Real Estate Masterminds

Do You Have a Marketing Machine

2011-06-03T07:43:00.000-07:00

Market Machine

Are you marketing 7 days a week 24 hours a day 365 days a year?

An appointment a day. 5 days a week

THE 2% RULE

What is the 2% rule? When an agent goes through their SOI database just one time, 2% of their list will do business with them or refer them over the next 12 months. So, if an agent has 100 names, 2 transactions will come from their SOI in year one.

THE 10% RULE

What is the 10% rule? When an agent contacts their database by phone or in person four times a year and sends a mailing twelve or more times per year in year one and continues these activities in year two, 10% of their list will do business with them or refer them in year two. So, if an agent has 100 names, 10 transactions will come from their SOI in year two.

Can you imagine if this system is consistently worked, how much business an agent could generate when their database gets up to 200 or 300 or 400 names?

Want to know more about setting up a Marketing Machine give me a call.

Real estate: It's time to buy again

2011-03-28T08:09:00.001-07:00

http://bit.ly/f2POFv

Forget stocks. Don't bet on gold. After four years of plunging home prices, the most attractive asset class in America is housing.

Take your business to the next level.

2011-03-23T12:59:00.001-07:00

http://bit.ly/hxSdUO

If you are interested in a career in Real Estate or you are an exsisting Realtor and want to take your business to the next level, take a look at this video.

Coldwell Banker Generation Blue

2011-03-16T08:47:00.001-07:00

http://bit.ly/fBYA3X

Coldwell Banker Generation Blue

2011-03-16T08:46:00.001-07:00

http://bit.ly/fBYA3X

Thanks to Tech Savy Agent for sharing:

Coldwell Banker Generation Blue, Matthew Ferrara, Mike Ferry, old school vs new school, presentation, Real Estate, Video

Posted in Featured Video, Social Media, Video, Video Favorites

273Share

There is an obvious rift in the real estate population between the more traditional sales coach approach to generating business now and the new media marketing angle of cultivating relationships via the web. Click here to watch on a mobile device.

This was made as clear as it has been for me after watching Mike Ferry and Matthew Ferrara at the Coldwell Banker Generation Blue Conference have a “smackdown” debate about what method will generate real business or as many say(my least favorite word btw) deals.

What are a few of your takeaways from Mike’s talk? I was really impressed with his presentation as someone who sees a lot, his humor and stage presence are undeniable. My only fundamental disagreement is that it seems he dismisses the people that are connecting via the social platforms as not real people or opportunities. The social graph is a marketers dream and if pounding the phones is the approach that you are going to use I think the access to information about people’s real life makes the calls convert at a higher rate. If someone tapped you on the shoulder before you made a call and said I know that ladies husband, they are really into their kids sports activities(soccer and track) and their son just got his first car(a Camry) you wouldn’t make a better call? Just saying.

Matthew really hit on some of the unarguable shifts in where people prefer to communicate including text and social. He was also dead on in my opinion regarding cultivating relationships not just turning and burning leads. It was my first chance to see Matthew speak and having to follow Mike who had the crowd, he was very compelling.

There is a fine medium. It should be and is the goal of many in this space to improve the consumer experience of buying or selling and to raise the bar in a distrusted industry. Mike Ferry raises the relevant question of can agents afford to not be sales people?

Really hoping this “debate” carries over into the comments below.

50 Social Media Tools Live

Wise Agent CRM for Real Estate – Social Media and Facebook Integration

Weatherproofing Your Social Media Efforts

New Features in Top Producer 8i – Social Media Integration!

Tom Ferry 1 on 1 with Tech Savvy Agent: Life By Design

There are 23 responses to this post! Join in...

Michael McClure says:

March 15, 2011 at 11:53 pm

Chris,

Stop me if you’ve heard this one before: http://p1fran.com/2010/11/what-becomes-of-the-broken-hearted/.

