The secret to becoming #1 is simple: tap into the public consciousness and relentlessly deliver what it wants.
It helps to make your own list of the brands that accomplish that for you.
My listed includes: The Clash. The Yankees. Howard Stern. Apple. Porsche. Alembic. Vox Amplification. Peets. Paul Smith. Butch, my guitar tech. Junior’s Cheesecake. And…
The Four Seasons Hotel
I won’t bore you with the details of my holiday vacation. It suffices to say I was long overdue for some personal time off.
My travels included stays at different hotels and visits to a dozen others (Vegas). For the most part all were pleasant places that went through the motions.
However, on New Year’s Eve we flew into San Francisco and checked into The Four Seasons Hotel. When I checked out, I left inspired.
Forget the interior decor, or thread count in the sheets – things that could easily be cloned by any other hotel. It was in the nuances. The simple things that told me someone in corporate intuitively understands what people want. And cared enough to provide it.
These things include: The precise vocal timbre used by the staff - one tuned to place you at immediate ease. The elevator that remains open and ready for you when you arrive in the lobby. The food. The bottles of L’Occitane in the bathroom. The quality of hand towels in the public bathroom. The rollaway cot placed in our suite prior to arrival for our eight year-old.
Simple things. Attentive things. Thing your spouse does without asking that makes you love them above all others. Things that tap into your psyche and make you feel great about your decision to engage a brand.
If the Four Seasons were a real estate brokerage, they would rule the marketplace.
That got me thinking.
Resolutions
The last three years were the best years in the history of American real estate brokerage.
They forced you to face your demons and take stock of the sprites that mischievously toyed with your value and brand proposition.
You were inundated with new ways to market your company. Instead of ignoring these things, you inquired about them. Aggressively tackled them. As a result you have been forced to think harder, faster, deeper and more creatively than ever before. You are emerging better as a result.
I’ve noticed. As a fan of the American Brokerage, here in the bleachers where I sit, I’ve been watching the game and keeping track of your hits, RBI’s and sacrifices. That sound you sometimes hear but can’t place is my applause from afar.
But there is more work to be done. I’m sure most of you are meeting this week and setting agendas for the year. I’d like to help out by suggesting a few things you could think about and execute over the next four quarters to help get you to the top of your marketplace.
This list has been assembled from the many things I’ve seen and been a part of during 2009. Executing these things isn’t necessarily cheap, easy or simple. Then again, perfecting the simple things, the things that make the most difference, typically isn’t.
Here goes:
- Rethink affiliates, vendors, and products you offer your agents that are there because someone paid to have them there. Instead, provide a directory of the best vendors in the world. These may not be the cheapest. Or ones cast from the mold of real estate blue. But what you loose on affiliate income you will make back tenfold by not spinning your agents’ wheels on useless junk.
- Invest more in educating your agents on the things that are actually relevant today. Like, 1) Pricing Listings properly, 2) Marketing, branding and social media, 3) Communication, 4) SEO, 5) Business planning. Bring in the best trainers. The smartest thinkers. Not the cheapest. Or ones cast from the tenured mold of real estate blue.
- Direct your marketing department to take a few left turns, on two wheels, then gun the engine and burn so much rubber they leave skid marks a mile long.
- Present your vision to your company. Last year I participated in a three-day event hosted by a large east coast brokerage for their agents. In attendance where the members of the firm’s executive staff and several other creative partners and vendors. We presented twice a day, distilling the respective visions, products and services offered and fielding hundreds of questions from a thousand agents. The ensuing clarity united an already cohesive company: a Four Seasons Brokerage if there ever was one.
- Make one promise to the public that you and every agent can commit too. But here’s the trick: make it a promise that matters. Like a return call within five minutes or less. Or fifty images for every listing.
- Scrutinize every detail on your website – the window to the soul of your brokerage. Many of you have too much clutter on the windowpane and too much frost on the glass. Make it easier for the public to understand you. Immediately.
- Forget doing an iPhone app. There are far better ways to spend $30,000. Contrary to what you may think, an iPhone app will not make you look cool and the 15-minutes of industry fame it buys has no ROI. For $30,000, consider a killer CRM tool. Or a subscription to market data you and your agents can use to create informative monthly newsletters for your customers. If you want to develop a mobile app, consider instead an agnostic web-based platform that works on every phone.
- Social Media: The times demand you do it right. While many have found it fulfilling to connect, converse and share passions with their peers in real estate, the bottom line is significant business opportunities can be derived from creating a well-thought out social media initiative. It’s neither easy nor something every broker can execute on. Proceed cautiously and with clear intent.
- Conversion. 2010 is the year you need to place a stake in the ground regarding the number of Web inquiries you must convert to make your Web-based investments pay off. This means you need a Website built for conversion. It means you need to create a team of specialized agents who understand the Web user and how to communicate with them. It also means you need someone in charge of that team who can evaluate all your Web based relationships, your listing syndication, your media assets, and tune these things in a manner that makes profit margins possible.
