Every commercial real estate agent wants to dominate their territory. They want the best share of listings and commissions. So just how can you get to the level of top local agent and dominance in sales? The answer is you need a plan and you should use the sales and leasing history of the local area as a tool to create listing leverage.
When you have a number of local agents all operating in the same area or with the same property type you find that competition is fierce. Everyone seems to be jumping on the same listings, and every listing presentation involves 4 or 5 agents quoting for the property. Invariably and unfortunately the agent to win the job is usually the one that offers the lowest commissions, lower sales fees, and low marketing costs. If only the sellers would understand that cutting corners in this way is a sure road to low market penetration and extended time on market.
The best way to achieve territory domination is to make more of the history of the area. When you do this you can pick up the listings that are more likely to come on the market next. Research and cold call the owners and businesses impacted by the following:
- The properties that were sold about 4 years ago and beyond
- The properties that were leased about 4 years ago and beyond
- The properties in the immediate local area around the current for sale boards of other agents.
These 3 facts are the ones that will give you leverage. In most cases these will be the properties to next come on the market. Talk to the people impacted or involved in property that falls into these categories. They will be the next to act. Why not find these people before other agents do?
This says that the sales history of the local area has so much opportunity in it to be tapped. That is how you will achieve territory domination. You can get more free tips and tools for commercial real estate agents at http://www.commercial-realestate-training.com/
When you work in commercial real estate, the definitions of success are quite easy to understand. They are simply the numbers of quality listings that you attract, the number of deals that you convert, and the levels of commission that are paid at settlement. Three simple matters like these are all driven by numbers, and you should track the numbers each week to understand your progress. To achieve this three-stage success process in your career, you need your own personal real estate marketing plan. It is remarkable how so many salespeople focus on marketing the property for the client, but then to have little focus on marketing themselves for their personal success.
In the real estate business, a personal marketing plan is fundamental to the amount of business that you will generate and your territory domination. The personal marketing plan is something that is actioned every day and quite specific in its structure. The more effective the personal marketing process and your efforts to make it happen, the better the results that you will achieve.
Just about everybody in the industry wants to be more successful. The real success that you want comes from the personal marketing plan and your own actions to support it. When the property market gets tough, it is this personal promotion approach that will see you through and support you during difficult times. So exactly what is a personal marketing plan and how can it be structured? Here are a few ideas to support you:
- At the centre of your marketing plan is the need to generate and support a relationship with your market and your prospects.
- Undertake all your own prospecting to build your personal brand. Do not delegate your prospecting to a call centre.
- Centre your plan on direct contact telephone calls, canvassing the local streets, and direct mail with follow-up telephone calls.
- Research your market for opportunities and prospects. Being able to identify prospects and opportunities before everyone else is the key.
- Understand the deals that have been done in your market both in selling and leasing. Prices and rentals become important in your conversations.
- Personal contact is the key to making your marketing plan work. Make sure your database supports you in ongoing follow-up contact.
- The more people you talk to in a professional way each day, the better results you will achieve.
- Follow-through on every personal contact with a consistent meaningful communication.
- Your daily diary is at the centre of taking action.
So all of this is quite complex and will take reasonable effort on your part. The massive opportunity surrounding all of this is that most real estate people will not take this consistent action. For those that do, the results are significant, continuous, and rewarding.
When working as a real estate agent, you frequently come across the aggressive competition from other agencies in the local area. The real question is who provides the best benefit and the best service when it comes to selling or leasing commercial property. You have to prove that you are the best. Can you do that? It’s an interesting question.
Far too many agencies and salespeople believe there is a necessity to discount their services, fees, or commissions just to attract a listing and remove the competition. The reality is that the process is counterproductive and does not produce the quality of service that the property owner deserves. So when a property owner asks for discounts it is far better to focus on the strategies and skills that you provide and that will you know will make a real difference in the sale price or rental for the property.
Small discounts and adjustments to fees are miniscule and irrelevant when it comes to the comparison of a better price or rental in a good property transaction. At the end of the day, the property owner deserves a comprehensive marketing campaign that taps into the target market for the property.