Best,

Michael

Chris Nichols says:

March 16, 2011 at 12:11 am

Chris,

Here’s my take. Mike Ferry’s clients are mostly old schoolers… he’s telling them exactly what they want to hear! “You’ll be okay if you don’t change with the market!” While it is good for his business… it’s not good for his coaching clients!

There’s a book called “Who Moved My Cheese”… there’s a follow up book called, “Who Moved My Mouse”! Unfortunately Mike is teaching his clients not to bother looking for the cheese, or for the cat that’s looking for you!

The “other” Chris

Joan Defenbaugh says:

March 16, 2011 at 12:16 am

Not finished watching all of it yet, but I just want to say that the job of a sales person is to SELL.

Yes, talking to people is a huge part of the job, but “how” we talk to people is the huge shift (Get it, “Shift”).

Ok, back to the video now and I’ll be able to concentrate since I’m not thinking about my comment :0)

As always Chris, great job. Rest up.

Kevin says:

March 16, 2011 at 12:20 am

I heard the same type of talk as Mike Ferry from the Floyd Wickman people. They also totally discounted social networking. The trainer asked the class who has made money off of social media, and me and a few others raised our hands. He said, see only a few, however the average age of the people there was probably 60 and most of that room was hardly making any income. I think there needs to be a blend of old and new types of ways to create leads. My I believe strongly in social networking, blogs, to setup the ‘belly to belly’ time.

Brian Morgenweck says:

March 16, 2011 at 12:26 am

It’s a real shame they let the fight go on through all the carnage! Matthew Ferrara won by Tech-Knock Out early in the 1st round! The rest of the time was a shame to see Mike Ferry back-stepping & holding the ropes. Perfect example to prove Matt’s punch: I had an old friend I haven’t seen in 20+ years call me last week. He found me on Facebook. As it turns out, he’s a developer now & I own a brokerage. We got to talking & he just got approvals for a $14Million project he’s interested in me listing because he likes some of the things I do with technology that nobody else he’s spoken with has a clue about. If he tried to call me on my home phone, he never would’ve found me. I don’t have one. Matthew Ferrara holds the belt!

Yalda Alawi says:

March 16, 2011 at 1:44 am

Why can’t we have both???

I went door knocking this morning, around a just listed. I had really great face time, one on one with people, which is more instantly personal than any ‘personal’ contact you are trying to establish online or through social media. I only go door knocking a couple of hours – I may go for up to 3…. It works! It has been proven to work.

Now on the other hand, I also blog, vlog, FB, and Tweet. I have made great contacts that way, too. I can do that in the afternoon, after I do my ‘Mike Ferry’ stuff.

Social Media is about being recognized and then compelling the buyer or seller to call you because of the authority/expertise/knowledge you convey – but it is passive, it is about ‘being recognized’. With Mike Ferry’s techniques, it is about going out and ASKING for the business, not just waiting to be recognized.

Social Media is about casting a wide net to “catch” your clients, Mike Ferry is about jumping into the sea to grab them. Both work, as long as you do it – consistently!

Ron Zupko says:

March 16, 2011 at 1:48 am

They both have valid points. I haven’t seen anyone weigh in on the type of market you are working in though. If you specialize perhaps in the ‘SRES’ type of category, then perhaps Mike’s methods may be more viable for quicker business. However, if you are going after the first time buyer or younger crowd, I believe you had better be conversant in the SM world. I thought their best point was why can’t Realtors be utilizing both methods. I’d be willing to bet that the folks doing the most production are using a combination of both of these as well as many other different types of marketing. But that’s just my opinion.

Eric Hempler says:

March 16, 2011 at 3:47 am

I think what Mike is really trying to say is we need to be MORE aggressive in regard to talking to people, don’t just sit behind your computer. I also agree with Matt, look at every option to contact someone.

Tony Gilbert says:

March 16, 2011 at 3:48 am

I’m entering my real estate career at 40, after having owned (and recently sold) a successful e-commerce venture for a few years. Obviously, I have ooodles of social media (SM) experience. I have found that while YES, it does work, it will not work nearly as effectively in Real Estate. In fact, I feel it can take MUCH longer to build trust online than in person – not to mention, holding someone’s attention.

