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The Empty Pipeline Syndrome

By
Education & Training with The Lones Group, Inc.

The Lones Group, Inc.

The Empty Pipeline Syndrome

We got a call a few weeks from a client who had gone from being on top of the world to having a disaster on her hands in a matter of a morning.

She had a number of deals that she was handling and they were all imploding for different reasons. Not only was she feeling awful for her clients, unable to repair the damage that was unfolding before her eyes, but she was also seeing the commission she had counted on, slipping through her fingers.

What was worse was that she had been focusing on getting these clients all set up, offers negotiated and to pending, that she hadn't spent much time on fostering her other relationships with her database or other potential clients.

This is a typical cycle I see with real estate agents who need to work on balancing now business with their potential business:

  • They have no business and realize they need to get busy
  • They spend a lot of time focused on client care with their database and potential clients
  • They start to get busy and no longer spend time on client care with clients who aren't right in front of them
  • Those transactions close and they are happy
  • They spend the money and get some rest
  • They panic because we have nothing in the pipeline and the cycle starts again.

Work Flow Graphic

In a perfect world, this curve would be much less pronounced and you wouldn't ever get to the red section.

Think about your business right now. What part of the cycle are you in?

If you are sitting in the red zone wiped out from closings or have just been sitting here for a while, consider this:

Where you are today is a direct result of action you took or did not take six to eight weeks ago.

What were you doing six to eight weeks ago? Were you on vacation? In the middle of transactions? Or perhaps you are on a different part of the curve and you actually were spending a lot of time with your potential clients six to eight weeks ago. Maybe you were working the heck out of open houses and were working with a lot of buyers. Maybe you had a listing and were sending out letters to the neighbors, letting them know about the property you had listed.

If you were taking effective action six to eight weeks ago, I would be surprised if you weren't in the greener part of the curve.

So ask yourself what part of the curve you want to be in six to eight weeks from now. What action are you going to take today to get yourself into a different part of the curve? Even if you see yourself coming up to the top of the curve and have been working hard, take an hour or two every week to take care of those potential clients or get more potential clients by doing some lead generation. You have to take action to stay out of the red area.

Be kind to your future self and take action today!

 

By Denise Lones CSP, M.I.R.M., CDEI - The founding partner of The Lones Group, Denise Lones, brings over two decades of experience in the real estate industry. With expertise in strategic marketing, business analysis, branding, new home project planning, product development, and agent/broker training, Denise is nationally recognized as the source for all things real estate. With a passion for improvement, Denise has helped thousands of real estate agents, brokers, and managers build their business to unprecedented levels of success, while helping them maintain balance and quality of life.

The Lones Group, Inc.

Comments (74)

Joan Whitebook
BHG The Masiello Group - Nashua, NH
Consumer Focused Real Estate Services

'what a great reminder that we must spend time building our business and gettting folks in the pipeline EVERY week!

Sep 27, 2015 01:53 PM
Denise Lones

Joan - Wonderful to see you here again. Yes, consistency is key, to the head of the class! - Denise

Sep 28, 2015 04:16 AM
Dinah Stallworth-Lewis
Priority Real Estate LLC - 318.332.8281 - Natchitoches, LA
NATCHITOCHES, LA HOMES FOR SALE

Denise,

Prospecting is very important to our real estate business.  I agree, prospecting alwyas brings in new clients.  Thanks for the reminder to continue to stay vigilant working leads up the pipeline.  

Sep 27, 2015 08:06 PM
Denise Lones

Nice to meet you here on ActiveRain, Dinah!

Sep 28, 2015 04:21 AM
Barbara Calwhite
Keller Williams Realty of Southwest Missouri - Joplin, MO
417-438-7387 Specializing in Relocation

Block the time!  Make the calls!  Easier said than done but a great necessity!  Great reminder for getting the job done!

Sep 27, 2015 10:42 PM
Denise Lones

Barbara - well said. See my hour of power links to Frank in #48. This is how I get the job done. Wonderful to meet you here! Denise

Sep 28, 2015 04:28 AM
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

Between mountains are valleys...keep going!

