How are you doing with referrals? Most agents think they are doing pretty well. Some even boast 90% of their business comes from referrals. While that’s great, the REAL question is how many referrals are you losing … that you don’t even know about? That’s the topic in this short video. Watch and learn more now.
How many sales are you losing each year from your sphere of influence and past clients?
What is remarkable is that most agents don’t really know how many motivated sellers and buyers they are losing from contacts in their sphere of influence or how much money this loss is actually costing them. If they understood, it would absolutely blow their mind. Let me explain what I mean by this.
How to get listings from your sphere of influence by using the right real estate marketing strategies
An organization wanted to understand how many seller leads you should be getting a year from the contacts in your sphere of influence, so they did a survey with thousands of real estate agents across the country. When they got all the results back from that survey and tabulated them, here is what they found. Once you cross a threshold in how consistently and significantly you touch your contacts in your sphere of influence, the average real estate agent in that survey was generating 17 sales for every 100 people that they were touching (the people that they know). That is direct and referred, some from the sellers side and some from buyers side—17 transactions a year per 100.
Listen to this. I’m on the phone, I’m doing a cold call. I’m calling up a real estate agent (we’ll call her Brenda). I talk to Brenda and I say, “Hey, we’ve got a way to help you double sales and real estate referrals from your past clients and sphere of influence. Would you have interest in talking?” And she said, “I’m doing pretty good actually. I’m not interested because 90% of my business is real estate referrals already.”
Real estate referrals from your sphere of influence can provide more real estate leads than you might think
Here is the misnomer. She thinks she is doing great because 90% of her business is real estate referrals. Now, I’m not discounting that; that is really good. But what she has lost sight of is not what percentage of her business is real estate referrals, but what percentage of real estate referrals and repeat business are you getting from your sphere of influence?
I told her, “That’s pretty good, but can I ask you a couple of questions?” So I asked her, “How many transactions a year are you doing?” She says, “About 30.” That means that 90% of 30 is 27; so 27 transactions a year come from her sphere of influence personal database. Then I ask her, “How many people in your personal database are you marketing to?” She says, “About 500.”
Now watch this. If the average is 17 sales per 100, then 500 records should produce 85 sellers/sales a year for the average real estate agent if you are touching them right. There may be a margin of error, maybe she’ll only get 70 instead of 85 or she might get 95, but the number is way up there. She’s getting 27 thinking that she has done great because 90% of her business comes from her real estate referrals. In reality, she is losing almost 50 sales a year from her sphere of influence list that could be hers. At an average $7,000 per side per commission, that’s $350,000 a year she is losing and she is absolutely clueless about it. That’s what happens.
Our real estate marketing products help you get the most out of your sphere of influence and generate more real estate leads
When we start to work with people with Agent Dominator, they just really do not understand what is at stake until we open their eyes to what our real estate marketing products can do for their real estate business in terms of real estate lead generation, how to get listings, and overall transactions from motivated sellers. And what I’ve found is that when they understand what is at stake, their jaw drops.
The most profitable real estate marketing tip you can do is stop losing the sales that should rightfully be yours. The easiest sales that you could ever get are from that database of people who already know you in your sphere of influence. Most real estate agents are not even coming close to what they could do with the right real estate marketing strategies.
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