I find that no matter the age, many people tune-out most of what they see online as simply “yip yap” – which is probably best. Yes… they may in fact interview with an agent they ‘met’ through SM, but they’ll eventually get down to “real” business. In other words, no matter the method of contact, most agents will be on an equal playing field when sitting with the potential client/customer for the first time.

I highly doubt that even the youngest, most “tech savvy” buyer/seller is going to expect anything less than the utmost professionalism from their agent. Anyone relying solely on SM is going to be missing a lot of opportunities, just the same as someone relying solely on any other method – old school or not. Finding a good mix is best.

Derek Overbey says:

March 16, 2011 at 3:49 am

I’ve known of Mike Ferry since the early 2000′s and he’s always preached the “turn and burn” philosophy. This method has made him and a lot of his clients a ton of money.

I’ve known of Matthew since 2009 and he takes a more “futuristic” approach to business which is making him and some of his clients some good money.

While I feel there is still room for both methods today, I really believe the consumer will dictate how they want to interact and work with an agent in the near future. And all indications point to Matthew’s FUTURE.

Joe Rath says:

March 16, 2011 at 3:51 am

Love hearing this debate, I hear it around the office all the time!

Thanks for sharing, Chris. However agents want to cultivate meaningful relationships is just fine, but it has never been easier or more accessible to do than on social media outlets.

We are all salespeople, why else would we be in real estate? We just go about building relationships and maintain them differently.

Fred Shocklie says:

March 16, 2011 at 3:59 am

I have successfully following Mike Ferry’s plan and was in his one-on-one coaching program. My take is that it boils down to two main things: create a business plan and have someone hold you accountable to that plan. However you choose to find clients, you must be consistent and you must do it! That is where most agents fail. I think social media can be a huge trap of “busyness.” Monitoring and commenting is a huge time suck and if you are not careful can take away from actually finding people who are ready to do business. Mike Ferry makes you concentrate on people who are ready right now. You don’t throw out ones who aren’t but he doesn’t let you get away with any delusions by counting people who really aren’t ready to do something. The facts are that the world is moving online and if you want to compete you have to be there but that doesn’t mean “old school” methods should be thrown out.

Amanda Cornelius says:

March 16, 2011 at 4:00 am

I love watching Mike Ferry – he is so cool.

I think that there is room for both. In our office we have agents that use all the latest technology tools and are heavy into social media. Some are very productive agents. On the other hand, I would say that the vast majority of top producing agents in our office are not very “tech savvy” (yet). I don’t think there is a magic bullet or any one way to market a listing or expand your sphere of influence. I am a big proponent of technology but I see the value in traditional salesmanship as well. I think conversations like this are very good for everyone.

Michael-Edward Cruz says:

March 16, 2011 at 4:16 am

I have always done business thru online marketing and referrals. It was only recently that I heard of Mike Ferry.

He is just a great salesman, I worked with ‘salesmen’ for many years when I was a kid as assistant to a VP in the Patio Sales biz. Most of these guys didn’t even know how to turn a computer on! But they were really good with people.

One day I asked the sales manager about selling for him one day, he looked me in the eye and said, “You are not salesman material, you should stick to your computer ‘stuff’”

Sales people have always felt this way about Tech Savvy People.

In my opinion, Mike Ferry helps people like me to break out of our shells and get the confidence to get NOW business. It has helped me tremendously, for example I went out today and I met 1 good prospect. My prospecting partner got a listing appointment for tomorrow and we were only out for only 2 hours! So this is not about new or old school… it’s about people and personalities. I recommend us Tech Savvy agents learn and try to adapt Mike Ferry Coaching into our business so we can excel in this business.

Thank you for letting me share my opinion.

