Top 3 Reasons Why Clients Stop Doing Business With Us

By
Mortgage and Lending with George Souto NMLS #65149 FHA, CHFA, VA Mortgages NMLS #65149

Top 3 Reasons Why Clients Stop Doing Business With Us.   This past week I read a survey on conducted by the Rockefeller Institute which produced some very interesting results on Why Clients Stop Doing Business With Us?

The three top reasons identified in the survey are reasons I would have most likely listed in a list of top 10 reasons of Why Clients Stop Doing Business With Us?  But they would not have made my top 3 reasons. 

However, after reading the results of the survey, and giving them a lot of thought, it began to make sense why those who participated in the survey responded with these as the Top 3 Reasons Why Clients Stop Doing Business With Us.

  • 9% of our clients stop doing business with us because of Competitive Reasons.  This could be for a number of reasons, they could feel the competition has:
    • A better product
    • More choices
    • A larger audience
    • Better equipped
    • Better pricing

Feel free to add to these reason, but even though competition is #3, it is a long way from being number one.

  • 14% of our clients stop doing business with us because they are Dissatisfied With Our Product And Service.  So here it isn't just because our competition has a better product, and more choices.  They are dissatisfied with OUR product and choices, it is seen as inferior.  Not only are they dissatisfied with OUR product and choices, they are dissatisfied with the quality of our service.  We are not meeting their expectations.
  • 68% of our clients stop doing business with us because they Feel We Don't Care.  They did business with us and feel we have now forgotten about them.  We have not stayed in touch so why should they come back to us.  This is by far the biggest reason of Why Clients Stop Doing Business With Us?  All the other reasons added together add up to less than this one single reason alone.  If a client did not come back to you, start off by just asking yourself this one simple question.  Did I stay in touch with them, or did I just take it for granted they would ignore all others trying to get their business and come back to me?

Before anyone says George these Top 3 Reasons Why Clients Stop Doing Business With Us do not add up to 100%.  You are absolutely right they do not add up to 100%, because all the other reasons on the survey added up to the remaining 5%.

While these Top 3 Reasons Why Clients Stop Doing Business With Us, are by far the  biggest reasons identified in the Rockefeller Institute Survey.  The biggest reason of them all has nothing to do with our competition, or our product.  The #1 reason has TOTALLY to do with US!

 

 

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 Info about the author:

George Souto NMLS# 65149 is a Loan Originator who can assist you with all your #FHA, #CHFA, and #Conventional #mortgage needs in Connecticut. George resides in Middlesex County which includes #Middletown, #Middlefield, #Durham, #Cromwell, #Portland, #Higganum, #Haddam, #East Haddam, #Moodus, #Chester, #Deep River, and #Essex. George can be contacted at (860) 573-1308 or gsouto@mccuemortgage.com

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 Info about the author:

George Souto NMLS# 65149 is a Loan Originator who is licensed in #CT, #RI, #MA, #NH, & #FL and can assist you with all your #FHA, #Conventional, #VA, #USDA, and #State Bonded Progam #mortgage needs in #CT, #RI, #MA, #NH, & #FL. George resides in Middlesex County which includes #Middletown, #Old Saybrook, #Middlefield, #Durham, #Cromwell, #Portland, #Higganum, #Haddam, #East Haddam, #Moodus, #Chester, #Deep River, and #Essex. George can be contacted at (860) 573-1308 or souto@snet.net

Comments (142)

Sharon Parisi
United Real Estate Dallas - Dallas, TX
Dallas Homes

Communication goes a long way to insulate us from these issues.  Great topic!

Sep 12, 2014 04:58 PM
Jamie R. Bell
Bell Realty Group at Berkshire Hathaway HomeServices NEP - Glastonbury, CT
Your Central CT Realtor

Great post George!

I completely agree, communication is key in our business. 

Sep 13, 2014 11:55 PM
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

not to mention that it is harder to get and retain new clients - who don't know yet that we care - Makes a strong argument for loving on the past clients! 

Sep 14, 2014 09:20 PM
Katina Hargrove 352-551-0308
Stake Your Land Realty, Inc. - Eustis, FL
Broker/Owner, GRI,SFR, REALTOR®

Good morning George, great post, yes communication is key. Staying in touch at least three to four times a year keeps us fresh in their mind.

Sep 14, 2014 10:38 PM
Jan Green
Value Added Service, 602-620-2699 - Scottsdale, AZ
HomeSmart Elite Group, REALTOR®, EcoBroker, GREEN

Great post and a reason to look in the mirror. If we are providing great service and communication, what's missing?  

