it is Marketing and Branding Month Here in Inman. As we enter the competitive spring selling season, let’s take a look at some of the proven strategies and cutting-edge innovations that are closing deals in today’s market.We will also recognize industry marketing and brand leaders through Inman Marketing All-Star Award.
Once the NAR lawsuit settlement is approved, we enter a new reality with the required practice changes—decoupling compensation, not showing commissions in the Multiple Listing Service (MLS), and requiring a buyer’s agent agreement to be signed before showing a home— There may be a glimmer of hope. As an industry, we may get better at buyer relations.
Having been in this industry for over 20 years, I have lost count of the number of clients I thought were mine, but actually ended up buying their house through someone else. I’m not alone. It’s safe to say that many agents have “flip-flopped” over the years and therefore failed to take the necessary steps to ensure the loyalty of potential clients.
Here are five key activities that may prevent buyers from migrating:
1. Ensure complete contact information of potential customers
When talking to agencies about their database, I start by asking them how many contacts they actually have. While some may come up with a good number, my follow-up questions usually put things into perspective.
“How many of them,” I ask, “do you have their full names, cell phone numbers, emails and physical addresses?” The answer is usually much less.
All of this brings up an interesting question: “How exactly are you going to stay in touch with them?” If you want to succeed in this new reality, this information will become crucial, as the Buyer’s Broker Agreement will need to be filled out correctly. .
A person’s willingness to provide complete information will indicate whether you actually have a potential customer ready and willing to buy.
2. Make your relationship official
If there’s anything good to come out of the current commission fluctuations, it’s that we will (in most cases) be required to enter into a Buyer’s Broker Agreement with all future buyer clients. We are already seeing this reality as many brokerage firms and REALTORS associations are moving toward mandating the use of formal agreements.
While there may be initial resistance from buyers, once the practice becomes generally accepted by all real estate agents, buyers will be required to sign the agreement regardless of who they choose to work with. At the very least (depending on how the form is filled out), this should help connect the client to their agent within a specified amount of time.
In the past, we have encouraged our team members to use our proprietary Buyer Agreement form, which provides a list of benefits when working with our team and details what we expect from our clients.
Even though our form stated that this was not a binding contract and could be canceled at any time, the fact that our client agreed to and signed the document emotionally connected them to us, with the result that I can only remember one time, Use another agent to purchase a home when someone signs our form.
Ironically, those who sign the buyer’s agreement (and may receive a commission) are likely not the first to initially speak to the buyer. Their failure to sign an agreement in the past may be an opportunity for you in the future.
However, it is important to understand that, like any contract, a formal buyer’s broker agreement must have a start and end date. Add a reminder in your CRM or calendar to remind you to contact us to extend the agreement if necessary.
3. Stay in touch
In addition to needing your client’s contact information to fill out a buyer’s broker agreement, you’ll also need it to maximize contact. Not every potential buyer needs or wants to buy right away.
We recommend a program of at least 36 touches to keep them in mind, including phone calls, text messages, emails, note cards, newsletters, etc. By constantly communicating with your customers and providing items of value, you can stay top of mind.
If you have a strong CRM, you can send them automated property alerts, market updates, customer activity, and more. The bottom line is touch, touch, touch.
4. Script
Now more than ever, it’s important to develop the skills needed to succeed in this new reality. In the short term, buyers are likely to face significant headwinds with significant changes to buyer agent compensation. Instead of improvising your dialogue, find scripts and practice them until your responses become automatic.
5. Start now
While the NAR settlement won’t become a reality until July and is contingent on a judge signing off on the terms, it’s clear the rules of engagement are now changing. Agents who want to stand out should make changes now so they’re locked and loaded once the new reality officially takes effect.
In classic movies, Mary PoppinsBert saw the change in the direction of the weather vane and said, “The wind was blowing from the east and the fog was coming, like something was brewing and was about to start.” I couldn’t know exactly what was about to happen, but I was worried about what happened next. It’s happened before. “
The only constant in this industry is change. Ultimately, agents can be divided into two categories: those who see change coming, adapt to the new reality and solidify their relationships with clients, or those who never adjust, even though they may have made the first contact, losing For those who seize the opportunity.
