It is common knowledge that all the leads at the top of the funnel do not make it through to the end and undertake the real estate journey with an agent in your team. But have you ever wondered what is widening the disparity between the total number of new leads and the closed deals in your sales pipeline? Let us show you -
The massive drop in the number of leads from current leads to the connected stages highlights the most critical aspect that your real estate business's growth hinges on - agent connectivity rates.
No matter how many leads you have at the top of your funnel, most of them slip through the cracks, and your sales pipeline visibly tapers at the bottom. The top of the funnel, also known as the awareness stage, is the most crucial point that most agents do not pay enough attention to. At this stage, the leads are not looking to buy but only to collect information. This is where your agent effort counts the most.
The biggest mistake that most real estate agents make is to consider this stage on a yes/no meter - are they looking to buy or not? At this stage, every micro-step, driven only based on this parameter, will inevitably result in most of the leads slipping through the cracks or stuck in a bottleneck in your sales funnel.
Did you know that around 63% of people found their agent through a referral, and 25% used their previous agent?
Who is a lead in the real estate market? Any person at the top of your sales funnel with even a single point of contact is a lead and a potential future client. This is the stage where every agent has the opportunity to offer value and guide them into the real estate journey that they might take. Your agent's approach will essentially establish that whenever they decide to undertake this journey and become a potential client, your agent will be the one they take their next step with.
Lead Distribution And Routing Methods
Agent On Duty Model
Some brokerages adopt the Agent On Duty model, where one agent or a group of agents are "on duty" for a certain number of hours or days in a week. During this, they are responsible for responding to all incoming leads and their subsequent follow-ups. This method allows agents to manage their pipeline when they are "off-duty" and ensure that no follow up on an incoming lead is missed out.
This method's major drawback is that each agent can face different lead flows based on traffic fluctuations, causing significant variations in their performance and the outcome generated.
Round Robin Model
The Round Robin model is adopted by many brokerages for lead distribution. Once leads are generated, based on the system set up by the brokerages, a lead routing option is enabled where leads are assigned to agents on rotation. The agents are then responsible for establishing the first point of contact and subsequent follow-ups with their leads.
This lead distribution method is most suitable for brokerages with large teams and agents who are well-equipped with technology. A significant drawback of this model is that the type of leads assigned to agents cannot be identified, thus, making the conversion rate of each agent variable.
Auctm's Performance Quadrant enables brokers, team leaders, managers, and coaches to bucket all the agents in the team based on their performance and coaching requirements. This allows you to keep track of your agents performance at a glance and get more visibility on your business after leads have been assigned to your agents. This will enable you to dive deep into individual agent performance and address any choke points in your agent pipeline promptly.
Improving Your Agent Connectivity Rates
Are you talking to enough people? Are you converting your appointments? Can you convert them 5% more than alone will boost the rate up. For lead conversion, are you making enough phone calls? It is all incremental… 92% of people will transact with the person that speaks to them first; hence the speed to lead is very important.
- Robert Slack, Founder & CEO- Robert Slack Team, from Uplift 2020
1. Speed To Lead
If your agent is the first person your potential buyers connect with, there’s a greater chance of conversion. The real estate industry is highly competitive. If you have not connected with your lead today, know that some other agent from another team has already latched onto your potential buyer.
The first and most important lesson you can teach your agents is to connect with their leads as quickly as possible. The first responder leaves a lasting impression. And it is this point of contact that will help you carry forward your business transaction with your potential buyers.
2. Follow Up With Your Leads
If you’re expecting your leads to convert within the next 60 days, you are up for disappointment. Your goal should be to convert as many prospects as you can and not the amount of time they take to convert. After your agents have established the first point of contact, there is a need for consistent and relentless nurturing of your leads in the sales funnel.
As a leader, it is your responsibility to be aware of your agents' performance in terms of connectivity rate, speed to lead, and a detailed view of their follow up pattern. This will help you know which agents need better coaching opportunities and enable your agents to improve their performance constructively.
Auctm's advanced analytics platform helps you view your agent effort through calls, emails, texts, appointments set in the Efforts And Deals Table.
The Efforts and Deals Table of Auctm helps you view the agent effort alongside the outcome generated. You can also compare your agent effort with team average and compare two or more agent’s performance by using filters to customize your view.
3. Nurturing Your Leads
Yes, not all your leads at the top of the funnel will convert. Some will inevitably slip through the cracks. But what can your agents do to ensure that your conversion rates are not falling below a certain level?
Nurturing your leads in the sales funnel greatly impacts the number of leads who will convert eventually. Both patience and strategy are key to a greater conversion rate. But as a broker or a team leader, how will you know that your agents are following up with their leads? How will you implement a customized nurture strategy for the leads that agents on your team are connecting with if you do not have data about their connectivity?
The biggest challenge most brokers face is keeping track of the connectivity rate of the agents on their team. Most agents do not log each call or a follow up with their leads making it difficult to track of their agent connectivity rate.
Auctm's Agent Snapshots helps you have a micro view of your individual agent performance.
This dashboard allows you to dive deep into your agent performance. You can have a detailed view of their current total leads, the number of leads they have connected with, the ones they haven't connected with, and their untouched leads. Auctm's Agent Snapshot allows you to have a scorecard view of their connectivity effort, their speed to lead and a comparison with the team average, and their individual pipeline view to help you detect chokepoints.
The rise of the remote work culture during the pandemic accelerated the use of technology in Real Estate teams. While some agents are still struggling to adapt to the new tools, Auctm's advanced analytics has been designed for modern real estate teams who seek a data-driven approach to their business without incurring the decision fatigue of looking at multiple CRMs and spreadsheets. To help you view essential metrics such as lead connectivity rates and your agent effort that directly impact your business growth and revenue, Auctm integrates with your CRM, Transaction Data, Spreadsheets, and Lead Sources to generate actionable insights.