Sep 15, 2014 06:42 AM
Rose Mary Justice
Synergy Realty Pros - Dandridge, TN
Synergy Realty Pros

I care about my clients and hope it shines through the process.  It is disappointing to see these results.  But will strive to do better.

Numbers don't lie.

Sep 16, 2014 06:20 AM
Nina Hollander, Broker
Coldwell Banker Realty - Charlotte, NC
Your Greater Charlotte Realtor

George... you are so right. It has everything to do with us. I believe that the more we stay in touch with past clients with value added communication, the less likely they are to go elsewhere.

Sep 18, 2014 01:33 AM
Steve Davis
Davis Coastal Properties - Carlsbad, CA
Carlsbad CA

Yes - Keeping in touch is so easy and so easy not to do. Systems and deadlines keep us in touch. Great article - and most agents will still ignore your advice.

 

Sep 18, 2014 04:53 AM
Lisa Coates
Level Ten Construction Consultants - Halifax, NS
Residential Home Sales Specialist

Maximizing today's technology will help reduce customer satisfaction. 1. Use a appointment setting / feedback software example Lone Wolf, 2. Have a CRM software like Top Producer or Agent 360 and 3. Send them or meet with them every 30 Days with a updated CMA. This should help. Just Sayin...

Sep 19, 2014 07:19 PM
Marcia Hawken
WILLIAM RAVEIS - Naples, FL
Naples Luxury Specialist

We are all so guilty of not maintaining contact with past clients!  In Naples, Florida very often the first time buyer moves to a larger condo or home within a few years.Think both sides of the transaction in many cases.  And clients are so happy to hear from you. They feel as though you have not just cashed your check and said "NEXT! "

Sep 19, 2014 08:37 PM
Sally K. & David L. Hanson
EXP Realty 414-525-0563 - Brookfield, WI
WI Real Estate Agents - Luxury - Divorce

Having and keeping relationships...it is the fabric that keeps a practice together and growing

Sep 20, 2014 12:06 AM
Kathleen Luiten
Resort and Second-Home Specialist - Princeville, HI
Kauai Luxury Ocean Home Sales

This is good reminder that relationship are the heart of our business. Thanks!

Sep 24, 2014 10:05 AM
Diana Dahlberg
1 Month Realty - Pleasant Prairie, WI
Real Estate in Kenosha, WI since 1994 262-308-3563

George Souto ... Great Post! Any time we lose a client we need to check ourselves and find out where we went wrong and how we can improve with the next opportunity to serve a consumer.

Sep 24, 2014 11:34 AM
Mark Neighbor
A O Home Solutions - Sell House Georgia - Buy House Georgia - McDonough, GA
Sell House Fast In Georgia

Great post George. I agree Communication is important. Communication opens and closes the doors to do business.

Sep 26, 2014 05:17 AM
Brandi Brown
PorchLight Real Estate Group - Denver, CO

Thank you for the post and reminder.  Why do people work with us in the first place?  Because they believe that we are good at what we do and because they believe that we care about them.  If those are true and we want a referral based business rather than a transaction based business, we must continue to communicate both of these continually long after the closing.   

Sep 26, 2014 05:52 AM
Barry Kessler
Pinnacle Estate Properties, Inc. - Simi Valley, CA
Barry Kessler

Good article.

These are all good points. 

Sep 26, 2014 06:09 AM
Winston Heverly
Winston Realty, Inc. - Atlantis, FL
GRI, ABR, SFR, CDPE, CIAS, PA

This was a wonderful read, glad I came across it in the archives. Thanks for sharing.

Apr 01, 2015 06:57 AM
Laura Sellers
Berkshire Hathaway HomeServices Preferred Real Estate, Inc.; www.AuburnOpelikaALRealEstate.com - Auburn, AL
www.AuburnOpelikaALRealEstate.com

Good morning, George!  Think we all want to do business with people we feel like truly care about us and are looking out for our best interests and our clients are no different in this area.  It is important for us to stay in contact with them even after the sale.

Apr 12, 2015 09:52 PM
Frank Rubi
Frank Rubi Real Estate, LLC - Metairie, LA
FrankRubiRealEstate.com

George, your points as so well taken. As an organization this information should hit home. 

Jun 05, 2015 10:44 PM
Celeste "SALLY" Cheeseman
Liberty Homes - Mililani, HI
(RA) AHWD CRS ePRO OAHU HAWAII REAL ESTATE

So, it just goes to show....CARING is one of the TOP reasons clients respect us and what we do, the service we give.  CARING IS KEY TO ANY TRANSACTION and for most real estate industry leaders. :)

Jul 16, 2015 01:26 PM

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