Hi folks. Early last year I made the decision to change my real estate business over to a virtual business. By this I mean I wanted to create a buisness where most of the listing and selling was done over the Internet. I made this decision for two reasons:
- Rapidly declining property values
- Huge increase in short sale listings.
The first made it no longer cost effective to drive around for days showing properties and the latter made it easier to take listings without having to meet with Sellers.
Right now my business is about 90% virtual. Not sure if I can get that percenatge higher than that as there are still Buyers that will need to be shown property and there are still Sellers that will want to meet face to face.
So I'm starting to get pretty good with working Internet leads.
Having been in sales of some sort most of my life the most important thing I have learned is...do NOT sell folks. My job as a "sales person" is to persuade people to make decisions that are beneficial to them and to me. TLW says I am a manipulator. She's wrong. I am a persuader.
You must remember folks who use the Internet are after one thing, information. This is VERY important to understand. They do NOT want to be sold. If you try to sell them the game is over.
Your response back to an Internet inquiry should be designed to:
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First and foremost....answer their questions.
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Provide additional information.
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Be non intrusive.
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Build trust and likability.
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Invite further interaction.
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Let them know you will be following up.
Now having a blog goes a long way to achieving these goals. I have already written several posts on how to push your information at folks so I won't repeat it here. Here are the links to what I have already written.
The key is to get your information in front of them without selling. What this does is create a non threatening environment where the consumer can get the information they are searching for without feeling like they are being sold or coerced into dealing with a "salesperson" when they are not ready.
You want to be a resource. A source of information that the consumer sees as valuable. You want them to feel comfortable enough to come back. And they will come back if you have the information they are searching for.
If you have spent any time at all reading my blog, then you know, that I rarely sell my services. I don't have to. When the consumer reads my posts they are getting valuable information. They contact me because I am giving them this information with no strings attached, it's free for them to use as they choose.
Also remember, people are on the Internet searching not only because they want information but because they want it quick. If you do get an inquiry you must respond immediately. If you don't respond instantly or at a minimum within a couple of hours you can be sure they have moved on.
You will have more success converting Internet prospects by sending them "anything quickly" than sending them "something more comprehensive" later.
OK that's it for today. Hope it helps. Any thoughts?
Bryant Tutas
Broker/Owner
Tutas Towne Realty, Inc
Licensed Florida Real Estate Broker
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Reserved Parking For "The Lovely Wife"...TLW...ROAR!
Hun...
Did you just say I am "wrong" out loud?
Are you nuts? :)
TLW...ROAR!
Very very cool. I believe ya. But what I also learnt is that just providing information is not going to help. You must also push persuade for the information seeker to choose you over another agent.
So how would you suggest that? Write another post please!
I like the ideas here and will be interested in seeing how it works out. I still drive folks around to look at homes and for some reason, Austin is a place where people still want to get nose to nose. We don't have the same market as you and that may be the main reason.
PULL vs. PUSH??
In the classic sense, I believe that you are, indeed, practicing PULL advertising.
You're not cold calling. You're not knocking on doors.
What you're doing is putting your information, capabilities and contacts, expired letters out there and the consumer is coming to you.
I do the same thing. The nice thing about PULL advertising is that when the consumer contacts you, they are usually in the mindset to receive your help.
After all, they contacted you.
Totally agree. Glad the business model change is working out for you so far. Might be the wave of the future after all. Brick & mortar is sooooo costly. Still thinking about that manipulator vs. persuader?
Working on improving my virtual factor as well. This is certainly getting interesting. Having a mobile office has been a huge plus. I pop in and out of accounts all day and e-mail tag has lead to some great referrals. :-)
Hi, Bryant.
I'm interested in pushing your point about selling vs. not selling the Internet leads. I'm wondering how that would or should apply to the posts that we put on twitter and facebook. What can we post that invites comments and interest but does not hard sell? I know what I think . . . but what do you think? Also, I like updated profile picture!
Bryant, you are SO right. I get annoyed when I am sold online, so we should treat others like we want to be treated. Thanks for the food for thought!
