I hired roichamps dot com to do cold calling for me. They use a list of 10000 contacts (they did skip tracing, I ordered high equity/absentee owner list). I am getting between 0 to 1 "warm" leads per day. Since 8/30 I received only 3 leads. I challenged the company, suggesting that they can't possibly be making 2000 calls each day and speaking to ~200 prospects per day, generating only 3 leads in a span of 1 week. They adamantly denied that their caller was slacking. They said the reality is that generating leads is tough and I should give it a full month before evaluating the results.
Did any of you use roichamps dot com? I want to give them a benefit of doubt, but I wonder how often you had a list of 10000 prospects, a power dialer to call 2000 numbers a day and speak with those you were connected to (approximately 200 prospects per day_, and still got only 3 unmotivated seller leads in 5 business days?
Just to make sure I'm understanding the numbers:
In 1 week, they dialed 10K leads, spoke to 1K people and generated 3 leads? Wow, that is NOT great, you would get better results from calling the phone book eve on a first pass. Let me know if my numbers are correct, I run a call center for Real Estate so I look at these kinds of numbers all the time.
Cold calling is only one marketing method. In today’s market it wouldn’t be in my top 5.
Using a double headset you can call two numbers at once and a predictive dialer can call more.
At Three rings hang up. An okay caller at best can only dial 90 calls an hour. BUT. Those will only get 16 LIVE calls an hour of prospects who can go thru the script and that’s not a complete script.
My script takes a few minutes minimum to go thru.
My call center had requirements of an appointment per day and a three strike rule.
The TM will present 100 scripts to get a cold appointment down to 1-20 for a FSBO
It’s a true numbers game.
Just to make sure I'm understanding the numbers:
In 1 week, they dialed 10K leads, spoke to 1K people and generated 3 leads? Wow, that is NOT great, you would get better results from calling the phone book eve on a first pass. Let me know if my numbers are correct, I run a call center for Real Estate so I look at these kinds of numbers all the time.
Cold calling is only one marketing method. In today’s market it wouldn’t be in my top 5.
Using a double headset you can call two numbers at once and a predictive dialer can call more.
At Three rings hang up. An okay caller at best can only dial 90 calls an hour. BUT. Those will only get 16 LIVE calls an hour of prospects who can go thru the script and that’s not a complete script.
My script takes a few minutes minimum to go thru.
My call center had requirements of an appointment per day and a three strike rule.
The TM will present 100 scripts to get a cold appointment down to 1-20 for a FSBO
It’s a true numbers game.
Does it look to you convincing that after placing ~2000 calls and speaking with ~200 leads per day they are unable to generate a single "lead" in days? And when they do send the so called "qualified leads", it turns out someone with high equity and house in OK condition asking for 125% of RETAIL value. Obviously, people can ask all they want and that's why we have to negotiate. But I didn't get a single lead where someone would go from 125% to 50%-65% of ARV (which is usually a fair cash value when you account for the repairs). I suspect that the service is scam and want to dispute/request chargeback. But I don't want to make wrong assumptions and penalize the business if I find out from experienced users that it is possible to place such volume of calls and get 0 to 2 leads per day (around 15-20 total in a span of one month).
Cold calling is only one marketing method. In today’s market it wouldn’t be in my top 5.
Using a double headset you can call two numbers at once and a predictive dialer can call more.
At Three rings hang up. An okay caller at best can only dial 90 calls an hour. BUT. Those will only get 16 LIVE calls an hour of prospects who can go thru the script and that’s not a complete script.
My script takes a few minutes minimum to go thru.
My call center had requirements of an appointment per day and a three strike rule.
The TM will present 100 scripts to get a cold appointment down to 1-20 for a FSBO
It’s a true numbers game.
Does it look to you convincing that after placing ~2000 calls and speaking with ~200 leads per day they are unable to generate a single "lead" in days? And when they do send the so called "qualified leads", it turns out someone with high equity and house in OK condition asking for 125% of RETAIL value. Obviously, people can ask all they want and that's why we have to negotiate. But I didn't get a single lead where someone would go from 125% to 50%-65% of ARV (which is usually a fair cash value when you account for the repairs). I suspect that the service is scam and want to dispute/request chargeback. But I don't want to make wrong assumptions and penalize the business if I find out from experienced users that it is possible to place such volume of calls and get 0 to 2 leads per day (around 15-20 total in a span of one month).
Use the reverse matrix. What dollar are you hoping to net or if an assignment or wholesale deal the buyer expecting to net?
Take that number and multiply it by 12% and that’s your allowance for marketing per deal
Take that number and divide it by your historical lead cost. You’re looking for the number of appointments that chunk will produce.
