In commercial real estate brokerage, you do need to understand and define the strategic core of your property business. That strategic core should be matched to the prevailing market conditions, the property location, your skills, and the city you work in.
So what is happening with property in your market and what is your strategic core business? You need to understand and remember that there are plenty of new business opportunities within segments and within the location. You just need to find them; that is something to be always evolving and renewing. Your strategic core business focus will help you stay on track.
So the strategic core should encompass all of the following concepts:
- SEGMENT: It should be the segment of your business where most of the income will be generated over time. It is important to know that the business will be there for you to tap into. Define the particular property segment by location, property type, and timing. You can then build a marketing campaign around those factors.
- GROWTH: The fresh opportunities that you achieve in your commercial real estate business should be within a growing property segment that offers plenty of commission and listing opportunity. You will need to undertake a review of the property marketplace to see where the industry segments and listing volumes are occurring. There is no point in specializing within a property segment that offers little growth and opportunity over time.
- SKILLS AND RESOURCES: You should have the resources and the people to tap into the strategic segment of the market. There are some real differences to be considered when it comes to sales, leasing, and property management. Differences also can be seen to occur in your industry when it comes to industrial, office, and retail property types. Have you got the right people, the right skills, and the correct resources to move into the targeted segments?
- CLIENTS: There should be plenty of clients within the targeted segment for you to serve. Define your clients by type, location, spending patterns, and property types. Understand how you will tap into them throughout the year and into the future. A specific marketing campaign will be required and that campaign is something to implement personally.
- COMPETITIVE EDGE: If you are to compete against a number of other brokers and agents and the location and within that segment, you will need to define and understand how you can provide a relative point of difference to convert more new business. There is no point in being the same as your competitors; something has to make you and your real estate offering stand out.
So, all of the above factors allow you to define your strategic core business. In commercial real estate that can be across a number of different geographical segments and property types in your town or city. Research the city’s so that you know what is going on and where the next opportunities will occur.
Your job is to choose the right property segment and the right location to convert plenty of listings and commissions over time. That is the logic behind your strategic core business and should be grasped with the fullest of commitment. Make sure that the decisions and considerations made here are quite specific, actionable, and competitive.