At our recent Success Summit, I spoke to 6,000 agents about the impending market shift coming to our industry. No one is forecasting a devastating, 2007-2009-type recession, but make no mistake: we’re due for a downturn and a return to a “new normal” market devoid of the incredible demand and appreciation we’ve witnessed lately.
“Bravo!” to those who’ve made it through the last recession. But, for those with less than 10 years in the industry, you’ve never witnessed anything like it. Behold — this type of paradigm shift will require all of us to adjust our mindset and tactics. With that in mind, here are five ways agents can continue to dominate in a changing marketplace over the next 18-24 months.
Ask yourself this important question
Are you a hobbyist, or are you running your own business?
Let’s face it, the majority of people who have a real estate license are hobbyists. They don’t treat their trade as a business. They don’t know their numbers. They’re not concerned with innovation and marketing.
But as we enter a changing economy, being a hobbyist simply won’t work. These agents will not survive.
If you’re reading this, there’s a good chance you do treat your trade like a business. Now is the time to make that commitment even stronger, ditch any of your “hobbyist” tendencies and shift your strategy to run your business by design.
Diversify your lead generation strategy
Let me tip you off about something: no one outside of your immediate family cares if you put in a half-baked effort to generate leads. People will simply find another agent to help them sell their house.
They don’t need you. But if you want to survive in a changing market, you need them. And that means doing a better job of marketing yourself.
It means operating from a marketing strategy and putting as many proverbial “lines in the water” as possible to attract buyers and sellers in your marketplace.
The very best agents have four to six diversified lead sources. Download 9 Ways to Win Every Listing in our free List & Win bundle, so you can succeed when the market shifts.
Commit to using a CRM
The best agents I know practically live inside their CRM.
Yet our research shows 64% of agents have absolutely no contact relationship management (CRM) solution.
News flash: Gmail is not a CRM!
You need an organized way to keep in contact with people. You need those people segmented into buckets. You need a systematized approach that dictates the frequency with which you’ll contact them.
Never forget the consumer has many choices.
If you’re not staying in communication and delivering value relentlessly, your days are numbered.
Watch more related to financial management from Tom Ferry:
Review and reconsider your price points
A shift in the economy is likely to affect different portions of the housing market in different ways. It’s not an across-the-board situation.
That begs the question:
Are you positioned favorably for when the market changes? Or will it potentially put you in jeopardy because too many of your eggs are in one basket?
They don’t call it the “moveable middle” for nothing. If you’re tied too tightly to one market segment – luxury, low-end, etc. – it’s time to diversify your approach and establish your presence outside your normal circles.
Anytime the market takes a downward turn, some agents will panic and immediately stop marketing themselves.
And they’ll put themselves out of business.
The reason I want you to start stockpiling cash NOW is to ensure you can capitalize when naïve agents inevitably do exactly what I just described.
With cash on hand, not only can you keep your business growing through a downturn, but you can dramatically increase your market share. The best agents are almost always those who rose out of a downturn.
If you missed Success Summit, you can still watch it on demand with LiveCast, including all 25 breakout sessions!