In my continuing effort to sharpen the axe I need to remind myself (and hopefully one or two of you if anyone is reading) about where my business came from and where it will continue to come from for many more years.
It has been so rare in my life as a Realtor (or previous lives as Technology Director, Minibar sales girl, Consultant or Director of Operations) that I have actually picked up the phone and smiled and dialed my way to a deal. Completely cold. Just decided to call someone and they decided to buy something from me.
Oh, it has happened. But it took hundreds of calls where it didn't happen. You know what that does to my ego??? Shatters it! I have tried the coping mechanisms of "Nine More 'No's' til I get my Yes". Only mildly relieving at best. I'd rather just not have the rejection. And that's really smart. Because everyone knows (or should know) Cold Calling just isn't the most effective way to get customers.
Again, I revert to those little tidbits of sales training that stuck with me. For this one, I give credit to Jeffrey Gitomer. He has written entire books, really insightful articles and more on the science behind all this. So I will spare you those details. But he threw two numbers out there:
1.6%
34 %
The first number is the success rate of cold calling. The second number is the success rate of referrals. When it comes to a success rate, I like the second number much better.
So, again I look back at my own real estate history and see proof of this. Think about it:
Where was your first sale?
First 'second sale'?
How many times have you gotten a call from someone who wants you to list their place/help them find their place because, "So-n-So told me I should talk to you about ...(selling/buying)...my place."
Ah, the referral. The little Christmas in July surprise phone call that brings in a nice little commission.
So I ask myself (and you if anyone is listening), why does it have to be a Christmas in July? Why is it a surprise? How do we harness the power of the referral so it is the way we generate business?
- Many of us have the tag line after our email address. "I appreciate your referrals...blahblahblah." That's nice. But you have to read all the way through the email and it has become so common that we risk being like everyone else. It's a good way to remind if the person reading hasn't already tuned it out because they are in regular contact with us and see that tag line all the time. And for that matter, if I am emailing them, we are already keeping in touch. What about all those peolple I know who I have not kept in touch with in awhile?
- There's the subtle mention approach. Works for Boz and I every Christmas. We send out a Christmas form letter with thanks to friends, a small gift (a few years ago it was a new address book because we had moved so many times we felt we owed everyone a clean sheet) and a personal note. We always mention the latest bozPROJECT house renovation, and how the real estate market was last year. It's just a subtle mention. Most of the letter is updates about family, friends, trips and stuff. But EVERY year, we get a call from a friend who either forgot we were agents (HOW could they???) of was just reminded of another friend who is moving to town...There is always a referral from that letter.
- Then there's the blatant-ask-for-the-referral approach. You have to be careful with this one. Don't want to seem like the obnoxious salesperson. Read on...
Why don't we attempt this more often?
- Because we just never ask (except in the 'tag line')
- Because we are afraid of No
- Because we don't know how to ask
- Because we are afraid of affecting the relationship between us and the referrer
Is there a formula for asking that will eliminate those fears? Yep.
- Thank the person we are asking for the referral for their business.
- Make sure they are really happy with our service. It's hard to do this, but a sales trainer taught me how once..."On a scale of 1 to 10, how happy are you with our service?"
- Eliminate the negatives. get to a 10 before asking. Once again we can use the honesty approach, "what could we do to get to a 10." not always possible. But a great way to get feedback on how to do your business better.
- Ask for the referral
4 is a little oversimplified above. The best way to illustrate how to ask for that referral is with a letter I helped an agent I was coaching. It's the best such letter I have ever seen:
Lucky you!
I am sending you this because I have been, I currently am, or am working on becoming your Realtor.
I want to be the best Realtor, ever.
Really.
When I am not practicing Real Estate, I compete in long distance swimming biking running events and triathlons. I am doing Ironman Florida in Nov '06.
Real Estate is not that different from a triathlon.
Really.
I am very calm in stressful situations. I don't panic before the open water swim where I know I'll get kicked in the face and swam over, nor do I panic 3 hours before the closing is supposed to happen when some catastrophe makes it seem like it won't.
I don't quit.... unless I am bleeding or unconscious...which rarely happens in Real Estate....so far anyway...
When every part of me is screaming in pain and all I want is to stop, I don't - unless I am at the finish line.
When I represent the buyer, I think of creative yet efficient ways to get my buyer they house they want at the perfect price for them - even if it is a multiple offer situation.I like to beat the other offer and "win" the house for my client.
When I represent the seller, I help decide what needs to be done to get the house in the best possible condition to sell it for the best possible price as fast as possible. And whenever possible, I market the house in slightly unorthodox yet attention getting ways.
I am not intimidated by a big hill or a big wave. I am a really calm and logical negotiator. And I am not intimidated by other agents, either.
Like triathlons, where I do 3 sports, 2 transitions, and eat and drink the whole time, I like really different kinds of Real Estate. I have closed on first time home buyer's houses, vacation homes, condos, investment properties, land, and horse farms from $58,000 to $1.1million all over middle Tennessee. From Sewanee to Portland to McEwan to Pegram to Belle Meade, to Bellevue to East Nashville to Hermitage to Antioch to Franklin to Creive Hall.
And besides all that, I am really nice,and easy to get along with. It is impossible to ask me a real stupid question.
Go ahead! Ask.
Really.
No matter how expensive the property you want to buy is - or isn't - what is really important to me is your eternal happiness.
That is what I think about me.
What I really want to know is what do you think about me.
Really.
I really want you to refer me to everyone you know.
I know you know a lot of people.
What would I have to do to get you to refer me to everyone you know?
Tell me.
If you are one of my clients, tell me how your experience with me as your agent was.
Was it fabulous!
Was there anything that wasn't fabulous?
What did you like?
Was there something you didn't like?
Was there anything I could have done better?
Don't be shy.
I can take it.
How can I get better if you don't let me know what I need to change.
If I am already great, than what are you waiting for? Tell everyone you know!! Quick! Or tell me a few names of people you know who might need a Realtor in the future and I will e-mail or call them, but only once.
No Nagging, I promise.
I will tell them you said I might like to meet them and that maybe someday, I would like to be their Realtor, too.
Really.
If you can't think of anyone off the top of your head, maybe this will help:
Remember the word REAL.
R is for Relatives and Real close friends.
E is for Employers and Employees.
A is for Acquaintances.
L is for...um... how about Lovers.
I would Really like to help them to:
Find their dream home.
Move up in the world.
Find their place.
Find a lovenest.
Really.
Thanks so much!
I look forward to working with you!
OK - you made it this far. I know it's a really long post. Sorry. But it's a really important topic. And I really needed to remind myself (and hopefully a few of you) to stop spinning my wheels on cold calling and go out there and make myself better at providing the best possible experience for my clients so they will tell a few friends.
Bye for now,
Kimble Bosworth
Village Real Estate Services
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