A Sphere of Influence (SOI) refers to a group of people or contacts who are likely to influence or be influenced by a real estate professional in their business endeavors. As a real estate agent, your SOI typically consists of individuals who are in your personal network, such as friends, family, neighbors, colleagues, former clients, and other acquaintances. These are people who know you personally or have had some prior business or social interaction with you.

Your SOI is considered to be a valuable source of potential business, as these contacts can provide referrals, recommendations, and word-of-mouth marketing, which can lead to new clients and business opportunities. Building and maintaining a strong sphere of influence is an important aspect of your marketing and lead generation strategies. This is especially important when inventory is low and during phases of uncertainty and market shifts.

The sphere of influence concept is based on the idea that people are more likely to do business with those they know, like, and trust. Real estate agents often cultivate relationships with their sphere of influence through regular communication, networking events, social media, and other means to stay top-of-mind and generate referrals. A well-nurtured sphere of influence can be a powerful source of business for real estate professionals, helping them expand their reach and build a successful real estate career.

As a new agent who doesn’t have past clients to work with you should focus on the people you’ve interacted with in life (your sphere). I recommend that you start an excel spreadsheet collecting names, emails, phone numbers and home/business addresses of the following groups of people. It will surprise you just how many people you know and who is in your sphere! These are the contacts that you will need to target and nurture until you have a steady and full pipeline. You will continue to work with your sphere, even as a seasoned agent.

A Typical Sphere of Influence:

1. Friends and family: This can include immediate family members, extended family, close friends, and acquaintances.

2. Colleagues and former colleagues: People with whom you have worked in the past or currently work with, including colleagues from previous jobs, coworkers, and supervisors.

3. Neighbors: People who live in your neighborhood or building, including those in your immediate vicinity.

4. Local professionals: Business owners or professionals in your local community, such as doctors, dentists, accountants, attorneys, and other service providers.

5. Local business owners: Owners of local businesses that you frequent, such as restaurants, cafes, shops, salons, and other establishments.

6. Community leaders: Individuals who hold leadership roles in your community, such as local politicians, school board members, religious leaders, or members of community organizations.

7. Alumni networks: Fellow alumni from your schools, colleges, or universities, including former classmates, professors, and other alumni from your alma mater.

8. Social groups: Members of social groups or clubs you belong to, such as hobby groups, sports teams, book clubs, or other recreational organizations.

9. Professional associations: Members of professional associations or industry groups you belong to, including fellow professionals in your field.

10. Online connections: Contacts from your social media networks, such as Facebook, LinkedIn, Twitter, or other online communities that you are a part of

Keep Your Pipeline Full: steps to build and engage with your SOI

Regularly review your connections. This step might seem straightforward, but it's important to consider individuals from all areas of your life (see above). For experienced agents, make sure to include previous clients in your list.

Organize & track. When assembling your sphere, it's a good idea to use a CRM or spreadsheet to sort your ideas and contact information. Be sure to track your interactions and the frequency with which you reaching out to individuals in your sphere.

Plan of action. Before reaching out haphazardly, spend time developing a plan for contacting your connections. Determine the best method – email, social media, text message, or phone call – and establish a timeline for communication.

Maintain consistency. While it's easy to contact someone once or twice, being consistently present in a potential client's mind requires time and persistence. Avoid disappearing on prospective clients and commit to nurturing your sphere, even when it's challenging or inconvenient.

Don't hesitate to seek business. This step can be difficult for many agents, but it's crucial for business growth. Asking for a sale or referral might seem counterproductive, but when paired with excellent service, being honest and direct can generate new business opportunities.

Continuously expand your sphere. As your business flourishes, your sphere of influence should grow as well.

The key to thriving in the real estate industry lies in strategically nurturing and expanding your sphere of influence. By following the steps outlined above, you can unlock new business opportunities and set yourself on a path to continued success. Embrace these techniques and witness the transformative power of a well-maintained and growing professional network.