This is a fair question and there are many definitions of a lead. I prefer to break them down to types.

Someone that is moving now or in the future, someone that we can put into a systematic marketing enhanced prospecting system to generate referrals from.

Let’s start with someone that is moving group first. These are people that can answer why, when and where. It is my belief that if they do not answer those three questions, they do not qualify to be in this category.

Once we have established that someone is moving and you know why, when, and where. Then these folks fall into two categories, inside 30 or outside 30. This simply means someone that is going to do something inside of 30 days or outside of 30 days, which could be list or purchase a home.  (Remember when someone tells you they are going to do something in 2 months you can safely cut that in half)

Inside 30

Outside 30

Someone that is not moving

Someone that is not moving

It took me a long time to realize that someone that is not moving could be categorized as a lead. I am old school, if you are not moving then…

I had an understanding of a SOI or COI Sphere of Influence or Center of Influence. I had heard all kinds of techniques for marketing, but they were usually from people selling postcards and not selling real estate.

After reading the book Millionaire Real Estate Agent I started getting a clear idea of how and why you marketed to them. Gary Keller’s research also gave a set of numbers that could be used to measure your effectiveness to.

According to the Millionaire Real Estate Agent the ratio is 12:2, which the math whiz folks immediately say that is 6:1 and you are correct. It is broken down like this, 1 out of 12 will refer someone and 1 out of 12 will do something. So the question is, are you the one they are referring and doing something with?

When you lead generate you need to divide leads into two main categories. Inside 30 and outside 30 days.

An inside 30 lead has a high priority because of their need to do something immediately. They are going to do something with or without you and they require massive follow up. If you are talking to someone and they are so motivated that they are going to list their home in the next week or two, you need to stay on them big time. It doesn’t matter if they are a FSBO, Expired, SOI or any other type, you need to call them every 2-3 days to check in.

An outside 30 lead is someone that clearly has a plan to move, but it could 6 months down the road. You need to follow up but not in the same way. Checking in with them every 3 weeks or so to see if their plans have changed till they become an inside 30.

Hi, how is it going today? You said you were going to list in two weeks, I was wondering has anything changed? Do you want to get together today?

They will do something with someone, usually the one that is there when they are ready. Now of course they have to trust you and believe that you can help them.

Let’s look at an outside 30 lead. This is someone that can answer the magic questions, why, when and where, but is not going to do something in the next 30-45 days, more like 60-180 days. As long as they answer the 3 questions then they are a lead. Let’s suppose someone owns a condo and is graduating school in 5 months and they are taking a job in another state as soon as they graduate. They are a lead they just need a different follow up system. I would put them on a monthly snail mail, monthly email, and a monthly call.

Again you are checking in, Hi, how is it going? The last time we talked you said you were moving in the month of _______, I was wondering is everything still the same? If there is anything I can do call me, btw who do you know besides yourself that is going to be moving that I could be of service to?

This type of lead is actually a good lead, most agents will not follow up that long and you can cement a relationship with them and have a little insulation from competition, I repeat a LITTLE.