Past clients are yours to lose: How to fight attrition

Hanging onto business means closing more deals with less effort

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Have you ever lost one of your best past clients to another real estate agent? Hurts, doesn't it? Beyond the emotional hit -- this kind of rejection feels personal -- you're up against cumulative financial cuts over time as buyers and sellers you once had on your A list take their business (and referrals) elsewhere. The real estate industry remains hyper-focused on lead generation, yet no one addresses how to reduce one of the most expensive costs in the business -- attrition of past clients. How much does client attrition cost? Attrition is expensive. Losing one out of five potential referral resources each year means that you must replace 20 percent of your existing sources of business over the next year. That translates to a 100 percent turnover in just five years. In contrast, cutting your attrition rate reduces the amount of new lead generation you must do from cold prospecting activities. Let's say the average client knows 12 real estate licensees and usually ...