Why An Average Of Only 11% Of Your Past Clients Will Return

By
Mortgage and Lending with Southwest Funding

In this competitive business of mortgage lending, relationship marketing is the most effective method to grow and maintain your business. Shockingly statistics show that 93% of purchasers are satisfied with the professional they used. However, only 11% return and buy from them again. Why? It's because they don't remember their name or contact information.

You must work at having your past clients equate your name and face with all their mortgage needs. Maintaining high visibility hinges on reasons to stay in front of your clients. The problem is that most loan officers spend 95% of their budget on image marketing. And that yields them the least return on their customer retention or customer engagement strategy.

DFW Loan Officer

Jeff Schraeder

Imperial Mortgage

Comments (2)

Irene Potter
ZipRealty Residential Brokerage - Maple Valley, WA
Creating moving experiences in real estate
I think if they can't find you when they need you, you will lose your clients over time. One thing that I've noticed in my market place is that more than a few mortgage brokers I am acquainted with move around a lot. Unlike real estate agents, however, the ones I'm thinking about lack a cohesive web presence and are pretty spotty about client contact and don't always do a broadcast announcement of their move. Staying in touch, having a personal webpage instead of a company page makes it a lot easier for your clients to find you.
Aug 22, 2007 08:33 AM
Anonymous
Kacey

Jeff and Irene have it right on.  Many mortgage professionals know that customer retention is key, but very few practice what they preach.  I found that keeping in touch with my borrowers at least 6 times a year has generated numerous referrals and about 50% customer retention!  I found this awesome service that pays for itself.  The company is called Top of Mind Networks.  We have a local AE in Kansas City but the company is nationwide.  Her email is sschweer@topofmind.com her name is Susan Schweer  I highly recommend and refer her products all the time.  This is truely a unique company.  She came in on a cold call and I was sold right away.  I work for a locally owned broker shop here in KC and the owner spends thousands a month on radio ads, but then we have to purchase the leads from him.  It's much more cost effective and less time consuming to retain my current clients then to chase only new leads. 

Don't get me wrong, I still work leads and referrals for new business, but once those deals close I work on retaining them.  You can't assume that new business will always fall in your lap. 

Aug 28, 2007 08:02 AM
#2