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How to Systemize Your Way to Greater Real Estate Success

By Stuart Sutton, Broker Agent News

Dependable, unpredictable, erratic, consistent, cumbersome, efficient… which of these adjectives best describes your business model? We have all heard it, and it would probably be just about impossible to find an agent who would not agree that we should "work smarter, not harder".

I'll admit to being one of those cynical agents who found it hard to believe though. When that little theory was verbalized by a trainer or instructor, my thought was "Yeah, right". Of course, I would outwardly agree that I'd like to work smarter, but I really wasn't sure how, so I kept plugging away at my 65-75 hour weeks, thinking that those agents who worked less were just not as committed as I was.

Then we had kids, and everything changed. It killed me not to spend time with them and I knew that I had to find a way.

Well as a very smart gentleman once explained to me, "The difference between someone who makes $50,000 a year and someone who makes $500,000 a year is simply this… awareness." Think about it… if you knew the steps to take and the action necessary to earn the income you desire, you would then have the choice of whether to do it or not wouldn't you?

The same principle applies to the "work smarter, not harder" theory. If you are aware of the steps you need to take to work smarter, then you have the choice of whether you implement those steps or not.

So here goes… The purpose of these few paragraphs is to make you aware of one of the keys to start working smarter. The key to being more efficient is in systems.

I know, you have heard that term more times than your 7 year old can count. But rather than explaining systems and telling you that you should be using them, an illustration of a simple system, and the details of the steps in that system might be more beneficial. Pay close attention, because you can use the same steps in your next system.

You may or may not have several days or weeks to put together a great system, but if not, you are already working too hard. Whether you are working hard and making a great income, or working hard at spinning your wheels, implementing systems will relieve some of those hours and give you a life again. So if you do not have the time to implement a new system, you are the one who really needs it.

On the other hand, if you have plenty of time to implement a new system, you probably need it to start generating income, so either way, you are a candidate for using systems.

You can systematize just about any marketing or prospecting method, but let's start with a simple one.

Step 1 is to identify a prospect source. Your sources are as unlimited as your creativity. Let's use one that is kind of obvious, but under-utilized. "Investor-owners" need real estate assistance just like anyone else, and in any given market, make up a strong percentage of the property owners.

Step 2 is to obtain the prospects and put them into your database. Use your Appraisal District's site, or a similar tool to search for properties in your area that are non-owner occupied.

When starting this system, I searched for properties in a specific value range in the zip codes where I work. Those properties and owner information were then placed into my database.

There were 427 non-owner occupied properties in the zip codes I work within the property value range chosen.

Step 3 is to create your marketing pieces for your marketing program. Use "target" marketing... meaning that this group of prospects has different needs, desires and problems than typical home owners, so concentrate on "Solving" those problems, and providing what this group wants and needs.

Example: If the owner is out of town, and the property is vacant, they may want to know that their real estate pro is checking their property consistently during the listing period. You could even offer to show them the detailed checklist you use when checking their home weekly. Make it available to your prospects on your web site. Make sure they can easily download or print it. This is just one of many services that you can provide that is unique to this target group.

(I could spend time going into the type of marketing you will want to create and/or copy, but that is really another article, and it took a lot to overcome my nature of procrastination to complete this one.)

The target mailings for this system was once a month, therefore 12 marketing pieces were needed for mailing during the next 12 months.

Here is how to keep it easy… use an assortment of 4 types of mailing pieces:

1. Informational pieces - This mailing makes you the expert, the go-to person, the source. This piece will include information about the Market, interest rates, sales stats, and how it affects them. Did you get that last part? They may not even be interested in market data, but they are interested in how it affects them. This can also be information about how to price, how to prepare to market etc.

2. Response pieces - This mailing asks them to respond, to go to your web site, call your 800 number, call you, get something that benefits them. A simple example is to send them to your web site to get a market valuation of their property.

3. Emotional pieces - These are mailing pieces that make the chuckle, or tug at their heart strings, but the important thing is to elicit an emotion. When you touch someone, you start building rapport whether you know it or not. Jokes, anecdotes, sappy stories, etc.

