Many real estate agents spend a lot of time and money marketing new prospects, while completely overlooking the best ones they have; old ones. We all realize the importance of acquiring new clients, but how many of us truly grasp the importance of not only retaining old ones, but actually expanding on those relationships?
The cost of acquiring new customers is escalating, no matter the industry; real estate, mortgage financing, land development, etc. On the other hand, marketing to past customers is less expensive and is at least as profitable.
Consider this; the average home owner is likely to purchase and/or sell 4-5 houses in their life time. So, if you sell them one property why not establish them as life time customers and assist in the buying and selling of the others. For the most part each time they buy or sell they step up in price range and affordability, excepting of course perhaps their last and final transaction – a retirement home.
So, why are former clients so overlooked? Personally, it was because I was driven to close on the next deal and knew that it would be years before a closed client would be ready to sell. However, my rational was very short sighted!
Typically, closed clients are happy with you and your services, so there is a greater chance that they will come back to you for future transactions – if you give them reasons to. Also, they are usually eager to refer colleagues, relatives, co-workers, and friends to you. There’s almost no end to the number of referrals a satisfied customer will give.
So, a mind shift to building long term relationships with “closed” buyers/sellers is in order. Instead of abandoning clients after a sale continue nurturing the relationships by maintaining routine and ongoing contact with them, which will help you to protect them from your competitors. Remember, if you’re not taking care of them somebody else is.
Keeping in contact and maintaining relationships with “closed clients” is really kind of easy. You could call just to say “hi” every other month and drop them something in the mail in the off months. It could be as simple as a post card, an anniversary card celebrating the date of their closing on their house, a letter recognizing the graduation of their son from high school, or daughter moving on to the first grade.
It doesn’t have to be expensive, just personal!
Safeguard your relationships with past clients by continuing to nurture relations with them. When you continue to show them love and how much you appreciate them they’ll continue to show you the same.
Have you had the unpleasant experience yet of a past client transacting a real estate deal with another agent? I have and it hurts! I felt abandoned and betrayed – yep, it was that personal. However, in truth it was I who had abandoned them. That’s when I smartened up and made the mind shift to building long term relationships with my “closed” and existing clients.
So, the moral of this story is take care of your clients by letting them know how important they are and they’ll continue showing how much they care about you, too; all the way to the bank..again and again and again!
Lanard Perry is the web master of Real Estate Marketing Talk, which provides money making business building tips, tools and resources for real estate agents, buyers, sellers and investors.