The real benefits that you provide in selling or leasing a property for the property owner can easily be explained in the following way:
- understanding the necessary time on market in the current economic climate
- selling the property with more momentum and in less time
- knowing what the best method of sale would be for the property today
- details of comparable rentals and prices in the local area
- the best marketing alternatives to expose the property to the correct target market
- negotiation strategies that can formulate and direct a quality contract or lease as the case may be
- a comprehensive database of leads and opportunities from previous campaigns that are yet to be satisfied
- an awareness of positioning the property prior to the commencement of marketing so that it achieves the best possible impression with potential purchasers
- a strategy off the inspection in and around the property to highlight the correct enhancements and value adding features which will build the momentum to a potential sale
If you show the seller that you really do provide benefit in these areas, any question of discounts or low commissions is really not of any relevance to the seller. Change your focus accordingly in any listing presentation.
You can get more free tips and online coaching articles for commercial and retail salespeople at http://www.commercial-realestate-training.com/
Every real estate agent wants more listings. In this market, the more quality listings that you have, the better results you will achieve. There are two ways to get listings and one works far better than the other.
Location based marketing is the best way to go to achieve the new listings in both property sales and property leasing. The process will give you far better market penetration and market dominance.
Location based marketing is built around a number of basic rules and systems. As the salesperson working your territory, the rules are easy to follow:
- Get to know the properties on a street by street basis. This means walking the streets, photographing the properties, and meeting the businesses located therein.
- Identify the largest and most significant properties in your area. Research the property owners in each case, and get to know them. It does take time to find the owners direct contact details therefore the systematic research process on the property by property basis is essential. Diligence and persistence in the process will pay dividends over time.
- Use a map of the local streets to know just who you have met and record the property detail. Systematic prospecting is essential for market coverage.
- The first area that you concentrate within should have approximately 2000 businesses and or property owners on which to concentrate. Systematic contacting of all the businesses and property owners in the area will give you good results. You simply want to know their property needs and relocation pressures.
- Within the local area, there will be a number of properties available for sale or lease at this time. Identify where those properties are located, and get details of the price or rent as the case may be. As part of this process, you will be monitoring the time on market before these properties sell or lease.
- Know your established market area; there will be variations of property zoning and property usage emanating from the local planning office. Get copies of the local zoning plans and monitor any new developments coming up.
- Look for any properties that may be for sale or for rent through the property owner. They should be an immediate target for potential listing. Approach the owner directly.
- Get a significant number of signs across your market on properties listed with your agency for sale and for lease. The more signs that penetrate your market, the easier it is to achieve market dominance.
- Review the marketing of property on the Internet frequently to see what new listings are coming into your territory with the other property agents and property owners. When you can find a property that is just released on to the market, approach the other property owners in the same street to see if they want to compete with the new listing nearby.
You could look at this list and say that there is a significant amount of work involved to achieve market dominance in location based marketing. The reality is that most real estate agents only doing it randomly. If you are persistent and systematic, you will achieve far better results from the other agents around you.
You can get some more free tips for real estate agents and salespeople at http://www.commercial-realestate-training.com/
When you work in commercial real estate, many things impact your territory and your market. Today we have all types of shifts and changes around the property business. Sales are tougher and contracts are taking longer to negotiate. Generally speaking salespeople have to work with fewer buyers. That means working harder and smarter is a necessity.
Things will get better, but for the moment you have some serious work to do.
When things are like this, it pays to control your day to specific rules and systems. The reason is that you are the only person that can impact your results in this market; consistency in your efforts is fundamental to getting results. On that basis it pays to set some very specific rules to work by. Consider your typical day and ask these questions.
- Exactly what is popular as a property type at the moment? Have you got your fair share of those listings?
- What is the price range that seems to be more active in your territory? How many listings have you got in that price range?
- How is your database in this market and should it be better? Are you putting fresh leads into your database each day? Are you refreshing the contact with the old leads regularly?
- What businesses are more active than others and are you reaching them?
- What is the average time on market now? Are you promoting the listings that you have to specific target markets?
- What share of the market do you have now and can it be improved through more activity?
- How are the signboards in your territory and should they be refreshed?
- When did you last cold call and door knock prospect? Can you put that system into your diary every day now?
Simple questions they are, but lots of focus and hard work is buried in those questions. I have seen this market before and I know that things get better and back to normal. For the moment take the action that is required to break the back of the slow market; business will come your way.
