Joseph Barry Martin
By Toby Welch
Are you making the most of your past and present clients to get referral business? The dream of a phone ringing relentlessly with nonstop referrals can be a reality if you implement an effective referral strategy.
The 2010 Realtor Technology Survey Report by the National Association of Realtors in the U.S. shows that 88 per cent of Realtors consider referrals to be a “very important” aspect of generating leads.
Many Realtors agree that staying in touch with clients once the transaction is over is key to getting referrals. By keeping your name uppermost in people’s minds and doing so in a positive way, clients are more apt to recommend you when someone asks if they know a Realtor who will do a kick-butt job.
Joseph Barry Martin, an agent with Pemberton Holmes Real Estate in Victoria, shares how he keeps himself in the forefront: “We call clients three times a year and chat on the phone. We ask them whether they would be willing to refer us to their friends, family and associates. We send out real estate updates once a month by email and Feng Shui timely tips once a month. We treat them to feasts and gatherings of our clients; we cook turkey! We give gifts at Christmas.
“We send them e-birthday cards. We help them in other ways with their handyman and gardening needs. We help them with real estate needs.”
About 90 per cent of Martin’s business comes from referrals.
Most Realtors send out snail mail or email messages, but consider picking up the phone and calling past clients to touch base as well. Most of them want to hear from you and will be glad to chat. You never know where the calls will lead.
Yara Chard
Yara Chard, a sales rep with Valhalla Path Realty in Nelson, B.C., gets about 40 per cent of her business from referrals. How does she do it? “I service the heck out of everyone and go beyond what is expected. I also make a donation with each sale to a local charity instead of housewarming presents and people seem to really like that. I also have a professional website that brings new referral business because people see my site while researching Realtors in this area and contact me.”
Chard offers advice on how to get referrals: “Just ask. Most of the time if you have done a great job for people they are happy to refer business to you. Stay in touch with past clients and remind them that you are still in business and are always looking for referrals.”
A sales rep who prefers to remain anonymous started selling homes in 1990. He found that when he changed his mentality from focusing on selling houses to focusing on building relationships, his referral rates skyrocketed. He did this by putting himself out there as a resource when clients need information, continuing the client relationship after closing, exceeding expectations and providing excellent service.
Timing is important with referrals. You need to get to your future clients before the person is wrapped up in another agent relationship. Don’t wait until you are done with someone to ask for referrals. As you are in the buying or selling process, let people know you are happy to get recommendations. Point out that you will take care of referrals as well as you are taking care of them. People are hesitant to give referrals as they are concerned it might backfire on them down the road. Do everything in your power to take this fear away by giving your clients exceptional service.
Referrals from other Realtors are a vital part of some client bases. Glen McPherson, a sales rep with the McPherson Group through Royal LePage Parksville-Qualicum Beach Realty in Parksville, B.C., attends conventions across Canada to build relationships with Realtors; he normally gets at least one referral for his efforts at each conference. “Referrals are all about trust. The way we build that trust is getting to know the Realtors whom you wish to do business with. Many of the Realtors I choose are a result of a network I have of Realtors from various companies who I call upon to give me their recommendations and experiences of Realtors in a given area. I usually call the Realtor’s broker/manager to verify the choice as well. It is their reputation on the line also and every time I have been given the correct choice for my needs.”
Glen McPherson
McPherson goes on road trips to Alberta and B.C. to visit agencies to build relationships with others in the industry. “It does show those Realtors that if I am willing to go to the effort to make the connections, they can expect I am also prepared to work as hard for their friends, clients, or relatives.”
McPherson says, “Not all ‘big name’ Realtors are the best choices. I have a Realtor in Saskatchewan whom I have sent clients to on three occasions. I constantly have to call the client to see if this Realtor has been in contact with them as I am not kept in the loop. To date, none of these have panned out. I have discovered this prairie lady to be all hat and no cattle. On the other hand, I have done three referrals with a Realtor in St. Albert and each and every time it has been successful. The reports back from the clients are glowing.”
McPherson also gets a portion of referrals from past and current clients. “When these come in we make sure they have top priority. Those calls are made within minutes, not hours.”
Martin shares some parting thoughts on how to ask for referrals, “Just be humble. Give clients a call and ask how you can support them best at this time. Then ask if they would be willing to give you a call the next time they know of someone who needs to buy or sell a condo, town home, or single-family dwelling. Always thank them for their support.”