Brian Morgenweck says:

March 16, 2011 at 4:23 am

Either way, it’s a bridge…online > press the flesh and offline > virtual as well. Be where the prospects are & “feed” them whatever info they’re looking to consume in whatever spoonful of sugar makes their medicine go down.

Angie Perez @AgentKnowHow says:

March 16, 2011 at 4:25 am

I am so glad I am confortable in using both the old school and new school methods of real esate marketing. The future is now. Pick up the phone, make the calls, set the appointments, and spy on them via the social network. Social networks have made it easier for me to time the market, attract new clients via content and enagement instead of a property. But it doesnt matter how the point of sale is generated. What matters is how well you take care of your clients and how you convert your face to face interactions into closed sales.

Serita Diana says:

March 16, 2011 at 5:26 am

I think that a combination of Mike’s door knocking and adding in the tech is what will work best. As an agent I was trained by a Mike Ferry coach and know it works well, but I do think that today’s technology plays a major roll in real estate today. Too many of the old school real estate people are totally overlooking how powerful social media is.

Tina says:

March 16, 2011 at 5:30 am

I am definitely not old school, most of my clients communicate via text, pm on FB and email, whether they are in early phase or in escrow. I would not discount building personal relationship and normal networking method to gain business but social media or web 2.0 is undeniably the next generation business model. Think back 15 years back, did pager phenomenon stopped the way it reinvented the way we communicate now? I would say same thing with how we market to client. I like to think web 2.0 is working smart but to each it’s own but as for me- Matt ruled! Peace!

Tom Hernandez says:

March 16, 2011 at 6:06 am

Chris- There are many points I could debate but I will stick to a couple. Mike seems to feel like everyone needs to make money today and his tactics will make an agent money TODAY! Of course that would be nice but I am sure the real estate industry is not a hustle or flip cup so the transaction takes time and relationships need to be cultivated. This takes time and the more we know about our consumer, the better we can serve them.

I just feel that Mike does not have a consumer centric approach. It is all about ME, ME, ME and what is best for me to make a Buck TODAY! Consumers are more informed today and I feel this type of approach will be the demise of like minded REALTORS. I also get an image in my mind of a “Used Car Salesman.” I am a salesman but my concern lies with my client and his/her needs; not my mortgage which is due or a new car I want to buy.

I like them both but I agree more with Matthew than Mike. I am not a Top Producer but I am climbing up that ladder but most importantly, I am building relationships which will yield me business today and tomorrow.

Linda Early says:

March 16, 2011 at 11:16 am

I think that both Matt and Mike have valid points. The most important point is “how do our clients and customers want us to communicate with them”? Social media is a very important form of communication but so isn’t the face to face interaction. We are all in sales but we are also in building relationships. Whichever method we choose to accomplish that is what makes a real estate agent successful.

We need a blend of all of it.

Laurie says:

March 16, 2011 at 11:34 am

In real estate you need to cultivate and maintain relationships – social media is a great tool for that. You also have to adapt to the communication style of your client…. many people are much more comfortable and more likely to respond to you on a social media platform. #justsayin

Steve says:

March 16, 2011 at 3:23 pm

It all depends on what your goal is… Do you want to do 150+ trans per year? Facebook and twitter will NOT get you there… You have to be on the phone all day everyday. Social media is great to stay in touch with past clients and let them know about upcoming events and discounts you may be able to offer but i still think most people want the aggressive realtor who SELLS homes… Out of all the agents in az that are over $750k gci my team included, none of us got here via social…..

Cari Gennarelli says:

March 16, 2011 at 3:29 pm

Thoughtful comments. Didn’t read them all but agree with Brian, Kevin, Yalda and Ron. My market is dominated by old school agents with many who still resist all forms of social media. Some have jumped on the bandwagon and are making it work with a combination of both and continue to be successful. I have been in the business for two years now and feel a little battered with info from both sides. Are Open houses a waste of time or a great way to meet new buyers? Should you spend your time chasing FSBO’s and expired listings or listening to 20 and 30 somethings on twitter and facebook? I agree that a combination of both is needed to succeed. I have not received any direct business from Social Media but have definitely expanded my sphere. Shared great info and learned a lot about my colleagues and peers by listening. My take is if you are new to the business and have embraced social media but haven’t given up on the old school ways it just takes a little longer to build momentum than it use to. My focus is and has been building relationships. Offering value, being helpful, giving the gift of time and then asking for business.

