Leveraging Client Relationships
Real estate agents can build business in one of two ways: through non-stop prospecting and high-volume lead development that results in one-time clients, or through development of high-quality, durable client relationships that are leveraged into long-term business opportunities and invaluable referral sources.
As an example, say that during your first decade in the real estate business you serve, on average, 36 clients a year. In other words, over the course of your first ten years you help 360 clients into their homes.
If you close each of those deals, cash your commission checks, and never look back, all your effort will add up to exactly 360 business transactions.
But . . . if you cultivate those 360 clients with excellent after-the-sale service and the kind of genuine concern that results in long-term relationships, you can turn your 360 past clients into a future-business goldmine, in terms of both repeat business and referral opportunities.
The National Association of Realtors recently conducted research showing that the average consumer moves once every nine years. With that fact in mind, divide your 360 past clients by nine and you'll see that 40 of your past clients are likely to move in any given year. In other words, your own client base represents 40 new business opportunities — provided that you've maintained strong relationships with each one. And it's impossible to even count the number of referrals that come from 360 totally satisfied past customers.