Prospecting – It’s All about Marketing & Spaced Repetition
It’s a well-known fact that the most successful real estate agents all have one common trait. The best agents do an outstanding job communicating and marketing on a regular basis with their past clients, farm, advocates and sphere of influence. The term that applies to this skill-set is “relationship management”. It would be difficult to find an agent that would disagree with this fact. So, why is it that so few agents excel at relationship management?
The answer usually lies in bad habits that are hard to break. It’s not easy to get into a routine where you’re consistently reinforcing a good habit such as relationship management. Some agents use excuses such as, “I can’t afford to send direct mail pieces every month.” Of course, the explanation is nothing more than an excuse. If an agent has limited funds, they can still maintain a continuous high-touch campaign via e-blasts that cost nothing. If an agent doesn’t have money to invest in their business, they should make an e-mail gathering campaign a priority. Instead of always looking at the many reasons something can’t be done, you should always be asking yourself: “How can I get this done?”
According to the Harvard Business Review, the profitability of your business can increase 25% for every 5% increase in client retention. Don’t you think it’s time to “work smarter”, not “harder”? Listed below are reasons why you should make relationship management a top priority (20%’er):
- Most of the costs associated with acquiring new clients, occurs at the beginning of a relationship. If you keep that client for a long time, the amortized cost associated with that client is dramatically reduced.
- Long-term clients are more loyal and less likely to do business with your competition.
- Long-term clients are usually not as resistant to the commission being charged.
- Long-term clients make the best advocates and are much more likely to refer their friends to you.
- Long-term clients are the best source of referrals.
There you have it! The best way to maximize the profitability of your business is to work less, make more, and maintain a great life balance is through relationship management.