It’s time for some brutal honesty: Do you fall short when it comes to initiating and returning phone calls or emails? Do you often fall back to texting or emailing clients, even though you know that a phone call would be more effective? Or maybe you’ve already lost a client due to less-than-par communication skills. (Sometimes it happens and we don’t even know it!)
Effective communication is a tenet to becoming a successful agent, which brings us to #3 in our series of top producer habits: They communicate constantly! (Click here to find the first two articles in the series of Five Key Habits of Top Real Estate Producers.)
Why are we so sure about this?
According to a report from Inman.com’s Real Estate Connect Conference, the #1 complaint from home buyers is lack of communication from their agents!
With so many forms of digital and physical communication available to us, failing to properly and regularly communicate with clients is practically unfathomable at best, and at worst, it’s an unnecessary negative habit that could lead to significantly fewer sales.
Here are just a few figures from Infinit Contact, a company that specializes in customer service:
- 78% of customers abandon a sale or transaction due to poor service
- 70% of purchases are based on how a customer feels they are being treated
- 91% of dissatisfied customers will not do business with you again
- 45% of customers share negative experience on social media
Yikes! Those are some harsh figures. The beauty of this list, however, is that it demonstrates what’s most important in keeping clients happy. So, if we flip this list around and look at the positive side – what can be accomplished through proper communication (essentially, great customer service) — here’s what our numbers could look like, give or take a few percentage points:
- 78% higher client retention through great service/proper communication
- 70% more home buying purchases by treating your clients the way they want to be treated
- 91% more repeat customers (or referrals to friends and colleagues) by keeping clients satisfied
- 45% less negative social media sharing (it’s been shown that people are less likely to share positive business experiences on social media, so a positive experience would theoretically decrease negative sharing)
While we might not be able to flip these percentages exactly and/or make them directly proportional through excellent service and communication alone, the takeaway here is that the best and most-referred agents are superheroes at initiating and returning client calls, texts, and emails, keeping them constantly updated on developments. Any reputable study on sales success will show this to be true for service-related industries across the board.
Peter Drucker, the father of modern business management, suggests that communication in 98% listening. What’s the other 2% comprised of? For real estate professionals, it’s getting your homework done: phone numbers and emails properly saved in your modern Rolodex, calls and appointments scheduled, and deliverables prepared.
The magic formula? 98% super-charged listening + 2% homework = 78% more clients 100% happy.
Want to learn how to improve communication with your clients? Check out the training guide on the Advanced Producer app!