Building & Nurturing Your Database

Building & Nurturing Your Database N E W T O B U S I N E S S T R A I N I N G

Agent Lead Generation Programs‘Open Your Mouth and

Hope Something Flies Into It’ Method

‘Flight of the Confused Bumble Bee’ Method

How Buyers Find REALTORS®

50%. . . of the time, they are

referred by a friend, neighbor, relative or used agent previously to buy or

sell a home

How Sellers Find REALTORS®

63%. . . of the time, they are

referred by a friend, neighbor, relative or used agent previously to buy or

sell a home

The Power of Your Database1. How many people know that you are

a REALTOR®? (Insert your own number)

2. Percentage that will move this year (NAR studies indicate that people move, on average, once every nine years)

3. Number of people that you know who will move this year (Multiply #1 by #2)

4. Captured business (Multiply #3 by 70%)

5. Average commission earned (Average sales price ($182,000) X Average commission percentage (5.85%) X Co-op commission portion (50%) X Agent split (50%) X Prudential franchise fee (94%))

150

11.1%

16.7

11.7

$2,502

The Power of Your Database6. Commission income from your database (Multiply #4 by #5)

$29,273

Playing With the NumbersIf you increase the number of people in your database

200$39,030

350$68,303

500$97,577

These Numbers are Conservative

The Formula Does Not Account For . . .

. . . selling yourown listing

. . . sellers whoalso buy


. . . commission split increases


. . . referrals from outsideyour database


Would Buyer Use Real Estate Agent Again or Recommend to Others? *

* 2012 Profile of Home Buyers and Sellers, National Association of REALTORS®

60%

80%

50%

70%

40%

30%

20%

10%

0%Definitely Probably Probably Not Definitely Not Don’t Know

74%

15%

5% 4% 2%

89%would probably use you againor recommend you to others

How Repeat Buyers Found Real Estate Agent *

* 2012 Profile of Home Buyers and Sellers, National Association of REALTORS®

16%used agent previously to buy or sell a home

The Ugly Truth

Unless you do something about it today . . .

70%. . . overwill use another REALTOR® in the future

So Where Do You Begin?

Follow the Steps to Success

Select Your Database

Feed Your Database

Touch Your Database

1. Select Your Database


• Get recommendations from peers• Find out how much it will cost to use• Some provide a trial version• Understand there is going to be a learning curve


2. Feed Your Database

• Gather all the names, addresses, telephone numbers and e-mail addresses of everyone you know

• Use the ‘Memory Jogger’

2. Feed Your Database

• Continuously look to add new people to your database every day

3. Touch Your Database• Business Cards – What’s in your desk drawer?

3. Touch Your Database

• Initial Mailer – Enroll them in a ‘Customer Appreciation Program’ and include three cards

• Phone Calls – Obtain contact information that is missing from your database


• Personal (Handwritten) Notes – Make it a habit of sending five per day to your database (and others)

• Pop-bys – Visit one person in your sphere of influence per week

Hi!


• Market Updates – E-mail monthly ‘Customer for Life’ reports from Online Seller Advantage (OSA)


• Items of Value – Send out one piece of information per month regarding real estate (i.e. tax tips, home maintenance, area info)


• Just Listed/Just SOLD/Open House Notices

eCards – Notify your database of your activity

Mailers – Notify neighborhoods of your activity


• Social Media – Know what is going on in the lives of people in your database and interact with them


• Coffee – Catch up and relax for a couple of minutes

Promoting Yourself

“You can make more friends in two months by becoming interested in other people than you can in two years by trying to get other people interested in you.”

- Dale Carnegie