Sep 27, 2015 11:53 PM
Robert Hicks
United Country River City Realty - Savannah, TN

Back to basics, Back to basics, Back to basics, Back to basics.. Thanks Denise, great post...

Sep 28, 2015 01:47 AM
Denise Lones

You're welcome Robert - wishing you well! Denise

Sep 28, 2015 04:29 AM
Bill Reddington
Re/max By The Sea - Destin, FL
Destin Florida Real Estate

They key for me is to always keep prospecting. There will always be peaks and valleys but the change is not that much if you keep prospecting.

Sep 28, 2015 03:43 AM
Denise Lones

Bill - I know you have been in the business and done mailings consistently every month for many years (you've mentioned this in the past). As others here have said, this kind of consistency helps level out the peaks and valleys. Great to see you again and hope you're doing well! - Denise

Sep 28, 2015 04:34 AM
Roy Kelley
Retired - Gaithersburg, MD

This is an excellent topic for a long series of blogs.

Sep 29, 2015 01:53 AM
Rose Mary Justice
Synergy Realty Pros - Dandridge, TN
Synergy Realty Pros

Great to let us all  know to stay on top of the game or our lifeline-pipeline will not be there.  We have to nurture the seeds if we want fruit.  Same applies here.

Sep 29, 2015 12:38 PM
Susan Jackson
America's Network Realty Group, Inc - Sandy Springs, GA

So very, very true.  It has happened to me.  Good lesson to learn.  Regardless of how many deals you have going, you must continue to market for new clients

Sep 30, 2015 07:00 AM
Denise Lones

Waiting to do lead generation can be a fatal mistake, but I'm glad to hear that you made it past that and learned from it. Best wishes to you in real estate! - Denise

Sep 30, 2015 07:04 AM
Gilbert Real Estate Experts: Colby & Michele Myers
Flat Fee Etc. Real Estate - Gilbert, AZ

Great info here.  It really is a talent to be able to "multi-task" I have the male dominant gene of A.D.D.  LOL.  I get so hyper focused on 1 or 2 things and forget about the rest.  I need to work on this.  Thanks for info.

Oct 01, 2015 06:28 AM
Denise Lones

Colby, you're welcome! Perhaps you could designate a regular, specific time when you can focus on lead generation tasks to the exclusion of other activities and distractions. If it helps, set a timer, when its over, move on to something else that your business needs. - Denise

Oct 01, 2015 07:44 AM
Jan Green - Scottsdale, AZ
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

I've been remodeling and slammed, so yes, I'm on the downward slope, but expect to pick back up soon.  Catching up on reading featured posts. Yours is a great one for me!

Oct 14, 2015 06:32 AM
Denise Lones

Jan - Good to hear this was relevant to where you are today. You bring up a great point, sometimes there are big events going on in life that will distract from business. You can't always plan in advance, but when we can see those events coming - a remodel, a new baby, a parent or child moving back in, a longer vacation, moving homes - advanced planning for your business can help dull the impact it has on your bottom line.


Great to see you here again - it's been a year and hopefully a good one for you. Best of luck to you as you rally forward! - Denise

Oct 14, 2015 07:42 AM
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

I am so glad that this was reblogged - gives me a chance to meet someone new on AR and get more ideas - Definitely worth saving your quote for the office wall! 

Oct 27, 2015 08:41 PM
Denise Lones

Lise - Thank you! Wonderful to meet you here on ActiveRain. If you put it on the wall, send a picture to us at social(at)thelonesgroup.com when you do, we'll have something for you. - Denise

Oct 28, 2015 03:18 AM
Maria Gilda Racelis
Home Buyers Realty, LLC-Manchester, Bolton. Vernon,Ellington - Manchester, CT
Home Ownership is w/in Reach. We Make it Happen!

Good Morning Denise Lones .

