With fewer property transactions, the current property market environment presents unique challenges, as well as opportunities for estate agents.
As housing dynamics shift and customer needs evolve, it will be essential for agents to adapt and diversify their income sources, exploring additional revenue streams, according to Richard Combellack, chief commercial officer at nurtur.group.
He believes that one often-overlooked source of income is the treasure trove of data stored in estate agents’ CRM databases.
He explained: “Your database, encompassing both current and archived records, can be a goldmine of untapped potential. Beyond the immediate transactional value, there lies a vast wealth of information, including anniversary dates of exchange and completion. These dates can be strategically leveraged to initiate effective nurture marketing campaigns.”
Combellack says that nurture marketing, when executed skilfully, enables estate agents to build lasting relationships with clients and prospects. By acknowledging significant milestones such as anniversaries, agents can engage clients with revaluations, reinvigorate conversations about property investment, and, most importantly, position themselves as trusted advisors for remortgages.
With the imminent arrival of approximately 1.5 million individuals embarking on the journey of remortgaging over the next 12 months, he says that there is a potential opportunity for estate agents to explore alternative revenue avenues.
Combellack commented: “Remortgages are a prime opportunity for both homeowners and estate agents. With interest rates fluctuating and financial situations evolving, a strategic remortgage can offer significant benefits to clients. By harnessing the data within their databases and implementing nurturing marketing campaigns, estate agents can be at the forefront of guiding clients towards these beneficial decisions.”
He continued, “unlocking additional revenue streams through your database and strategic marketing will not only help to ensure financial stability but also fosters client loyalty and referrals, further expanding your business reach. In the midst of the ever-changing property market, the adaptability of estate agents will be a key differentiator.”
“Estate agents across the UK are presented with an extraordinary opportunity to tap into additional revenue streams and maximise the potential of their databases. By nurturing client relationships, agents can play a pivotal role in guiding homeowners through remortgages, all while helping to secure their own financial stability in a dynamic market,” Combellack added.
Comments (6)
As I’m not an estate agent, I’m sure I’ll get hounded for these suggestions but just trying to work out how agents can make more money. You’re in a super valuable position as the person that pretty much owns the consumer, throughout most of the transaction.
– Sell legal searches to vendors to get them sale ready
– Charge more for your services – “because you’re worth it”
– Don’t give too much away for free – Top end agent get the vendors to pay a marketing fee for brochures, photos etc. and they are the ones making the most commission from every transaction. Having done the analysis last week on the 2022 data, the average commission (1.4%) on a property over £750,000 is approx. £18,000
Sounds like data protection roulette to me. I don’t think many members of the public would consider it reasonable for someone who sold their house to contact them five years later just to wring a bit more money out of them.
This old chestnut. Seems no-one today has new ideas. Same advice was circulating back in the 1980’s.
Yes there are opportunities but what these guru’s seem to ignore or haven’t a clue is what is actually happening or more importantly ‘wanted’ at the coal face.
Some agents have a reputation for being cut throat, get every last penny out of the customer. Works for some (they don’t last long?) but in an industry where reputation is essential, really the way to go?
Some agents happy to push as long as its within their mind set of, willingness. Dabble a bit here and there but under no circumstances seen to upset the customers. These agent’s are more interested in their core business than have things rebound on them. Social media is a devastating tool, when it goes pear shaped.
Then you have the agents ….. not interested or maybe they are but the staff are not committed. I’m sure some agents will have seen this with pushing financial services over the decades. A dirty word, I’m here to sell houses, not make money for insurers.
Once the public see you are more interested in other things …. “making money out of them, how dare you are only an estate agent” than what service they want from you ……. you are doomed.
Yes there are many business opportunities but tread carefully, don’t look forget your core business must always come first and nothing should ever jeopardise it. If it does, don’t do it. Now which agents near you has a reputation for ……… !
Surely this is only relevant if you make referrals for kickbacks rather than recommendations to tried and trusted mortgage brokers, a conflict of interest otherwise. Personally I’d rather go with the coffee shop idea
how about a coffee shop at the front of the office
Has anyone thought of making tenants have the flat fair whether they want the flat fair or not