Seeing that we're coming up on the time of year where Business Plans are made with abandon, I have a challenge to pose to all the managing brokers out there! Well, maybe “challenge” isn’t quite the right word; how about “proposal?”
First, a question:
In your office or company, are your agents recognized and rewarded for GETTING listings…or for SELLING listings? Because unless you’re in a crazy seller’s market (which some of you are), there IS a difference – a big difference!
I remember back in my early days, the Coldwell Banker franchise I was with rewarded agents who got at least one new listing and put at least one buyer under contract every single month. So, being the plaque-on-the-wall ego fanatic I was, I went out and got myself one new listing and one buyer under contract every single month in 1997. Interestingly, it didn’t matter if the listing ever sold; in order to get the award, all I had to do was turn in a signed listing agreement every month and I got my credit.
I probably still have that plaque somewhere, lol.
So, it’s no secret that folks tend to do what they are rewarded for (gee, that’s deep, Jennifer), so what if…
…Instead of rewarding agents for GETTING listings (regardless of whether or not they ever sell), howzabout rewarding them for SELLING the listings they GET?
What if, in your office, you gave a Very Special Outrageously Prestigious Award at the end of the year for, let's say, the five agents who have the highest Listed-to-Sold ratio (with some reasonable minimum number of listings taken)?
Imagine the benefits to you and your office if your agents enthusiastically jumped on board the SOLD bandwagon...
- Closed listings mean money in everyone’s pocket, including yours;
- Listing agents will be motivated to do a better job pricing and preparing their listings for sale;
- Listing agents will be motivated to do a better job marketing their listings and managing the contract-to-closing period;
- Homeowners in your market will notice if your company’s For Sale signs have a steady stream of SOLD sign riders placed atop them;
- A higher-than-average closed listings ratio gives you something of substance to differentiate yourself from the competition in your marketing
But most of all, if we, as an industry were to shift our focus to SELLING our listings instead of just GETTING more of them to (try to) sell (or not sell as the case often is), imagine what that would do for the overall perception of our value to the marketplace…