- Build the largest database of local images and video possible. If not you then who? Some 12 year-old with a Flip camera and a Droid.
Inspiration
Arguably, The Four Seasons Hotel offers the very same things every other hotel does. But in every single instance, they present these things in a manner that is unique and understated. They need not boast or scream how great they are – this can be felt within seconds of approaching just about any touch point.
This is not impossible in real estate. But it does seem like it hadn’t really occurred to most brokerages, which makes it all the more exciting to watch the few companies go for it and the others working hard to improve upon it.
Your 2010 can be everything you decide it to be.
- Davison
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What a way to start the year.
Reading the post made me think about brokers being passionate about their firms and through that passion doing what is best for the firm instead of what seems expedient or cool.
It may be tough to stay that way when each day is so full of basic challenges, but you are dead on the money when you remind us that this is the way to long term success.
Hope your trip was wonderful = look forward to seeing you next week!
Marc,
Thanks for succinctly and elequently saying exactly the right thing. This post should be printed, posterized and hung in the board room of every American brokerage in existence. They should examine it daily and execute it carefully. I would like to add one item…
Hire one person as a consultant based on two criteria… intelligence and care. One very bright individual who sincerely cares about your business will cut away reams of hazy tape, and help you find a clear easy path toward your goals…
It’s all in the details…the timbre. Most don’t understand the subtle nuances—not garish, boorish behavior, is appreciated.
Craft the message, the message should be quality–it’s not about THE MESSAGE. Quality should be the message.
I love the:
Direct your marketing department to take a few left turns, on two wheels, then gun the engine and burn so much rubber they leave skid marks a mile long. <<
That's my motto. Trust my gut. Make mistakes. Own 'em–though I've rarely made any.
Lead, don't follow. Be prepared for the clients needs; don't tell them what they SHOULD needs. That's so 2009~
This post is better than your raucous one that almost broke the re.net in half
Excellent advice. I love to see who takes this kind of challenge and runs with it.
I am grateful for the miracle of the Net, making it possible to share brilliance with others. I’ll do my share in making this post viral. It is the stuff that inspires and moves people to actionable success.
Bravo, Marc!
Marc,
The #1 thing I took out of your post was the fact that you stated this:
“The last three years were the best years in the history of American real estate brokerage.
I’m sure that more than one person (that was reading – not skimming) your post said “what the hell Davison???”
I get what you’re saying and applaud it. The last three years have caused the brokerage to get off of their laurels, start thinking forward, better, profitable, innovative. This is the revolutionary time of business development – a Darwinist period if you will.
The question becomes, “Will you embrace those frail infant appendages of your body and crawl out of the swamp-slime to stand erect to visit the terrestrial world or hide amongst the lillypads with the other fearful in the retreating pond” – (that is my attempt at a Davison-esque analogy)
This list is an excellent blueprint. Implementation is key.
Reach out to your network, ask for advice, ask for help.
Git R Dun.
[...] 2010: The American Real Estate Brokerage – Another year of change in the real estate brokerage world. Is your brokerage ready for the next [...]
I applaud your vision Marc, it’s right on the money for the Brokerage of the future.
Alas, your average real estate agent, battling away in the trenches, is bemused, confused and scared of the changes required to interact with the new consumer. Many are immobilized and don’t know who to turn to.
The pace of change is getting ever quicker – Brokers and trainers have a lot of work to do to bring these guys up to speed ….
….. or more blood will be spilled in the streets
Love it Marc. I’ve never been more excited about a new year as I am today. I think great things are possible this year. It’s going to take a hell of a lot of effort, but this is the year of opportunity. No doubt about it. Cheers, Kori.
Marc, you’re so right!! Sometimes people in our industry hate to take advice from people outside our industry. However, having been a Realtor for over 25 years (including 8 as the owner of a 500 agent company), I can tell you, Marc, that you have a tremendous feel for what our industry needs to prosper in the next decade. Keep sharing!! We need it!
“Rethink affiliates, vendors, and products you offer your agents that are there because someone paid to have them there. Instead, provide a directory of the best vendors in the world.”
As they currently stand, these lists offer next to nothing to the agents or even the the vendors. They are pay-to-play throwaway “resources” not unlike vendor-sponsored morning snoozefests.
Guiding your agents’ marketing dollars should be of mutual benefit to brokerage and agents, but the majority of set ups I’ve seen are simply ways to establish another revenue stream from vendors eager to get in front of your agents. This is understandable, but far off the mark. If you and your agents invest marketing dollars wisely, it will pay off in spades. Common sense, right? I’m not the one you should ask. Seems like that simple truth is too hard for many brokers to swallow.
