Transcript
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Hello, hello, hello and welcome to the Million Dollar Electrician podcast, where we help home service pros like you supercharge your business and spark up those sales.
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I'm Joseph Lucani and, together with my co-host, Clay Neumeier, we're here to share the secrets that have helped electricians sell over a million dollars from a single service van.
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Now it's time for sales, it's time for scale, it's time to become a million dollar electrician.
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Hello, hello and welcome back to the show.
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We got another great episode today, another great guest.
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It's not too often that we have guys that aren't electricians on here.
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I think Joe Jordan, who's with us, co-founder of Ciro AI Ride Along Technology.
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We've got an exciting interview to do today, but you're only the fourth or fifth person, joe, we've had on here who isn't actually an electrician.
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But it's for good reason, because the technology, the endeavor that Joe's on, aims to help a lot of electricians, and I know there's a lot of chat out in the marketplace right now about AI ride-along technology.
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Many people say that big R word sorry, joe, rilla Rilla's been talked about many times, even on a couple interviews here on our show, but Ciro is another major contender in the marketplace.
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I believe you guys just joined forces with ServiceTitan.
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Is it okay if we talk a bit about that, joe?
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Sure, absolutely.
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Yeah, so ServiceTitan partnered with you guys to make their what do they call it?
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Sales Pro.
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Exactly.
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Awesome, awesome.
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And so, basically, this is all bolt on to your company.
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If you're already on the ServiceTite CRM, then you've probably already hearing about this.
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I believe that's released already, isn't it?
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Yep, it's been out.
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We've had dozens of companies try to switch over from other tools since we launched just what.
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Was it October 1st, so the reception from the market's been?
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outstanding.
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Awesome, man, awesome.
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So we're already seeing some success with this.
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We know, again, there's a ton of people talking about it and today we wanted to bring you guys an interview to get the inside scoop.
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Like what is this AI ride along technology?
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If it's the first time you've ever heard about it, or if it's the 10th or 12th or 100th time you've heard of it, we're going to expose some additional details for you today and even talk about some excitement with our partnership, and I'll save that more for the end to unveil it with everyone.
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So, joe, welcome to the show.
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Thanks for joining me.
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How are you doing today?
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And happy new year, by the way.
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Yeah, happy new year to you guys as well.
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Absolute pleasure to be here.
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I'm doing great.
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Fantastic, so glad to hear that, bro.
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So in the back we were just talking about something and I had no idea what it was, but you and Joseph both worked at a company called Cutco.
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Is that right?
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Yeah, it was this crazy thing where we were in different aspects of it, but we're technically in the same state.
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We're likely probably only a couple of counties apart from each other.
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So it's possible we even met at conferences, because I would go to the state conferences and things like that.
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So it's very likely you and I crossed paths at some point in our past.
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And Joe.
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You were with them as sales and then you rose up to management with them.
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Is that right with Cutco?
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Joe Carlasare.
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Yep, exactly, I got there.
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I mean so basically, cutco it's like knives that you sell to moms is the simplest way to say it Kitchen cutlery and I got started there as a sales rep while I was in college and expect to like it or be good at it, but both ended up happening, loved it, made a ton of money three, four, five times what I would have as a camp counselor but the biggest thing I took away wasn't the income.
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It was like I learned how to sell and how to bet on myself.
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So may not be an electrician per se, but I have been in the home myself.
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So may not, may not be an electrician per per per se, but I have been in the home myself, and that's one of the reasons why I'm so passionate about this.
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Technology is, when I became a manager like I wasn't able to replicate the kind of results that I got for myself at scale, even though the numbers said we did really well as an office.
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We were one of the top performing offices in the nation.
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But you know, we had a lot of people quit.
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They weren't getting the coaching, the support they needed.
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They're making simple little mistakes in the home that are preventing them from having a success that they could have given the right mentorship If we could just catch and correct those mistakes.
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But it takes too much time.
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Ride-alongs are really expensive.
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They cost hours to do one.
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And to Joseph's point that we were talking about backstage, like you're not even getting the real picture when you're on the ride along because the technicians know they're not doing it exactly the way that they would if you weren't there and you're hearing a different version of the sales conversation or the service conversation that you went out there to correct in the first place.
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So that's where something like Ciro comes in.
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That's massive.
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I just wanted to touch on that for a moment, if that's okay.
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Yeah, go ahead.
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Joseph, I'm so sorry to interrupt.
