Jordan Reyneke·Database·20 July 2018

Return On Your CRM Investment

A return on investment is essential to the success of a business. Having a CRM that has a variety of features is great, but you’ve got to tie it back to value. What outcomes can the CRM deliver that make it worth your money?

Part One: Why Use A Real Estate CRM?

Part Two: Features To Look For In A Real Estate CRM

A good CRM will provide two key results. First, there are time savings.

“A single-user Property Manager could be saving upwards of 20 hours per month!”

Say you’re putting on 5 new listings a month and you advertise on 4 portals (Realestate, Domain, and Homely).

  • You might spend an hour per property adding them to the portals, making updates like price changes and updating the listing once it’s been let.
  • That’s easily 5 hours of valuable time that could be saved by entering it into your CRM once.
  • Then you’ve got the brochure generator for window cards, booklets and property lists. With a CRM, you can put these together in seconds. Manually creating these could easily take you an hour per property.
  • So there’s another 5 hours saved.
  • A good CRM will auto import contacts from portal or website enquiries. Data entry can be one of the most time consuming and tedious business tasks.
  • It’s not unusual to spend 4-5 hours on this per month, so why not let a CRM take back this time for you?
  • Then you’ve got property alerts, automatic inspection reminders and property status updates. Do you really want to spend extra time trying to keep everyone up to date when a CRM can do it for you?
  • There’s another +5 hours per month.
  • In the background your vendor/landlord report is building automatically including enquiries, notes, information on email send outs, OFI attendances etc. You might not use it for every property, but you can generate it in seconds e.g. if you need some justification for a price reduction.
  • A few more hours gained there.

So for a single operator, you could be saving upwards of 20 hours per month. Let’s say you’re paying a figure of $200 per month for your CRM. If you’re paying yourself more than $10 per hour, this is definitely a cost effective solution for you.

The second way a CRM provides return on investment is by helping you to sign on more clients and deliver to them the best results possible. For example, you might do an appraisal for a potential client and enter that appraisal into the CRM. There’s really only 3 outcomes from here: either you win the listing; one of your competitors wins the listing; or they don’t go ahead with anyone.

“There’s lots of tools in a CRM that you can use to keep in touch with people and make sure that leads don’t slip through the cracks.”

If they sign on with you, the property is added to your CRM and away you go. If they chose a competitor, you might like to ask why. Depending on their response, it might be an opportunity to get in touch with them in a year to see if they’re happy with their decision or if they’ll reconsider your services. If that’s the case, you can simply qualify the appraisal as being cold and set a follow up reminder for 1 year later, where you might send them a non-intrusive email to see how things are going. If you feel you could get them a better price for their property, they might just consider making the change. Finally, if they don’t list their property straight away (maybe they’re looking to buy a new place to live and will rent it out when they move), then you can easily add them to your automatic market updates so that they receive useful and informative communications from you. You could also schedule a reminder to get in touch with them in 2 or 3 months.

By marketing the property more effectively in this way, you achieve better outcomes for your business. By communicating with your database in addition to your normal marketing strategy, you will generate enquiry that you might not have had without the CRM, creating more opportunity to sell or let the property faster and for a better price.

To answer simply, the return on your investment will come from saving time, gaining new business and delivering superior results for your clients.

Part Four: Are You Getting The Most Out Of Your CRM?


More posts you might be interested in...

Database · 06 July 2018

Why Use A Real Estate CRM?

Comparing a CRM to traditional contact database tools like Outlook or Gmail is like comparing apples with oranges They are entirely different even if they both have seeds or in this case...

Read on

Database · 29 October 2018

CRM Hacks for the Agent On-The-Go

The world has changed Software platforms are now a staple in every industry changing our processes and pushing us to adapt to new schools of thought This has created a divide throughout...

Read on

Join 7,000+ Subscribers
Get tactical growth tips, news and updates in your inbox