@Ian,
I think this is easier for Brokers than you might think. Over the last three years Brokers are noticing how much of their leadership vibe has been chipped away by the things they did to get earn ancillary revenue.
They also feel the sting of selling their agents out to the highest bidder for hunting licenses to ready, aim, fire marginal products to them.
Agents are crafty. They ask a lot of questions. They read blogs, monitor Twitter, attend BarCamp and have been inundated with new opportunities, new vendors and new ideas that no longer need the brokers affiliates.
What would bode well for any broker is take a good, hard look at their current vendor list, size up the offering and compare it to their competitors. Then flush out everything that is no longer viable, new, special… uh, no longer the best in the business.
I have to think there is more money to be made from commissions on sales by providing agents with the best tools than there is from yearly affiliates income on archaic products.
Is it also possible new income could be generated through the recruitment of better local agent by virtue of providing the best vendors to your agents at reduced rates because you’ve waived yearly affiliate fees? I would think so.
Your view from the bleachers allows you to see things those of us that are in the game cannot see.
Thanks,
Keahi
Great notes here. If you provide for your agents and set the expectation that they will provide well for their clients then you will get organic happy growth. Agents with the best tools and none of the headaches will appreciate your brokerage more.
-Tyler
Marc, this is spot on (and I love your “list”). The finest examples of brand experience are out there, though few (if any), are American Brokerages, yet. With your candid wisdom and openness to share freely, I believe more agents and brokers will be inspired to greater excellence in brand experience. Keep it up. -Peter
Outstanding blog, Marc. I am a fan. On the money and so needed.DK
As always Marc, you offer brilliant inspiration to Real Estate Pros. As a Real Estate SEO expert, I have gotten push back in 2009. Everybody says “they need it”, but few are willing to “do it”. Those who do, will be on top this year… Keep up the great job!
@Randi,
I understand why Brokers don’t “do it”. For the most part SEO is a black art that few understand trumpeted by many that talk the talk but can’t deliver. And most brokers understand that throwing a lot of money at SEO to get their marginal website replete with no original content, stock photos, no video… to the top of the search engine where powerhouses like Trulia, Homefinder, Zillow, Homegain, HarmonHomes, Realtor.com and others reside, will be wasted if their site was not built for conversion anyway.
So as not to turn this discussion into a sales pitch for SEO services it would be really helpful if you could provide our readers some helpful tips and advice on what they can do SEO and SEM wise to “to get to the top this year”.
That would rock!
That would be killer and
Marc,
The “Four Seasons Brokerage” – what is it? I think it is a brand that is focused on the consumer. A brand that knows what the consumer wants.
In the past the consumer thought of agents as a commodity and worked with someone they knew. Now consumers have more information but, curiously enough, that information doesn’t come from their agent or broker. The consumer wants an agent and brokerage willing to provide more information about the services provided in exchange for the fees paid.
The “Four Seasons Brokerage” will commit to a specific set of services; ensure those services are delivered; and provide online, real-time, comprehensive activity reports to its customers throughout the consumer experience. There may be other brokerages offering the “Holiday Inn” experience, but they won’t command the same fees.
When you entered the Four Seasons you had been prepared with expectations about the Four Seasons experience, that experience was deliverd (probably exceeded), and you were reminded frequently that you weren’t at the Holiday Inn. Consumers are looking for Accountability and Transparency from their agent and brokerage.
Mark asked: “it would be really helpful if you could provide our readers some helpful tips and advice on what they can do SEO and SEM wise to “to get to the top this year – That would rock!”
Drew and I over at WebRealEstateTools would like to offer your readers a free ebook download “SEO for Realtors & Brokers” – using these principals and a little work you can compete with the Zillows and Trulias on your home turf …
Here is the link: http://webrealestatetools.com/seo-ebook-download-page
That’s great Peter. Thank you for doing that. You are setting a good example for other “experts” as these contributions really serve to help everyone.
Marc,
A superb encapsulation! Inspiring and a validation that with the assistance of one Jim Marks, we are on the right course to “crush it”. So appreciated our input in assisting us with the ultimate design of our web site designs and structure at Partners Trust.
Marc:
I have not always been a fan of yours because of your stance on REBarCamps, but it was great to see that you mentioned that “crafty” REALTORS go to BarCamps to learn about tools to help their business.
I WILL say, as someone in charge of REALTOR education for a real estate association, that I just sent your list of what REALTORS need to learn this year to my Executive Officer. This info will help us build out our 2010 educational offerings to our members. All Association’s should be offering this information to their members because, as you note, its crucial to the creation and survival of the brokerages that will ROCK this year and going forward.
In the spirit of giving away information for free that can help REALTORS, I invite your readers to check out my blog! http://www.facebook.com/RealtorTips4NewMedia?ref=ts
Thank you Julie.
