How Digital Has Deteriorated Client-Agent Relationships

When I started out in real estate, it was an industry built on human relationships, but over the years, I've noticed something: Digital advancements, for all the good they've done, have deteriorated that human connection.

These days, agents would rather pay for the "hottest" lead than prospect, follow up, and converse within their sphere of influence — despite the fact that the cost of leads continues to rise. Rather than act as a source of knowledge on the local market, agents are competing on who can reach out to as many leads as quickly as possible.

Speed, in and of itself, isn't bad, but this practice has left agents drowning in unqualified leads and unable to develop meaningful relationships with even the most valuable ones. Eventually, agents are forced to short-time contracts to close so they can get back to chasing the next lead. Under this model, transactions are carried out much faster and with little personalization.

Essentially, it's become a race to the bottom.

Re-establishing the Human Connection

In my experience, customers who request an agent by simply clicking on ads via Zillow, Trulia, or Realtor.com aren't expecting to work with someone on a long-term basis. The next time they browse for homes, chances are good that they'll simply click on another ad.

Customers look at their real estate agent as a commodity — something that's price-driven, not knowledge- or value-driven. As a result, they tend to be more aggressive in their requests and expectations. After a few bad experiences, agents begin falling into the same trap of viewing their client relationships as transactional. And suddenly, the whole process becomes more about getting an immediate payoff rather than creating repeat business or driving referrals.

Fortunately, there’s a light at the end of the tunnel. Agents have a fresh opportunity to step back into their roles as knowledgeable consultants. It will take another shift in mindset, but with these four tips, it’s possible to make real estate a relationship-based industry again:

1. Don’t buy leads; cultivate them.

Buying leads isn’t inherently bad, but it’s much more important to cultivate them, no matter where or how they're acquired. Once you’ve had the chance to meet your clients, conduct a buyer consultation to look for ways to add value to their lives. In doing so, you not only build a better relationship, but also gain valuable insight into their lives, which you can use to over deliver.

2. Assume nothing; ask everything.

Remember: The first time you talk to clients may not be their first time talking to a real estate agent. Find out whether they have past experiences you can draw on and determine how you can make this experience superior. Compared to poor or average experiences they’ve had in the past, the exceptional one you provide will solidify their perception of you as a reliable expert.

3. Have a process and work the process.

If you don’t have a process for showing, offering, and closing, there's a good chance your clients will see you as a throwaway commodity. Have a process and explain it clearly at the beginning; then, stick to the process that you laid out.

4. Stick around; the sale isn’t the end of the relationship.

This may be one of the most important steps to succeeding in a relationship-based industry: Stay in touch after the sale, regardless of how the transaction went. Provide information about the property, its location, and local customs. If the sale was a tough one, engage in difficult conversations to show that you’ll still be around when things don’t go as planned.

Gathering lots of leads in little time seems like a great idea in theory, but it has ultimately deteriorated what makes real estate such a fantastic industry: the people. Even with digital advancements, consumers still prefer (and, in many cases, demand) a meaningful connection point. For an industry that thrives on such relationships, it should be natural for us to deliver on that expectation.