Hi Bryant ~ I Agree 100% with your philosophy. My biggest problem when I got into real estate was the term "sales person". I don't sell anything. I help people make decisions that are good for them. Lots of times the decisions are good for me too. Sometimes they aren't. I'm not sure that either manipulator or persuader is right...I think consultant or adviser is closer. (Although admittedly both of those words sound a little boring - And I don't think either of us would put ourselves in the boring category would we?:-) OTOH, thinking as I write, I guess there is some persuading involved if the client has difficulties making decisions - and some do, don't they?
Denise
This nwas indeed very helpful, in so many ways. But I think we need a little more direction on how to accomplish that...
Great videos!
Linda Metallo, Re/max Impact, Lockport, Il.
Bryant,
First you make me LOL. You also intrigue me. i'm currently looking for an on-line business model and again you intrigue me. i'm going to take a look at your blog and learn.
AR Rocks!
BB - I have bookmarked all of this and need to find a way and time (ha ha ha) to get some of this done for my business too.
I think it's great so much of your business is virtual. I only hope that I can have the same success you've had.
Bryant, your bullet points for your response back is a classic!
Bryant,
As a Virtual Assistant I too believe that going virtual is the smarter way to go. It is more cost effective to hire a Virtual Assistant who is an independent contractor and that you pay by the hour rather than have to deal with all the costs involved with an employee. I try to make my posts informative and offer information that my readers will find useful in their business. I am also a great believer in chemistry and that the client Virtual Assistant relationship has to be a partnership where both parties benefit.
Good post as usually :)
I'm glad it's working for you, but what will you do when the market shifts say to a buyer's market? What about when the short sales dry up?
BB - I completely agree with the practice of giving away info and following up with something. So important. For awhile now, when I email people I have spoken with, I always provide more info than they thought they were getting. Many people like this.
I find that my internet prospects are ready to go but waiting to sell. I know that the relationships that I build with them over the next six months bring me results for my efforts. You can't put everyone on autofollow, Information is sugar and they will follow the trail when they are finally able to sell and buy.
BB, very interesting for sure. I know I can't do that here, won't work. We are not in the same situation at all. Buyers are not buying sight unseen, and sellers need us to come over. But I like how you have adapted!
People are calling me, which is a good thing. I credit what I have done online for that.
Good luck with your VO!
Bryant, I love the high percentages from the virtual leads area. That is tremendous!!
Greg, I have been selling real estate for 15 years. When the market changes I'll already be there. I have already gone from listing almost exclusively to having about 75% of my business being on the buyer side. I think anyone who has been in the is busienss for more than 10 years is good at reading the market and adapting. Good question.
BB...
It's all about meeting the needs of the client, and if you can use the Internet as a business platform then why not? It doesn't make any sense to do anything else.
Bryant, this post is great and very helpful. I am a newbie and my focus is obtaining and selling internet leads. AR has been awesome and posts like yours are very much appreciated. Thanks!!
Bryant:
I have been tring to move in that direction too. I have bookmaked the post and will be interested in others comments too.
I totally agree with you about being a source of information. Even though many Internet prospects act like they know a lot, when you start talking to them they eventually reveal that they really don't know much about the process and really are looking for someone they can trust to help them out. They usually are reluctant to come out and say that they're scared and need help but that's what it comes down to. By being knowledgable and confident, you can get them going down the right track.
BB - Your business model speaks volume to the way you have adapted to the changes in your market. Our market here in no way compares to yours and would make it no pun intended "virtually" impossible to work the way you do.
On the other hand I'm finding more leads coming from the internet this year than I've ever seen before. I attribute that to consistent blogging on Active Rain and to the buyers who are rushing to take advantage of the lowest prices we've seen in awhile for homes and the first time homebuyer tax credit.
BB, thanks for the post and the information. I believe we must evolve with the market, just as you have switched to mostly buyers. You seem to be so adaptive, that I'm sure you will be ahead of the game when the market changes.
BB- There's that "expert" word again....you are SO gonna tick some folks off! LOL TLW is wrong incorrect ...you ARE a persuader and she is part of the package...she helps persuade folks that you guys are for real...and experts. And forget about going 100% virtual....too many folks would like to meet you in person!
Two things: Great statement here - "You must remember folks who use the Internet are after one thing, information." Second to this point - in my experience one must be careful to provide information but within that info let the client know you can help them with their needs. i.e. some people I did purchase loans for have no idea I can refinance them - seems common sense - it isn't to some folks. Likewise in the past I've answered questions for people and they have used other lenders because after I provided the info, I gave no call to action, no matter how soft the sell.
