The enigma for most REALTORS (and perhaps most business owners) is how to efficiently generate more leads that provide income.
Generating leads isn’t all that difficult.
Heck! You can buy LOTS of leads . . . but how much effort does it take to convert them from lead to prospect to client to CLOSING?
What’s the cost of buying leads?
What percentage of the leads you buy turn into revenue?
Odds are good that you’ll be lucky to convert more than 3% of the leads you buy after months and months of calling and scripts and dialogs and and and and.
Well . . . You don’t have to work so hard.
Really – You DON’T!
Let’s say you’re buying leads and want to sell 2 houses every month – 24 Closings this year.
Going the “buying leads” route, you’ll need to buy a minimum of 100 leads for every 3 transactions . . . That’s 800 leads for the year!
There’s a better way . . .
To get the full effect of this blog post, be sure to watch the 12:23 Live Video below from http://BarrysDriveTime.com
A la Gary Keller . . . Ancient lead generation wisdom.
Wouldn’t it be more fun and rewarding to close your goal of 2 deals every month for the same cost by working mostly with people you already know, like, and trust and who already know, like, and trust you?
Build a database
- Select a platform that you WILL use each and every day (CRM, gmail contacts, spreadsheet, index cards, legal pad)
- Create Categories
- CORE Advocates – Probably not more than 5 people – These people are well connected, and they LOVE you and want to help you succeed. If you “train them” right, they will be actively listening for people who are contemplating a move and will rabidly connect them with you . . . They know that the best way to refer these folks to you is NOT to recommend the person call you . . . It’s to capture the person’s name and telephone # and tell them to expect a call from you. These are SLAM DUNK leads for you, and each of your Core Advocates could conceivably bring up to transactions every year. Ummmm – So 5 of these folks could bring your 24 deals (vs 800ish)
- Inner Circle – Believe me! You know @ 225 people well enough that if you were to encounter them at the grocery, y’all would recognize and acknowledge each other. These folks WILL do business with and refer business to you, BUT you’ve gotta earn and maintain appropriate mind-share in their brains. You must remind them at least once every 21 days that you are still alive and that you are THE GOTO person for ALL things real estate. Doing this is easy – 36 touches every year – 1 Call – 1 Email & 1 Direct Mail touch every month.
- Allied Resources – Who serves YOU? Hair artist, server or bartender . . . You probably know about 150 of these folks. YOU can help them grow their businesses just as they can support yours. All you’ve gotta do is take the time to learn what a good prospect is for them . . . and let them know what a good prospect is for you . . . and then do as you are already doing for the Inner Circle – Touch them 3 times every month.
- Network – Everyone else that you have ever met. Odds are decent there are as many as 1500 of these. These folks deserve a spot in your database because they could, one day, slip up and do business with you . . . but they’re not as “warm” as the first 3 groups . . . so they get less attention – Maybe 1 touch a month – could be 4 seasonal newsletters or postcards and a monthly “market update” email.
Feed your database EVERY day
- “Mine” your Facebook “Friends”, Linkedin contacts, High school and college classmates and capture their names AND as much contact info possible – Name – Email – Address – Phone#
- Actively engage every person you meet every day and capture name and contact info
- Get out there and join networking groups or community groups to constantly expose yourself to new people
- EVERYONE belongs in your database unless they are dead or you hate them
Communicate with them in a appropriate and systematic way
- Consistently and persistently . . . FOREVER!
- The “Vital Few” are the Core Advocates, Inner Circle, and Allied resources – These folks get a minimum of 36 touches each year – The core member get MORE (Lunch monthly)
- The “Trivial Many” are the Network group – 12 touches annually
Service all the leads that come . . . IMPECCABLY
- Practice your art of your flavor of serving your clients from 1st contact to the closing and beyond.
YES YOU CAN!
Doing business this way ain’t rocket science, but it does require some discipline.
I recommend “Time Blocking” EVERY working morning to be the same to include a minimum of . . .
- Plan and Calendar – 30 minutes
- Lead Generate to SOI (Core, Inner, Allied) – 90 minutes
- Lead Generate to Network and/or internet leads – 30 Minutes
- 2 Face-to-face Appointments EVERY DAY – Could be lunch, Client Meeting, Showing Property, Listing a house, Networking meeting
Do all this well, and you’ll easily sell a minimum of 2 houses every month.
I know this to be true . . .
PS – If you’re a REALTOR in Middle TN, and are looking for a “better fit” for your business, I invite you to meet with me to learn about Pareto Realty where our “Vital Few” team members collaborate daily to succeed at higher and higher levels. We are an exceptional “incubator” for solo producers to build magnificent businesses while enjoying the quality of life we all so deserve. Call me direct 615-568-2123 or email Barry@ParetoRealtyLLC.com