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I thought that was so cool that you were talking about that because, from the perspective of someone who's had to do ride-alongs and have had ride-alongs done for me it can be an incredibly awkward experience for the technician Because, let's say, you haven't been formally trained or you've had light training, maybe once a week.
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You've been going out and doing your own way and maybe you feel comfortable in doing that way, but now your boss is with you or your manager is with you and you have to prove yourself.
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But now you're almost forced to do the real way you're supposed to do it and not the way that you've been doing it.
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So everything comes off like it's your first time that you haven to be practicing and now the manager is not able to correct the actual problem you have because you're not doing the same process.
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The reason I thought Ciro was so cool is because it will allow the customer when you mean like the technician who's physically there to be able to go in an environment where they have the confidence to be themselves authentically, without some person standing behind them with crossed arms, and then being able to have that authentic experience get corrected rather than the displayed service they were just trying to do for their manager.
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I was actually terrified when this technology surfaced Really, and it's crazy how fast it's come Like crazy.
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A year ago I don't think we even imagined it, joe, you were probably already deep in the weeds of it making it happen, right, but for us as sales and service trainers and everyone fears you know, skynet essentially that we learned from terminator in our youth right and the takeover and whose jobs are going to be, you know, gone because of ai.
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And then we started to actually begin to use some of this software with our biggest client and we realized how powerful this partnership actually is.
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Not only that, it's not just about us and helping other people.
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In fact, I think that's a big twist that people might not expect from our conversation today of how focused this is on your own personal journey in sales and service.
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And something that I wanted to call attention to that you said before is you said you learned the value of betting on yourself.
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What did you mean by that, joe?
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Mm-hmm.
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Yeah Well, it was my first job where I ate what I killed.
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In other words, if I didn't perform, I did not get paid, and if I performed really well I could give myself a promotion, at least in terms of income.
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And I had no idea how to sell.
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I had three days of training at Cutco and then I had to figure out the rest and I learned a lot by like doing ride-alongs with other reps in the office, like riding along with the person who was number one I was number two that first summer and watching actual recordings of some of the top reps in Cutco history One of the one of the reps who at the time had the record for the highest average order and would pick up a couple of things and then see my average order double like overnight and um.
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So it was really the first time in a professional setting.
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I jumped off a cliff and had to build my wings on the way down and um, and that is what ended up giving me the courage to start my own company.
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Later and I do that probably every six months at my job I find myself in a new stage where I have no idea what the hell I'm doing, and then I figure it out and then by the time I have it figured out we're in a new stage and I don't know what I'm doing again and I have to sort of keep figuring it out.
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But I got that courage from having a sales experience early on.
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Great share, really good share, software where you recognized hey, if there's top dog on the team, if I could just learn a thing or two from him, how would that impact the bet I've placed on myself?
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Can you talk a bit about how the design of your software then?
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For those who've never heard of Ciro yet, or Rilla, or maybe they've got some idea but really don't know the technical aspects of this and how it works, could you tell us a bit about your product and service and how it could help us with sales today?
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Yeah, absolutely so, super quickly.
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You can think of it as an app on your phone or your tablet that records the conversation that takes place in the home, then transcribes and analyzes that conversation with AI to identify the opportunities people have to improve and then connect those opportunities against the best in class examples from the top performers in your company.
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So you have not just an identified mistake or opportunity, but also the model example.
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You need to go out and do it properly the next time around.
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And so what is the impact of that on the business?
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Well, first of all, you're going to save a ton of time on ride-alongs.
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We don't think you should totally eliminate ride-alongs.
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They still have a purpose, especially in connecting with the rep and making them feel supported.
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But in terms of diagnosing a problem, when you're trying to figure out why someone's not selling as much as they could be, you no longer need to spend two hours to do that.
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You can do it in five minutes.
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Second, like, you have recordings of all the customer interactions.
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So I know a ton of people have lost a bunch of money on refunds, for example, that they have to give.
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It's like he said.
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She said oh, the tech promised me this.
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They said this part was going to be free, so on and so forth.
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Now that you have those recordings, it eliminates a lot of that, he said.
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She said we've had people save 30 grand in their first couple of months on Ciro just by having those recordings.
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And then, of course, like it's just the time savings not just that, he said.
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She said the reason it exists is we want to make your reps better so that your dollars per lead that we spent so much money trying to get actually increases.
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And we've seen companies improve anywhere from 20 to 40% in terms of their dollars per lead, their net sales per lead issued.
