DataBank Defined:
A system where you Deposit Leads and Withdraw Commissions
Everywhere we turn in real estate, we hear people talking about building a database. I agree this is a very important part of anyone's real estate business yet it is not the database that earns the income. It is important that you know HOW to build the database and then WHAT to do with it when you have it built. I will keep this very simple. Below, I will share strategies on how to build your database. Then, I will walk you through a process of Converting those Leads into Commissions. This may be a longer blog so forgive me yet I want to make sure my fellow real estate agents will get value out of this blog. I want you to be able to print this off and use it as a manual to grow your business.
Tips on HOW to Build Your Database:
1) Take Inventory of Your Database - You must first assess what you have. I know agents that have no database and agents that have a database of over 100,000 people. Take inventory of your database. Keep it simple and count how many people you have in your database at this time. Don't be discouraged if you only have a few...Keep following my tips and you will end up with a solid list.
2) Add to Your Database - Now it is time to start adding people. The best place to start is your cell phone. If you are like most agents, you have tons of names and numbers saved in your cell phone that you do not have in your database. I bet you have 100's of people in that phone. Scroll through your phone and put everyone in an excel sheet. For the people that you do not have emails, text them a message like this, "John, I have been wanting to send you an update on the real estate market but I do not have your email. Text me your email real quick." - Watch how fast you start building this database.Also, pull all of your old files...go as far back as you can and retrieve all of the data that you neglected to log in your database.Before you know it, you will add 1000 people to your list.
3) Top of Mind Awareness - Think of how many people you talk to throughout the day. Buyers, sellers, agents, attorneys, mortgage professionals. You have 10 opportunities per day to add to your database. The challenge that most agents have is remembering that they need to ask for people's email addresses. Mortgage professionals can send you a ton of referrals, why aren't they in your database?....I know why; Because you didn't think about it.
How about emailing every mortgage professional in your market the following message, "Sue, I know you are very active in our real estate market. I have been keeping a few other lenders informed on what we are seeing in the real estate market in hopes to help them better serve their clients. I just noticed that you are not on my distribution list and wanted to inform you that I was going to add you today. I assume this is okay, correct?"
You could repeat this with Home Inspectors, Appraisers and Local Builders.
Tips on WHAT to do with Your Database:
Having a Database is one thing but Converting it into a DataBANK is the Goal!
1) Method of Delivery - You must determine how you are going to communicate to your database. Personally, I use Infusionsoft for my real estate business. You can use different applications like Mail Chimp, Constant Contact or Top Producer. The tip is that you choose one platform and commit to it. (I use Infusionsoft because it allows me to monitor the click patterns of the people in my database. I can then see what information they like and send them more relevant information at a later date. This is the best for converting your leads to commissions.)
2) Frequency of Delivery - You do not want to email them too much nor do you want to email them too little. We have found that 2 times per month is just right. Put it on your schedule to email them information at the beginning and middle of each month. Stay consistent. You want them to get used to seeing your emails at the same time each month. Eventually, they will be looking for your communication.
3) Content is Key - This is the most important part of the process!
You must think about your content from the readers perspective. Never send information that you would not like to receive yourself. There are so many agents sending 'Email Blasts' these days. Email blasts are typically bits of useless information that gets the reader annoyed. Remember, the goal is to turn your Database into a DataBANK. You will never make much money from your database if the people in it are not reading your message.
Be The Educator - Approach you database as an educator.
Think of the challenges that exist in your local market or economy and create content that offers solutions to those challenges. An educator is committed to educating their audience. If you are The Agent that commits to educating the audience then you will build a DataBank quick.
Recipe cards DO NOT educate. Just sold emails DO NOT educate.
I am not saying that you can never send a just sold notification but just understand that it is not educating. That is an attempt to sell them on yourself. The best way to sell yourself to your database is by being the agent that offers value. They need to know that behind every one of your emails is value. Once they get used to seeing value in your content, they will then see value in you.
4) Monitor Engagement - Knowing that people are opening your emails is good yet today's technology allows for so much more. You need to know WHAT people are reading and what peaks their interest the most. There are programs out there that will rate the people in your database so you know who is most engaged and who is not. For those that are most engaged, pick up the phone and make contact. This is how you make a cash withdrawal from the DataBank.
You will find those that are most engaged are also most likely to do a real estate transaction.
For those that are NOT engaging, consider changing the message. Obviously, they are not interested in what you are sending. Change what you send to see if you can get them engaged.
Again, this is how you turn your Database into a DataBank.
5) Answer Every Email - I should not have to say this but I have seen this too many times. Once you follow the above tips, you will start getting emails from people in your database. Because they are going to see you as an authority now, they will start to email you questions. Like, "How is the market?", "Is this a good time to sell?". "Do you know a good mortgage lender?"
Answer all of these emails. The only reason they are asking you is because they are starting to see you as their personal real estate agent. This is your goal.....You want your database to see you as their personal real estate agent. They have an attorney, a doctor and an accountant that they know by name. You want them to refer to you as they refer to their lawyer.
5) Follow Up - There is more money lost in our industry because of a lack of or poor follow up. Make sure that you pick up the phone and call every lead that has emailed you. DO NOT HIDE behind the email and wait for them to call you. They email you because they trust you, now go and call them. Don't call them trying to sell them, just make yourself available to serve them.
I hope you found these tips to be of value to your business. When you follow this strategy, you will immediately see a difference in the conversion rate of your database. Our database has a lot of value yet too many real estate professionals are not tapping into the opportunity that sits in their computers. Sometimes, the fastest way to get more business is to convert the business that you already have within arms length.
If you are interested in more topics on databases, Infusionsoft or other articles I've written, please visit www.realestatesalessolutions.com
I am NOT in the coaching business, I am just doing my best to add value to the real estate industry.
I will be responding to your comments so please feel free to share your thoughts.
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