Glengarry GlenRoss

We all want "good" leads. I remember my years at my previous broker when we were driving 1,300 web requests a month (to the company - not counting direct to agent, office leads), we were closing around 4-6% of the requests for real commission dollars (*after appointments). We looked at our lead sources and consistently the "for sale sign" and Web were the biggest sources of "leads". Naturally, since they were the biggest sources, we tossed more money at them: bigger signs, easier to read, colored posts that could be sign miles away, larger budgets for keyword buying, site optimization, etc. We got more leads. But, was that what we needed?

In the end those leads, just created more work, more frustrated agents, more misdirected use of time. We needed BETTER leads, not more. Why? Because better leads, lead to the following:

  • selling our clients home as fast as possible for the highest possible price
  • more closings
  • higher earned commissions
  • shorter sales cycles

If we could generate BETTER leads, we could accomplish those four goals and more. That is not rocket science. Yes, in the long run, increasing the pipeline will increase your opportunity, but you also increase work and time wasted on - what some would call - "bad leads". I am going to change your vocabulary right now, because NO lead, is a BAD lead. You need to know how to identify and attract leads that are closer to their buying stage. Better yet, you want your lead to tell you EXACTLY where they are in the buying cycle. Here are some ideas:

Which buyer is more likely to buy a property from you in less than 90 days:

1) Buyer A: Types into Google, "New York City Real Estate" or Buyer B: "Upper East Side Condo for sale"

Think very carefully. Which one knows EXACTLY where they want to live, which one knows the property type and neighborhood? Do you think that Buyer B is more honed in on their target?: Answer: YES - So why the heck do we optimize for "houston real estate", or even "new york homes for sale" - are we nuts? heck even "Brooklyn Real Estate".

You see, not only has the web evolved, but web search behavior has evolved. For some of the most popular real estate sites in NYC, the most popular terms are actually ADDRESSES - of course that is because of buildings and such, but imagine that consumers are going as far as to just type in addresses into Google and see what comes up? Try it out - if you don't believe me.

Try this on for size: A school district is one of the biggest criteria for buying a home (I think we all agree), do you think the Mother and Father go on to Google to search for the city name - real estate, or a "Zip Code - homes for sale", think about it. If YOU were going to buy a home in your hometown, what would you type into the Google  search box, if you were not a broker? One final test, grab someone, out of the industry, or ask a client that just made an offer on a house, what they were typing in to the search engine 12 months ago, and what they typed in before they made their offer last week.

2) Your method of connecting to the buyer/seller:

Do you have one call of action on your listings? I hope at LEAST one. But you may want up to 3 or even 4! Again, before you throw up your hands in shock and awe, let's walk through this. A buyer, 6-9 months out of a purchase, heck even a year out will want to ask a question, about anything - but the only option available is one contact form - why? So you have to determine the order you answer? So you can sit there and answer back in 5 minutes to every mundane question? Well THAT is exactly what you force yourself to do when you have ONE call to action. At the very least, you need two: "Ask a question about this listing here" "Set an appointment to view this property this evening", the consumer themselves will choose which pile they want to go into. What others could you have: "Sign up for a weekly update" - "Let's talk on the phone" "e-mail me similar listings" - etc. Think of all of the options now available. By doing this your e-mail system becomes a prioritization tools and the people that want appointments get the best treatment and instead of having to voraciously watch your e-mail, you can just look for the subject line: "appointment request" and answer those ASAP and leave the others for when you can sit down and give a great response.

In the end, our role is to help our sellers get the highest possible price for their homes. To do that effectively you need to work hard on the consumers that are most likely to buy NOW, they are out there. But they are not searching for "New York Real Estate" they are looking for homes for sale in 11223, an "Upper West Side Coop for sale", etc. They know exactly what they want - are you there? Can you be found? Can you tell the 90 day buyer from a 360 day buyer? Improve your marketing methods to improve your leads and close more business. these tips above are just the beginning.

Cheers,

Pierre Calzadilla

Trulia - Manager Strategic Partnerships - East Coast

 
Post is included in group: Business Exchange Group

31 Comments on Improve your lead conversion, by improving your leads...

DEC
19
2007
414,008 Points 59 Featured Posts Localism Sponsor Outside Blog

Pierre:  I totally agree that alot of these raw leads need to be redirected to specific areas.  I also use my Point2Agent site to keep myself up-to-date with all of the leads, which also sends out weekly or bi-weekly emails and website updates.  I find this has worked better for me.

Remember, last year's raw leads are today's Closings!

Debe in Charlotte, NC

9:33am • #1
Very interesting.  I have wasted my time on so many of these leads.  Did you really convert 4-6%?  That seems very high, 50-75 deals a month?
9:33am • #2
5 Featured Posts

Good point let me quantify:

1,300 inquiries direct to HQ

40 showings <- 3% of inquiries to appointment

And this was with a team of agents that were just getting used to e-leads, etc. I would like to think that those numbers have a ton of upside, but the reason the percentage is so low is due to the fact that 80-90% of them are 6+ month buyers - so as Debe stated, last year's raw leads are today's closings. The real lead to take a percentage from, in my opinion is the appointment request - once you are showing the client listings is when you have a real lead - from there, your system, skill and oppt'y will determine if you close it.

One of our clients received 6 appointments from every 1,000 visitors we sent them. We did a study with them of their lead conversion compared from other sources, if you want a copy I am happy to send it to you, or anyone else.

-PC

 

 

9:52am • #3
111,651 Points 6 Featured Posts Outside Blog
good point. I often wonder what people are truly searching for out there. Our area is a little different so I'm not for sure. One thing I do know is that I have too many leads - most of which are not ready to do something.
1:24pm • #4
1 Featured Post

The quality of your lead depends a lot on how you treat it. But, on the other hand, some leads are a waste of time.  So, are you working harder or smarter?

