Pro Tip #3 - Track and Measure
What is the key to consistent business? KPI's!
What we track grows! Most dietitians would recommend that if you want to lose weight, track what you eat and ensure you are not taking in more calories than you burn off.
We are all good at tracking the sales we make and the income that is generated. But sales are a lagging indicator in real estate - something that has happened in the past. It can not be changed.
How can you make your future income more reliable?
Track and measure! Track your LPIs (Leading Performance Indicators) or your KPIs (Key Performance Indicators).
What are these sales performance indicators? Every profession has different LPIs. In real estate, when we concentrate on the number of conversations and appointments that we have and make, we can predict our future income.
For a new agent, we typically say they need to have 125 unique conversations which results in 10 appointments to translate to one sale. Of course as your skills improve, so does your conversion rate.
This can all be broken down into planning your daily behaviors. For example, an agent that wants to sell 18 homes this year simple multiplies 18 X 125 for the goal of 2250 unique conversations for the year. Say you want 4 weeks off and you work 5 days a week prospecting. The weekly goal for conversations would be 47. And the daily goal of 10 conversations. (I rounded up. Sorry, you can't have .375 of a conversation!)
Plug in your sales goal to see how many conversations you need to reach your goal:
Here are numerous systems and processes that you can use to get started:
Using a Google spreadsheet is the most basic way. We use a Google survey to log our conversations and appointments every day. Many CRMs also have a similar feature to do the same thing. Over time you will see your progress.
Of course it will take some time to get your specific number but you will understand what kind of behaviors lead to success very quickly! Once you do this you will see a pattern and understand where your strengths and weaknesses are and can tweak the area that needs improvement.
Now you can set your goals and refer to Pro Tip #1 about lead pillars. Apply these numbers to your specific lead pillars to incorporate into your schedule.
Pro Tip #4 - Not all Leads are Created Equal
Do you treat all of your leads the same? Do you communicate with them the same way? Adapting your message to each particular type of lead is the topic of this Pro Tip.
Pro Tip #5 - The Value of Note Cards
Old school is new school. Are you writing note cards to your clients? Randal has a note card plan for you, with a tip of the hat to Gino Blefari, Chairman at Berkshire Hathaway HomeServices Homesale Realty.
Pro Tip #6 - Not all Leads are Created Equal
Are you "popping by" your SOI and past clients each month to stay top of mind? Here's a quick refresher on the value of pop-by's.