The Single Most Important Element of Your Business Plan
Technology has undeniably changed the face of the real estate, but it is not, and should not be, the cornerstone of your business. The ability to reach people through websites and social media can make it hard to see where our efforts are best spent to produce the most profit.
Leads that come through websites seem effortless because they simply land in our inbox, but that is not reality. The trust that is needed to turn a web lead into a client is much harder to build because they know nothing about us. That is why the industry average for closings made through web leads is a mere 2-4%.* While web leads, open houses, farming etc. can generate good business they all fall under the “Red Ocean” concept. This means we are in competition with other agents for these leads. This is why we are are so happy with such a small return on our investment.
The truth of the matter is if you want to build a sustainable business, then you need to build on the sphere of influence that you already have. This is where leads are most loyal and cost-effective, but only if you market in a way that makes them so. Of course, you can grow your sphere with open houses, web leads, and farm marketing efforts but the sphere of influence you have now is the best foundation for your future business. Taking time to understand the “Read Ocean Blue Ocean Concept” will do wonders in helping you generate the greatest amount of work with the least amount of effort. Mastering a “Blue Ocean” concept will help you transform your business into one where the competition is irrelevant. Think about that for a minute…you can create a marketing plan that helps to remove the competition from your sphere of influence.
The fact is that leads generated from referrals made by marketing to your sphere of influence are far more likely to result in a closing. Thanks to research conducted by NAR we know ”42% of sellers who used a real estate agent found their agents through a referral by friends or family.”** NAR also states that 88% of buyers would use their agent again or recommend their agent to others.*** Compared with the close rate that an agent can expect from web leads it is easy to see which is the best and most profitable use of one’s time.
At Sky Realty we have a healthy understanding of these facts and have created a system of marketing that focuses on cultivating leads from an agent’s sphere of influence using their personal brand. Let us create a personal brand for you that speaks to the people you care about in life and leads them to your doorstep when they are ready to buy or sell a home.
Sources:
*Andolina, R. (2013, August 23). Converting Your Real Estate Website Traffic Into Leads. Retrieved March 29, 2013, from http://geekestateblog.com/converting-your-real-estate-website-traffic-into-leads/
**National Board of Realtors. (2015, July). Field Guide to Quick Real Estate Statistics. Retrieved May 23, 2016, from http://www.realtor.org/field-guides/field-guide-to-quick-real-estate-statistics
***National Board of Realtors. (2016, October 31). Highlights From the Profile of Home Buyers and Sellers. Retrieved Feb 2, 2017, from https://www.nar.realtor/reports/highlights-from-the-profile-of-home-buyers-and-sellers
Call Curtis Reddehase to schedule a confidential meeting and tour of our office.
512.565.7848
cr@skyrealty.com
Office Locations
North Austin:
4501 Spicewood Springs Rd., Ste. 1029
Austin, TX 78759
South Austin:
11300 S IH 35 Frontage Rd., Unit B,
Austin, TX 78748
Wimberley:
14500 Ranch Rd 12 #2,
Wimberley, TX 78676
Driftwood:
150 Elder Hill Road
Driftwood, TX 78619