Welcome back to the Real Estate Insiders Unfiltered podcast! In this episode, James and Keith had a discussion with Dan Foody, the CEO and co-founder of Cloze, a leading CRM software provider for the real estate industry. They tackled the pressing issue of why so many crucial agent conversations never make it to CRM systems and how that impacts your business as a real estate agent. Spoiler alert: the insights are both eye-opening and actionable!
The Startling Statistics
Did you know that 88% of the people agents interact with never make it into their CRM? That’s right; a staggering number of conversations fall through the cracks. When the average agent has around a thousand contacts, they might only communicate with about 300 of them in a year. But even then, that’s just 12% of their total interactions!
Why Does This Happen?
- Transactional Mindset: Agents often think of relationships in transactional terms, believing that as long as they’ve had a conversation, they don’t need to track it. However, many of these conversations are fleeting and don’t translate into long-term relationships.
- Data Entry Fatigue: Agents are overwhelmed with the amount of data they need to manage. The last thing they want to do after a busy day is manually input all their contacts into a system.
- Lack of Systematic Follow-Up: Many agents don’t see the value in tracking every interaction. They might think, “I’ll remember to reach out next time,” but that’s often not the case.
The Communication Solution
So, what can agents do to bridge this gap? Dan emphasized that the solution lies in communication. Close has developed a system that automatically tracks interactions with contacts across various platforms, be it email, iMessage, or WhatsApp. This way, agents can focus on building relationships rather than worrying about data entry.
Here are a few key features:
- Shadow View: The system keeps track of all conversations, ensuring that when an agent decides to add someone to their database, all relevant information is already there.
- AI Suggestions: The system uses AI to identify which contacts should be prioritized for outreach. This feature helps agents engage with past clients and leads at the right time, enhancing the chances of conversion.
The Human Element
One of the most compelling parts of our conversation revolved around the importance of the human touch in real estate transactions. Dan noted that while automation can handle many tasks, it cannot replace the emotional connection that agents build with clients.
Key Takeaways for Agents:
- Personalized Outreach: Instead of sending generic birthday messages or newsletters, agents should reach out with personalized messages that resonate on a human level. A simple “Hey, how have you been?” can go a long way.
- Relationship Management: Focus on nurturing relationships rather than just transactions. Agents should aim to stay in touch with their top contacts regularly, as this will keep them top-of-mind when it comes time to buy or sell.
- Embrace Technology: Use technology to your advantage. Automate repetitive tasks but ensure you’re adding that personal touch where it counts. Whether it’s a quick text or a handwritten note, these small gestures can make a big difference.
Looking Ahead: The Future of CRM in Real Estate
As we discussed, the future of CRM in the real estate industry will likely revolve around the balance between automation and personalization. With advancements in AI, the potential for more tailored communication is immense. Imagine a system that not only reminds you of your clients’ important life events but also provides context for those interactions.
Final Thoughts
In a world where real estate companies are vying for attention, the differentiator will always be the personal touch that agents can provide. By understanding the importance of maintaining relationships and leveraging technology effectively, agents can ensure they’re not just another name in a database.
