3 Secrets To Building A Referral-Based Business
The numbers don't lie! It costs 5-25x more to find a new client than to take care of your current ones. And with 8 out of 10 people starting their Realtor search by asking friends for recommendations, why wouldn’t you put in the extra effort to keeping those connections strong?
Here are a few of our favorite ways to build a solid referral-base business without the stress…
Stay In Touch
Your once-a-year holiday card isn’t going to cut it. Try adapting a behavior based follow up method. Follow your clients on Facebook and Instagram - it’s where they’re sharing what’s important to them and what’s happening in their lives 24/7.
They’ll appreciate and remember hearing from you during the important moments in their lives more than they would with a cookie cutter birthday card. Engagement? Send champagne. New puppy? Drop off dog treats. Even taking 2 minutes to write a handwritten note congratulating someone on their job promotion or wishing them a speedy recovery after surgery can leave a lasting impact.
The value proposition changes when you’re marketing to clients versus prospects. If your clients only see you as “the real estate agent” and not “the neighborhood expert with the know-how,” why would they feel any need to keep in touch?
By providing value to clients after the sale, you remain top of mind and become the no-brainer when it’s time to buy, sell, or refer. An ideal item of value for clients would be something that saves time, reduces cost, lessens anxiety, or provides entertainment. Topics could range from “8 Super Simple Ideas For People Who Hate Yard Work” to “How To Celebrate Labor Day Weekend in the Dayton Area.”
Be consistent in sharing articles that your clients will find useful, send monthly or quarterly market emails for their neighborhood, and host client appreciation events. Nothing says “thank you!” quite like an all-you-can-eat picnic!
Ask For Referrals
If you’re too afraid to ask, you’ll never receive! Let your clients know that your business is based on client referrals and that your knowledge of the Dayton area goes beyond a single suburb.
Try this in an email template to past clients: “My entire business is built on relationships. I am indebted to my loyal customers. My clients refer me to their friends and family because they want them to have the same great experience. I wanted to reach out to first say THANK YOU. I’m reaching out because I’m looking to make new connections. Can you think of 2 people in your network that I should reach out to to help them buy or sell their home?”
When client referrals start coming in, be sure to show your appreciation and send a nice note! When possible, send referrals to your clients who own their own businesses. Even if you don’t know anyone in need of their good/service, you can still show your support by leaving a 5-star rating or positive recommendation for them on Facebook, Yelp, or Google.