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And my favorite part is the end impact that ends up having on the technicians and the salespeople in the home.
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Some people are making $40,000 more a year individually as a result of being on Ciro, and those are the stats that we're the most proud of, because the reason the company exists is to make the trades and being in the home the most accessible path to financial freedom.
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I love that.
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Now you had mentioned something that I wanted to touch on, because if it's proper, then we can figure out how to best articulate it.
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Then it could be a superpower.
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I know with one party and two party consent states there's a difference between whether you have to announce or not whether you're doing it.
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But let's say you're in a one party consent state where you don't have to let them know that you're recording.
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From my understanding, it was that you're not able to use that recording in a court of law or against for profit purposes.
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You can use it for training.
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So where is the line that we walk when it's being able to showcase to the customer?
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Hey, you said this and we have it in recording.
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Would it have to be something you'd have to announce it in advance to be able to use it for?
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them.
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Certainly it's going to be.
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I'm not sure there's like a legal implication, because typically people are not actually like hashing these out in a court of law or anything like that.
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It's like, hey, actually you can hear right here the rep said so, on and so forth.
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Here's the transcript.
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This wasn't included for free, so on and so forth.
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It's more just a conversation, one-on-one with the customer and certainly it does help if you want to let the customer know ahead of time.
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They'll be more receptive to something like that.
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So typically our customers who have those sorts of problems often which I know is a lot of us they're letting the customer know that they're recording when they get there.
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People are scared of it.
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That's been a non-issue for people that choose to do that in one-party consent states and people that are required to do that in the 11 two-party consent states where you do have to let them know.
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It's so simple.
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It's like, hey, we're recording the conversation for quality and training and then you move on.
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It's pretty, it's like so simple.
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It's like hey, we're recording the conversation for quality and training and then you move on.
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It's not weird unless you make it weird.
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People are pretty used to it at this point.
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Fair enough, I come from the New York mentality, so I didn't know if it was one of those things.
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but hey, I'm glad to know that you've had the experience of it not being an issue For sure, and and just uh, to save people looking them up, do you know offhand.
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Near memorized but I can pull it up in a second.
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So, yeah, those two-party consent states.
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So again, these are the states where you do have to let the customer know that you're recording.
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It's not like you have to say, hey, is it okay if we record, and then they say, yes, like you let them know and they're continuing the conversation as their implied consent to be recorded.
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So that's going to be Illinois, florida, california, pennsylvania, delaware, maryland, massachusetts, montana, new Hampshire, oregon, washington, and that's the list that I have.
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If you talk to us and you decide you want to get started or get started with some other tool in this space, like double, double the list, um, just before before you get started, that's the list that uh that we have.
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And, um, what we found is, like one of our customers, blanton and sons their date do, uh, like plumbing and hvac, um, they've been recording hundreds of appointments uh all year and they've only ever had one customer that said they weren't comfortable uh being recorded and um, uh, you know what?
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What they also did was they put in like their appointment confirmation emails that they send out, just letting them know they're going to be recorded in the email as well, just to make sure they're covered.
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Yeah, does that count as a consent at that point, like if you've sent an email and then, as a result, you don't have to announce it at the door because you sent it in a notification or a text prior, like is that a way around it?
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I mean basically what, what, what?
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What the law says is that, like, if you're, if you're going to have a in those again those those two party consent states, you just have to get their permission before you record.
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So you can do that really any way.
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But the best practice is is, you know, to do it in the call center, to do it in the confirmation email, to do it in person.
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Yeah, I like what you said.
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If you don't make it weird, it's not weird.
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And for us, I mean, everything we train is about premium service.
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We actually try to drop the sales word as often as possible and just focus on the service and in doing service in such a way that creates more sales opportunities and it's I mean, it's totally congruent with us and our listeners to say, look, we're recording this for quality assurance, just like when you're on a phone call center with you know who, your, your internet provider or whatever.
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They all record Everyone's recording.
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At this point, why wouldn't you expect your home service provider to record as well for that quality assurance?
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I'm right there with you.
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Something you said, joe, that stood out.
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You were listing numerous benefits to doing this.
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One I hadn't considered was for the tech, for the individual, to be raising their income based on the commission's performance pay incentives that they have in their position.
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And I realized also that when you said that, something clicked for me that said, hey, at a time when it's the market's shifting, I will say, in recruiting and retention, the market has flipped.
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It used to be that when you needed employees, you'd put a sign in the window and you'd have a lineup of people to drop off a resume or come apply.
