What You Can Learn from Other Businesses
On my new Podcast, The Local Small Business Coach, I did an episode last week that talked about the three ways for you to increase your sales in your small business. I got to thinking later on, that this actually played out in our real estate world as well.
While there are many different ways to increase your sales, the reality is, they all fit into one of three buckets:
1) Increase your customer count
2) Increase your ticket average
3) Increase your frequency
Let’s take a look at how this works in our real estate world.
Increasing Your Customer (Client) Count
This one is probably the first thing we all think of. Find some potential clients! Usually you are doing this via open houses, advertising or from your sphere of influence. Normally they have never done business with us before so they are new contacts that have the potential to purchase or sell a home.
Increasing Your Ticket Average
I have been experiencing this myself in my market. Our homes just a few years ago where selling for under $100,000 but now the average sale is more around $150,000 - $200,000. So by shifting the average home price, I can increase my sales and thus my profits as well. So, to increase your ticket, you need to shift to higher end homes which can be relative to your market. Even small shifts can make a difference.
Increasing Your Frequency
This one is what we do by staying in touch with our past clients and ensuring they use us for any future sales. Even better if they lead to multiple sales via family and friends. Some of you have stories of one client leading to 5-6 sales over a couple of years. How great is that?
Which is Best?
Now, you might be wondering which one is best for you and your business? The ideal solution is actually using a combination of methods. Just like I would recommend to any local small business owner.
Now some of you will have most of your eggs in one basket. It might be easier for you. That is ok too. However, if you want to maximize your sales, then I recommend leveraging all three!
If you are interested in listening to my Podcast Episode on this topic, here is the episode.
Remember, as we wind down this year, have a plan on how you will use all three buckets to grow your business in the coming year!
Good luck and kick butt!!