| A Champion Agent can convey the six key rules | | | | company statistics, as well as individual statistics |
| that equate to professional value to any prospect | | | | and analysis. |
| or client. They are able to drive home the key | | | | B. Understand what your competitors are offering |
| points to raise their value to the prospect. | | | | Before every listing presentation, you should |
| 1. We don't sell properties | | | | know exactly who you are up against; what that |
| We are sales people, but we are really selling | | | | Agent and company offers and what their stats |
| something other than a property. What we really | | | | are in the marketplace. If you can acquire your |
| sell to the marketplace is our knowledge. Our | | | | competitions' pre-listing package, marketing |
| knowledge is better and more complete than our | | | | brochures, or anything that will clue you in on how |
| competitor's, which enables us to charge a higher | | | | they promote and communicate their value and |
| fee for our service. Why is one Attorney $500 an | | | | service, those items will raise your preparedness |
| hour and another is only $100 an hour? It's an | | | | for the appointment. |
| hour for both. Assuming they can accomplish a | | | | C. Be competitive: Competition creates success |
| similar volume of work, why pay the higher price? | | | | By checking out your competition, you will be able |
| The answer is obvious - greater knowledge and | | | | to present an offer that is in direct competition |
| skill. Why are we any different? | | | | for the business. If, for example, you are charging |
| We also sell our time. Just as a Doctor, Dentist, | | | | 9% to sell a home when the market average is |
| Attorney, or Accountant sells their time, we also | | | | 6%, you are not competitive enough to secure |
| sell our time. Because our fees are in a general | | | | business. A 1%, as a premium service fee, above |
| range, the real variable to profitability is the | | | | the competition moves your competitive position |
| amount of time required to earn our fees. If we | | | | to a point where you can prove the value. You |
| can accomplish our client's goal to their satisfaction | | | | don't necessarily have to match the price another |
| in less time, we can increase our revenue and net | | | | will charge if the service is different. You will make |
| profit. | | | | a more effective presentation when you are |
| We are in a service business. The purpose of a | | | | competitive. If you are not, it's easy to have the |
| service business is to provide service . . . for | | | | attitude of why bother. |
| compensation. We often forget that last part - | | | | Most people don't want to engage in a |
| for compensation. We won't be in business | | | | competitive environment because they are |
| long-term without the ability to charge enough | | | | uncomfortable. They also recognize that it's |
| compensation to cover our business expenses, | | | | harder. They will have to work harder to improve |
| personal living expenses, recreation expenses, | | | | their skills, activities, knowledge, mental focus, and |
| retirement saving expenses, taxes, children's | | | | mental attitude. Most people don't want to work |
| college funds, and investment savings. We often | | | | that hard. |
| barely cover some of our costs and come up | | | | My response is always the same, "Don't wish it |
| very short when we discount our fees. | | | | were easier; make yourself better." Take on the |
| We really "broker" transactions, not sell homes. | | | | challenge that most won't in order to make |
| We represent the interests of another by | | | | yourself a more skillful Real Estate Agent. Work |
| advocating for their position in the marketplace or | | | | through the short-term challenges to access the |
| a particular transaction. | | | | long-term opportunities. |
| 2. Key "service" business requirements | | | | 5. Beating the competition |
| The fact that we provide service and receive | | | | Champion Agents have figured out that being |
| compensation is certainly the most important | | | | specific and deliberate in terms of what they |
| thing. A good service business goes beyond that | | | | offer, the benefits the clients receive only from |
| level, though. They check back after the sale. | | | | them, and the value they bring to the |
| They might even survey their clients to see how | | | | marketplace, allows them to beat the competition. |
| they did and how to improve their service. | | | | If we offer "generic" services, we must compete |
| 3. Sell yourself first | | | | on price. Webster's dictionary defines generic as |
| Sell your services, benefits, and value first. The | | | | "nonproprietary, any product or service that can |
| first step is really believing in your value. If you | | | | be sold without a brand name." It's something that |
| don't believe it, you can't sell it. I often ask | | | | anyone can do or provide. An example would be |
| Agents what knowledge, skill, or production level | | | | the fact that any Agent could put the home in |
| they need to acquire or achieve before they will | | | | MLS. When we move away from generic to |
| achieve an unshakeable belief in their service or | | | | unique, we can now compete on value and |
| value. The more you can quantify that, the easier | | | | service and avoid price. |
| it will be to attain. You have to know the target | | | | By clearly knowing our competitive points of |
| before you have any chance of hitting it. | | | | difference and effectively communicating those |
| Then, once you believe it, it becomes easier to | | | | differences, we are able to draw a stronger |
| communicate your value as compared to other | | | | separation from the competition. In essence, we |
| Agents in the marketplace. | | | | can beat the competition. We can then |
| 4. Deal with the competition challenge | | | | communicate the quantity and the quality of our |
| The real estate business is an extremely | | | | benefits. |
| competitive business. With new competitors | | | | Through the use of personal commitments and |
| entering and advancing daily, we need to be | | | | personal guarantees, we can also create a higher |
| prepared for competition. Some of these | | | | level of comfort for them, reduce their risk, and |
| competitors will try to attract customers through | | | | separate ourselves from the crowd of |
| discounted fees. Some will over-promise sales | | | | competitors. |
| price and marketing exposure but will then, | | | | 6. There is a professional difference |
| ultimately, under-deliver. | | | | We need to sum up the differences, so the |
| A. Who are key competitors?o Who has more | | | | prospects can see the clear distinction. Then the |
| market share than you?o Who has more name | | | | prospect knows clearly that: |
| recognition than you?o Who has similar market | | | | A. All companies are not the same |
| share to you?o Who has equal or better statistics | | | | B. All salespeople are not the same |
| of results? | | | | C. |
| This evaluation should be made based on | | | | |