Better Closer Blog

Speed Matters in Lead Management

Bill Rice — Mon, 05 Nov 2007 15:42:25 +0000

Often times we import bad habits from old business models as technology and consumer behavior takes us into new paradigms. Mortgage originations moving online is one such scenario.

LeadQual, a leader in lead response and lead qualification–hot transfers–proves that speed matters in lead management:

Does this scenario sound familiar? Bob the realtor gives Cindy the mortgage broker a referral. A young couple hoping to buy their first home. Cindy thanks Bob and suggests she treats Bob to lunch today (hoping to shake out another referral or two). Meanwhile, the young couple’s contact information goes on the yellow tablet next to the phone. Cindy thinks, I will call them tonight when they are probably home from work. Cindy proceeds to finish a few files in process, takes Bob to lunch, calls a few of her other referral partners now that Bob has put them top of mind. Cindy finally heads home from work, "oh, shoot!," she exclaims. "I forgot their number–oh, well I will call them tomorrow."

This might work, sometimes. More and more frequently I would venture this is a lost deal. Why?

Here is what is going on in the back story: The young couple has already pulled their credit reports and scores, they went to Zillow and found out what the home they want is probably worth, and done the math to know what they need in a mortgage. They found the realtor online to show them a couple of properties they have already pinpointed. Now they are waiting on the realtor and you to get your butt in gear.

No calls??? They get home and decide they are tired of waiting.

The couple goes to LendingTree.com at 7:00 pm after dinner with all of their information. They fill out the mortgage qualification form and hit submit.

Ten minutes later their phone rings. Hi, this is Jeff from Quicken Loans…

The couple has a 20 minute informed conversation with a highly motivated and friendly loan officer, but insists that they are going to be prudent and wait for the other offers to compare with the three Jeff gave them.

Back to Cindy the mortgage broker. Cindy, like the other three mortgage brokers that got the LendingTree lead referrals make their call the next day. As they fumble along trying to make contact and tell them they will talk to their lenders and get right back with them–Right just like yesterday, huh?

This deal was gone last night and they are done taking mortgage calls. Don’t believe it? The California Association of Realtors reinforces this fact with its survey that affirms that 78% of consumers pick the first agent they talk to.

Speed matters! Get My Next Lead is your secret weapon when 5 minutes is the difference between Deal or No Deal.

Tags: leadqual, andrew coleman, kaleidico, getmynextlead, lead management, lendingtree, zillow, quickenloans

New Zillow Product Targeting Mortgage Professionals

Bill Rice — Thu, 01 Nov 2007 14:32:11 +0000

The mortgage lead generation market is a notoriously crowded and certainly not as strong as in past years. This is punctuated in recent Experian reports:

The share of U.S. subprime mortgages entering default in the first quarter was the highest in almost five years, according to the U.S. Mortgage Bankers Association, as the country had its biggest house-price decline since the 1930s.

“The hit from the subprime mortgage market in the U.S. is quite worrying,” Seymour Pierce’s Lapwood said.

And IAC/InterActive reports:

LendingTree revenue fell 41 percent to $63 million because of the deteriorating mortgage market and a decline in real- estate values, IAC said. The unit posted an operating loss of $5.6 million and will have a loss in the fourth quarter, the company said.

“It will be a very steep mountain to climb to get back to any growth” at LendingTree, IAC Chief Financial Officer Tom McInerney said on a conference call with analysts and investors.

However, despite the gloom in the market Zillow appears to be headed headlong into this choppy water according to its brief teaser, "A New Opportunity for Mortgage Professionals," on the Zillow Blog.

Zillow’s announcement also seems to have a job opportunity attached to it. This has brought out a couple of bloggers that have put forward their best proposal (or rather a quest for good ideas) and opened discussion on what the "new opportunity" should be to interest mortgage professionals.

