The salesperson has completed the paperwork with deposits paid, and the buyers are happy with their purchase. This is the best time for an agents to ask for one referral. One referral from a satisfied client is worth 50 to 100 suspects!
Sadly, most sales agents don’t follow up after a sale even though 65 percent of sales come through follow up. The reason most agents don’t follow up is the lack of a long-term vision. They don’t see themselves building a business through the power of referral.
The best time to ask is when the client is the happiest about their investment decision. This is generally right after closing. Give them a personal gift, or a bottle of fine wine, and then ask for ONE referral. Continue to ask for one referral after each follow up.
Asking for permission to follow up 5 days, 15 days, and 30 days after a client signs their agreement of sale is smart and appropriate. This should be a normal part of customer service to insure clients are happy with their purchase. By providing good customer service, a bond between client and agent will be established.
The flowers or basket of fruit clients receive on the day of closing are nice, but the sincere personal interest in them weeks after receipt of a commission check makes more of a lasting impression.
When calling a client after one month, it’s a good idea to invite them to lunch. By this point, several brief contacts have been made. At this meeting, the salesperson should ask for a referral. This is only if they haven't received any from the client previously.
On the anniversary of their purchase, the agent should send them a report on all the sales that have closed in their area in the last year. They should then call the client and acknowledge the anniversary by thanking them for their business. Even if the client has not sent the agent any additional business, they should be thanked for their loyalty and the business that will hopefully occur in the future. Always conclude each communication with asking the client for one referral.
Referrals are the lifeblood of the real estate business. In fact, the most successful brokers only work from referrals. Now is the time to begin building a referral base and building a brand. One referral could be worth as many as fifty to one hundred leads from other sources. However, cultivating a client who will give the salesperson referrals takes time and work.
There is a way to ask for a referral without making the client uncomfortable. First, only ask for ONE referral. By asking for more than one referral, confusion will settle in the client’s mind. They will begin thinking about their Christmas list and all kinds of other lists, so the request will get lost in the shuffle of hundreds of names. If the client has to think about it, they will defer by stating they will need time to think about it. Their intentions may be sincere, but the referral will never come. So just ask for one!
Here’s the script used by a million-dollar producer. It may sound cheesy - but it works like magic.
“Mr. and Ms. Client, I lost something today.
Pause.
“What did I lose? My best prospect...YOU!
Pause.
“As of today, you guys are now clients, and if I lose all of my best prospects, I’ll soon be out of business. I’m asking for your help in finding ONE new prospect.
Can you think of one friend or family member right now who may need some real estate assistance?
Stop talking. Wait for a response. If there is no response, break the silence with an upbeat...
Hey, if you think of just one person, please let me know!
As a Sales Team Leader, share this script with your agents. Have them practice it, and show them the importance of building a referral list that will bring them businesses, instead of relying on the leads you purchase.
The 12 Pillars of Persuasion
Are you ready to get paid more by simply doing the things you are now doing “slightly better”? You say, “Yes,” but you've said yes before! You said you were going to do something new after reading a motivational book. After you watched that great video or attended an inspirational lecture, you made a commitment, but you didn’t stick with it. What went wrong? You didn't fail!
In fact, it is almost impossible to stick with an idea when you only hear it a few times. Studies show that 62% of the acceptance of a new idea occurs after the sixth exposure. What you needed was a system for creating the change you wanted. You needed a system that was strategically designed with “spaced repetition” to get the intended results. You needed a system that was tested and re-tested to remove the things that don't work, one that allowed you to focus on the things that work.
Over the last 43 years, we've created such a sales system called the Pillars of Persuasion. It provides the support that sustains you beyond your initial excitement.
When following the Pillars of Persuasion, you’ll experience how a few quick fixes result in faster sales, bigger commissions, and more referrals.
The Pillars of Persuasion program builds upon the concept of creating long-term relationships. Your goal should be to build a viable business that can be sustained. Any way you slice it, when the real estate profession is done right, the income can be SUBSTANTIAL, and after five years, you will have a business that will support your dreams.
