Ever wonder why Mega Agents seem to thrive in any market? The secret is a fundamental premise we drill into our coaching members from day one: i.e. 'message to market match'.
So what exactly does this mean? The email below is from one of our Platinum members about how he was able to improve his message to Buyers in such a way that he is getting $495 up front retainers:
Subject: How going to the OSA conference just made me $69,750 MORE This Year!
Thanks for beating into my skull to collect $495 and 3.5% from the buyers. We were just sheepish. I went to the OSA conference and realized that "hey I can do this too". I came back and made it mandatory for my OSA to collect $495 and 3.5% commission (average is 2.5%). I went over it yesterday at the team meeting and beat it into their heads. Well today Laurie got the first $495 and higher commission. Thanks to the tune of $69,750!
In any market, good or bad, you must identify the prospect you are going to target and then focus like a laser beam on that prospect's NEEDS. It pays to do some research and make sure there is demand for that prospect's home or adequate supply for the buyer you are targeting. Let me clarify with some real life examples, and I'll paint a snapshot of what the market looked like a few years ago when the going was still tough because it's instructive
In this one particular marketplace, there seemed to be a massive amount of supply -- in some price ranges, years of existing inventory. All in all, on average, 8.3% of existing supply sold each month. So around 8 buyers for every 100 homes for sale. Not a hot market for sure. In this kind of market, who should you spend money on in order to get some profitable business? Well, upon further study, we found that in one pocket, first time home buyer houses seemed to be selling about twice as well as third time move ups and slightly ahead of first time move ups. This was common with most major metro markets at the time. Now because of this, many agents would dump a lot of effort into marketing to first time home buyers. But is this really the best target? Should it be your primary target? My answer is "no", and here's why.
My primary target market pick would be the first time home sellers - i.e. those selling a house that first time home buyers would be attracted to. Why? Simple, there are more buyers for those houses and those houses come with sellers who are also buyers or renters - offering me a back end. So by acquiring a listing in the $225,000 price range, for example, this house is a first time home buyer house, the seller is moving up to a larger home or downsizing or renting. But remember, I said that sales were not so hot.
So even if I really target these first time home sellers, it didn't mean I was going to make another million dollars or more that year. Here's why - these sellers may not have to sell. They may owe more than the home is worth and/or worse. This is the better prospect as it represented a shot at three sales or more - but I had to go deeper before I started investing marketing capital. In looking further, I decided I should laser focus on first time home sellers who already had another property under contract or were in a personal or financial position that compelled them to move. Let's call them "have to move first time home sellers". Now I am in a position to acquire opportunities at really motivated sellers in a price range that mostly represents a move up and has a good supply of buyers ready to buy their home. I end up with better priced listings and more consistent closings.
This is just an example, but bottom line, no matter what market conditions are, your job is to seek out sellers who must sell and buyers who must buy. Then create a message that matches that prospect's very specific need.
Millionaire agents get that way because they are serious about their
businesses and are not interested in the market dictating their results.
This formula, Message to Market Match, sounds simple, but is fundamental to
really breaking through in your business. If you're not entirely clear on
how to apply this to your own situation, this is a topic covered
extensively at our SuperConferences. Doing this correctly will get you MORE
Prospects and MORE closings. Success is imminent once you adopt this
formula and implement it.