Real estate is a relationship business. It is a people business with a service attached.
Successful real estate agents understand that working their connections is the only way to profitability. They mine their family, friends, and past clients for business. They stay on top of people’s minds through handwritten notes, personal phone calls to check in and friendly visits.
Agents who work their sphere do not suffer the peaks and valleys of under-performing agents because they are constantly filling their pipeline with people who might one day become clients.
Using a Customer Relationship Management (CRM) platform can help streamline this process of staying in touch and top of mind.
With the right CRM, agents should be able to drive more closings and realize steady business and higher sales.
If that sounds too good to be true, try implementing these five strategies and see how your business responds.
1. Focus your efforts on lead generation and prospecting. Find new people to speak to about your business and the value you offer. You can buy leads, host open houses, do community service or network with alumni. Whatever you do, the goal is to add more names to your database. With a CRM like Top ProducerTM, those names, email addresses and phone numbers then become action items.
2. Concentrate your attention on past clients. Agents tend to spend most of their time juggling the daily tasks of current clients. They busy themselves with updating their listings, scheduling showings and managing the never ending flow of paper. They focus on the here and now. By making your past clients—people who already trust you—a priority, agents can increase their chance of generating more business. The odds of selling to a new prospect are always lower than the chances of getting a referral from an existing customer or having that existing customer call on you for another transaction.
3. Relationships matter. The most valuable asset agents possess is their database. Mine it. Use and cultivate it to deliver business on a consistent basis. The lifetime value of a past client is five times greater than an unknown prospect. Every closed client should generate four referrals and repeat business.
4. Integrate social media as a prospecting tool, rather than a time vacuum. Top ProducerTM links Facebook, LinkedIn, Twitter to contacts so agent can mine life events. Whenever a friend, family member, past client or prospect updates their status that they are getting married or divorced, having a baby or taking in an aging parent, those are life changes that could also spur a real estate need. Using a CRM that highlights important life events on social media helps agents keep in touch in a meaningful way that has less to do with sales and more to do with connecting to people—and filling a need.
5. Track your day-to-day communication with past clients and new friends. With a CRM like Top ProducerTM that offers daily prompts of five people to call, email or text, agents can systematize their follow-up. Make five calls every day. That’s 20 minutes per day, and at the end of the week there are 25 people who have had a personal interaction with their agent. It’s a reminder that you did a good job helping them in the past—and you’re available to help them again, when needed.