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It's not that anymore, is it?
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How do you see Ciro actually beginning to help them in that fight with recruiting and retention as well, so that you're seen as the market leader and you're able to better manage and coach those employees?
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Yeah, absolutely so.
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A couple of things.
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What we've seen is we haven't done a case study on retention improvements in the trades yet.
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We've done it.
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In some other industries, like door-to-door fiber, for example, we have seen retention of new employees increase and it's arguably even more important in the trades because it costs way more money to hire or to loot a technician than it does a door-to-door sales rep, who you can basically hire off the street and have them out on the doors in just a couple of days.
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Definitely not like that in the trades, right, yeah?
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So first of all, right there.
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I mean, if you want to keep more of the employees that you hire, then this will certainly help because you get them making more money faster, more money faster.
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The second knock-on effect is that one of the and this is really a Ciro specific piece of functionality that's really unique to Ciro among the tools that are out there is we really focus on getting technician buy-in and delivering value to the end technician.
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We built it for the technicians, for the reps themselves, in the home, and then added manager functionality on top.
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What we found is one of the things that helps people stick around and do better is when they adopt the best practices of their peers and they see there are people next to them in the trenches doing really well.
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And when you're in the trenches and you see someone making a lot of money, someone who's in the team meetings with you once a week but you have no idea what they're doing to get those results, it can feel like those results are impossible for you to get.
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They just must have the best leads.
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It must be something about the way the leads are assigned.
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The customers just must never say no to them.
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Bingo to them.
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But with Xero we're actually there's a feed inside the app where those best performers host their top moments to get to the top of the trending leaderboard.
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So we get them competing to create training content for everyone else.
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That's then automatically surfaced to the rest of the organization.
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And so, all of a sudden, those results that seem so impossible for me are just a matter of copying this word track or this one liner or this question, or whatever it was that I just heard in between my appointments or at the end of the day scrolling through my phone.
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And so we found that it's not just that.
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It helps people tactically, it also inspires people and raises their own beliefs about where they can go with their job.
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That's what actually made me stick with Cutco was when I heard that guy who had the top average order in the company doing one of his appointments, I realized I could be so much better than I was.
00:19:44.298 --> 00:19:52.441
And it got me re-engaged and more focused on improvement, doubled my average order, made way more money and then eventually ended up in management right.
00:19:52.441 --> 00:19:56.560
So we try and replicate that on a day-to-day basis with technicians in the field.
00:19:57.609 --> 00:20:08.565
You know, the thing that I thought was really cool was how you mentioned Cutco again, because that first immediately came back to my mind, where I'm saying one of the reasons why I left was because of the utter lack of training.
00:20:08.565 --> 00:20:10.731
So it was the fact that you must have been in a different branch than I was.
00:20:10.731 --> 00:20:27.403
So the fact that we were being told as salespeople, hey, you can make X dollars and these sales are totally possible, but we have no training and no framework to go off of and it's like, hey, plucky kid, go out there and sell to some people, it doesn't feel realistic.
00:20:27.403 --> 00:20:29.746
And same thing once again, as a tradesperson.
00:20:33.970 --> 00:20:41.580
I remember when I was an electrician, just starting off, and I was in a room full of HVAC people and they're like, oh, 25,000, 30,000, this is normal sales, and I'm sitting here with 5,000 selling a panel.
00:20:41.580 --> 00:20:43.765
I'm like I feel completely left out.
00:20:43.765 --> 00:20:54.089
But if I was able to see a model that I could follow, that could get me to that amount, then it's easier to replicate because at least I know, follow this bouncing ball and sales will come.
00:20:54.089 --> 00:20:56.616
So I think it's an absolute game changer.
00:20:57.869 --> 00:21:04.094
If you want to get the results of the top performers, you just have to say what the top performers say.
00:21:04.094 --> 00:21:06.736
It's really that simple.
00:21:06.736 --> 00:21:08.978
Just do what they do to get the results that they get.
00:21:08.978 --> 00:21:13.681
And there are people on Ciro right who are selling the top tech in the nation.
00:21:13.681 --> 00:21:18.765
I think it's primarily HVAC and plumbing that this tech sells.
00:21:18.765 --> 00:21:29.799
He's doing Phil Falaski over at Leisure doing 20 million a year and it's like wow, how the hell does someone do those kinds of numbers?
00:21:29.799 --> 00:21:37.018
Well, like, if you're on service time at least, like you have actual recordings from Phil in your instance, you can go listen to exactly how he does that.
