Editorial
Front Page - Friday, November 26, 2010
Coach's Corner
Focusing on listings
Dirk Zeller
Many agents feel the market should dictate where they generate their revenue. When the market is more neutral or a buyer’s market, they swear off listings. When the market is robust, they work to acquire more listings.
Their theory is that the business model or business mix should reflect the overall marketplace.
I personally don’t subscribe to that thinking. I believe that, no matter the marketplace, your objective is to be a Champion listing agent. The current and emerging market trends play a very small role in whether you should be a listing agent. The market trends can influence the type, location, price range, and even motivation level of the clients you represent in selling their homes.
The market conditions might cause you to require a higher inventory level of homes because of listings sold versus listings taken percentage is askew or the days on the market are lengthening. Regardless, the market should never stop you from focusing on being a listing agent. The name of the game at the Champion level is listings.
Most agents have a desire to be a listing agent. They know, by observation, that the highest income earners in their marketplace are listing agents. They just haven’t thought strategically and tactically why they should focus on this segment of business.
Champion Rule
Wherever you invest your time and resources will be where your revenue comes from.
I meet too many agents who want to become listing agents, but when we evaluate their investment of time, it becomes obvious why they have a limited revenue stream from listings.
If you spend 35 hours of a 50-hour workweek working the buyer side of your business, your revenue will be heavily slanted to the buyer’s side.
The only way to change the revenue mix is to change the time mix. It is as if we are planting corn and hoping for green beans. If you plant corn, you will be harvesting corn. This seems like an obvious truth, but most agents miss it.
The question you have to ask yourself is can you change your time mix right now, or will you have to do it over time? You can cut out buyers cold turkey. You can shift a large amount of time to prospecting and lead follow-up specifically for listings. The challenge for most agents is that the corresponding revenue drop is not pleasant.
If you can weather the financial challenge for 90 days, this can be the best approach. You have to be set up financially beforehand for this option.
The next option is to ask permission from your family to cover both areas for 60 days; to, in effect, add a few hours to your regular schedule daily for the next 60 days until you get your listing levels and listing inventory up.
You have a valid reason for needing to invest the little bit extra to advance your earnings, stability, and quality of life.
Your family will support you, provided you don’t abuse this favor they are granting you. You can’t repeatedly do this.
You also need to be able to explain to them that it’s for their benefit.
What’s in it for them?
You might design a reward for the family to share when the 60 days are completed. You must figure out a way to re-allocate your time to listing focused and listing lead generation.
Dirk Zeller is a sought out speaker, celebrated author and CEO of Real Estate Champions.? His company trains more than 350,000 agents worldwide each year through live events, online training, self-study programs, and newsletters.? The Real Estate community has embraced and praised his six best-selling books; Your First Year in Real Estate, Success as a Real Estate agent for Dummies, The Champion Real Estate agent, The Champion Real Estate Team, Telephone Sales for Dummies, Successful Time Management for Dummies, and over 300 articles in print.? To learn more, please visit: http://www.realestatechampions.com/.
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