Beyond Bending Tell You How
As a real estate agent, your sphere of influence (SOI) plays a crucial role in your success. It refers to the people in your network who can refer you to potential clients or even become clients themselves. Your SOI includes family, friends, acquaintances, colleagues, and anyone else who knows you and trusts you. Building and expanding your SOI is essential to growing your business and increasing your revenue. In this blog post, we will discuss what sphere of influence real estate is, how to build and expand it, and the benefits of doing so.
What is Sphere of Influence Real Estate?
Your sphere of influence in real estate is the group of people who can refer you to potential clients or become clients themselves. It includes people who know and trust you, such as family, friends, colleagues, and acquaintances. Your SOI can help you grow your business through referrals, repeat business, and word-of-mouth marketing.
According to the National Association of Realtors, 64% of sellers found their agent through a referral from a friend, neighbor, or relative, and 70% of buyers worked with the first agent they contacted. This shows the importance of having a solid SOI and the potential benefits it can bring to your real estate business.
How to Build Your Sphere of Influence in Real Estate
Building your SOI in real estate involves developing and nurturing relationships with people who can refer you to potential clients or become clients themselves. Here are some tips on how to build your SOI:
1. Define Your Target Market
Before you start building your SOI, you should identify your target market. This will help you focus your efforts on the people who are most likely to refer you to potential clients or become clients themselves. Your target market may be based on factors such as location, age, income level, or interests.
For example, if you specialize in luxury real estate, your target market may be high-net-worth individuals who are looking to buy or sell luxury properties. Knowing your target market will help you tailor your marketing efforts and build relationships with the right people.
2. Attend Networking Events
Attending networking events is a great way to meet new people and expand your SOI. Look for events that are relevant to your target market, such as industry conferences, business expos, or community events. You can also join local business groups or chambers of commerce to connect with other professionals in your area.
When attending networking events, be sure to bring business cards and be prepared to introduce yourself and your services. You should also be open to making genuine connections and building relationships with people, rather than just trying to sell your services.
3. Utilize Social Media
Social media platforms such as Facebook, Instagram, and LinkedIn can be powerful tools for building and expanding your SOI. You can use these platforms to connect with friends, family, colleagues, and other professionals in your industry. You can also join groups or communities related to real estate and engage with other members.
When using social media, it’s important to be authentic and personable. Share updates about your business, but also share personal updates and interests. This will help you build genuine connections with people and keep your brand top-of-mind.
4. Provide Value to Your Network
One of the best ways to build and maintain relationships with your SOI is to provide value to them. This can be in the form of helpful information, resources, or advice related to real estate or other topics of interest. You can also offer to connect them with other professionals in your network who may be able to help them.
By providing value to your network, you show that you care about their success and well-being. This can help you build trust and credibility with them, and increase the likelihood that they will refer you to potential clients or become clients themselves.
5. Follow Up and Stay in Touch
Following up and staying in touch with your SOI is crucial to maintaining and expanding your relationships with them. You can follow up with them after meeting at a networking event, send them a thank-you note, or send them a personalized message on social media.
You should also stay in touch with your SOI on a regular basis. This can be through email newsletters, social media updates, or phone calls. Keeping your brand top-of-mind will help you stay relevant and increase the likelihood that they will refer you to potential clients or become clients themselves.
Expanding Your Sphere of Influence in Real Estate
Expanding your SOI in real estate involves reaching out to new people and building relationships with them. Here are some tips on how to expand your SOI:
1. Offer Referral Incentives
Offering referral incentives is a great way to encourage your existing network to refer you to new clients. You can offer incentives such as discounts, gift cards, or other rewards for referrals that lead to new business. This can motivate your existing network to refer you to new people and help you expand your SOI.
2. Partner with Other Professionals
Partnering with other professionals in your industry can help you expand your SOI and reach new clients. You can partner with mortgage lenders, home inspectors, or other professionals who work with homebuyers or sellers. By working together, you can refer clients to each other and expand your networks.
3. Host Events and Workshops
Hosting events and workshops is a great way to meet new people and showcase your expertise in real estate. You can host events such as homebuyer workshops, seller seminars, or real estate investment seminars. By hosting these events, you can attract new people to your network and build relationships with them.
4. Leverage Online Marketing
Leveraging online marketing is a great way to reach new people and expand your SOI. You can use online advertising, social media marketing, or search engine optimization (SEO) to attract new clients and build your brand. By reaching new people online, you can expand your SOI and increase your revenue.
5. Volunteer in Your Community
Volunteering in your community is a great way to meet new people and build relationships with them. You can volunteer at local charities, schools, or community events. By giving back to your community, you can show that you care about more than just real estate and build genuine connections with people.
The Benefits of Building and Expanding Your Sphere of Influence in Real Estate
Building and expanding your SOI in real estate can bring many benefits to your business. Here are some of the key benefits:
1. More Referrals
Having a solid SOI can lead to more referrals from people who know and trust you. Referrals can be a powerful source of new business and can help you grow your revenue without having to spend money on marketing or advertising.
2. Repeat Business
Building relationships with your SOI can also lead to repeat business from existing clients. By providing excellent service and staying in touch with them, you can increase the likelihood that they will work with you again in the future.
3. Greater Brand Awareness
Expanding your SOI can also lead to greater brand awareness and recognition. By reaching new people and building relationships with them, you can increase the likelihood that they will remember your brand and refer you to potential clients.
4. Increased Revenue
Building and expanding your SOI can ultimately lead to increased revenue and profitability for your real estate business. By attracting new clients and building relationships with your existing network, you can generate more business and increase your revenue over time.
People Also Ask
What is the difference between SOI and COI in real estate?
SOI refers to your sphere of influence, which includes people who can refer you to potential clients or become clients themselves. COI refers to your center of influence, which includes people who are experts in a particular field and can provide you with valuable advice or resources.
How do you track your sphere of influence in real estate?
You can track your sphere of influence in real estate by using a customer relationship management (CRM) system. A CRM system can help you keep track of your contacts, their information, and their interactions with your business. This can help you stay organized and follow up with your network on a regular basis.
How do you maintain relationships with your sphere of influence?
You can maintain relationships with your sphere of influence by staying in touch with them on a regular basis. This can be through email newsletters, social media updates, or phone calls. You should also provide value to your network by offering helpful information, resources, or advice related to real estate or other topics of interest.