BB,
I've gotten Internet leads where I've never to this day met the owners.
People want to see the properties here in the Detroit area. It would be great to sell a house with out ever seeing it.
BB, thanks for this post. It explains a lot! I really like this idea of pull don't push. Much to consider here!
Hi Bryant -- Your business model rocks and is the envy of most every agent. You have it down pat, and your experience, expertise and commitment to putting clients first shows.
You have a great set of suggestions here - information is king when the readers can pick and choose where they are going to land.
Bryant, good job. Everything you said is correct. Quality content drives quality leads easier and faster than ever these days. Content is everything, but the way it is presented is key.
Bryant, you have given a great example of adapting to the market and virtual office is working great for you. I love your tip -
"You will have more success converting Internet prospects by sending them "anything quickly" than sending them "something more comprehensive" later."
Those are some great points and some great pointers. I think that if it is working for you, stick with it.
BB - I definitely agree with you that Internet leads do not want to be sold to.
I agree with you that people want information and they want it fast. My goal is to be the source of information for everyone that wants information about property in Williamsburg, Va.
Bryant- DITTO! We do about 80% of our listings online and we just had a buyer contact us through active rain blog and ask us to write an offer on a property he has not seen but wanted Nestor and I to do it because of his reading our blog and felt we would know how to be there for him. Buying sight unseen, the numbers just have to work. He knows exactly what he wants. So this will be the first buyer we have actually worked with this year. :) Because we only do listings. 80% of our listings are over the phone and email. But we still have our expired campaign for our luxury niche that falls into the hands of the people who don't use the internet to get their info. We do that have that here:) I know, hard for most on the west coast to believe! So we can only reach 80% virtual right now unless we change our niche which we don't want to because the luxury niche has only gone down 9% in value compared to the 200K range this past year that dropped another 27%.
Broker Bryant: Your push vs pull is very interesting. I like it when the seller or buyer calls me wanting information. Great blog post.
I agree with most of this. But I refuse to just give out free information to everyone. Example: I got a request from someone who wanted to know the association fees in my neighborhood... AFTER they told me they were interested in a specific house that is listed in our MLS. Hello! That means they've already seen the house and their REALTOR didn't know the answer. So I responded by asking them if they'd lke to see the inside of the house (I played dumb), and offered to represent them, and provide any information they needed. I ended with a statement about us having to pay two association fees here and asking if they needed just ours, or both. They never responded again. So if they won't let me budge them by even half a step, then they're trying to use my knowledge and I'll receive nothing in return. I don't think so!
Bryant,
Brilliant post. Absolutely brilliant.
I don't have a geographic farm, but I do have a virtual farm as a result of blogging prolifically.
Bryant - Being timely providing information is imperative to success with internet leads. A visitor last week had three emails and two phone calls and told me she didn't expect anything. We exceeded her expectations just by doing what we should have done and what no one else did. Great thoughts and ideas!
Well, this post explains several things to me. And all those several things = trying too hard to be too helpful. These are adults. They know when they want answers and assistance. They know when they're not ready. Mostly they know that. Err on the side of not running them off. 90% Virtual? WOW.
I just really need to know ... do you have desks??
Great points here Bryant. I am really impressed with your 90% virtual business. That's awesome!
We have been on the same track, Bryant... the higher percentage of business done via internet, the lower our costs which helps offset this particular market.
While we've had a high success rate, we are honing our marketing to persuade prospect to follow TLW's lead and PARK ON OUR SITES!
Internet shoppers tend to be all over the board, failing to connect with any particular agent. They don't really understand how we work (I blame NAR for this lack of understanding but that is for another blog and another time).
We are finding that the better educated internet shoppers are on how we work, what we can provide FOR THEM (satisfying the "What's In It For Me" gene) the more likely they are to PARK so that we can truly help them meet THEIR NEEDS.
Any insight/successes you've had in the GET THEM TO PARK HERE department would be greatly appreciated.
You are still THE MAN! Thanks dude.
Good morning all.
I want to mention that this post is not necessarily about running a virtual business. We all get internet leads and this post will hopefully give you some ideas on how to respond to them.