What do you think?

Active Posts

Share Your Twittersphere ?...

5 Comments

Margaret Vechy, Residential Re...

No Comments

Tech Savvy Agent at the Keller...

5 Comments

HootSuite Training Video...

12 Comments

New Posts

Mike Ferry vs. Matthew Ferrara...

The Queue | The Thank You Econ...

Mar 11th, 2011

Top 3 Ways At #WINNING On Twit...

Mar 10th, 2011

Free eBook: Cracking The Craig...

Mar 3rd, 2011

Google Says Goodbye To Content...

Mar 2nd, 2011

Good News

2011-03-14T14:21:00.001-07:00

http://bit.ly/ikvr7m

Advancing technology allows ever-smarter homes

2011-03-08T10:42:00.001-08:00

http://bit.ly/ieCL5P

There are really two sides to the "smart" label. One side is smart in terms of a home's resource consumption -- water, energy, construction materials and so on. The other is smart in terms of intelligent systems that control the house. We can start on the resource side, because this is where a lot of the monetary benefit comes from.

Are We Back In the Land of Affordable Housing?

2011-03-05T08:44:00.001-08:00

http://bit.ly/fZYrH8

I can hear the sound of gasps as those on bated breath begin to breathe again. This year may be “the end of the housing crash!”, according to The Wall Street Journal, (WSJ).

Squeezed in, but abounding in open space

2011-03-05T08:43:00.001-08:00

http://bit.ly/dKs8bm

But the skyscraper is not the only tool that’s available for creating livable, high-density urban fabric to combat suburban expansion. With some imagination and ingenuity on the part of planners and their political masters in city council, laneways and little streets and neglected nooks and crannies of the city could be opened up to a kind of intensive, small-scale housing development that is now highly restricted by law.

The 5 Business Building Methods

2011-03-05T08:07:00.001-08:00

Performance Coaching by John DiGiovanni, the Realtor Coach

Today we are going to discuss The 5 Business Building Methods: Concept:

Quote: “Ninety-nine percent of all failures come from people who have a habit of making excuses.” – George Washington Carver

What is your reaction to this quote and what does it mean to you?

Today I am going to discuss the concept of Business Building Methods. Each Business Builder Method represents one method of building your business. What do you think a “Business Builder Method” is? Each module represents one method of building your business (FSBOS, Expireds, Open Houses, Calls around listings/sales, etc.). (FSBOS, Expireds, Open Houses, Call Around Listings/Sales, etc...)

Think of this concept as the diversification of a financial portfolio. The goal is to have multiple streams of income and diversify your business development.

Most agents have on a few Business Builder Methods such as floortime and SOI. However to eventually achieve a 6-figure income; you will need to have five Business Builder Methods.

When coaching agents to a 6-Figure Income this is a 3 month process for an experienced agent and a 5 month process for a new agent or less than 2 years in the business.

Contact me for further coaching on Business Building Methods and a Free Coaching Session!

My name is John DiGiovanni, manager of the Coldwell Banker Plano Office and you can contact me today for your free coaching session @ john.digiovanni@cbdfw.comor visit my website at www.cbdfw.com/johndigi

Current Real Estate Market Conditions

2010-04-27T13:11:00.000-07:00

What are real estate professionals saying to homebuyers and sellers about current market conditions? The successful brokers and sales associates are talking about the strengths that exist in the market. Below are positive angles that appeared recently in the media and underscore why it is a good time to buy real estate.