1:28pm • #5
160,612 Points 7 Featured Posts Outside Blog
Great post on the need to refocus on the end goal - increased GCI.
1:49pm • #6
I completely agree and have recently searched for and found web addresses that are very specific for my area.  Surprising, no other agent has taken them so I will gladly use them in promoting our web presence.
1:56pm • #7
139,862 Points 13 Featured Posts

I am in the middle of optimizing my site and my web encouraged me to look at many other things besides the large generic "salem oregon real estate."  He would agree with you that target and better quality leads, less bounce rates, etc.

I'll see how it does, and that might be a future blog idea.  I agree that many leads are not quality leads.

2:12pm • #8
1 Featured Post Localism Sponsor
Pierre.  I love the way you look at things.  I've NEVER thought of meta tags or key word searches this way.  Only two google searches  have been recorded on google analytics since I began in October and they are not your typical city, zip requests.  They were odd.  But did that wake me up?  No?  Yet your blog did!  Keep on writing and keep on sharing! 
2:49pm • #9
359,191 Points 59 Featured Posts Localism Sponsor Outside Blog Hit Router
Pierre, this is excellent advice and I've tried to implement keywords that are more specific than just "name of town, real estate"  People who are closer to buying or selling are looking for particular neighborhoods, zip codes, or school districts.
2:55pm • #10
Great post.  In addition to creating better leads, one needs to know how to make the most of your leads aswell.
3:02pm • #11
2 Featured Posts

It's the long tail approach to niche marketing.  I'm just figuring out the more targeted terms I want to include since I have figured out the broad city term.  For localism I do market reports that are neighborhood specific and am now looking to do the same for keywords. 

And I agree totally that they are much closer in their buying cycle when they are focused, no matter how you get the lead.   So if I want to tartget a lead, I'd rather get the one who knows where they want to go and how they want to communicate.

3:09pm • #12
5 Featured Posts

Thank you guys for all the great notes! I Shall continue - and don't miss my last post which made it to RIS Media on Social Networking online!

3:24pm • #15
Can someone please explain when you read a blog like this and your company has the exact match to everyone out there and have a free trial. How you can let them know. I replied a comment describing program in detail and it evidently didn't post. Please let me know! Thanks
3:36pm • #16
Great info. We need to take the time to qualify our leads. I bet many of those email leads could not even be qualified financially. 
3:41pm • #17
Thanks for a good post. A blogger contact of mine taught me that her best leads are coming from keywords for specific locations within her city, not from her city name. Your article reinforces what she told me. I must admit I have been too focused on too broad of keywords.
4:11pm • #18
1 Featured Post
Great food for thought! I have been thinking like a small fish in a big pond. I need to find a smaller pond! I will have to read the rest of your posts. Thanks.
5:16pm • #19
This is very topical, as I have to update my Lead Router leads tonight to stay in compliance.  Most of them seem to be either a complete waste of time or a long ways off.  It wasn't always this way, but maybe that's an indication of the market.
7:53pm • #21
1 Featured Post
I think the "long tail" leads are better.  Harder to get them, but they are more focused on what you focus on, and more likely to convert eventually.  I have noticed some odd keywords that people have used to find my blog or website, and they are the ones that come in because I had the rare matches to their specific searches. 
8:40pm • #22

Pierre

   What was I thinking..... the long tail has more validity every day!

10:56pm • #23
DEC
20
2007
5 Featured Posts

Great Post!  It's true.  Is it better to "catch-em-all" or to be real specific.  With todays drip campaigns and tools you can do both.  It's nice to back fill that pipeline, even if it isn't "pure."  Better leads are what top producers are looking for!

Thanks for the post

6:32am • #24
Great post. I receive several leads through my website.  Time to re-think my approach.
7:10am • #25
184,930 Points 2 Featured Posts Outside Blog
Thanks for the post and all the comments.  This will get tagged for future reference!
9:14am • #26
Outside Blog

Pierre,

Good point about the part of which buyer is ready to buy in 90 days:

"1) Buyer A:Types into Google, "New York City Real Estate" or Buyer B: "Upper East Side Condo for sale""

We need to make sure we have keyword phrases in our site that are not so general, because  the more specific a search someone makes, could mean their time frame is sooner than later.  I thinks it's also good, to make sure when we do speak to these people that we find out what their time frame is and that determines how we proceed from there.  

 

 

9:25am • #27
5 Featured Posts

Absolutely PAM!

9:54am • #28
7 Featured Posts Outside Blog
Thanks for your post. You gave me a couple of good ideas to apply to my own market. I've been looking at expanding into more specific keywords.
11:05am • #31
I think this is a great idea.  We are trying to do a website for each part of town around our city, which would then have its own keywords and such, which would then link back to the main website, which is more generic. Do you think this would have the same effect?  We are web developers, but are just now trying to keep up with the ever changing SEO. Has anyone had any luck with this?
Elisha Mitchell
11:24am • #32
5 Featured Posts

Elisha: Yes, we have for sure, Trulia was built on this very SEO foundation. Check it out. Each listing has a unique URL down to the zip, property type, neighborhood, etc.

12:43pm • #33
342,840 Points Outside Blog
All good information. Always something new to learn about SEO and such. Thanks for sharing.
11:54pm • #34
AUG
06
2008

Very interesting post. Thanks for the additional information

1:24pm • #35

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Pierre Calzadilla

Brooklyn, NY

More about me…

Trulia.com

Cell Phone: (347) 517-0801

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Blog? SEO? CRM sure I got that! Trulia, tech and real estate - no problem! tips and advice as straight up as possible.

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