Lead Management

There are hundreds of ways to generate leads: advertising, referrals, cold calls, for sale by owners, expired listings, direct mail, 800 number inquiries and the internet, just to name a few. Agents become bogged down with leads from these effective outlets and resources, but end up missing a tremendous amount of revenue from them. How is that even possible when all that effort and money is put into developing new leads? 

      Although you may be great at establishing leads, you may not be so great in managing them. Without proper management of your leads, you could be losing thousands of potential clients, not to mention, the thousands of dollars you’ve wasted.

Instant Gratification

When speaking to colleagues who were asked what a lead meant to them, many were quick to confess that a good lead was a client who was willing to “do something immediately”. These agents were looking for a quick-acting client who was willing to sell their home or commercial property PRONTO. And yet they were in a hurry to dismiss clients who were considering selling in the near to distant future. One agent said, “A lead is when a client has a definite plan and a goal within a certain time frame.” Another agent claimed that his best leads were the clients who were “thinking” of selling within six months to a year.

      Generating prospective clients is only half the battle; making sure they work with you in the long run is your ultimate goal. Unfortunately, agents are neglecting their future clients and focusing only on the “here and now” clients. Making the sale is important, but developing a professional relationship with a potential client is just as important.

      Long term leads may take a little more time and management, but keeping these potential clients in the forefront of your mind will save you against competition when that client is finally ready to sell. When you’re returning a call from an inquiry, that client may not need your services for six months, but by following up with them frequently, instead of disregarding them because they are not ready to sell at that precise moment, will help you establish trust with a client that will keep you in the potential client’s mind. You will have already built a professional relationship with them, and that’s what they will remember when they are ready to make the move. Most people who are merely considering selling usually end up doing something about it down the road.

      You are literally defeating the purpose of your program when you ignore these types of leads. Long term leads that aren’t being tracked properly aren’t given enough value or attention. With this mindset, you are literally throwing away money. Someone wise once said, “You don’t step on a dollar to pick up a dime.”

Follow Up, Follow Through

It’s easy to get caught up in generating leads, so much so that one agent insisted that because he was so busy getting leads he didn’t have time to follow up with a phone call. It’s important to pay attention to converting leads into sales — this is why you spend all that money in advertisement!

      Once you get your leads, you have to have an effective and efficient tracking system in place. What works for you may not work for someone else, but you should have a system that tracks your leads in a manner that can’t be overlooked, lost or forgotten. Some agents swear by pads of paper, a database, or even a numbered accordion file folder with leads to follow up with for each day of the month.

      Once you have your tracking system in place, time is of the essence in terms of following up and following through. Phoning prospective clients is a good way to stay fresh in their minds, but it’s always a good idea to try to talk to them face to face. In a professional manner, explain what it is what you can do for them that your competitors cannot, but don’t make promises you know you won’t be able to keep (that could cost you future clients).

      Generating leads may not be the easiest thing to do in this business, but it appears to be easier than converting those leads into actual revenue. When you compare your cost of lead development vs. leads converted, you may sadly discover that you are literally losing money. Lead management is the key to being successful in this industry. Keep in mind the long term leads that could eventually be your saving grace.

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