In commercial real estate brokerage, take the time to understand what your ‘hot buttons’ may be when it comes to listing and commission conversion. You can then adjust your activities to improve results and key performance indicators accordingly. Understand your strengths and weaknesses, then take action with the right strengths as ‘hot buttons’.
So where are you now? What are you currently good at when it comes to client attraction and listing conversion? The factors that drive your client attraction and listing opportunity will be those ‘hot buttons’ that should be improved over time. Practice will help you improve when necessary and improve the key performance indicators in the best possible ways.
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Here are some of the typical ‘hot buttons’ that provide the best opportunities for most brokers and agents:
- Your ability to connect with new people locally – whilst you may know a number of people locally now, the real issue supporting success and growth in the industry will always be based around the number of new people that you know and connect with into the future. Assess your prospecting model for its accuracy and momentum. How many new people are you connecting with in a regular and ongoing way? How can you improve your conversions with these new people?
- The number of meetings that you are creating on a weekly basis – from a successful prospecting model, you should be creating at least two or three meetings per day with new people or prospects. The agents that overlook the prospecting process and the requirements for new meetings generally achieve only average results in the industry. If you are going to meet with new people, then you will need some relevant information to support the meeting process and underpinning your professionalism.
- The number of presentations that you are making to new people – the focus here is on new people first and foremost. These new people will help replace your current clients and prospects that are slow to act or changing their property requirements. At least one third of your prospecting activity should be directed towards new people on a daily basis.
- The referral opportunities that you are creating – when you achieve a positive result from a property transaction, the referral opportunity will be live and active. Ask the referral questions at the right time to see if you can open up a new relationship with others known to the people that you are already serving.
- The levels of repeat business occurring with some of your local clients – revisit your client list regularly to ensure that you are picking up on any new property needs and challenges that those clients may be part of. There is nothing more frustrating than seeing your client choose another agent locally simply because you have failed to keep up the connection in a timely and relevant way.
- The conversion of an average client to a VIP over time – some clients should be escalated and elevated in your database to more frequent contact and a greater level of professional service. These people are your VIP clients and can provide you with greater levels of new business over time. Get to know exactly what they require when it comes to property challenges and changes. Help them remember you at the right time as they move through those property requirements.
- The levels of commission created per transaction – when you assess the commissions that you create from sales and leasing activity, you will soon see the requirement to focus on property size, property quality, and property location. The levels of commission per transaction will always be escalated when you bias your efforts accordingly.
- The number of listings converted on a weekly basis – some listings will be slow to convert and slow to move. Some listings will not move at all and may expire from listing perspective; so don’t worry if that is the case. That is why quality is so important when it comes to new listing standards and property choices. Look at the number of listings that you are converting on a weekly basis and then break that list down into locations and levels of quality. Soon you will see the requirement to specialize and improve the quality of your business.
So there are plenty of things to look at here when it comes to rewiring your ‘hot buttons’ and your opportunities in commercial real estate brokerage.
Analyze and assess where you are now when it comes to listings, clients, and commissions. Look at the conversion factors, lead generation opportunities, and marketing activities. Take positive steps forward when it comes to strengthening your property ‘hot buttons’.