Lisa, You said "So if they won't let me budge them by even half a step, then they're trying to use my knowledge and I'll receive nothing in return. I don't think so!" I want you to rethink that position. Personally I spend a lot of time and money getting my name out there to be the go to guy when it comes to real estate in my area. I will talk real estate with any body at any time. I never concentrate on getting their business. I get business because I'm helpful. How long would it have taken you to answer the question about the HOA fee? Don't you feel that if you took the time to do so you would have built goodwill? Goodwill is the back bone of a successful business. We can never have enough of it. Make sense?
Carla, I do have a desk. It's my house overlooking the pool and the lake :) I "go" to work everyday. I spend about 10 hours a day on my computer. I just started expanding my business and now have 4 agents. They all work from their homes. We communicate mostly via email. Since I am mostly in front of the computer I am always available for my agents when they need me. It's proving to be an awesome system.
Another must do for buyers. I don't care who they are and what their time frame for buying is you MUST set them up on auto property alerts. I'm sure your MLS has this capability. If you are not using it you're missing an awesome opportunity. In my opinion it's far better than a drip campain. Buyers want to see listings. By settting them up with a customized search I am porviding them what they want. It's all automatic. Set them up and forget about them. They'll let you know when they are ready to buy.
Right on the money! Awesome job making the move to virtual business...bet you are loving the lack of overhead as well! I am going to read the other links you provided, I am still learning about how to work my internet business better. Thanks for the post!
Bryant - good post. I follow all your points regarding responding to an internet inquiry. I'd like to add that I emphasize the follow-up. Even if I don't hear back, they are on my email list with an opt-out. I send out short informative market, or any real estate related, emails about once a month. Right now I am closing on two of those internet leads who actually signed on well over a year ago. They weren't ready then, but when they were, they came to me.
Excellent advice, BB.
We are or should be the source of information. Responding asap brings home the bacon.
This is the way real estate is conducted in the year 2009 and beyond. They find us through our marketing efforts, then when they are ready will call us back as someone who was helpful, answered their questions, expecting nothing in return.
This is one reason social media has taken off, and I believe will continue to grow....blogging and reaching out to folks and sharing your knowledge.
TLW is wrong?! Duck, Bryant!
Your business model is my dream. Slowly but surely, I am getting there.
Cheers,
Robin
I agree with you Bryant, just look at the phrase "Google it" That's what people do for everything now.
I especially agree with your comment about the custom search, I have a client who I showed houses to in January and he logs on every other day and I get an e-mail so I know they are still looking as opposed to a drip where you don't really know if they are reading it or not.
It sounds like you have a great system there.
This gets my freakin fantastic award! Thanks for including the links to your other posts. The email to Mr New Seller is perfect. It's not something used in my market but should be.
You got it. Yesterday my first seller call from my blog. She actually wanted an estimate based on sales to fight her taxes ( just like everyone else). Then she pooped the question - can you list my house, you are honest. She caught me totally off guard.
Great post - it looks like I need to do some more reading on the other posts you mentioned!
The "anything quickly" over something more comprehensive down the line is right on track. BB, how are most of the showings conducted? Don't the buyers demand traditional showings? Thanks!
A strange thing happened on the way to the internet. Yes we get buyers, and yes I have gotten short sale people from Google and blogging. But we have gone "back to the future" with dare I say it (Dare! Dare!), paper. We are mailing letters and postcards to les pendens and sheriff sale list, and we are getting listings. I love new school, but a little old school thrown in can be an asset.
I think there needs to be a better distinction between "passive" marketing activities and "active" marketing activities and these should be tied to the primary goals of a) get the listing; b) get the buyer or c) close the deal. Passive activities like writing a blog and hoping that someone will find you is a passive activity. It is generally low energy and is not targeted to a specific person. Active marketing activities are where you will get the bang for your buck, so to speak. You are physically in contact with someone - calling expireds for example. I believe it is these "directed" marketing activities that you will find your buyers and sellers. Everyone's waiting for the phone to ring in our competitiors' offices. We don't wait for it to ring here. Our agents do a minimum of 100 calls, visits, one-on-ones, handing out business cards, etc. each week. We are big game hunters looking to shoot big game, not trappers (and you know who you are.)