NAR: Existing-Home Sales Rise in March Mark Expected “Spring Surge”
Buyers responding to the homebuyer tax credit and favorable affordability conditions boosted existing-home sales in March, marking the beginning of an expected spring surge, according to the National Association of Realtors®. Existing-home sales, which are completed transactions that include single-family, townhomes, condominiums and co-ops, rose 6.8% to a seasonally adjusted annual rate of 5.35 million units in March from 5.01 million in February, and are 16.1% above the 4.61 million-unit level in March 2009.

According to Lawrence Yun, NAR chief economist:

• “Sales have been above year-ago levels for nine straight months, and inventory has trended down from year-ago levels for 20 months running. The homebuyer tax credit has been a resounding success as these underlying trends point to a broad stabilization in home prices.”

• “Foreclosures have been feeding into the inventory pipeline at a fairly steady pace and are being absorbed manageably. In fact, foreclosures are selling quickly, especially in the lower price ranges that are attractive to first-time homebuyers.”

• “With home values stabilizing, a revival in home buying confidence will likely help the housing market get back on its feet even as the tax credit impact disappears.”

-- “Existing-Home Sales Rise on Home Buyer Tax Credit and Favorable Market Conditions,” National Association of Realtors, April 22, 2010.

dotJenna: What Every Sales Person Should Know About Social Media

2010-04-07T16:20:00.000-07:00

Written by dotJenna
Posted with Permission. (c) 2010 dotJenna.com - All Rights Reserved

I talk to sales professionals, entrepreneurs and real estate agents across the country daily about social media sales and marketing. Many folks call to inquire about ways I can help them implement social media for their businesses. These well meaning, successful Americans, naturally want a Quick Fix. Real-time lead machines magically poof-ing prospects at their door for $500 a month. When I tell them that they need to roll-up-their-sleeves and get into the process themselves, they freak. How (shaking my head) can I get them to understand? They think social media wastes time, when it’s more likely to be their ship that has just come in.

Failing to personally embrace social media in your sales process is like writing on cave walls after Gutenberg invented the printing press.

I understand the logic of the die-hard sales people who are so driven they can’t fathom getting online to make “friends.” They’re thinking in terms of the old rules–those of selling to disconnected, uninformed consumers. What these highly successful sales pros don’t see is this: While you’ve been working your butts off to make a buck, technology has changed the world. Welcome to 2010.

You can’t put old wine into new wineskins. (Matt. 9:17)

Consumer minds are now stretched. Power has been redistributed to Everyman. The world is different now, with industries melting into the Land of the Nerds. Your approach to marketing, advertising and sales will have to change, or risk the fate of the cassette tape. Let’s explore.

Yellow Pages are dead. The yellow pages no longer work. Where do you go to find business products and services today? The web.
Newspapers are dead. The publishing industry is struggling. Advertisers aren’t getting the return for the expensive ads they purchase because people aren’t reading the ads anymore.
TV Commercials are dead. People have options today, and are no longer forced to sit through commercial advertisements.

What am I trying to say?
I’m saying that in the same way traditional marketing tactics are no longer effective, traditional sales tactics alone are no longer adequate. Even the way we generated leads last year is different from today. There are better, faster, easier ways to get the job done and make sales. Social media paves the way for you to make an epic dent in this world. There is no better time in the history of mankind to be hardworking and ambitious!

Armed with all this knowledge–and a lot more that won’t fit in this article–I wince when I hear my favorite people in the whole wide world (Sales Reps, Realtors, Entrepreneurs) discount social media selling with objections like this:

“I want to focus on selling.”
“I don’t have enough free time as it is.”
“I don’t have time to play on the internet.”
“I am looking to save time, not create more work for myself.”
“I just want to pay you to get me leads.”
“I don’t want to learn anything new.”

How can I help you to see?
I’m sure you’re convinced that everything is going online, including your target market. Right? (See, I knew it–convincing you of that is not the problem). The great Eureka! that must take place involves you. The last frontier is helping you see that the “everything and everyone” includes **YOU**.

Yes, you.

