Many commercial real estate brokers struggle with prospecting for new clients and listings. They get confused and diverted with the pressures of the job and the clients that they serve. That then leads to a ‘roller coaster of commissions and listings’.
The best way to solve this all too common problem is to set yourself into a plan of prospecting that you can stick to on a daily basis. Quite soon the frustrations go away and the commissions start to stabilise. Effort in a directed way will bring you results.
Ask yourself these questions:
- Where is your territory geographically?
- What are your primary markets and your secondary markets?
- What is happening in your territory?
- Where are the next opportunities coming from?
- How are you capturing the leads and the new business?
- Exactly how do you intend to grow your market share this next 6 months?
- Why will someone use your services over others?
- What is your conversion rate of presentations to listings?
- What is your conversion rate of calls to meetings?
- What are you really good at in commercial real estate?
- What is your ratio of exclusive listings to open listings and can it improve?
When you have the answers to these questions you have the foundations of growing your market.
You can take each of these factors and shape them into a business growth plan and prospecting model. Notably many of your competitors will not have a model to grow market share. They will simply do random things with little regard for ‘system’. The ‘system’ idea and process can take you faster into your market and help you create many more listings of quality.
Set up your plan of focus with the following essential rules in mind:
- Every day you should be prospecting for 3 hours. That will be a real effort for some time but eventually it will get a lot easier and you will convert better listings.
- Track and measure your call ratios and your meeting ratios. Understand how they can be improved.
- When you open the door of contact with a prospect, keep the ‘door open’ with regular property updates and relevant market information.
- Talk to and meet your prospects regularly.
- Capture your contact information into a good database and keep that information up to date.
If you consider a basic prospecting plan with these facts in mind you can move ahead in your market with great focus and potential income. Over time you can rise to the top of the commercial real estate market.