Hello Bryant, again great advice and inspiration for those of us on a similar path. J. Gitomer puts it similarly in that customers don't want to be sold but, they do want to buy. Being the expert in helping them buy (whether it is "buying" a listang agent's services or, the services of a buyer's agent) and providing that expertise on a virtual basis is a way to cost-effectively dominate your market. Thanks! John
Hi Bryant,
Excellent post and great mind-set. I agree wholeheartedly about not selling, but rather persuading to make a good decisions that benefits everyone, and always my clients first.
Thanks for sharing your inspiriting wisdom....motivates me for the day!
Tamara
Wow, lots of interesting comments. I absolutely agree that my job is to education my clients to help them make the best decision possible.
Manipulator vs. persuader vs. salesperson? How about consultant? Well, I dunno, it seems like TLW can be pretty persuasive in the videos when she fires that shotgun.
That is amazing that your business is 90% virtual! The Internet allows us to operate our business more efficiently, especially with buyers!
Great piece!
Hi Bryant
Your approach is the wave of the future with an Internet driven market. Pretty soon, those that consistently offer (freely) the most relevant information on the web will be the ones that dominate.
Bryant,
love this post. I can't imagine being 90% virtual. I need to take some lessons for sure! I work with mostly buyers, but I am slowly shifting my focus.
Bryant,
love this post. I can't imagine being 90% virtual. I need to take some lessons for sure! I work with mostly buyers, but I am slowly shifting my focus.
Broker Bryant, I think we all have to keep the distinction in mind between selling, manipulating and persuading.
Bryant-
Sounds like you've mastered the consultative sale. It's the best way to sell, but it's also the best way to live.
I agree, information is the key. They have to trust that you know what you are doing and can help them before you try to "make the sale"
Bryant,
Good post and the net does provide you a very cost effective way of reaching prospects. I think of my website as a gateway to me. It gives me a much broader reach than most other forms of marketing and it has a hug ROI.
It also helps to qualify prospects as well. Staying with them and engaging them without wasting my time with the ones who don't want to engage. If you're doing it right, chances are if they won't engage with you over the web, face to face won't be productive either.
Love hearing all this useful information, a special thanks and I will be reading more!
I totally agre with you. What a great post. I will be subscribing to your blog right now because you did use the no-pressure sale. Can't wait to read more on this topic.
The Internet changes everything. We changed our model as well. We first just did video tours in Atlanta and now we can do them everyone all over the Internet.
I would also say that my business is about 90% electronic. The internet is the new way to market. i get in touch with people all across the country looking to move to Phoenix, rather than just those looking to moving within the area. This is a huge part of our real estate market here in Phoenix. My last four buyers have been from out of state.
Very persuasive BB. The leopard can change his spots. Thanks for the insight.
Great information. Seems more and more agents are going to a virtual office or a mobile office.
Information -- I know that's what I want on the internet....and it's why I'm here.
Thanks for this provision. You Rainmakers are a deep well of information to those of us who understand that we are still newbies in this business.
I am at the point I have buyers putting in offers site unseen because the market is moving so fast; but I still reccomend they see the home before putting the deposit in escrow. I go out and inspect a lot of home for my out of the area buyers and e-mail them extra pictures and give them a report on what it looks like.
Bryant - You are great at what you do. I will copy (ok?) and credit you, but send to my team! Internet leads need attention!
i have to read the other blogs, this is useful kick-in-the-butt reminders.
I do get 90% of my leads from the internet, however, you brought up a few points I do not agree with:
You will have more success converting Internet prospects by sending them "anything quickly" than sending them "something more comprehensive" later.
Are you referring to just an automated response? I always try to answer the question right away (within the hour).
Right now my business is about 90% virtual. Not sure if I can get that percenatge higher than that as there are still Buyers that will need to be shown property and there are still Sellers that will want to meet face to face.
Are you saying you are listing properties that you have not seen and writing contracts on houses your buyers have not visited? I would not at all be comfortable with this. Sorry.
Other than that, I do agree with your post. Thanks.
Great thinking! I always use my blog link with potential clients. They really like that. I had not thought about sending them the Google rankings. Cool idea!
Great post. I am learning so much lately on using the internet to grow my business and you summed it all up right here. Thanks and it is all so true.