I know that 1:9 appointments will produce a viable contract assuming that you’ve set a reasonable definition of an appointment.
An appointment is a seller agreeing to 85% of “As Is” for their property. Your contract goal should be no greater than 70%. Unless there are extremely favorable seller finance options.
A TM can be trained in 4 hours to close for an appointment and a closer can be trained after 2 weeks of being an appointment setter.
Happy house hunting
Just to make sure I'm understanding the numbers:
In 1 week, they dialed 10K leads, spoke to 1K people and generated 3 leads? Wow, that is NOT great, you would get better results from calling the phone book eve on a first pass. Let me know if my numbers are correct, I run a call center for Real Estate so I look at these kinds of numbers all the time.
Their numbers may be correct but they're not very good. Is that the conversion rate they expected from such a large list? I would want to see call logs and listen to some recordings, something is up. When the list is bad, you don't get many contacts. 1K contacted leads is good for a 10K list. If they spoke to 1K people and converted 3 leads either the data is terrible, the caller is not good or the script/offer is very bad. I'm guessing its the script/caller since If I spoke to 1K people from the phone book, I would get many many more than 3 leads just by asking if they had any desire to sell their home. A skilled caller could get 20-30 leads from talking to 1K random homeowners. I'm assuming your list was not random.
Cold calling is only one marketing method. In today’s market it wouldn’t be in my top 5.
Using a double headset you can call two numbers at once and a predictive dialer can call more.
At Three rings hang up. An okay caller at best can only dial 90 calls an hour. BUT. Those will only get 16 LIVE calls an hour of prospects who can go thru the script and that’s not a complete script.
My script takes a few minutes minimum to go thru.
My call center had requirements of an appointment per day and a three strike rule.
The TM will present 100 scripts to get a cold appointment down to 1-20 for a FSBO
It’s a true numbers game.
Does it look to you convincing that after placing ~2000 calls and speaking with ~200 leads per day they are unable to generate a single "lead" in days? And when they do send the so called "qualified leads", it turns out someone with high equity and house in OK condition asking for 125% of RETAIL value. Obviously, people can ask all they want and that's why we have to negotiate. But I didn't get a single lead where someone would go from 125% to 50%-65% of ARV (which is usually a fair cash value when you account for the repairs). I suspect that the service is scam and want to dispute/request chargeback. But I don't want to make wrong assumptions and penalize the business if I find out from experienced users that it is possible to place such volume of calls and get 0 to 2 leads per day (around 15-20 total in a span of one month).
ah ok, so they got 20 total leads in 30 days from talking to 1K people from your list of 10K leads. Well that's not great, its basically comparable to calling the phone book. If your list is any good I would have expected more than that. It's definitely not a scam though, just likely not super skilled callers.
Just to make sure I'm understanding the numbers:
In 1 week, they dialed 10K leads, spoke to 1K people and generated 3 leads? Wow, that is NOT great, you would get better results from calling the phone book eve on a first pass. Let me know if my numbers are correct, I run a call center for Real Estate so I look at these kinds of numbers all the time.
Their numbers may be correct but they're not very good. Is that the conversion rate they expected from such a large list? I would want to see call logs and listen to some recordings, something is up. When the list is bad, you don't get many contacts. 1K contacted leads is good for a 10K list. If they spoke to 1K people and converted 3 leads either the data is terrible, the caller is not good or the script/offer is very bad. I'm guessing its the script/caller since If I spoke to 1K people from the phone book, I would get many many more than 3 leads just by asking if they had any desire to sell their home. A skilled caller could get 20-30 leads from talking to 1K random homeowners. I'm assuming your list was not random.
Thank you for your input, Gustavo. the list was not random. I have targeted absentee owners with high equity, homes owned longer that 4 years and etc.
There is a list of 10,000 skip traced contacts. I don't have a rapid dialer, but my understanding is that they upload this list to speed dialer. Speed dialer that dials approximately 2000 numbers per day. They claim that they are able to speak to ~200-~240 individual home owners per day (out of 2000 numbers dialed). Therefore, if 5 days passed it would imply that they spoke with 1000 home owners and dialed all 10,000 numbers on the list.
I do get daily reports and call logs, but I did not provide my own dialer. Therefore, I can't log into their dialer account, nor I can monitor/listen to calls. I just found it odd that so few people were willing to speak about selling their houses. I had about the same results when I placed 20-30 calls per day, and the quality of the leads were similar: every day I would speak with 5-10 individuals and get one or two seller saying they are open to the idea of selling their house, but they would not accept anything less than the full retail value (often 125% of Zillow estimated value). I didn't expect to get the same volume of "leads" from VA who has rapid dialer, calls 2000 numbers per day and speaks to 200 or more sellers per day.