Thursday, June 28, 2012

The Key Rules for Gaining Referrals in Commercial Real Estate Agency

business man and woman talking outside office building
Ask for referrals

In commercial and retail property agency, it is essential that you ask for referral business at the right time and with the right people.  A simple well directed question to a ‘happy’ client or prospect can open up into so many other issues and opportunities with fresh listings and commissions.

Referrals and leads from good clients and prospects are a very important way to expand your commercial real estate business and territory.  It is far easier to convert leads in this way than to go in ‘cold’.

Who do you ask?

So who do you ask and when?  The clients and prospects from a successful transaction are likely to be the ones that will share other leads and referrals.  

If you were professional and gave 110% in helping the deal move ahead, it is very likely that a referral will be possible in the end.

You will quite likely know just who the good clients and prospects are from every transaction that will open up with referral opportunity.  Importantly you take the lead and ask the questions at the right time.  It is surprising just how many agents and salespeople overlook the process.

Why does it work?

So why does a referral work?  When you move into a fresh referral situation, the new party that you have been introduced to will most likely give you a level of ‘deferred trust’ so you can connect and converse.   The relationship and successful first transaction with others ‘opened the door’.  You can now build on that now providing you do it professionally and with respect for all the parties.

The Key Referral Rule

There is one very important rule to asking about and entering into the referral process.  You cannot ask until the original deal is done and successfully so.   Let your client or prospect fully experience the benefit of your services and knowledge.  When you do this, the referral request is not seen as ‘offensive’ or ‘ill-timed’.   You will get better referrals when you ask at the very end of a great transaction that was successful in all respects.

A Big Referral Tip

When you open the door on a referral, keep the originating person up to date.  It is better that they hear the results from you rather than their friend or business acquaintance you were introduced to.

The process of referral can occur at any time across sales, leasing, and property management.  Be open to the variations of how you can help other people and why they could need your services in this property market.  Remember to ask the right questions.

Get more free tips for commercial and retail real estate agents right here.