Very true Bryant. What technologies are you using for your online work? Just curioius
Bryant- I agree Buyers/Sellers do not want to be sold. They don't want "The pitch" they do want information. Pull works well- I have noticed they will follow for a long time and when they are ready, they are the ones making the first point of contact. 98% of my business is coming from the Internet-
You definitely have mastersed the Magnetic Effect of gentle persuation
BB, you've made me think. Now I need to go and read your other posts.
BB, you've reminded me that I really do need to 'adjust' my response approach to internet leads. I am definitely NOT a pushy salesperson, my focus has been on offering my knowledge as a service professional--NOT a salesperson. However, I need to re-read my 'responses' and tweak them to be even more service oriented for the 'pull' factor. You're 100% on the money about what the consumer is looking for and sales is definitely NOT it! As for adjusting to the market, you've proven, just in the time that I've known you, that you are proactive and forward-thinking regarding your business. You are one that I keep up with on a regular basis because I know I can get excellent tips from you--this is yet another great tip that keeps me on my toes!
Have a fabulous Friday...
This approach is basically the same as ours. I believe you are well ahead of the game because at the forefront, internet surfers want the property, not to search through a page of the trials and successfull tribulations of our expertise and accomplishments, that comes later (Only my opinion). Also IMO you only have scant seconds on your web page for folks to see, oh look, there is the link to the homes, or an email address or phone number. IMO you are also correct that initially these folks want more info, or, on occasion an opportunity to view a property. Debe is right, pushy is a death wish at this critical point. We need to keep in mind, that Google search they made only has 300,000 other websites to visit Lol.
BB,
You are a role model for those of us working to do more business via Internet. I've bookmarked for continued study. Many thanks for sharing your tips with us!
I would like my busines to be a little more virtual thought I don't see anything like 90% as I don't think we have quite the number of investors you do right now.
Also, I agree that we need to communicate as quickly as possible, even if it's just to say, "I received your email and will get back to your shortly with some information."
Bryant - I always love to read your posts. Our business is definitely going more virtual and it's happening at a rapid pace. Our entire MLS is now adding the DocuSign technology. How fantastic is that? While I am in the office every day, I made a personal choice to move into our office because we do still get walk-in's and phone opportunities. Since I show up every day early, I close about 2 extra deals every month relating to my efforts. Other than that, I am in my office working on my computer to 'make things happen'. As I run out to collect a new series of personal photos on a given listing a client is interested in, I save them, and later when another prospect asks for them, I have them in hand and just email them over. It has really benefitted me with those second round clients - they think I am ubiquitious!
I came back to see your answer to my previous comment. And to answer your question, I've spent the last 10 years doing business that way. And it's not working. In my experience, people have changed a lot in the last decade. In general, society has become less willing to compromise on anything. They want what they want, and they don't care about anyone else. So all the good will counts for nothing. Sounds pessimistic? Yep. I've been feeling this way about society in general, for several years. But to expand a bit more...
When I was doing floor time is when I noticed the gradual change. When I received a floor call, I was always very successful with the results of my time there. My system was of a give-and-take nature. I answer one or two questions for the caller, then I ask a question. I then answer one or two more questions, then I ask a question. This kept the caller at ease because I was giving them information without being too pushy. But during the last year that I did floor time, I started getting calls from people who absolutely refused to answer any of my questions. If I asked them if they were paying cash or needed financing, they wouls say something like "that doesn't matter right now. I just need answers to my questions". After a few of those, I quit doing floor time. That's when I started blogging. And the last 3 years of blogging being my replacement for floor time have been productive. But I'm noticing the change is happening again. The ME, ME, ME mentality is becoming stronger. There is no compromise.
In the example I gave in my first comment, I said that I asked the person if they wanted the HOA fees for one, or both of the HOAs. They never responded. I would have answered if they had responded to that one question. But the fact that they didn't respond told me what I wanted to know. They wanted to use me and not work with me. And I'm just not willing to be a doormat anymore. =/
.... I like Loreena's question. That would solve my negative perspective as well.
Bryant - Great post. No wonder you keep getting feature after feature. I would love to get to a point where the majority of my business can be done virtually. Perhaps this will be something I will strive for in 2010.
Well-written blog poost, Bryant...and I believe that one of the greatest incentives real estate agents can offer to buyers and sellers to use them is the knowledge and experience they provide that cannot be obtained through a website. Congratulations on your umpteenth featured post! :)
Leilani