Lead Optimization – How Many Is Too Many?
We claw, scratch, fight, pinch, kick, and do just about anything else to be high on the lead food chain. There are countless posts, articles, and columns offering advice on how to get real estate leads and where to get them. But what is seldom talked about is how many many leads should one agent receive on any given day.
This is the question I am experimenting with as my buyer agent team takes shape. Should each agent be assigned two, five or how many leads per day? What is the optimum level for performance, customer service, and lead conversion?
Before I started hiring buyer agents to work my online leads I would handle them all myself. I found that any more than two per day and I would start falling behind, but I also had a ton of other stuff going on and my attention was partially there and partially elsewhere. Nevertheless, I initially thought I would give my buyer agents two leads per day. However, after playing with some numbers I decided to go to three.
Now I am starting to have a change of heart and thinking that perhaps I underestimated how many leads an agent that is truly focused on them as their primary and most vital source of business can handle. I have started assigning agents upwards of five per day. Of course, I have that little voice in the back of my head thinking “that this is too many.”
What is the right/best answer? More importantly, why do you feel that way? Do my numbers sound high or low to you? Let the discussion begin.
Kirk Eisele
Posted at 15:35h, 13 MarchIt depends on the agent. There isn’t a single right answer to that question. Some agents are “grinders” who churn and burn but can close volume. Others have to get all up close and personal to get a deal and be “besties” with every client. You probably need to figure out which kinds you’ve got. If you give a high-touch agent more leads than fit them they will actually close fewer deals because they won’t have the “high touch” thing going on that works for them as they chase what appear to be “easy” deals. The grinder will just munch through whatever you give them but will miss some that “high touch” would have gotten. Max out “high touch” and give the left-overs to grinders.
A quote I like is:”Nothing is more unequal than the equal treatment of unequals.”
Abandon the idea of a “policy” that you will apply to all of your agents and take the harder road of actually managing them as individuals. You’ll all make more money.
John Stegner
Posted at 06:24h, 14 MarchHey, this is a better answer than mine above.
John Stegner
Posted at 06:24h, 14 MarchMy answer is that it depends. I’ve seen really good buyer’s agents crank out closings with a lead a day. I’ve seen others who thrive on more leads. I’ve been told by some of my agents that I give them too many to handle and that it overwhelms them. The have said, “ill do better with fewer leads”. I have one who worked every one I could give him to death and sold 40 homes last year (he is far from typical though….a 1 in a million in fact). So, what is the right answer? A very good question, but I’m not sure there is an answer. Looking forward to hearing from others.
Stephanie Crawford @AgentSteph
Posted at 07:02h, 14 MarchI guess it depends on how you expect them to follow up. What sort of system do they use? is it automated? I rarely get phone numbers through my IDX so my system is pretty automated.
Dan Corkill
Posted at 14:15h, 14 MarchWe find that about 2-3 is about right for agents any more and as you point out becomes too much. 3 a day is 90 per month. 5 is 150!
Three things that can help make sure no money gets left on the table:
1. Make sure all leads go automatically into one system, eliminate no value activities for agents like data entry or checking multiple systems.
2. Instantly as the lead comes have the agents phone ring to prompt them to connect, this eliminates lead build up and they are much more likely to contact the lead and convert them.
3. Use a dialler like mojo sells or re phone burner so that your agents Follow Up Calls can be done much much faster.
We are still experimenting with the effects of number 2, I think it will help filter leads a lot better up front, letting agents focus on the good ones. It also stops any dialing hesitation and produces a wow experience for the customer.
The other thing with online leads is to realize that some agents aren’t used to working them and some just plain don’t want to because of the low conversion rate. By making follow up info transparent and accountable you can stop sending leads to people that do not work them e.g. a dead lead funnel (or as I prefer to call it Burning Money).
Jeff Manson
Posted at 14:19h, 14 MarchBased on my experience of managing a team of agents and selling 200 properties from my Hawaii website last year. 5 leads a day for an agent that is organized, has really good follow up and sales skills. They should be able to do sale 4 – 5 a month with that many leads if they are good.
Not all agents are created equally. I can give that same amount of leads to 2 different agents and get maybe 1 deal a month with that number and 5 with another agent.
BTW: If you know any great agents looking to move to Hawaii and get leads handed to them. I am looking for 6 -7 more great agents to join our team 🙂
Then we can take the 200 a year up to 350 to 400… Just need 6 -7 more great agents!!
My current agents are getting way too many at the moment.