On this version of my Monday Morning Pep Talk, I will take you through how to use the "change in seasons" as a catalyst for productive change in your life and business. When the pumpkin lattes are back on the menu, the leaves start to fall and you start to add layers of clothing, it is a perfect time to take nature's cue to rewind, review and prepare yourself to repeat what works in the coming months. It's also a time to improve your skills so you can better navigate to the normal/stable market we are trending towards.
I've taken the last couple of weeks to take a break from writing but it didn't stop me from taking my own time to rewind and review. I thought deeply about the "season" we are entering. Many of you are anxious with all of the change in the market and I understand that, but it is my goal to show you that if you get your mind right and execute directly into the changes, you will have a much more enjoyable, predictable and profitable business. As I took the last couple of weeks to "think", I journaled recurring thoughts, new ideas, and concepts and strategies that will continue to be vital to navigate any market. Today, that’s what we’re talking about. So, bear with me as I give you a "brain dump" or better yet, let's call it "Fall Clean Up":
- My hope is that you were able to take enough time this summer to power down and spend time with your friends and family. Don't for one second feel badly about it. Time to refocus and prepare for the next season.
- September and January are the 2 most transitional months in most real estate markets, and it impacts the real estate brokers/advisors in that market. These months follow the "no fly zones" in August and December where you proceed with caution in how you reach out to your Hotlist, Warm List, Top 100 and your broker lists. I feel strongly that September should be viewed as the last month of year as it relates to your marketing and business strategies. You need to take this month to rewind, review and identify what has worked for you and what marketing strategies offer you the best ROI. You need to eliminate that which is not working as you ramp towards the next fiscal year which starts in January.
- By October 1st, your mind should be fully pivoted towards 2023. If your selling season is January through June, like it is in Chicago, you need that 90-day ramp to ensure that you get off to a great start in the first quarter of 2023.
- Moving to the "The 12 Week Year" planning and execution strategy has been a complete game changer for me. If you have not fully moved from an annualized goal setting strategy to a quarterly planning strategy, I highly, highly recommend it. Recommendation: Read “The 12 Week Year” again before the end of September.
- Start the rewind, review and identification process by evaluating which lead generation strategies provided the best returns to your business in 2020 and 2021. Use the Barbara Corcoran method to identify the point of origination (the seed) that brought each client to you through your marketing and networking. If most of your business is referral, keep going back to where that "referral tree" started. Identify your TOP 3 strategies that brought you the most business throughout your career and go all in on those 3. If you have been buying leads, would you still need them now that your business has matured? Can you take that money and use it better to reconnect and maintain better relationships with your clients? Are you in a marketing rut? If so, do this exercise. Guiding Principle: High Performance Starts with Elimination.
- Speaking of books, go back and re-listen to or re-read those books that changed the course of your career. Over Labor Day weekend, I spent the two and a half hours to re-listen to "The Go-Giver" by Bob Burg and David Mann. It had been a while since I read it, but it reminded me how much of my DNA was shaped by that book. It grounded me to re-listen to it. Go find those top 3 books for you and re-read.
- A year ago this week, we lost our first family dog Tucker which is still a source of sadness for me, Amy and the girls. It reminded me of the call I did last year shortly after we put him to rest. The MMPT is titled "Your Clients Need You.” I talk about the wonderful experience we had with the University of Wisconsin School of Veterinarian Medicine. My point was that if you take intense interest in your clients and their success, you won't have to worry about the phone ringing. Society's expectations for service providers is so low that when we find a business that exceeds expectations, we almost feel obligated to talk about them. That needs to be the core of your business strategy. Guiding Principle: "People Remark about Remarkable Experiences.”
- Relationship based businesses thrive in every market. End! Of! Story! Guiding Principle: We don't sell homes. We authentically create relationships, nurture them and then those relationships compound. Real estate brokerage is just our product.
- When I say "Top 100,” I am referring to the top list of clients that know you, like you and trust you as their real estate broker/advisor. It does not need to be 100. I've seen 50-60 contacts support a really nice business. I had 68 when I moved to leadership in 2013.
- There is someone in your database toying with the idea of making a change to their housing situation. They are not yet motivated but could be easily motivated with a simple, meaningful conversation. Who should you call this fall?
- Are you doing a client event this fall? Is your holiday gifting strategy in place?
- I am finding that the brokers that took ample time for themselves this summer are the most fired up going into the fall. Those that didn't are struggling. What does that say? Yes, Happy Brokers Sell More Real Estate. Happiness starts with REST.
- If your intuition is telling you not to engage a client on a new listing or property search, don't do it. What is intuition? Intuition is essentially your experience. What is experience? Experience is pattern recognition. So, if your "gut" (intuition) is telling you not to take that overpriced listing that the seller is interviewing 5 agents for the best deal, don't do it. Chances are the last time you took a listing like that, it didn't work out too well, right? Trust your experience. Guiding Principle: 20% of your clients steal 80% of your joy.
- Inventory Management: Your "fall clean up" needs to include those tough conversations with your clients that are not moving with the market trends. You need to get your current listings sold and active buyers in contract before December 1. If your client is unwilling to pivot their expectations, that tough conversation might go something like this: "Mr. and Mrs. Seller, the data is showing that your home will sell for __________. I cannot sell it at the current asking price and I just want to make sure you understand where this market currently stands. We have a couple of options - we can wait until the market shifts and comes back to meet your price which could be months, or you could try a different approach using another broker. For me to keep marketing it the way it needs to be marketed, I would need to move forward with a price that is much closer to what it is going to take to sell it.” You can take a similar approach with those buyers that only want a "massive deal" in a market that still lacks inventory. Team, you can either take this approach or wait for the inevitable. Remember that term: Inventory Management.
- The only thing worse than having no listings is having a bunch of overpriced listings. Be incredibly careful to set proper expectations on new inventory you are adding to your pipeline. You need a pinpoint pricing strategy in market shifting from a seller’s market to a normalized/stable market. If you start out higher than you'd like, you should consider having pre-determined price drops in your listing agreement up front. Remember, if you take a listing at a certain price without properly setting expectations, you in a way are promising that outcome. The result will be that if you ask for a $50,000 price drop, most sellers feel like you are going right into their pocket and taking $50,000 from them. It's better to do your research up front and say no if needed. It's better than burning a relationship. Guiding Principle: If you say yes to a no, you will have to say no to a yes. We have a limited amount of time. Choose wisely.
- "Not a Fit" script: "Before I take on a new client, I want to make sure I can provide real value. After our discussion, I honestly don't think that I am the right fit for what you are trying to accomplish. I would suggest that you _______________.” Guiding Principle: Learning to say no is the most powerful skill you can learn.
- Net worth, the difference between financial assets and liabilities, is the best SCOREBOARD. Avoid comparing yourself to outside forces. It will end poorly. You can use leaderboards as motivation but they should not be the basis for all of your goals. Know the answer to: What is enough? Book suggestion: "The Psychology of Money" by Morgan Housel.
Please, please, please take a couple of hours before October 1 to just think. Take a look at your business and eliminate what you can eliminate, automate what you can automate, delegate what you can delegate to free up time to focus on your clients and your marketing. Once you identify what works, go all in on what provides you the best return on your time and resources. This is what a fall cleanup is all about and it allows you to go into October prepared to ramp up for 2023. If you wait until December or January to think about the new year, you will be too late to the party.
For those of you on my email list, you'll get the recording, notes with links to supporting articles and podcasts and tomorrow morning. If you'd like to subscribe, just email my team at [email protected] and they'll add you.
