Business success coach Tom Ferry offers insight and inspiration to aim higher in business and life
By Buck Wargo
There’s a lot of money to be made in real estate in the next three to five years, but a lot of agents are going to miss out.
Tom Ferry says too many agents don’t have a plan, don’t track and measure their performance, and are missing out on a lot of leads that could turn into to more transactions.
“If you want to increase your income by 10 times, you can’t get there by doing more of the same,” Ferry said during his “High Performance Selling, the Distinctions That Separate The Top 5 Percent” session at the 2015 RE/MAX R4. “We’re in the midst of a three-to-five-year run where there’s an incredible opportunity to make a lot of money in this business. If your growth goal is to add 15 percent more business, you’re missing the opportunity. This is the time to be growing like crazy.”
- Think bigger; aim higher
Ferry said a starting point is for agents to decide how many transactions they want to do and add a “1” in front of it. Many agents need to expand their horizons.
In 2014, 54 percent of agents made less than $50,000 a year and 21 percent made $100,000 or more, Ferry said. Only 5 percent made $250,000 or more a year with 2 percent in the category of $1 million a year or more.Whatever you're thinking, think bigger.Click To Tweet
“Whatever you’re thinking, think bigger,” Ferry said. “If you’re doing 30, you’re a rock star and icon, but you are underperforming by at least 100. If you can do 30, you have figured out the minutia. If you can do 30, you can do 130. I’m not talking REO, but everyday retail transactions. Most people are spending too much time looking at what everyone else in the real estate world is doing.”
- Never stop innovating, marketing
Unless you have the ambition and drive, you’re not going to be successful, Ferry said. Those who know why they’re in real estate are the ones willing to do whatever it takes to innovate, market and be consistent to serve more customers.
Success comes from innovation and marketing. Innovation makes it easier for the customer to do business with you, and it’s vital to stand out from the competition in the marketplace, he said.
“The second you stop marketing, you’re out of business,” Ferry said. “Keep marketing to make sure you’re getting your share of the business.”
- Expand your reach
If your experience shows that 95 percent of customers respond to text messages in five minutes or less, then it’s best to focus on that tool to reach them, he said.
Agents who have only three or four ways to generate client leads aren’t casting a large enough net to get the number of customers they should, Ferry said.
“The average agent has one to three ways to get clients and is inconsistent with all three,” Ferry said. “They don’t fully commit to any one of them. The good agents that are in the 1 percent or 2 percent have five ways, eight ways. And the very best have 15 or 20 different ways that they’re bringing in customers.”
- Make a plan and measure your performance
If you don’t have your business plan on your phone like it’s connected to your soul, you don’t have business plan. If it’s on a yellow note pad in your desk at the office, you don’t have a business plan, Ferry said. Part of that plan includes measuring your performance every day and knowing, for example, what the response rate is for a mailer.
“Many of you are making hundreds of thousands of dollars and millions of dollars a year, and if you’re not measuring your performance it’s not going to improve,” Ferry said. “If that means a yellow note pad or some kind of software, that’s great. But you’ve got to track and measure.”
Ferry said it’s vital someone holds every agent accountable to make sure they’re doing what’s necessary to gain more business. If you don’t hold people on your team accountable and no one is holding you accountable, you will underperform.