It’s true, most businesses get 80% or more of their sales from repeat customers. However, in real estate most people won’t buy another home for several years so your success as an agent is completely dependent on your ability to attract NEW clients. This is the life blood of your business. In the past this has meant the painstaking process of cold calling prospects and offering your services one at a time also known as “dialing for dollars”. This process is so stressful that it leads to many getting burned out and leaving the industry all together. (There’s a reason why real estate has such a high turnover rate.) Before you get to the end of your rope here’s some tips on how to find clients that are more effective than cold calling:
#1 – Referral MarketingAdvertisements leads to leads. Referrals lead to sales. It’s as simple as that, if you invest your marketing budget in a campaign to obtain referrals from professionals like mortgage brokers, home inspectors, appraisers, etc; then you will find new clients on the regular without the stress of having to cold call or “hard sell” anyone. Referral marketing is the golden grail of sales because of the fact that people have a relationship with whoever referred them to you and in a weird way how they feel about them “transfers” to you with their recommendation.
#2 – Direct MailJust like cold calling is a numbers game so is direct mail. Your focus has to be on optimizing your list as each mailing you send will increase your costs. Sending out a mailing to an “OLD” list could be a very costly mistake, here’s some tips on targeting your list:
- Mail to renters in luxury apartments. They will be more likely to buy a condo once they know they could do so for the same price or “lower” than what they’re already paying in rent.
- Mail to “new parents”. No one is more motivated to find more space than a family who just added a new baby.