the first thing. Second thing, let me do the
epoxy coating. Third thing, let me do slat
wall. So we can put the storage
systems in your garage better sothe bikes can be on the wall,

(44:34):
not on the floor, right? Let me put storage cabinets
above the garage door so we can put other stuff, your duffels
and stuff up there not on the garage floor and things like
that. Let me put storage cabinets on
the sides as well. Does that make sense or so if
you sell all that stuff, so the average company that does garage
floor coating with my system averages about 16 to 18,000 per

(44:55):
sale because they go from 3000 to 16,000.
Because you're not just selling the garage floor coating, you're
selling the whole garage experience.
Like the what am I going to do? Clean the put the put the floor
in and put all the garbage back in the back in the garage.
You see above and beyond is likewho's going to move all this

(45:16):
stuff to get it done? Like if I was a painter, I would
say we're going to put you in a hotel would be above and beyond.
We're going to come in and move all your furniture and put it in
the out in the trailer so the furniture doesn't get damaged.
We're going to tape and paint and tape off your flooring and
things like that. We're going to we're going to go

(45:38):
ahead and clean the carpets after we do the paint job on
your walls. You know what I'm saying?
So these are things that you cando that go with the service that
you provide, but and the things that people have to do anyway,
you're doing it for them and that's above and beyond.
Does that make sense? Like are you, I see, like SEO
companies, Hey, we need to hire you need to hire a copywriter or

(46:02):
you need you need to fill out this form about the stuff that
in your company instead. What would be the better way?
I'm going to fly out to your business and I will audit your
business and find out what's special about it.
So we can make the SEO perfect on your company.
That would be above and beyond as opposed as opposed to fill

(46:22):
out a form or you just tell me, what do you what do you want on
your website would be some crappy service from an SEO web
build website builder. Me going to your company and
then surprising you by coming upwith something I saw in your
business that you didn't even see, that would be better
service. So if you got a web company
that's making you do all the work, you got a shitty web

(46:43):
company. If you got a company that's
saying let us come out there andvisit your company and we'll do
all the work, then you got the right that's above and beyond.
Makes sense? Definitely.
OK. So you have to go above and
beyond and you have to charge for a go above and beyond.
And what I'm realizing here, what I'm realizing here is that
when you do this, then you don'thave to even worry so much about

(47:04):
like lead generation or customeracquisition because your
customers are worth way more like a $3000 ticket versus a
$15,000 ticket. I mean, now that's five times
less customers that you have to go out and acquire.
So now you don't have to worry too much about that.
I'm also sure because you go above and beyond because you
have an amazing service now you get more word of mouth, you get

(47:24):
more referrals. Like that's just seems like a
whole compounding compounding system.
Well, if you're the only one that's doing this, and so you
might say to me, Joe, nobody, nobody in pest control does
this. Well, that's not true.
I have several people who are inpest control that use my
services and they are the most successful pest control people
in their market. Like in Houston, TX, I got

(47:46):
people, I got people in Tampa, different, different places on
the country where pest control is a huge business.
There are a lot of pest control people.
So if there is a lot of pest control people in that area,
then your job is how can I be completely different than the
other people? So there's only two of us that
are different and there's 300 other people who are the same.

(48:07):
Then the between you 2 and the 300 people have been rejected
because there's, there's too many of them that are the same,
right? I can't tell which one of those
to hire, but I've come in, I've come to the top 2 and now it's
like, which one of these two do I hear?
That's much better odds when you're trying to sell something.
Makes sense? Yeah, well, it also seems like
home services have have become much more competitive.

(48:28):
So you do kind of, you have to find something to separate
yourself. And you know, I had Dan
Antonelli on the podcast a few months ago or so and he said the
same thing in regards to branding, that he will do an
audit of the branding of the companies in the area.
They want to make sure, OK, you know, the top companies, maybe
they're doing 1 is doing red, one's doing blue, one's doing
green. OK, let's make sure not to use

(48:49):
those colors. Let's make sure that we're
completely different from everyone else so that we stand
apart, that we're not like everyone else, we don't have the
same service stack, whatever. But something is unique about
us, and that's what make us, makes us attractive.
That's true. You know, and Dan's a great,
great friend of mine and you know, the, the thing he will do
is sometimes the premium option will be to not just do a logo

(49:11):
and a branding, but also to rename the company.
Sometimes. He's done several people where
he thought the name sucked and he said we could, we could do
better with the name. Let's pick a new name in
transition then. Then we have a second option
which is easier. Use your old name, but didn't
put it make it look better. Makes sense.
So he's got different options there.

(49:32):
You know, some including the whole package is some including
just the branding alone. But, you know, some things are
more difficult to do than others.
So if you're looking for a complete change and by the way,
the branding of the company and the marketing of the company is
kind of way you're promising theway the company is going to
operate when you get into the house in a way by doing it that
way. So the branding and the
marketing are like the promise. But if you don't know what

(49:55):
you're doing, like what we do, that's why us and Dan Antonelli
get so along so well. We do things that are unique
that Dan can put in his promise of the brand so the brand can
emphasize what we do. Make a friend called Magic
Moments, pure motive service. Make the app you get you get
options of the call is free if you get premium mid range

(50:16):
economy options like that could be a talking point that the
company has and then the branding could match up with all
that stuff. So the perfect combination, of
course, both Dan and I would saythat our both of our businesses
are more important than the other one.
But honestly, but honestly, neither one of us would be
existing without the other. Because you need to have a good

