The Key To Lead Conversion

leads Oct 14, 2018
How many of you know where all your leads come from? Do you track them? Do you ask people how they heard about you? I've mentioned this before and I'll say it again now... ALWAYS know where your leads come from. That's STEP #1 in lead conversion. If you know where the leads are pouring in from, you know where to funnel your marketing efforts and dollars. Get rid of what doesn't work. Believe me... doing things just to appease your seller is a waste of money and telling them so will earn you their respect. 
Picture it like this: You're in the middle of a listing appointment and the seller asks you, "Will you put my home in the newspaper?". You know for a fact that putting their home in the newspaper will not generate a call and has not generated a call for you in the last several years. 
You have two options here: 
  1. Tell them that you will definitely put their home in the newspaper, spend the money, post the ad, knowing you'll never get a call from it but clipping the ad and sending it to your sellers on a post card will make them happy or  
  2. You're honest and upfront with them, explain that newspaper ads are not generating calls today and that you would like to market their home in ways that generate solid leads and show them your report of where your leads are coming from. What's the difference? Every agent they interview that takes the "yes man" approach will look like an amateur compared to you.
Once you know where your leads are coming from and you know for a fact that your marketing investment is paying off for you in the form of incoming leads... Pay attention now... this is where most agents run into problems... 
Step #2 and the most important in my opinion is RESPONSE TIME. Let's say that you are about to get a lead from a sign call. A home buyer was driving by, saw the cutest house and really wants to know about it. They're serious buyers so they call you from their cell phone while they're sitting parked in front of the house. If you answer their call you can ask them questions about their home search, give them info on the house and others they may be interested in and agree to make appointments and show them homes later that day or the next. Congratulations... you now have a buyer.
Let's say you didn't answer their call... they leave a message and keep driving around calling other agents on other homes they pass. You call them back a couple of hours later, meanwhile they've already spoken to an agent that has agreed to show them homes the next morning... including your listing. The next voicemail after theirs was from an agent asking for showing instructions on the very house the buyers called about. You have just missed out on an opportunity. Did I mention these are $400,000 buyers? You NOT answering your phone just cost you $12,000 and that's if they bought someone else's listing. If they happened to have fallen in love with the one they called about (your listing) that's a $24,000 loss! This works the exact same way for any lead you get including internet leads you receive via email. Call immediately while they are still looking at your website. Not only will they be wowed by your immediate response, you'll get a much better chance of turning that lead into a sale. If you wait a few hours, a day or two, a week... just think of all the other agents that will have called them before you. Your site, your sign, your ad is NOT the only one they're looking at.
Step #3 is asking the right questions and the right time. When a home buyer calls you and asks you about one of your listings, I really hope you have already mastered salesmanship 101 and are asking questions before handing out answers. Let's play pretend once more shall we?
  • Buyer: Hi. I'm calling about the house on Maple Drive. How much is it?
  • You: Oh you know that's a really great house! We just put that on the market last week and we've been getting a lot of calls on it. What price range are you looking to stay in?
  • Buyer: Well we really want to keep it under $300,000.
  • You: The house on Maple might be a good fit for you then, it's priced at $285,000. How many bedrooms do you need?
  • Buyer: That's definitely in our price range. We're looking for a 3 bedroom minimum but 4 would be preferable.
  • You: The house on Maple is sounding more and more like a perfect fit! It has 4 bedrooms and 3 full baths. Is that area the exact neighborhood you're looking for? Are you trying to stay within the school district? I know of some other ones in the area that would work for you as well. I have some time later this afternoon if you'd like to take a look. That is, if you're not already working with an agent.
  • Buyer: Yeah, actually that'd be great. We just started looking and haven't started working with an agent yet. Around 4pm?
  • You: That's perfect. I'm going to go ahead and set some appointments up for us. You can meet me here at the office at 4pm (give them the address) and then we'll go and take a look. Have you already spoken with a mortgage broker? I have a few names I could give you if you haven't...
  • Buyer: Actually we just got our pre-approval last week so we're all ready to go on that end.
  • You: Perfect. Why don't you bring your letter along in case we find the perfect house? This way, if you decide to make an offer we can submit the letter along with it and the sellers will know that you're a serious buyer.
  • Buyer: Yeah, I'll definitely bring the letter.
  • You: Great! I'd like to give you a call back once I know how many homes we can get in to see today to make sure you have enough time. What's the best way for me to reach you?
  • Buyer: On my cell (gives you the number).
  • You: Okay, I'll see you at 4pm... Looking forward to it!
Keep in mind it is possible to ask all the right questions but at the wrong time which will have the opposite effect and actually cause the buyer to become edgy and uncomfortable, preventing them from agreeing to meet with you. Timing is everything..
  • Buyer: Hi. I'm calling about the house on Maple Drive. How much is it?
  • You: $285,000
  • Buyer: Thanks (hangs up the phone, writes the price on his notebook or the ad and calls another agent who will ask more questions). 
When you ask the right questions at the right time, you engage the buyer. You do not turn the buyer off by pushing too fast too soon. You do not make the mistake of giving out info without asking questions first. You pre-qualify your buyer and determine how serious they are before you waste any of your precious time on them. You give yourself an actual shot at making some money by converting a lead into a solid buyer. On top of all of that, you're going to make your buyer comfortable working with you which will encourage open communication, keep them loyal to you, and best of all...really boost referrals!
Let's see some improved lead conversions out there everyone!

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