In November and December, I’m focusing on business planning, to help you and your agents get a great business plan for next year. Look forA� checklists, processes, and systems ready to use, too.Suggest to your agents they check out Up and Running in 30 Days, my blog for achieving agents. I’ll provide lots of planning tips and free documents.
You’ve decided to coach your agents in creating great business plans. but, if you’ve never coached an agent in business planning, it can be quite daunting.A� So, what do you look for? In this blog, I’ll show you how to use their statistic
listings taken to listings sold in normal market time.
to coach them to a better year next year. You would think agents know this statistic, but very few do. Ita��s so important, because it
- Determines whether the agent makes enough money per listing or not
- Determines whether the agent builds a positive reputation or a poor one
- Reflects the agenta��s value-proposition strategy
- Reflects on the officea��s productivity and profitability
Your success rate with listings sold is, in my opinion, the one most important reflection of agent value propositions out there.
For example: A�George Smith, a 10-year seasoned agent, has demonstrated a consistent listing strategy. A�Georgea��s a�?success ratioa�� is 40%. That is, he sells 40% of his listings in normal market time. What does that say about Georgea��s values proposition strategy? How is George a�?usinga�� his listings? Is that the culture you want perpetuated in your office?
Sally Overton has a different value proposition strategy. She has a 90% success ratio in listings taken to listings sold in normal market time. Obviously, she is building her referral systema��her raving fans. She is making herself more money in less time. She is drastically reducing the number of complaints (and attacks on her self-esteem, too). She is a role model for best practices in her real estate office. Is that practice more in line with your culture?
Your opportunity: As Georgea��s business planning consultant, youa��ll be a�?testinga�� George to see if he wants tochange his strategy (some agents love being a�?bait and switchersa�� too much to change). Youa��ll have the opportunity to help Sally leverage her awesome conversion rates to obtain even more raving fans. (Nothing succeeds like success).
Do you know your ‘conversion numbers’ in listings taken to listings sold for your company? When you make your own plan, be sure to do a thorough review, and find this number. A high number means you’ll be able to recruit better, get better retention, have better team spirit, and your agents can build on that reputation. A low number means you have a lot to work on!
Click here for a list of common agent business planning mistakes to help you as you coach agents through the planning process.
Want to see more on business planning? Check out my online programA�Beyond the Basics of Business Planning. All the instructional webinars and documents are online, and very easy to complete and implement. This is a program created exclusively for real estate owners and managers. And, when you purchase the manager’s package, you also get access to all the agent’s planning videos and documents.
Complimentary Business Planning Webinars
I’ve recorded 2 webinars for you to help you get inspired to plan for next year–and to give you information on what I believe are the biggest success strategies for the coming year. One webinar is for agents and one is for leadership.