4. Sold cards - Remember, these little cards show that you have had success selling property just like theirs. Make the SOLD card say that. Your sale was a property like theirs… you are a specialist. Don't make your Sold cards just like everyone else's. Do something different… offer them a benefit to go to your web site, such as the 7 most important things they can do to improve their home's value without spending any money!

Now, when you have your 12 pieces created for the next 12 months, start your mailing system. Here, Let's make the first mailing easy for you:
Start with a simple note asking them a simple question…

Dear __________,

Hi, this is just a note to ask if you are interested in selling your property at _____? Because of our market's improvement, you may have more equity than you realize.

Sincerely,

(your name etc)

Step 4 - Start mailing, but do it in an easy to manage, systematic process.

As far as every day work, I use systems because they are consistent, dependable and easy to duplicate.

Remember, there were 427 prospects in my database, and since the work days in a given month are approximately 20, I just use those numbers to calculate what will have to be done to keep this system in place. What do I mean?

Well, 427 divided by 20 is approximately 21. Therefore, I mail to 21 prospects from this database each day.

Think about that... every single day, I follow the same steps:

First - I print 21 postcards (or newsletters, or whatever this month's mailing is)

Second - I merge these 21 cards with the next 21 prospects in my database to place the name, address, etc on the card for mailing.

Third - I place a stamp on them.

That took all of 10 to 12 minutes, and that system is complete for today.

You're done with a system that will make you $25,000 (you get 6 listings, 5 of them sell and your avg comm. is $5,000) this year and even more next, and it took all of 20 minutes a day. Now move on to your next system. You should have at least 7 systems in place and running. Some systems will make you lots of income, some just a little, but every one should pay for itself and make you a profit.

Implement, and monitor your systems and you will make the income you want and have a real life too!!!

Now, if you have 3, 4 or 10 systems in place that you complete each and every day with the same consistency, efficiency, and order, you will have prospects calling you to do business consistently. You can spend time with your family, knowing that your systems are working, and that your prospects are getting your messages, and that they are going to call you, because you are the person who can and will provide what they want and need.

What other systems? Well try some of these…

  • Your past clients and customers,
  • Your Centers of Influence,
  • Geographic Farm area,
  • Social Farm area,
  • Niche Farm area, (specific property type such as condos)
  • Renters,
  • Business Owners, (Aren't you a business owner?)
  • FSBO's,
  • Expireds,
  • Relocating buyers,
  • Investors,
  • Out of town owners,
  • Another Niche Farm area (there are as many of these as you can think of)
  • First time buyers,
  • Buyer ads,
  • Seller ads,
  • Pre-foreclosures,
  • Foreclosures,
  • Etc., etc., etc, And there are a lot of etceteras!

Systematize, Work Smarter, Not Harder!

Get your best source of business systematized, then your next best source, etc.

Since you best source should be referrals, get that system in order first. How? Well remember…

1. Identify the Prospect source
2. Obtain the Prospect information
3. Create the marketing pieces
4. Start mailing in a systematic order

Re-create and create your prospect sources in easy to duplicate, consistent, dependable systems. Don't think you'll never change your systems. I dropped two systems this year and added three. If they are not producing results, change them, or drop them. You should be able to create a system in a matter of hours. Be sure to monitor it for months or even years, depending on your goal for that system.

But start now, and start living life again. Your real estate business should not rule you, you should manage it!

I still remember when I started taking all day Thursday off each and every week. My voice mail message said that this was my day with my family, and if I was needed, they could contact an associate who would help them or contact me. Most prospects and clients left messages like "No problem, I'll call you tomorrow, and good for you for spending time with your family".

I never lost a single prospect, but gained respect for setting priorities, and if I did lose one that I didn't know about, well guess what, time with my wife and little boys was more precious than any sale could ever make up for!

When my marketing systems started clicking, I added time off and that time off is always spent where it matters most, with my wife and boys.

An associate asked me a couple of weeks ago what I did this weekend. I took a deep breath and said, "This weekend I played baseball, tag, soccer, dinosaurs, monopoly, water guns, Parchesi and watched a movie. How about you?" They were stunned because they had been working all weekend.

I know that sometimes you think that you have to do what you have to do, but don't put those most important in your life behind the "I have to do what I have to do" excuse, because in reality, you don't!

Make it a great day!

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