Are you tired of being on the real estate roller coaster? Realtors often experience highs and lows in their businesses. Does this sound familiar? You hustle intensely for one week, reap the rewards, and then wonder why you have no new business the next week. The real estate roller coaster won’t help you hit your revenue goals, so here’s how to get off of it.
The Formula
This is the trademarked formula Red Apple Coaching uses to help clients reach their revenue goals. It is designed to work BACKWARDS.
Lead Generation = Leads = Lead Follow Up (LFU) = Appointments = Clients = Revenue
1. Formula
Are you struggling to hit your revenue goals? You should have a target that you are working towards achieving every quarter.
If you’re not hitting your revenue goals, you must look at your number of Clients.
2. Clients
You won’t make the number of sales you need if you don’t have enough clients. And not just any clients, you need enough qualified clients. These are people who are ready to buy within 90 days or less.
At any given time, you should have 21 clients in your funnel. Seven that are urgent, seven in the medium zone, and seven longer-term.
If you don’t have enough qualified clients, look at how many Appointments you’re booking.
3. Appointments
Appointments are for clients who are ready to buy in 90 days or less. Someone who wants to meet with you in six months is not included in this count. You should have multiple new appointments every week.
If you aren’t booking enough appointments, assess your Lead Follow Up strategy.
4. Lead Follow Up (LFU)
When you have a lead in which the person is ready to buy within 90 days, you must follow up with them to set an appointment. 70% of your appointments come from LFU.
Remember, LFU is not the same as Nurture Follow Up (NFU). NFU is for clients who will not be buying in the next three months; they need to be nurtured longer.
Not getting 70% of your appointments from LFU? You need to look at the number of Leads you’re getting.
5. Leads
Leads are considered buyers who are ready to act in 90 days or less. 30% of your appointments will come directly from leads.
If you hold an open house and connect with someone new there who wants to set up an appointment, no LFU is necessary. That lead is part of the 30%.
If you contact someone new on LinkedIn, you must follow up that connection with a LFU which could then lead to an appointment.
The average producer garners 3-5 leads per week. Set a goal for how many leads you want to land per week.
Don’t have enough leads right now? It’s time to assess how much Lead Generating you’re doing.
6. Lead Generation
Never base the number of hours of lead generating you do on a number you heard online or what you think you should be doing.
Look at how many appointments you want to secure. If your closing conversion rate is 70% and you want seven appointments, it means you need to generate 10 good leads. Then, decide how many hours of lead generating you need to do to find 10 qualified leads.
Want Help Increasing Your Revenue and Using This Formula?This formula is proven and effective. We can help you use it and other strategies to hit your revenue targets. Contact us today to learn how.