(50:39):
brand, you need to have a good experience in the home to have
both of us. Because you have a good brand,
but the experience sucks, you don't make a difference.
It's not good. The brand is if you if you know
how to communicate, but your brand sucks, nobody's going to
call you. Makes sense.
So both things are needed. Honestly, they're equally needed
in two-part equal parts. Yeah, even just having you on

(50:59):
this podcast here, I've really become aware of the symbiosis of
the two and really other parts of marketing as well.
But obviously branding and the pricing, sales, whatever you'd
like to say, those are two huge components and you, you and Dan
are obviously both crushing it with your companies.
So I think, I think this is a good place to wrap up.
I've got one final question for you, Joe, which is what is your

(51:21):
message to the average home service local business owner or
maybe that that's even, you know, a technician or maybe a
local marketer. But what is your general message
to the audience? What do they need to know?
What do you want to leave them off with?
That's a good question, but I would say, you know, don't stop
learning and don't don't stop moving because honestly, things

(51:44):
are changing. The only thing that is true is
that nothing will stay the same.Everything is changing.
So whatever you are doing now, you need to be already studying
what the future is going to be, especially with AI.
Like we have a thing called the option Builder, a they're giving
those price options. We have an AI solution now that
we developed for $99 per person where you can just, it makes

(52:08):
the, it makes the options for you.
Just put your put all the services you do into it and then
you tell us the prices and boom,it will make those premium mid
range and economy choices in 20 seconds where it would, it would
have taken probably, you know, half an hour to 45 minutes to
make those options. Now you're getting it done in 20
seconds. Like if I took all of your
services, Danny and said, well, here's what we do web and then I

(52:31):
took all that input in there. So here it is the premium VIP
one. Here's the economy 1.
And it would come up with that, right?
And it would be personalized andcustomized based on the way you
put in there. So I would just say changes are
coming. The good news for anybody who's
in business now is that there's never been a time in history
where it will be more automatically automated, meaning

(52:57):
that you don't have to try and do it yourself.
There's going to be tools that are very low cost that allow you
to automate this process there. Couldn't have said that five
years ago. Honestly, you'd have to do it
all manually. So because of AI solutions, I
really feel like this is the best time in human history to be
alive. Now.
Of course, I can't promise in the future that AI want kill us

(53:19):
off the planet. I didn't know that or not.
But at this point, you use the tools that are here.
Don't, don't, don't be in denialwith AI.
It's here and it's here to stay.It's not going to go back in the
bottle. So you better use it while you
can use it. And AI represents your future
right now, regardless if you like it or not.

(53:40):
Even if you hate it, you better embrace it because it will
either consume you or elevate your business.
Absolutely, I agree. So make sure that you're
studying as much as possible andin particular AI.
Start learning about AI and start using AI.
OK, awesome. That was a great podcast.
It was so great having you on Joe.
Where can people learn about youand your company and get in

(54:01):
touch? You just go to servicemvp.com
there you can get the free audiobook if you Scroll down a little
bit on the front page. We also have our $99 MVP book
club where you can get the audiobook and for $99.00 a month you
could come to a training every single week on Wednesdays at 12
noon Pacific, you could get freetraining for me for 90 minutes a

(54:22):
week. We do there so, and we're trying
to build service MVP Nation, Danny, and you're welcome to be
part of our service MVP Nation if you'd like to be.
So any, any clients you have that want to get training on how
to do, how to get training on small things they could do to
make their business more successful.
I'm that's not here to do that. And that's what that's why I'm

(54:43):
so honored to be here on this podcast, cuz I know that you
spread the word with so many people in the pest control
business and other businesses too.
So thanks for doing it, Danny. I appreciate the service you do
as well. Yeah, awesome.
No, I'd love to join. And yeah, no, I really
appreciate that. And then where can people
connect with you on social media?
Which platforms are you most active?
Facebook is right now our biggest one.

(55:05):
We have a thing called, you know, the coach, coach coaching
the, the growth business, growthservice, the business.
If just look up Joe Coursera, I look at my name and it'll come
up there and you'll see the, the, the we have a website
that's not a website, but a group that we have that's got
over 10,000 people in it that interact using our stuff there.

(55:26):
So you can find that group we have.
And then also on X or Twitter, I'm there and they're just let's
look up Joe Coursera, Instagram,TikTok is a huge, we're huge on
TikTok. We have tons of TikTok stuff.
My little small, profound small things I do in 15 seconds.
Or you know, like you could probably make about 20 Tik Toks
from this. Yeah.

(55:48):
No, I was taught a lot of TikTok.
So TikTok I love. I love the micro.
Actually TikTok is maybe better because try and say more in a
shorter period of time. As you can see, for me as a
challenge I try to you should goon to more right So.
Yeah, now I'm sure we'll get a lot of good clips from the show.
So awesome. All of those links will be in
the description if anyone wants to check him out.

(56:08):
Make sure to go follow Joe across all platforms and check
out his company if you're interested.
This has been a great podcast, Joe.
Thank you so much for coming on.And yeah, it's been a pleasure.
Thank you buddy. I appreciate you of.
Course.

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Sales Expert: Home Service Businesses Need To Up Their Prices Now! - Joe Crisara

Episode Transcript

Host

Danny Leibrandt

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.css-14f5ked{margin:0;word-break:break-word;display:-webkit-box;-webkit-box-orient:vertical;box-orient:vertical;-webkit-line-clamp:2;overflow:hidden;}Sales Expert: Home Service Businesses Need To Up Their Prices Now! - Joe Crisara