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The High Cost of Ignoring Your Sphere of Influence

By
Services for Real Estate Pros with Marte Cliff Copywriting

Have you ever stopped to calculate what it might be costing you to let those in your sphere of influence forget what you do for a living?

An article on Realty Times this morning pointed out that if you stay in contact with your sphere of influence, one in 12 of those people will refer someone to you in a given year. 

How many people are in your sphere? man calling his sphere of influence

Even if there are only 150 people, ignoring them could mean losing the opportunity to help a dozen more clients each year. (12.5 actually, but who can help half a person?)

What's your average commission? 

Whatever it is, multiply it by 12 and see how many dollars you'd let slip through your fingers by ignoring those important people. 

Does it cost too much to stay in touch with those folks? Not if you look at it with those numbers.

Email costs so little that it's hardly worth considering. (I send email to 2,700 people each week at a cost of $35 per month.) Even the cost of postage pales in comparison to the possible income.

Does it cost $1 each to print and mail a letter? I think that would be on the high end, even if you're purchasing your letters and printing them on "fancy" paper, but it's a nice round number, so let's use it. 

If you mail to 150 people per month, that's $150 - or $1,800 per year. 

Even if your average commission is only $3,000, staying in touch with 150 people could bring in $36,000 per year. Can you think of any other advertising venue where $1,800 can almost guarantee a $36,000 return on investment?

mailboxIs mailing enough? Probably not. Since these are people who know and like you, give them a personal touch as well.

Call on the phone every few months just to catch up on what's going on in their lives. Stop by to say hello. Invite them out for lunch. Seek them out for a conversation at networking events and community meetings. 

In others words, let them know that you're interested in them - and that they mean more to you than just a source of future business.

If you're not sure what to say to stay in touch... check out these holiday/event themed messages. This letter set has 26 letters - 2 for each month of the year plus one for New Year's and one for Easter. With these letters you can touch your sphere (and your past clients) twice a month for a year - or once a month for two years. 

Warning: They're not for the super-serious or stuffy. These are letters for the young-at-heart to use.

Follow the link and read the samples...

Comments (16)

Scott Larson
BHHS/Utah Properties - Park City, UT
Park City, Utah Real Estate News

Hi Marte.  It has become so much easier toi send quality content to my sphere on a regular basis since I  moved over to Sotheby's.  I always felt I did an ok job keeping in touch, but ok is not good enough and I am so much better now.

Aug 16, 2014 06:21 AM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

Good for you Scott - those folks are your own personal gold mine. 

Aug 16, 2014 06:24 AM
Debbie Gartner
The Flooring Girl - White Plains, NY
The Flooring Girl & Blog Stylist -Dynamo Marketers

Yes, this is a smart approach and the math works.  I've been following a similar approach w/ my favorite realtors.  I'm doing send out cards for 7 "holidays" + 1 for their birthday (if I can find it).  So a bit over half of them get 8 cards a year.  I have to check how many are now in my Core Group.

Aug 16, 2014 08:39 AM
Debbie Gartner
The Flooring Girl - White Plains, NY
The Flooring Girl & Blog Stylist -Dynamo Marketers

Okay I'm up to 150 now.  It keeps growing each month as I may meet 2-4 additional ones that I add to the group.  I'm paying more than $1 per card.  (for some $1.11 and for others where I customize $1.42.  Well worth the money indeed.

Smart to have letter sets for real estate agents.

Aug 16, 2014 08:42 AM
Debbie Reynolds, C21 Platinum Properties
Platinum Properties- (931)771-9070 - Clarksville, TN
The Dedicated Clarksville TN Realtor-(931)320-6730

Marte, I use these campaigns and know it is important to stay in touch. Even doing that we will lose some of our business just because.

Aug 16, 2014 08:51 AM
Chris Ann Cleland
Long and Foster Real Estate - Gainesville, VA
Associate Broker, Bristow, VA

I never let my sphere of influence forget what I do for a living.  In fact, the ones I'm connected with on Facebook have bought into my goal of selling 30 houses this year.  Saw one of them at the grocery store today and they were excited for me to reach the goal and I was surprised they knew it.  They are paying attention.

 

Aug 16, 2014 10:43 AM
Rob D. Shepherd
RETIRED - Florence, OR
RETIRED

RRecently I have faile dto send out my usuall newsletters and pretty soon someone else listed one that I should have had.

Aug 16, 2014 11:21 AM
Donna Foerster
HomeSmart Realty Group - Parker, CO
Metro Denver Real Estate Assistant

Marte~ Thanks for yet another reminder to do what I'm supposed to do. I really need to get my act in gear!

Aug 16, 2014 12:18 PM
Janna Scharf
Keller Williams Realty Coeur d'Alene - Coeur d'Alene, ID
Coeur d'Alene Idaho Real Estate Expert

Great reminder, and I love your January letter!  Got to see my name in morse code for the first time ever.

Aug 16, 2014 01:40 PM
Tammie White, Broker
Franklin Homes Realty LLC - Franklin, TN
Franklin TN Homes for Sale

Marte, I really need to do a better job of staying in touch with my sphere.

Aug 16, 2014 01:45 PM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

Debbie - I'm sure those agents' clients thank them for recommending you - giving them even more incentive to refer others to you.

Debbie - Oh yes, there will be a few who have a sister or best friend (or a spouse) who becomes an agent - or who decides to feel sorry for someone who is new and doesn't have followers. And then there are those who just don't recommend anybody for anything. 

Chris Ann - So for you Facebook is a good tool. Good for you!

Rob - Ouch. That hurts, doesn't it. 

Donna - Considering the months you spent at death's door, I think you're doing VERY well at getting your act back together.

Janna - Thanks. It was fun doing the research for those letters. 

Tammie - Yep, they can mean a lot to you. 

Aug 16, 2014 04:48 PM
Than Maynard
Coldwell Banker Heart of Oklahoma - Purcell, OK
Broker - Licensed to List & Sell - 405-990-8862

Circulate, circulate, circulate. You have to remind them what you do, because they aren't looking for an agent until they are looking for an agent!

Think about how many friends (acquaintances) you have....can you tell me what everyone of them does for a living? No? So, why do you expect them to remember what you do?

Aug 16, 2014 11:48 PM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

Than - That is SO true.

And people don't pay attention. I have two neighbors who are here visiting with my husband several evenings each week. If someone asked them what I do one of them might have an idea, the other wouldn't. He even said so one time: "I don't know what it is you do and I don't care, I just know you're busy."

He knows I used to be a real estate broker, however.

Aug 17, 2014 12:26 AM
Janice Ankrett
Burlington, ON
Staging Professional

This is something to consider for sure Marte. Personally I haven't had much return from it.

Aug 17, 2014 03:53 AM
Marte Cliff
Marte Cliff Copywriting - Priest River, ID
Your real estate writer

Janice - Perhaps you're targeting the wrong sphere - or maybe you need to tweak your messages. 

Aug 17, 2014 04:23 AM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

With over 65% of my business coming from my data base/sphere, I like to think I'm doing something right, Marte. (And yet I know I can do more.)

Aug 18, 2014 05:25 AM