I won’t go into my thoughts on the topic here since you can read what I think is important to Zillow’s success in my comment to Morgan Brown’s excellent analysis. However, it sounds like you certainly should if you have ideas or are interested in the job since Drew Meyers and Zillow are paying attention and taking notes!

Seems like the right way to build a company, loyal and fanatical clients, and great products–IMHO.

Tags: zillow, lenderama, blown mortgage, drew meyers, bill rice, kaleidico

Try SmartHippo, Social Lead Generation

Bill Rice — Wed, 31 Oct 2007 13:21:20 +0000

SmartHippo has extended a special offer to existing Kaleidico clients. If your are interested contact your Account Executive.

As you may remember, from our past introduction of SmartHippo, they are a new community approach to lead generation.

If you want to learn more about them they were featured at TechCrunch40 and LeadCritic did an interesting in-depth interview.

Tags: smarthippo, kaleidico, leadcritic, techcrunch40, lead generation, mortgage leads

LowerMyBills.com Improving Quality Despite Pundits

Bill Rice — Tue, 30 Oct 2007 16:07:49 +0000

LowerMyBills.com has taken it’s fair share of abuse over the last several months. However, there seems to be a trend emerging in application rates that speaks for itself.

If you are not a LowerMyBills.com client or have been in the past you may want to take another look.

If you are selecting online lead providers or looking to add Internet mortgage originations to your current business don’t forget to build a plan and do the math. Lead Marketwatch is a big part of this equation–giving you objective numbers to calculate benchmark marketing ROIs.

If you need assistance or have questions about Lead Marketwatch feel free to call the lead management experts at Kaleidico: 866-667-5253 or www.kaleidico.com.

Also, don’t forget to check out the other consistently strong players in this stack:

Tags: lowermybills, zipsearch, bills.com, leadpoint, low, lendingtree, lead marketwatch, kaleidico

Commitment Can Stage Disaster of Consistency!

Bill Rice — Mon, 29 Oct 2007 15:39:04 +0000

I snapped this picture as I sat down to one of the sessions at the recent Loan Toolbox Business Plan 2008. My first thought was, “this is great fodder for a post on upgrading your lead management system to tackle a tougher mortgage market.”

Lead Management System?
However, as fortune would have it my schedule prevented the original post. As is often the case in life, misrouted paths lead us to better things. And such is the case with this post.

On my latest trip to San Diego, I visited with a colleague and friend, David Schneider of ZipSearch!. During our chat I noted a book in his office that I have been meaning to pick-up: “Influence: The Psychology of Persuasion,” by Robert B. Cialdini, Ph.D. I mentioned my interest in the book and David said, “take it with you for the plane ride home.”

I did. And that has made this post all the more important for your success!

Cialdini’s book is a powerful tool (that means Buy It! ) in any sales person’s arsenal. Ahead of you getting the book and tying back to the photo above, I want to highlight one important Cialdini principle: Commitment and Consistency–Hobgoblins of the Mind. Cialdini quickly explains, in this chapter, this mental and behavior barrier:

“Once we have made a choice or taken a stand, we will encounter personal and interpersonal pressures to behave consistently with that commitment.”

Boy, is that true!

I see a lot of old “systems,” like the one in the picture above, that worked in the heyday of the mortgage refi boom.

Sloppy systems that were good enough to catch a spoonful of water in a tsunami.

I hear day in and day out, “I only take referrals.” Then without even taking a breath, “yeah, the market is tough and my production is down,” yet loan officers refuse to take a referral from the Internet.

That’s right! A referral.

A consumer raising their hand to be called–if that isn’t a referral, I don’t know what is. Sure, you have to compete, but it is far more profitable than staring at your phone hoping some one will ring it to pay your mortgage this month.

Unfortunately, many are trapped in their minds and behaviors, as Cialdini predicts:

“When it [consistency] occurs unthinkingly, consistency can be disastrous.”

“…people will hide inside the walls of consistency to protect themselves from the troublesome consequences of thought.”