00:21:37.018 --> 00:21:44.220
And if not on service time, you can at least hear exactly how the best person in your company gets the results they get.
00:21:44.862 --> 00:21:50.602
Absolutely, and that's one of the benefits we see and why we're so interested in in joining forces with you guys.
00:21:50.602 --> 00:21:54.372
A little carrot will dangle there as well, and we'll talk about it again later.
00:21:54.372 --> 00:22:10.359
But ultimately our vision was to be able to say well, look, here's the top performers, not just in the individual companies but in all of our umbrella of electrical service providers who are under the service loop umbrella, and be able to see what their top techs are doing.
00:22:10.359 --> 00:22:28.753
So you're not just limited by your in-house silo now you're also able to see the expanded version of who the best people with this certain sales process and how they're using it, how they're leveraging the tools that we provide and train to make the most of that situation.
00:22:28.753 --> 00:22:58.317
And all of that ties in perfectly with something that in the 90s was a huge, huge movement in neuro-linguistic programming NLP 80s and 90s, with Tony Robbins and guys like this right when Tony Robbins was and tells a story of this in one of his books hired by the US military to try to make improvements to their sniper training and he took a program in 36 hours and, by the way, one of the things they offered right away.
00:22:58.337 --> 00:23:01.518
They said oh, we'll set you up with our top coach so you can learn everything they teach.
00:23:01.518 --> 00:23:05.511
And he said no, set me up with your top sniper, I need to learn everything they do.
00:23:05.511 --> 00:23:13.355
And so there's a presupposition in NLP that they say you know, essentially, if someone can do it, someone else can too.
00:23:13.355 --> 00:23:22.141
And if you have that recipe, I can look at Chef Ramsey on the TV, swear at some people in the kitchen and come out with an incredible dish.
00:23:22.141 --> 00:23:37.375
And if I have the exact recipe of what he did and the times that he did it, with the measurements of what he did, the pause between doing those things and all the emphasis that he used, then can I make that same dish, given a few few tries.
00:23:38.896 --> 00:23:40.338
Yeah like far likelier.
00:23:40.920 --> 00:23:43.623
Yep, so and and and I'll give you.
00:23:43.623 --> 00:23:46.049
I think it would help to make to.
00:23:46.049 --> 00:24:06.844
To get to a really specific example right, cool, if you, if you talk to Phil and you ask him like, what does he do different to get those kinds of results, he'll say that he just shuts up and lets the customer tell that, tell him that they want to buy and get the problem fixed.
00:24:06.844 --> 00:24:09.919
And that sounds really simple.
00:24:09.919 --> 00:24:12.499
It's like great, okay, but how do you do that?
00:24:12.499 --> 00:24:22.325
Well, one of the things you want to do is let the customer tell you exactly why it's so important to get their electrical fixed or their HVAC fixed.
00:24:22.325 --> 00:24:29.756
And one of the things that people do to get the emotional commitment from the customer is just, very simply, ask them how does that affect you personally?
00:24:29.756 --> 00:24:54.454
And a lot of reps, a lot of the techs, never get to the emotional reason that someone should buy and, as a result, they never know how to showcase the value of what they're selling and end up like selling on price, having to give away massive discounts, never getting an upsell on a high ticket thing, right, so on and so on and so on.
00:24:55.430 --> 00:24:57.458
Now Xero can do two things.
00:24:57.458 --> 00:25:00.930
First off, it's not just going to measure your adherence to the process right.
00:25:00.930 --> 00:25:06.314
Everyone wants to be kind of like McDonald's, where they have a process that guarantees the best in class customer experience.
00:25:06.314 --> 00:25:07.477
We can definitely do that.
00:25:07.477 --> 00:25:14.839
But what about things like properly asking the customer for the emotional commitment?
00:25:14.839 --> 00:25:17.384
Well, we can also measure that.
00:25:17.384 --> 00:25:24.042
Did the customer express a real emotional reason why they want this problem fixed?
00:25:24.042 --> 00:25:25.393
And we can measure that at scale.
00:25:25.393 --> 00:25:34.231
So you can just look at a dashboard and see who's the best at your team at doing this, and then you can go click in and hear exactly how they ask well, how does that affect you personally?
00:25:34.231 --> 00:25:37.560
And exactly when they ask well, how does that affect you personally?
00:25:37.560 --> 00:25:41.680
Or whatever it is that they're doing to get the customer's emotional commitment.