There is a trend in sales to focus on what is coined as “right now” biz. This is the kind of training that most of us real estate peeps have had. You know the kind that says If they aren’t an A client move on. Stay focused… focused on the only the ones that want to buy or sell RIGHT NOW!
Well I am here to tell you that is CRAZINESS! Now while it is important that you are able to pay the bills… you know small stuff like food and housing… and big stuff like that hot outfit and shoes of course…. There is a whole other side to the sales that the majority of people forget out.
Are you ready for the secret? It is a called Lifetime Value. Lifetime value you say? I don’t have a lifetime I need CASH right now. I know.. I know… I feel ya! But listen up because this is important.
Every client or potential client has a lifetime value. Meaning that they have their personal value aka the commissions you generate from a sale to that one person. But they also have a lifetime value which means the value that you get from them from them
a. Purchasing or selling more than one time with you
b. Listen carefully here…. The referrals that they send you
So let me show you….Lynda Buckmaster came to me in 1997 from an ad I had ran in the paper. You remember newspapers don’t you? She bought a $50,000 home from me. I generated $1500 in commissions at that time which after company fees was less than $700.00. Now I have to say I was beyond thrilled as this was a lot of money for me being a new agent in the business.
But here is where it gets good. I have tracked Lynda referrals and sales over the years and just this one person has generate over 65 referrals and well over $200,000 in commissions in the 15 years that she has been my client. And she continues to buy and sell as well as refer her friends and family to me.
All from simply giving her great service but more importantly simply staying in touch. Here’s a quick tip to help you increase the lifetime value of each and every client.
Here’s one of my fav’s! Take your agent to lunch day! Pick your top ten favorite clients, put them on a hot list and take one each week or once a month if your budget is tight and them to lunch, but here’s the key…. Have them bring a few friends! The more the merrier and involving adult beverages can help too. Make it fun, don’t talk too much business, they will know what you do as your client will introduce you as their real estate agent. The entire tab is usually less than $100 and I always get at least one referral plus I get to add those friends to my database for future potential business.
Now its your turn! Whats your favorite way to do fun stuff and stay in touch with your clients? You might even see yours on a future post