You too must change your sales and marketing strategy to embrace the dawn of new media. The same way Facebook has connected you with every high school friend under the sun, it can help you connect with your target market. You must learn to blog. Write. Post. Build an audience. Bond with your prospects online. You must be a rock star and learn to use social media tools to sell yourself in this new world. Sales people everywhere must digitize ourselves and our sales processes to achieve hyper-results in this hyper-connected world.

Sales people must digitize themselves and their sales efforts via social media to achieve maximum visibility in their marketplace.

The key for the sales professional, is getting personally involved in the world of new media, and realizing that doing so will actually increase your effectiveness, not waste your time. You will find that you can do more, reach more people, and achieve your goals faster, and envision your wildest dreams simply by learning to use the free tools all around you.

I’m not saying it’s easy. I’m not saying there’s not a learning curve. It’s not and there is. What I am saying is that you owe it to yourself to explore the ways social media can help you sell more, do more and be more. If you have any questions, comments or issues with this article, I urge you to comment in the area provided below. If you want to learn more about how I help sales peeps “connect the dots” and to become social media super stars, please find me, **dotJenna**, on Facebook here: http://www.facebook.com/dotjenna , or my website at http://www.dotjenna.com/ .

Generating Business Through Your Sphere of Influence

2010-03-30T16:11:00.000-07:00

"The time to change is when you don’t have to; when you’re on the crest of the wave, not when you’re in the trough." ~Robert J. Kriegel

A “Sphere of Influence” or SOI is one of the best sources of generating business and should be a business development “foundation” for all real estate agents. Most buyers and sellers choose an agent based on a personal relationship or a referral. If a SOI is properly worked, it can provide an agent hundreds of thousands of dollars over their career. It probably won’t surprise you that most real estate agents do not properly work their SOI

All agents should strive to have a minimum of 100 people in their SOI. The goal is to increase this number every month.

If you ask someone who their doctor, lawyer, accountant, financial advisor or hairdresser is, they would be able to state a name. If you ask most people who their real estate agent is, they don’t have a clue. We want to train our people to think about you when it comes to real estate and recognize you as their source for all of their real estate needs.

Building Your SOI Database

The first thing we need to do is build our database. Here are some tips:
• Start with your personal address book.
• Focus on people who live in your ESA.
• Go through your checkbook register. Add names of people you do business with. It’s payback time!
• Do not add someone’s name for the sake of adding names. These are people that you and your family know of and there is some name recognition.
• Add your doctor, lawyer, accountant and other professionals.
• Schools, houses of worship, clubs and organizations, volunteer work, sports and recreational activities, political groups.
• Neighbors and previous business associates. If you have a spouse or partner, don’t forget their SOI as well.
• Since the number of people we don’t know is larger than the number of people we do know, you have to give this serious thought. Old leads from open houses, ads and signs. These people may re-surface in the future.
• Old leads from prospecting activities that have decided not to move at this time. (Expired and FSBO)
• Referral agents with your company and agents who left the business.
• Strive to add a minimum of one new name per day.
• Consider using a contact management database software like Top Producer or Agent Office or create an Excel Spreadsheet. You need to systematize your SOI database so you are more organized and have the ability to create mailing labels and a calendar of activities effortlessly.

The 2% Rule
What is the 2% rule? When an agent goes through their SOI database just one time, 2% of their list will do business with them or refer them over the next 12 months. So, if an agent has 100 names, 2 transactions will come from their SOI in year one.

The 10% Rule
What is the 10% rule? When an agent contacts their database by phone or in person four times a year and sends a mailing twelve times per year in year one and continues these activities in year two, 10% of their list will do business with them or refer them in year two. So, if an agent has 100 names, 10 transactions will come from their SOI in year two.

Can you imagine if this system is consistently worked, how much business an agent could generate when their database gets up to 200 or 300 or 400 names?

Photo Credit:

http://www.flickr.com/photos/jeffkrause/ / CC BY-NC-ND 2.0