In real estate, there’s a lot of talk about lead generation. In fact, we learned in an extensive survey resulting in the white paper: Generating New Business in Real Estate, that purchasing leads was the #1 marketing expense for real estate agents and brokers.
It’s not where most agents get the most listings, however.
Those tend to come from existing relationships, personal connections and referrals. That means there is a discrepancy between where agents spend their marketing dollars and what yields the greatest return.
There is data that helps explain why. Per the National Association of REALTORS®, 88% of consumers say they would use their agent again, but only 23% actually do. So agents -- for whatever reason -- aren’t staying in touch with their sphere in the right ways.
What if instead of treating these as “transactions,” agents used technology to stay in contact with those connections and identify when they might be likely to make another move? That would build loyalty, increase the number of referrals, and significantly increase the value of every agent’s network.
First is using big data and machine learning to help agents do just that.
First is a company that helps agents work smarter. Their software identifies people thinking about selling their home months before they list. This helps the agent prioritize outreach and head off the competition. Rather than purchasing more leads, First empowers agents to cultivate their own contacts to yield a better return.
The technology at First considers more than 700 factors on each person in the agent’s database to assess their likelihood to move. They track the truly important data at scale, including demographics, income changes, purchasing behavior, mortgage information, and life events.
To get started with First, agents simply import their contacts into the proprietary system. The First algorithm generates a Seller Score for each homeowner that alerts the agent when a contact shows signs of movement, generally 6-9 months before they’ve even decided to sell.
Agents use First's mobile app to stay on top of their best opportunities and call or message their contacts with one click. First's Scheduling Assistants will even schedule face-to-face meetings for the agent with people who are highly likely to sell.
First is helping agents take the guesswork out of their network. Real estate is and always will be a relationship business, but First brings the power of big data into the mix. That way, agents can identify the stronger prospects from people they already know, and foster those relationships in meaningful ways.
Early outcomes show agents yielding a much higher return when they reallocate their resources toward their existing network rather than lead generation.
To hear First CEO and Co-Founder, Mike Schneider, and other industry leaders discuss technology trends to watch in 2018, sign up for our free webinar December 19.