You can get more tips and articles for real estate agents at http://www.commercial-realestate-training.com/
When the property market gets tough, you see quite a few challenges to deal with as a real estate agent. Such as:
- Restricted finance
- Downward pressures on prices and rents
- Fewer buyers
- Fewer tenants
- Contracts take longer to get on paper
- Leases are harder to negotiate
- Lease incentives start to rise
- Vacant properties are in abundance
- Time on market to sell or lease a property is longer than normal
If this sounds like your market, then do not despair. You are not alone. You do have some choices here though and you can take action.
Right now things are pressured in many commercial property markets. Importantly there are many property investors that are still out there just waiting for the right property to come along. So how do you find them? Prospecting really well, and for a solid part of your business day is the rule. It is not uncommon to make prospecting 40% of your day. That is a full 3 hours every day of the week. Those that do this are still making the deals and creating the listings.
When things get tough, start taking more action; pretty soon your problems will lessen and you will have market churn.
You can get more free tips and articles for real estate agents at http://www.commercial-realestate-training.com/
In commercial real estate sales and leasing, each day can be filled with events and issues if you let it. The reality is that your day will always fill up no matter what way you look at it. People will give you things to do or think about, as will your boss. I don’t know about you, but I prefer to control my day. I like to be in the driver’s seat when it comes to my activity.
The best salespeople in the industry control their day and their actions. That is how they are successful. They have a plan and they keep to it.
Conversely, those that tend to struggle in the industry are those that really have no idea of what they are doing each day and have little control over their day. The lesson to learn from the great salespeople is that control is the key to progress and success. It is all up to you.
Let’s face it, sales is a great career if you can control your day and your actions. If you cannot, it is the fast track to failure. The tip here is for you to take control and do so today. Do not let another day pass by without directed action.
You can get more free articles and tips for commercial salespeople at http://www.commercial-realestate-training.com/
Having worked in commercial real estate for over 30 years, I have seen many markets and many changes. There will always be shifts and changes in property investment. Importantly, and as salespeople in the industry, we need to adjust with the changes as they occur.
Current property market trends are typically seeing a flushing out of highly geared, highly rented, highly overvalued, or highly priced property. There is a simple equation when it comes to commercial property. Businesses need to be able to pay the rent or purchase property at fair prices. When the rent gets too high, the businesses reassess their plans for expansion or relocation. When the economy becomes too pressured, the businesses reassess their plans for future operations. When property prices become too inflated, the local businesses reassess their operational decisions. A salesperson that knows the sentiment and the players in the business community will likely be the most successful salesperson in the local area.
A downmarket produces opportunity and churn, it’s just that it is a different churn than a buoyant or very active market. Adjustments are required by the salespeople in their prospecting processes to stay on top of the differences in each market.
Currently the availability of finance and cash is restricted in many markets. This should suggest that you concentrate on the lower priced properties when it comes to sales. It is also a proven from history that a market like this produces more leasing activity than anything else. Be versatile in your real estate prospecting to capture these existing opportunities. Buoyancy in the market will return, and in the meantime real focus and directed action is required to find the qualified tenants and qualified buyers that can act. They are still out there.
You can get more tips and free articles for real estate salespeople at http://www.commercial-realestate-training.com/
Quite often you hear that many salespeople in the real estate industry suffer from cold calling fear, or call reluctance. The reality is that cold calling is a productive process to improve your market share. So how then can the average salesperson get around the problem of call reluctance? Here are a few pointers to help the process.
There are two solutions to the call reluctance problem. They are:
- Changing the mindset
- Adopting a systemised process of action
When a salesperson is told that they have to start cold calling, they are usually embarking on a process that they have not done before or have not done with great efficiency. Effective cold calling takes practice. In simple terms, the more that you practice the cold calling process, the easier it will become. The more that you actually do the process, the easier it will become.
Only a few salespeople out of every hundred really do the cold calling to a highly efficient level. It is these people that grow market share significantly in any market and at any time. They enjoy the cold calling process and find it integral to their prospecting and connection with clients and end users. They enjoy making the calls. In reality, they have changed their mindset in the cold calling process. This is the ultimate goal that every high performing salesperson should seek to achieve.
So the real solution to call reluctance is found in the process itself. When you take action and challenge your fear you will break through the barriers of the problem. The more calls you make, any hurdles or reluctance will start to diminish. Importantly the process should be supported by systemised timeframes and documentation. This then says that you should make the calls every day without fear and without compromise. Once you start making the calls, ensure that it is part of you daily and weekly diary. You have to make the calls every day.