Regarding BarCamp, I think, if you were to communicate with those individuals who were really at the heart and soul of BarCamp – the originators – you might be surprised to learn that my stance is a) not as off color as people have assumed it is and b) actually more on target that most people realize.
In short, the ideal and spirit of BarCamp is a beautiful one. What it was when it first began and what it could have been was something special to behold. Andy, Brad and others were visionaries in this regard. The Michael Lang, John Roberts, Joel Rosenman, and Artie Kornfeld of Real Estate. And that first BarCamp was indeed real estate’s Woodstock.
Today, it’s different.
Should you and I ever find ourselves in conversation (I would encourage that) I will share with you my beliefs and expand on things in hopes of assuaging any ill feelings or doubts about where and about what my position is today.
Peace and Love!
This post, and the resulting thread of responses, is invigorating! So much to chew on here; this will inspire many conversations in our own brokerage in the weeks to come, I hope. After reading your post, Marc, three words popped into my brain:
1) R.O.I.
2) Prioritize
3) Details
R.O.I., because I could easily hire 3 more staff tomorrow to add to our existing social media department, and keep them brilliantly busy every minute for the next year! At the same time, I have to be able to communicate effectively with my partners about the costs of this campaign and the revenue it generates — sometimes challenging to quantify, since we’re smack dab in the middle of a huge cultural shift! I find I have to engage my intuition a lot.
Prioritize, because there are so MANY great ideas to execute, that every day I have to decide between them — where best to channel the time, energy, and money? …not generally or conceptually, but *specifically* It’s all very real.
Details, because in the end, it’s the final polish that makes the difference (as you illustrate so aptly with your Four Seasons experience). In the case of digital content, that often means one more pass through the editing process — fine-tuning that headline, adding drop-shadow to that photo, changing the music in that video. It’s the quality that’s differentiating.
@Dane
It would be great if what’s here gets folks in your brokerage focused on a course of action. From what I see, those who are taking steps to take on the reigns of leadership are gaining market share, reducing costs, affiliating with better technology partners, recruiting the better local agents, closing sales and whipping this market downturn in the rear.
You broke it down nicely with your three points Dane.
Intuition – Trust that voice inside your head. Play devils advocate with yourself, like “why hire 4 people for my social media department or is there not a more efficient way about this?” Perhaps you have folks already working for you that possess hidden SM skills who can be repurposed to newer and more effective and progressive positions. Or better yet, maybe you have folks in your organization whose traditional and old school skills can be easily be assimilated into a new job description and a new hire. In this manner you’re simply replacing people rather than adding them to your payroll.
Prioritize. Having lots of ideas is typically never the problem. Executing the right ones typically are. I have found the easiest way through this obstacle is to remind yourself of what your brand promise to the world. Then look at the ideas facing you. Ask yourself which of these ideas will best deliver on my promise.
Here at 1000watt we have an inner brand promise which simply regards the the desire we have to insure our clients get good nights sleep. It’s simple but yet fulfilling on that promise guides us across every decision; from the sort of people we hire to work for us, the disciplines we establish for the quality of work we deliver and all the way down to the topics we blog about, the programs and applications we invest in and even the vendors we recommend. On a personal side, that promise also makes it real easy for us to respond to late night or weekend emails and texts from clients who should never have to wait overnight for an answer to a concerning question.
Finally, I’ve learned that when faced with many priorities, the best place to start anywhere. I tend to go for the most difficult one first and get it out of the way. Conquering the hardest idea leaves ya feeling considerably empowered to take on the next one.
Details. Yup. You said it best. The final polish. Honestly, if there is one thing that plagues brokerages it’s the lack of meticulous review of everything and everyone. Do better. Hire better. Shopping price when it comes to all the investments you make to support and grow your firm should be second versus shopping for the best in class.
Good luck and thanks for the contribution to the post!
Marc; I appreciate that insightful response. Our team is having a powwow in this moment: 30 people talking about your post on what the new successful brokerage looks like. Are your ears burning? Thanks again for facilitating this extremely important discussion. ~Dane
Wow, great post and better conversation. Agents that “get” this can do better even if they are with a Broker that doesn’t. Service is an honor for me as I feel better than my client who recieves it! Why? Who knows, that’s the way I was built. Thanks Mom. Perfection is not attainable but striving for it, is. Thanks again for the lessons Marc. You rock!
@AkronOhioHomes
Love this…“Rethink affiliates, vendors, and products you offer your agents that are there because someone paid to have them there. Instead, provide a directory of the best vendors in the world.”
So much good secret sauce in this article.
I think the main paradigm shift that is happening is to really get into `It`s not about me` for agents and brokers.
Do what you can to be a pillar for the community.
Do what you can to streamline and maximize on your marketing dollar.
Invest in your people.
Ian