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Why isn’t there more repeat business?

Reblogger Kevin Peterson
Real Estate Agent with Level Group

Just came across this blog! I have been focusing this year on expanding my betwork and working more with referrals and investors compared to my old more expensive and inefficient paradigm of relying on Craig's List. If anyone knows anything about Top Producer or has some handy tips let's all share them. I am a huge fan of the 1 month, 6 month, 12 month follow ups. They keep you in touch with your clients and it lets them know you really care about them and their real estate needs.

Original content by Gregg Paul

In 2006 only 32% of consumers used the same agent a second time. Even worse, that declined to 26% in 2009. The question is...why?

In an industry where referrals and repeat business form the basis for much of our success, why is our retention of clients so low? It seems counterintuitive, given all the resources we have to market ourselves.

Back in my selling days, before discovering Top Producer, I was a big fan of the "index card" system. It'll sound familiar to many of you: I'd rotate front to back through my card box of family, friends, and prospects, repeating the process month after month. The amazing thing is, it really did work. The challenge we face today is applying a consistent approach, using the technology and resources we now have available to us.

Even though your social network is likely to give you the majority of your new listings and buyers this year, many agents still don't have a regular, systematic approach for turning those connections into a consistent stream of sales. If the surveys are true and repeat business is on the decline, what can we do?

I recommend not letting referrals and repeat business from your social network be a "happy accident". Instead, make sure you have a step-by-step approach for reaching out to the people who are most likely to give you their property to list or to put their home search into your hands -  and make sure they actually choose YOU when they are ready to move.

That means:

  • Regular communication. Do you have a plan to reach out to everyone in your network for the next two, five, or ten years?
  • Relevant information ("here's what's happening in your neighborhood right now)
  • Communicating the way today's consumers expect: use every medium available, from social media like Facebook and Twitter, to email, to postcards and phone calls.

Fortunately, we've progressed beyond index cards. If you want more business from your social network or if you're feeling like you're falling behind in your follow up, marketing systems like Top Producer are there to help guide you step by step.

Don't leave profits from your social network to "chance" for another day; you're literally leaving business on the table. It's clear that friends, family, past clients and acquaintances are still the #1 source of business and referrals for REALTORS®.  Make sure you're claiming your fair share.

How are you ensuring past customers become future customers?