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Interesting Lead Conversion Stat....I like this one!

By
Real Estate Broker/Owner with Mitch Ribak - The Real Estate Success Network

So you all know that I spend my life addicted to lead conversion and the more I get into this stuff, the more I come up with different stats to track my business.  We are in probably the worst Real Estate market in Brevard County Florida.  However, with our lead conversion system through my eHomes Realty Network, we have been able to grow each year in our down market.  Currently we are turning 1 sale from every 22 leads.  That's a pretty good number, but it's not my interesting stat.

This past summer I wanted to see how many new buyer customers my agents showed per month.  I was expecting 4 or 5.  The cool number was that we averaged 8 new buyer showings per Agent per month.  That's a whopping 18% showing rate of our Internet leads....18%!  So let's look at what that will mean to my brokerage as our market starts its come back.  Currently we are averaging 1.5 sales per 8 buyers per agent.  That number is very low but it's also gives us a bright future. With that stat, we have become, for two years running, the number one brokerage in Brevard County with Buyer Transactions with 250 closings this year from our Internet program.  With that said, we know that when the market comes back we will be closing at least 4 out of 8 Buyers per month per Agent...now I also know my better agents will be around 6 or 7 closings per 8 Buyers.  This will give us close to a 12-15% lead conversion rate or almost 10 times the national average...isn't that an interesting stat? 

It just goes to show you that if you really want to be successful in this business it's just not that hard.  You simply have to pick a program....preferably a proven program, and stick with it.  Our 100MPH Marketing system has been an incredible success for both my brokerage and many of my eHomes Realty Network members brokerages and agent sites. 

One of the most important aspects of whatever direction you choose to go is to know your numbers.  I'm a numbers freak so I know all my numbers.  I'm also, because of my numbers, able to predict my business with excellent accuracy...within 5% the past two years...in fact this year I'm almost right on the nubmers.  I predicted 250 at the beginning of the year and we are going to end up between 245 and 250 in closed sales. 

As always, if you would like me to look at your systems, or lack of systems, don't hesitate to send me a note.  You have to be willing to invest in your future, but if you have a few bucks, a great personality and a great work ethic I can help you reach that next level! 

Missy Caulk
Missy Caulk TEAM - Ann Arbor, MI
Savvy Realtor - Ann Arbor Real Estate

Mitch, how many agents are you sharing your leads with?

Dec 02, 2008 10:29 PM
Mitch Ribak
Mitch Ribak - The Real Estate Success Network - Melbourne, FL

Hey Missy!  All my Agents are on my lead system.  It's our business model.  Right now we have 18 Agents that are actively on our system.  With that said, many times we shut down the Agents leads when they are to busy...which is a good thing!  All our Agents are respectful of our lead costs and they do not waste them. 

I think the biggest challenge Brokers have is figuring out which Agents to give leads to and which ones not to waste them on.  From my training programs, I find that the longer the Agent is in the business, the less chance they will work these leads.  They are to used to "old school" real estate. 

Dec 02, 2008 11:29 PM
Missy Caulk
Missy Caulk TEAM - Ann Arbor, MI
Savvy Realtor - Ann Arbor Real Estate

I have a team of 6 but trying to get rid of 2 and hire two more. LOL

they don't like the calling and that is what works so...........

Dec 03, 2008 11:29 AM
Mitch Ribak
Mitch Ribak - The Real Estate Success Network - Melbourne, FL

Hi Missy!  I'm just leaving Kansas from traing a group of Realtors out here on our 100MPH Marketing system and other good Real Estate stuff!  I really like this training gig.  It's great when you see their eyes light up and the light bulbs go off.

As far as your agents that won't make calls...they gotta go.  One of my favorite sayings is"If you can't change your people, then change your people".  I tell  my agents all the time that there are tons of struggling agents that would love to get leads every day.  If you don't want to do what it takes, then someone else will.  I just got rid of one Agent who talked a great game but didn't want to work Friday through Sunday.  I'm not sure what he is thinking.  Gotta go...my flight is boarding!

Dec 03, 2008 12:04 PM
Marcy Moyer
eXp Realty of California Silicon Valley Probate, Trust, and Investment Sales - Mountain View, CA
Probate, Trust, and Investment Specialist

I like your comment about pick a system and work it.

Marcy Moyer Keller Williams Realty Palo Alto Ca

Dec 03, 2008 12:43 PM