Each month I watch the top real estate producers in my firm generate profitable commissions with very little effort. The leads come in consistently each and every month. Generating these leads over and over again doesn’t take that much time, if you get a system in place and work it every day. It all starts with your contact database (your list of relationships).
A database is not a mailing list. The distinguishing factor of a contact database is the frequency of contact. These are people you have contacted regularly through phone calls, personal notes, face to face visits, monthly newsletters.
With the advent of social networking programs, this is now easier than ever. With Facebook now breaking the 300 million member plateau and Twitter followers joining by the minute, you can get information out quicker than ever.
So how do you quickly and effectively put together an effective contact database? I have my agents follow these steps.
- Have them gather everyone they know (sphere of influence) together into one place. This is best done with a family member such as a spouse or grandparent to help you remember all your friends and family members.
- Print out the contact database and go down the list and sort them into A,B,C,D by using the following criteria.
A. People who will always refer you. These are close friends and family members who consider you the only REALTOR® to them. They introduce you by saying “this is my REALTOR® Marty Green”. This is probably the most flattering thing to hear as a Real Estate Agent.
B. People who would refer you if taught how or if asked to refer you. To this group you are not always top of mind however if prompted, they would still refer you.
C. These are people who you have just met or have just added to your contact database through a friend or colleague. They have not been qualified yet and you don’t have any idea if they would be likely to send you business or not. Many people we meet at open houses would fall into this category. So anyone that you meet when you are out prospecting would go into this category until we can follow up and qualify them.
D. These are people we need to Drop from our database. We don’t want to waste any time or valuable resources marketing to these people. An example would be someone we just met but has a REALTOR® already.
Now count up the total number of people and put that number at the top of your sheets. Eg DB:47 Next to that put the number of A clients.
Your ultimate goal is to increase the number of A clients to over 100. When you do that, you will have a powerful and profitable contact database that will be sending you a consistent number of leads each and every month. This will take the guess work out of whether or not you are going to have a good month this month.
Click here to read Part 2 to this post.
P.S. Check back soon for my upcoming newsletter with more valuable tips that will help you in launching an exciting and very profitable real estate career.