- Time is the number one enemy of lead conversion.
- RE-focused CRM’s are critical for maximizing lead value.
- In-house or Concierge Inside Sales Agents can dramatically improve conversion rates.
Lead response time is critical when it comes to converting Real Estate purchase and sale leads into transactions. Your goal should be to maximize the potential value from every lead you buy. It is critical that you or your team take steps to contact buyers soon after a lead comes into your system.
According to HubSpot, only 37 percent of companies contact leads within the first hour. Building your real estate lead conversion strategy around immediate contact will help you realize immediate market-share and conversion gains over the competition.
Time Kills Leads.
A recent Harvard Business Review study found companies that contact prospects within 1 hour of receiving a lead are 7 times more likely to connect meaningfully with prospects compared to those that wait an hour or more to initiate contact. The longer you wait to contact a potential client, the lower your conversion rate- this holds true for all industries but is particularly pronounced in the real estate sphere.
Why Are Leads So Time Sensitive?
While prompt contact has always been important, the internet magnified that importance to a point where you are losing out on significant market share by failing to contact a lead on time. InsideSales.com reports that 35 to 50 percent of sales go to the company that responds first. That is an enormous share of deals that you can grab by just calling or texting or emailing people on time.
How to Improve Your Lead Contact Time
Once you understand the value of timely communication, the next step is implementing steps to improve your lead contact time. Here are a few practical solutions you can take to improve your ability to connect with clients promptly.
Utilize a RE-Focused CRM
A CRM can help you:
Send Instant Automated Responses in Real Time
As soon as a lead enters your database your CRM will send a message via email or text to that client. Let’s say you are purchasing leads from a digital source which they send to you via email. You can integrate your CRM with your lead source and prompt it to contact the client with a custom message immediately.
Track Your Lead Contact Data.
The first step to improving a process is learning what is working- and what is not. Start by recording you or your team’s average response time to a lead. If you are not contacting these leads fast, find out what is holding you back. Is it a problem with the lead source? A software issue with your systems? Try and break down why the problem is occurring so you can solve it.
Define and Categorize Lead Characteristics
Every lead that comes into your system is unique. Each buyer has different motivations, abilities, and desires. To contact each buyer efficiently, it helps if you segregate each lead by characteristic.
Take Advantage of ISA Teams
An Inside Sales Agent Concierge Service can help you squeeze every last bit of juice out of a lead. An ISA service can also free up your valuable time so you can focus on building client relationships and closing deals. There are two types of ISA teams: In-House or an Outside Team. An in-house team requires you to hire, train, and manage your own team of sales agents. You can also hire an outside team of sales agents to perform many of the same tasks without having to shoulder the burden of building and running a team.
Some of the benefits of an ISA team include:
-Rapid lead response time
-Lead source integration
-Submission and loan management abilities
The Bottom Line
Embracing the value that immediate contact offers your real estate business has a huge potential upside and very little downside. If you are waiting to contact leads you are leaving money on the table. Use these strategies to refine your or your team’s approach to dealing with prospects to see immediate sales gains. Your bottom line will thank you.