One final comment to add to this process; it takes about 20 minutes to get the flow of cold calling really underway. If you stop and start calls with various interruptions around you, you are destroying the cold calling momentum and resetting the clock each time.
So the message here is that success is available to those that practice and diligently approach the cold calling process each and every day. It is a tool and skill to be developed. It is the perfect cure.
You can get more free tips and articles for real estate agents at http://www.commercial-realestate-training.com/
One thing that really matters when you pitch for real estate business is the ability to prove you really do know the market. So many agents just say they know the market and have little to show or prove that they do. Verbal comments are of little substance when it comes to proof. Show and tell is the way to go.
To prove that agents know the market I recommend that they use a series of graph displays that track things such as these:
- lease rents,
- time on market,
- sale prices,
- incentives in leasing
- supply and demand for space
- vacancy factors
- listings on the market currently
- regional growth (community and business)
The best graphs for this are:
- Line or column graphs for results
- PERT and GANTT graphs for processes
So many times I have seen this graphing process win the business in real estate agency. It is simple to use and the client can interpret it in seconds. They do not have to read anything. It’s a powerful tool in the real estate agency game. You can also talk to a graph; it’s a powerful tool to win the presentation or pitch.
You can get more tips on real estate agency at http://www.commercial-realestate-training.com/
When working as a commercial real estate agent you will see many types of property in many situations and levels of quality. When it comes to selling the property, there is a factor known as the ‘liquidity factor’, and it will impact the sale and price outcome. In simple terms the ‘liquidity factor’ is the time it can take to sell the property.
By comparison to other types of investment, commercial property has a high liquidity factor as it takes time to sell it; usually days or weeks. The share market as an investment type is just the opposite with a low liquidity factor, as shares can be sold almost within the hour. People choose to invest in commercial property as it is relatively stable and less volatile than shares. There is however the liquidity factor to contend with when it comes to property sale time.
It pays to take the seller of the property through the liquidity discussion so the right choices are made when you take the property to the market for sale.
Essentially the ‘liquidity factor’ is all about the time the property will take to sell. It is driven by things such as these:
- Location of the property
- Tenant mix
- Anchor tenants
- Size of the property
- Amount of money required to purchase the property
- Lease profiles and documentation
- The age of the property in the local area
- Changes to the population locally
- Changes to the business sentiment locally
- Methods of sale to be adopted
- Identity of the property in the local area
- Price pressures locally
- Comparable or competing properties in the local area
All of these factors will have positives and negatives when it comes to the time of sale. Importantly it is up to you as the real estate agent to help the seller understand the ‘liquidity’ of the property and how it will impact the choices of property sale.
You can get other free tips and resources for real estate agents at http://www.commercial-realestate-training.com/
When you work as a real estate agent in commercial real estate sales or leasing, the marketing of the property is a critical issue to create the right amount of interest from qualified buyers or tenants as the case may be. This says that every property should be uniquely marketed based on the unique attributes of the property such as:
- Location of the property
- Tenancy mix
- Anchor tenants
- History of the property
- Special improvements and features within the property
- The notable property owner that may also generate interest
- Future opportunity from redevelopment or rezoning
- Cash flow or rental income opportunity
When these factors are individually looked at, they allow the property owner and the real estate agent to make some critical observations and raise some key questions. The answers that you create will allow you to position the marketing campaign correctly, hence attracting the right target audience in the sale timeframes required. It makes the sale a lot easier.
These are some of the key questions that should be answered in or through the marketing campaign structure:
- Exactly what is the target market that you are attempting to reach for that property? Why is that different than any other property in the area?
- What are the key attributes that the target market is looking for today in an investment or commercial property?
- What is the size of the target market given the unique attributes of the property?
- What are the key factors that will likely attract enquiry for the property as opposed to any other competing property in the local area?
- What story do you want conveyed to the target audience about the property?
- What channels of media will produce the best levels of enquiry and how much money should be spent in those various channels?
- How long should the campaign be active and at what time of year should you start?
- Precisely how are you going to measure the results from the campaign so that adjustments can be made as necessary and when appropriate?
These questions should essentially be answered in every comprehensive marketing proposal put to a property owner or landlord. That proposal will help you significantly towards a successful level of enquiry from qualified property purchasers. In this market, that is a useful process. You can get some more free tips for real estate agents at http://www.commercial-realestate-training.com/