I am stopping by from Roy Kelley 's page. A very timely blog as I felt the curve ball this week. This is a rude awakening for me and for someone who has been in the business for 10 years, I should have known better.

Yes, I was busy trying to mend and patch all my pending sales' problems that prospecting took a back seat.

It's time for full throttle lest all walls will crumble in.

Oct 27, 2015 10:05 PM
Denise Lones

Gilda - Thank you for this follow-up comment (to your #27). I've heard from several agents in just this position over the past couple months. Trouble with pendings are sometimes simply unavoidable, we don't control all the pieces to the puzzle, but having a steady supply of upcoming business can soften the blow. I hope they work out for you - I want you to SUCCEED! Wishing you the best - Denise

Oct 28, 2015 03:29 AM
Donald Hester
NCW Home Inspections, LLC - Wenatchee, WA
NCW Home Inspections, LLC

Lisa, that is a great blog. It is not something I think about on the Realtors end but make total sense. Often I do not know if a deal has gone through or fallen to the way side.

 

Oct 28, 2015 12:29 AM
Michael J. Perry
KW Elite - Lancaster, PA
Lancaster, PA Relo Specialist

Tis the Season for this to start happening to many a real estate practicioner !

Dec 04, 2015 10:16 PM
Denise Lones

So true, which is why I wrote this blog not so long ago.

Dec 07, 2015 01:16 AM
John Pusa
Glendale, CA

Denise Lones The empty pipeline syndrome can be frustrating. Excellent blog!

Dec 05, 2015 01:29 AM
Denise Lones

Thank you John!

Dec 07, 2015 01:16 AM
Peter Mohylsky, Beach Expert
PMI. Destin - Miramar Beach, FL
Call me at 850-517-7098

Time spent on the business over time matters.

Mar 05, 2016 08:15 PM
Denise Lones

Peter - True. Only thing I would add to that is consistency. Thanks for reading and hope to see you here on ActiveRain again in the future! - Denise

Mar 07, 2016 03:21 AM
Sheila Anderson
Referral Group Incorporated - East Brunswick, NJ
The Real Estate Whisperer Who Listens 732-715-1133

Good morning Denise. Lise re-blogged this and I was glad because I missed this previously. It is a cyclical business and your post highlights the downside of not paying attention. Well done.

Apr 01, 2016 10:45 PM
Denise Lones

Sheila - Great to hear from you again. Hadn't seen a notice about it being reblogged, but I'll track Lise down to thank her. Thanks for keeping in touch and glad you enjoyed this post. Best - Denise

Apr 05, 2016 05:29 AM
John McCormack, CRS
Albuquerque Homes Realty - Albuquerque, NM
Honesty, Integrity, Results, Experienced. HIRE Me!

Good Saturday morning Denise Lones -

Your words of wisdom are a great reminder to all of us in real estate.  We're really unemployed until our next closing so keep the ball rolling.

Apr 01, 2016 11:33 PM
Denise Lones

That's a powerful way to think of it - that you're unemployed until your next closing - and if that's the wake-up call that an agent needs to keep consistent then maybe that "under the gun" mindset is what's needed. I want to see agents grow beyond that. I want them to reach a point where they've found that lead generation and client care strategy that fits their personality so that their work is something that they want to do, not out of fear for their next paycheck. Once they've found that fit, their groove, that too is a powerful thing, it can transform their whole life attitude.


Thanks John, I absolutely appreciate you taking the time to share your thoughts! - Denise

Apr 05, 2016 07:18 AM
Ed Silva, 203-206-0754
Mapleridge Realty, CT 203-206-0754 - Waterbury, CT
Central CT Real Estate Broker Serving all equally

Caught this by way of a re-blog and didn't go back to see if I had commented on it prior to this.  Our efforts are only as good as the time we allow for ourselves or choice.

Apr 02, 2016 01:44 AM
Denise Lones

Thank you Ed. Hearing from long-time readers (and commenters) like you always makes my day! - Denise

Apr 05, 2016 07:21 AM