In every period of 12 months in commercial real estate brokerage, there will be pressures on team performance and some brokers will leave the team. This then says that you will need a definite strategy to support, sustain, and grow the team through staff changes.
So why do people move around in this industry? Here are some of the main reasons:
- Attractive commissions can be offered by other brokerages in the local area
- Better listing opportunities may be available elsewhere
- The branding of the brokerage and agency may have some impact on the marketing opportunities
- The strength and commitment of the sales team builds a certain dynamic that will either strengthen or threaten the stability of the team
- Some sales teams need a good sales manager to keep them on track.
- The administrative support for commercial real estate agents and brokers needs to be available to remove the mundane work from the daily workload
- The marketing efforts of the brokerage will help strengthen the conversions of listings
It is wise to develop a system and a plan; that plan then allows you to grow the sales team with the right people at the right time. This can be done in a number of ways such as the following:
- You can bring people through the team ranks through skill improvement and coaching
- You can target new people from outside of the industry that are looking to earn more money and change career
- You can pair up an experienced broker with a junior broker. Providing the chemistry of the relationship is correct, the junior broker can support the senior broker and grow with the experience that they will learn. That being said, the junior broker still needs to be rewarded for the efforts that will be applied to the process.
- On a quarterly basis, you can run recruitment nights to invite new people to your agency for an informal presentation and workshop.
- Within your property market today, there will be some agents or brokers that are considered top performers. They can be approached confidentially over time to encourage a potential change of brokerage at the right time.
It is a well-known fact that the industry is both challenging and rewarding. Those agents and brokers that put in the effort consistently in the right way will get results and potentially grow their income in a significant way. The industry is perhaps the most rewarding available for top salespeople. For this reason, you need to offer a commission and reward structure that allows every salesperson to improve in a consistent way and reap the benefits in doing so. Help every salesperson become a top achiever.