Lead generation: two words to strike unease in the heart of any dedicated agent or broker. Funneling potential clients into a sales cycle takes time, energy, and resources... and then comes the actual nurturing of the lead to convert them into a customer.
Technology continues to change the way we market ourselves to clients. Lead generation has moved from the tactile world of newspaper listings and flyers to a digital landscape with seemingly endless options. And yet, navigating this terrain of resource-hungry advertising platforms can be treacherous on all sides, especially when only an average of 2% of leads are ready to move to contract within 30 days and it could take up to seven years to close a deal for the other 98%!
If it seems like a daunting task to come up with new leads, you're not alone. Many agents face similar issues in their campaigns to create business through lead generation, whether they hire a service or pursue new leads themselves. Recently, Bondilyn Jolly, VP of Marketing at Elevate, an online lead generation and marketing provider, sat down with Denis Pepin, Broker/Owner of United Real Estate Professionals in Huntington Beach, Calif. to talk about common lead generation challenges and their solutions. Here's the video and recap:
Problem: Lead generation is expensive.
Solution: Generate new leads from your current clients. As an industry average, for every $1000 spent on lead generation, only $10 is spent on lead nurturing. Disrupting this statistic will set you apart from other agents who simply walk away after a deal closes. Actively maintaining a relationship with past clients positions you at the top of their minds when someone they know starts talking about moving. According to NAR's 2018 Home Buyer and Seller Profile, 90% of buyers would use their agent again or recommend to a friend—take advantage of this fact.
Problem: More leads exist than actual business.
Lead gen that specializes in analytics could provide higher quality leads—meaning, customers that are more likely to buy. Investing in companies like Elevate that work closely with dedicated and experienced marketing professionals to add value to their lead gen services can help ensure you're seeing a profitable return on your dollar.
Problem: Most agents do not have a system to effectively handle and nurture inbound leads.
As part of your sales funnel model, it's extremely important to send potential clients down a tested, proven track towards contract to get the most out of your leads. If you're losing clients at a certain step in your cycle, don't keep trying the same methods over and over until you wear yourself out—change your approach! The best thing to do when you're feeling stuck is to find a reliable, consistent company to work with that responds to agent/team needs.