I listened to the Reply sales pitch about a month ago. I asked some specific questions - would the lead be only "sold once", I was assured that the leads were very very well screened. I was told I would get an immediate email as a lead was on-line. So I agreed to sign up for a month.
Well... no immediate email - in fact the 1st 2 leads I found when I went on-line to my Reply account. One lead had been there for 2 days- with no notification. That happened with every lead I got.
After a week - of trying to contact people, I found that 2 were already listed with an agent (well before the lead was sent) 1 had a bogus phone number.
So- from my experience a waste of money and time. I cancelled my account - but am still disputing a charge I was told would not be on my account.
My best lead service- referrals from past clients.................................
I got a call from them while on vacation. Their sales rep explained that they charge $ 54.95 per valid lead. I would get credit for invalid leads. I signed up for 5 per month and told him I wanted to get no more than one per week - because payment is due within 72 hours of getting the lead. I didn't want a bunch of charges to roll up on me very early in the relationship. He said no problem.
Upon returning from vacation I looked on Active Rain and found lots of negative feedback on them. I e-mailed to tell them I wanted out. They told me I'm in for for their 30 day cancellation period.
In the first 2 days they hit me with 5 leads, in two weeks I've been billed for SEVEN leads when I asked for a maximum of FIVE per month! That's $ 384.65 in two weeks!
They've made no attempt to honor their sales rep's representations, their only replies have said that I owe within 72 hours for any leads sent. Absolutely no recogniton of the fact that their rep agreed to the one per week, 5 per month that was agreed to on the phone.
Reply Inc., or Reply Real Estate as they go by uses misrepresentation and deception. Avoid them. It will not be a good experience.
When it came down to tracking the leads which I received instantly (that should have woken me up!) , none of these were real leads, most people were either playing have brough me any business. One guy I talked to said he found the website misleading because you had to sign in before you could take a look at it. I wonder what website that is and where this company gets! You would think that a rediculous $ 55 lead is a real one, wouldn't you? The BBB still gives them a B+ rating. People, we need to change that! Tell the BBB about your experience.
I received two leads back to back, received credit for the first and fighting right now for the second credit. The second lead name did not match the county records for the home. The name does not exist as a homeowner in the zip code provided, and the email that came in replied they filled the form out by accident. And REPLY hasn't credited me yet, stating they don't credit when the lead "changes their mind."
I will be disputing this with my credit card company and providing all the below comments as well.
I have now read 3 negative reviews and no positives, and am pretty glad that I did not sign up.... I think I'll give the marketing money to Trulia instead.
Tim Meinke, Agent, Anoka County Mn.
Jim Soda .. TheSodaGroup.com
Keller Williams Realty
Lakewood Ranch - Sarasota
They might give you volume discounts. Or you might have a monthly fee instead of per lead. But I'll use the $5500 figure.
A lot of these leads are lower end: Condos, fixers, mobile homes. So lets say for calculation sake the average transaction is $100,000 and the average gross commission is $3,000, If you are working at a 100% broker, you still have your E & O and your transaction fee, So lets say your net check is $2,600. times three you earn $$7,800 from the three leads.
subtract out the $5500 you have raked in about $2,300 for three transactions - Just under $800 per. Lets say you spent 50 hours per transaction on these good leads, (finding houses, setting appointments for showing, showing, writing offers, negotiating, then handling the escrow process beginning to end.)
Some unproductive leads will be discarded in minutes and some will consume many hours of your time - average of 20 minutes on each of the 97 unproductive leads (32.3 hours) your total time invested equals 182.3 hours
$2300 divided by 182 = $12.61 per hour
Your results may be better, or worse.
I just talked to them; a gal named Stephanie French.
She e-mailed some amateurish charts showing their prices and guarantees, and then a bunch of pictures of people with no text, no descriptions.
I'm really glad I read this, thank you all.
"If it sounds too good to be true....."
Jim Soda 941-809-7759
Top 5 In Real Estate Network
Prudential LWR Realty http://www.JimSoda.com
Your Real Estate Resource for The Greater Sarasota-Lakewood Ranch Areas. Golf-Tennis-Polo-Fishing-Boating-Beaches-Paradise
They changed was the name. The business model is pretty much the same. Charge $55 for leads that are have a tiny chance of converting to a closed sale.
One Realtor that told about buying leads (link below) regularly for years estimated that he found up to 30 bad leads to every good one. Even so, he felt it was worthwhile.
Linked here is a blog from one of Reply's competitors, They boast of a conversion rate of 3 to 5% of their leads. I found the comments in this thread to be credible and balanced.
If considering buying leads, you should investigate several lead generation companies, not just the ones who telemarketed you.
1 - are you tracking where your leads and your closed deals come from
2 - how much money do you spent on these resources and what is your ROI (include your time as an expense)
3 - what marketing efforts can you outsource to free up your time to close more deals
4 - do you have a solid marketing plan for 2010?
You have the ability to generate your own traffic to your site(s) and convert that traffic into leads. As a good sales agent you will convert those leads into closed deals.
If you would like for me to review your marketing plan & stats, let me know (advice is always free!).
Practical Real Estate Marketing
So I am giving my marketing money to Trulia and Zillow instead....nothing from Zillow yet, but Trulia has enabled me to close about 6 escrows worth over $70,000 in commissions in 2008 and early 2009, and is still helping my business. Trulia is not perfect, but the value is here.