Transforming Development was formed as a brand partner of Transforming Architecture (TransformingArchitecture.com)., which is the only Architectural franchise program of its kind.

Here is a transcript of my recent interview with Transforming Architecture, where this topic came up, along with some others.

Links are provided, and I added a list of reading suggestions if you are interested in going further.

1.  When you first heard the idea of franchising architects, what did you think?

• Finally!  I think that’s Great!
• By the way, can you teach architects how to sell too?
• Let me explain.  What has been very interesting to me over the last 10 years is the reactions we have seen, in many professions, to the word ‘franchise’.
• I love to tell the story about my new accountant.  In the initial appointment, she was almost apologetic when she explained that Padgett Business Services was a franchise.  In the uncomfortable silence which followed, she explained the benefits to me:  a national brand, access to experts, free and easy to use accounting software, software training, and one click secure uploads.  I have to admit I let her squirm.  Why?  Well, sales was not one of her strengths.  She gave me some very nice promotional materials to look at.
• Now, sales trainers would tell you she made or lost the sale in the first 7 seconds.  Why did she get my business, and more importantly, why do I refer her to other small businesses?
• The word “franchise”, based upon my experience, generates a strong reaction (either positive or negative) in 95% of people within the first 7 seconds.  There is a volatile ongoing discussion on Linked-in about Transforming Architecture, which supports my observations.
• So, she made the sale because I had a favorable reaction to the franchise concept, and earned referrals due to an excellent customer service experience.  She also happens to be a good accountant.

2.  Can you see how Transforming Architecture utilizes the Franchise Model in a way that allows Architects to maintain their individual identity while benefiting from training, guidance, and marketing power as TA becomes a Brand?

• This was actually the first question I asked.  For me, I thought about the time and money I have spent developing my own brand, the TOIN Group.  After talking to Karen and Herman, it was easy for me to see myself promoting ‘TOIN – Transforming Architecture”.

• I began to envision what I would gain from the Transforming Architecture Brand, and be able to maintain my identity.  A Win-Win-Win for my clients, myself, and transforming architecture.

3.  What is the biggest need Transforming Architecture fills?

• While architects generally don’t like to admit it, most of us were poorly trained in business.  Most industries would reject the business model architects were taught.
• My experience speaks for itself.  As an undergraduate at the University of Cincinnati, I registered for business classed at the business college.  The business college actually prevented me from taking classes because I wasn’t a business major.  I discussed this with the architecture dean, who said ‘Why would you want to take business classed as electives anyway?  How about a painting or philosophy class?’
• Most architects I know set out on their own without formal business training.  They went to the school of hard knocks, and had to learn from their failures.
• Transforming Architecture’s business knowledge, proven systems and training fills one of the biggest needs in the architecture industry, particularly in these economic conditions.

4.  How can architects get over the notion that TA does not make them a “Golden Arches McArchitect” but rather a BRAND name?

• Oh, McArchitecture, McMansions, McBlahBlahBlah, I’m sure Seinfeld would say if you asked him.
• Ask yourself this question: What are McDonald’s two biggest strengths – what do they do?
• If you said hamburgers at all, I would beg you to look a little deeper.
• Here’s my perspective:  First and foremost, McDonalds is the best run and most successful Real Estate company in the world.  Think about this.  Most people react with ‘What?’, ‘Why?’ or ‘You don’t know what you are talking about.  You are an architect, right?  What would you know about it?

The facts are clear:

• McDonalds owns or controls more prime real estate in the best locations in the world than any other company.
• McDonalds real estate cash flows more $/sf of land throughout their portfolio than any other company I know.  No one has proven me wrong so far.  If you can, let me know!
• The second strength is McDonalds ability to innovate, design, and execute the customers entire experience.  My proof?  I took my son to lunch after a somewhat traumatic experience at the eye doctors.  Chick-Fil-A and McDonalds were across the street.  He deliberated for a moment, and then said “Daddy, let’s go to McDonalds, because they have apples with carmel dipping sauce and this McDonalds had the best playground.”  Always listen to the authorities on the subject.

So, to answer your question, in the simplest terms, the most convenient definitions:
Yes, I do want to model my architectural practice after the most successful real estate and customer experience business in the world.  Sign me up today!  What about you?

5.  Let’s talk about the TA affiliate program.  In your research, what is the biggest surprise in affiliate marketing and do you think those same ideas can be applied through TA?

• I became fascinated by affiliate marketing over the last three years because some of the most successful and fastest growing companies in the last ten years attribute their success to their affiliates, and most importantly, reward them accordingly.

The facts are clear:

• Google started their affiliate program in 2000. In the third quarter of 2009, Google posted gross revenue of $4.38 billion.  It is estimated that Google returns 33% of their gross revenue to their affiliates, which would be $1.44 billion/quarter,  or around $500 million a month.
• Amazon started their affiliate program in 1996, and their success today speaks for itself.  It is reported that 40% of Amazon’s sales come from associates (affiliates).  Amazon reported net sales increased 28% to $5.45 billion in the third quarter of 2009, which means associates made around 2.18 billion in sales.

Really, affiliate marketing has been around for centuries as ‘word of mouth’ marketing in local areas.  Many architects still rely on word of mouth or referrals from builders.  However, when you add national brand and affiliate marketing, you open up new opportunities for architects.  To my knowledge, Transforming Architecture is the first application of the proven affiliate and franchise systems to the profession of architecture.

I know Transforming Architecture is offering a free affiliate program for a limited time.  Go to Transformingarchitecture.com, and click on the affiliate tab for more information, and to sign up.

What are you waiting for?

Here are a few of my current favorite books on these topics include:

The E-Math Revisited: Why Most Small Businesses Don’t Work and What to Do About It by Michael E. Gerber, which explains why ALL businesses should be run like franchises.  A must read!

Hermanisms: Axioms for Business & Life by John L. Herman Jr., about the school of hard knocks and failure.

The 4-Hour Workweek: Escape 9-5, Live Anywhere, and Join the New Rich by Timothy Ferriss.  Really, this one will open your eyes to the advantages of working on the internet.

Little Red Book of Selling: 12.5 Principles of Sales Greatness by Jeffrey Gitomer.  We all need to be simply reminded of how to sell with integrity.