Are you going to take control of your success in this market? Or, huddle in your walls of consistency until you have to find a new profession?

Tags: mortgage, sales, loan officer, tips, influence, persuasion, cialdini, loan toolbox, lead management, referrals, success

We Made it to San Diego and Back!

Bill Rice — Mon, 29 Oct 2007 13:22:05 +0000

Our small feat to brave the San Diego fires that made it to road side was worth the opportunity to spend time with clients, prospects, and partners. These folks were amazing! Even amid evacuation, threat of losing homes, and some that had already lost their homes–they were spirited and ready to push forward.

Here is a picture of our passage from LA to San Diego:

I-5 on the way to San Diego

We’re Still Coming to San Diego

Bill Rice — Wed, 24 Oct 2007 15:23:09 +0000

We are still coming to San Diego. It looks like our way is clear and we wouldn’t miss an opportunity to share a drink and meal with our friends in tough times. At least one of these friends has already lost their home and several others are still in danger. Everyone please keep our colleagues in your thoughts and prayers.

San Diego: Wednesday, 10/24, 6:00 pm, Morton’s Steakhouse

ARM Reset Hangover, Opportunity or Doom?

Bill Rice — Tue, 23 Oct 2007 16:13:07 +0000

Paul Knag points out some ominous forward affects of the consumer ARM inventory.

Opportunity: If you think investors are prepared open up or get creative in future mortgage products to work-out payment shocked clients. Or, some magical nationwide, rapid property value appreciation.

Doom: If you think investors will still maintain tight loan amount and equity guidelines. And, no magical economic indicators to support nationwide, rapid property value appreciation.

Consumers: It is time to find ways to rapidly increase your income or reduce non-mortgage debt!

Tags: ARM, subprime, paul knag, mortgage, resets

Kaleidico is coming to Los Angeles and San Diego

Bill Rice — Fri, 19 Oct 2007 15:27:50 +0000

Keith Burwell and I will be in California most of next week and we would love the opportunity to get everyone (lenders, lead providers, etc.) together for dinner.

Any suggestions for good places to gather?

Here is the tentative schedule:

San Diego: Wednesday, 10/24, 6:00 pm UPDATE: Morton’s Steakhouse
Los Angeles: Thursday, 10/25, 7:00 pm UPDATE: The Cannery

If you can make it and/or have an idea for a location leave a comment, call, or email me.

UPDATE: Feel free to invite anyone that you think will be interested. These are informal, fun, and full of networking opportunities!

Tags: lead management, lead generation, los angeles, san diego, california, mortgage, marketing

Putting Love IN the Game

Bill Rice — Thu, 18 Oct 2007 15:11:36 +0000

Last night, I had the pleasure of experiencing Roy Firestone. What a great way to wrap up a week with thousands of loan officers motivated, even in a down market, to grow their business!

During this memorable final evening at the Loan Toolbox Business Plan 2008 conference I took away a key concept that I want to share with you. This is an idea that will enrich your business and your life.

Loving what you do–you have probably heard this advice. Encouraged to take a walk-about in life and find that thing that you are passionate about and make it your business. Face it, that can be hard to do. Do you really think that mortgage professionals are passionate about taking 1003s and funding mortgages. No, of course not.

Let me alter this phrase a bit and I bet I can find what you are, or can be, passionate about:

It is not as much the love of the game as it is the love IN the game.

My guess is that you are passionate about helping people obtain the dream of owning a home or helping them get back into a stable financial position. This is about putting love in the game. If you are looking for a great example take a look at how Capt. Denny Flanagan puts love in his game, in one of the worst customer satisfication industries, the airlines, puts love in his game.

Stop focusing on how your job is mundane or routine. Stop focusing on how your commissions checks are lighter than six months ago. Focus on putting loving into the game. Sharing that love and passion with each and every client and all those negatives will go away. Your job will no longer be mundane or routine. And your commissions will come roaring back, bigger and better than ever.

Put love IN your game today!