Value of a Lead
“The indispensable first step to getting the things you want out of life is this – decide what you want “
Last week we talked about finding good qualities in all people- including leads you just met. This week we will take a quick look at the potential Dollar value loss of each lead that you let slip away, and how important it is to make sure you keep them as a client and build a relationship with them. Always recognize that today’s first-time client can be 4- 7 potential transactions in the future, and that is just the beginning. If you take a closer look at this, and if you go with the low end assumption that every client on average refers you one new client over their life cycle- you can quickly understand the value of developing relationships over time.
So let’s take a closer look at this and use the assumption that each client sends you just one new client over their life cycle. It is easy to recognize that each client is worth a lot of revenue over their average life cycle when you set this up as a diagram. Go ahead take each client and add one referral and keep going deep with it 5 years, 10 years, and 15 years. Can you quickly see how important it is to value each lead and each relationship no matter what your average commission may be?
Now the key is can you continue to develop techniques to enhance these relationships -that is what separates the best from the rest. We will explore this topic more next week
I hope this has emphasized the importance of why you should build strong relationships with each and every prospect and client you meet.
It is not easy and takes a lot of time and effort, but it is the way all top Real Estate sales professionals build their business
To your success!
Michael is the co-creator of http://www.REOSalesExcellence.com, which has trained hundreds of agents nationally on how to build a successful REO business. He is also the founder of http://www.FindREOAgents.com, a national directory that connects thousands of REO Real Estate Agents and Asset Managers from across the country. He has a passion for helping people avoid foreclosure, which he has brought to life with his investment and mitigation firm, Global Capital Management. His mortgage organization, Global Capital Mortgage, specializes in helping serve the distressed marketplace. To learn more about Michael, add him as a contact with this email: firstname.lastname@example.org