If you are willing to compare your real estate agent business to Henry Ford's automobile manufacturing process you'll want to consider that although money was important to you and Henry, what he understood perhaps better than his competitors was that he needed to produce the type of product and process that would produce a happy pas client who would be likely to repeat and refer based on their satisfaction.
Therefore, if we start with the outcome of producing a happy and satisfied past client, then we'll need to consider how to start with the correct raw materials. I know it sounds odd, but let's consider the concept of Leads as raw materials. When you see them that way, it will force you to truly consider the quality of those raw materials. When you think quality and consider that Internet-generated leads far outpace the number of real estate transactions, are you really being smart about building your business by purchasing far too much of this type of raw material?
I'm not saying that Internet leads are not a decent source of revenue, I know firsthand as each year we convert multiple relationships that had a genesis on the Internet. However, I am suggesting that you may very well be missing many other opportunities to focus on contacts that come to you more pre-assembled and more ready to engage in a business relationship.
The reason for focusing on quality is so that you may run your assembly line more efficiently with gives a greater depth and quality to the satisfaction of your client who ultimately becomes part of your "family" and is much more likely to repeat and refer helping your business to accelerate!
To summarize the key point: “Focus On Creating An Outcome Of Happy Past Clients!”
I'm a huge fan of the late author Napoleon Hill. You might know him from his highly successful book called "Think and Grow Rich," but If you're going to research more about his work, you'll discover his other book called "The Law of Success."
Hill had the once in a lifetime chance to spend 20 years of his life studying the business magnates of the early 20th century. As you go through the book, you'll realize that there are a few people that had a big influence on him including Andrew Carnegie who initiated HIll's work and Henry Ford whose business gave great insight to his learning.
Henry Ford is most interesting because he revolutionized the process of manufacturing automobiles by refining the concept of the Assembly Line. This constant development and systemization were grown by bringing his team to the slaughterhouses of Chicago and watching how the meat packing process worked and applying the concept of specialized workers to the manufacturing of cars. He also studied Sears and Roebuck's systems for managing the process of delivery to get their products closer to their customers.
To apply Henry Ford's ideas to the real estate agency, look at your business and ask yourself "what would Henry Ford do?" The fact might be that he would see that you're not "selling" properties, rather you're "manufacturing relationships" that lead to a property sale. Therefore, to make your business consistent and predictable, you'll need to constantly manufacture new relationships. That's why committing to the buildout of better Contact Relationship Management (CRM) is a necessity. Your CRM becomes the assembly line for manufacturing relationships that produces happy clients.
To summarize the key point: “Be Like Henry: Understand & Study The Process Systems Of Successful Businesses.”
Having a Unique Selling Proposition in this business is absolutely critical. However, we should clearly define USP from its origin in order to gain proper context. As stated, it is a marketing concept first proposed as a theory to explain a pattern in successful advertising campaigns of the early 1940s. The USP states that such campaigns made unique propositions to customers that convinced them to switch brands.
The essence of having a Unique Selling Proposition is to answer the question of "why should they choose you instead of the competition."
Aside from having a Unique Selling Proposition, you need to also define your avatar (ideal client). You need to get a clear mental picture of that ideal client and make sure that you’re tailoring your USP exactly for them.
In the context of real estate agency business, your USP should be your "Strategic Plan."
Your plan should recognize that there is a universal process that buyers and sellers go through and it's your job to demonstrate how to get through that process with your plan. Also recognize that even if you gave your plan to your biggest competitor, the way you that you explain that process is impossible to duplicate.
The key point is that you must develop a Unique Selling Proposition that gives you the confidence to differentiate your personal brand!
for full show notes go to http://therealtyclassroom.com/podcast/ep11
In this business, we have to become a person for others. As I’ve said in the previous episodes, it’s about helping clients with one of the single largest financial and emotional transactions that they’ll ever make in their lifetime.
Because helping people through a real estate transaction is such an important endeavor, you must find a mentor; someone who has put the right information in the right order.
However, I also want you to remember that there’s a caveat: mentors are no better than you are.
You must take their advice while also listening to your own intuition and allow for your subconscious mind to lead you.
As your first real estate agent business mentor, you should consider Michael Gerber, whose work had a tremendous impact on me. In retrospect, I wish I had paid closer attention to his challenges to small business owners earlier in my career.
The most important question he suggests small business owner ask themselves is: “How does the business really work?” In our context, “How does the real estate agency business actually work in total?”
The key is to learn that there is much more to it than just helping people buy or sell property!
For full show notes go to http://therealtyclassroom.com/podcast/ep10/