Funnel

3 minutes
Happy couple closing a real estate transaction.

The Path Toward Real Estate Success: Past Client Referrals

Joshua Smith Jul 3rd, 2020
Joshua Smith
Mastery
Making Money in Real Estate

Consider the following statistic:

88% of recently surveyed buyers and sellers said their realtor did a great job, and that they would absolutely use him/her again in the future. However, only 11% ever do a repeat transaction with that realtor.

How could this be?

You can deliver absolutely amazing service to your clients, but if you do not stay in touch after the fact, those clients will forget your name and not know how to reach you. Out of sight, out of mind. To ensure your past clients do future business with you (and equally as important, send you referrals) you MUST stay in touch!

But why don’t most agents stay in touch?

1: They do not have a CRM/database to stay organized to stay in touch. Read more about what to look for in an effective CRM here.

2: They feel uncomfortable bugging past clients begging for business.

The great news is both of these objections are extremely easy to overcome:

1: Get a CRM/database, and use it. Problem solved!

2: You absolutely do not need to beg for referrals to stay in touch, but you must stay in touch!

But how do you stay in touch without coming across as an annoying sales person? By checking in and always focusing on the human connection. As Dale Carnegie states in his amazing classic business book, “How To Win Friends and Influence People,” the way to build deep connections is by being “interested in others, not trying to be interesting.”

Here are some tips for checking in with past clients:

1: Put past clients in your CRM/database, and send a “Monthly Video Current Market Update” to keep everyone educated on what is happening in the local real estate market.

2: Send out handwritten birthday cards.

3: Send out happy holiday emails.

4: Pick up the phone, and call every 90 days. Don’t make it about you, make it about them. “How is the Family?”... “How is Work going?”.... Etc.  Ultimately, the law of reciprocity will kick in and they will ask about you, your family, and your real estate career. 

The goal is to stay in touch, and by staying in touch you will stay front of mind, which will absolutely result in referrals! Now, to do the above, again, you need a good CRM/database that will allow you to task yourself, take notes, and allow you to do mass emails.

Your past clients are truly your money tree that is growing in your backyard. Don’t forget to water it!

Thanks for reading!

  Joshua Smith, Realtor/Mentor/Entrepreneur

-Voted 30th Top Realtor in America by The Wall Street Journal

-Over 5,000 Homes Sold & Currently Selling More Than 1 Home Daily

3 minutes
Meeting around a laptop.

The Path Toward Real Estate Success: The Sales Funnel

Joshua Smith Jun 12th, 2020
Making Money in Real Estate
Real Estate Advice
Real Estate Success

Every business has a sales funnel, and every successful business owner knows his/her sales funnel inside and out.

A funnel, of course, starts off wide at the top, and then gets more and more narrow until the small opening at the bottom. Here’s my interpretation of the real estate sales funnel from top (widest part of the funnel) to bottom (narrow).

1st: Activities

2nd: Leads

3rd: AppointmentsMade

4th: Appointment Conduction

5th: Clients

6th: Under Contract

7th: Closing/Commission Check

IMPORTANT NOTE: Every client must go through the entire sales funnel. Steps cannot be skipped. However, some people in some situations may go through the funnel faster than others.

Each step in the sales funnel exists to get to the next step:

Activities exist to generate leads. Leads exist to generate appointments made.  Appointments made exist for an appointment conduction to occur. Appointment conductions exist to create a client. Clients exist to put them under contract. Homes which go under contract exist to close the property where you accomplish your client’s goal and accomplish your goal of generating a commission check.

NOW, something that is missed frequently in the sales funnel is that a real estate client does not fall out of the narrow opening at the bottom of the funnel never to return. Once you have a closing/commission check, that client now becomes a past client (your #1 lead source) and re-enters the sales funnel.

But, as with all things, knowing about the sales funnel is only half the battle. You must also have process and systems in place to ensure each step is never missed, happens over and over, is duplicatable, and is scaleable inside your real estate business.

So make sure you know your funnel, are paying attention to it daily, are mastering it, and are creating processes and systems to ensure each step is never missed and that all steps are duplicated over and over.

Now that you have gained some awareness of your sales funnel and its position in your business, analyze and see if you can find any steps on which you are falling short and can improve. Get those steps dialed in and continue to grow your business!

Thanks for reading!  

Joshua Smith, Realtor/Mentor/Entrepreneur

-Voted 30th Top Realtor in America by The Wall Street Journal

-Over 5,000 Homes Sold & Currently Selling More Than 1 Home Daily

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