8 minute read
COACH'S INBOX
Coach’s Inbox: Advice from industry experts
Brian Buffini, Founder and Chairman Buffini & Company™ buffiniandcompany.com
Diane Hartley, President Institute of Luxury Home Marketing luxuryhomemarketing.com
Chris Leader, President and Master Trainer Leader's Edge Training leadersedgetraining.com
Richard Robbins, Co-founder and CEO Richard Robbins International richardrobbins.com
We asked top real estate coaches to share their insights concerning the industry trends on everyone’s watch lists. Below, you’ll find a variety of perspectives from Chris Leader, Brian Buffini, Richard Robbins and Diane Hartley.
How are you seeing agents disrupt the industry with new approaches to change the game?
Chris Leader: The word “disrupt” is overused and often incorrectly used when it comes to real estate. It implies people or technology are drastically altering or destroying the structure of the industry. New technology is often introduced as a disrupter, but I see it as an enhancer. Agents are using technology to analyze big data, allowing them to hone their marketing. Big data is used to target prospects who are more likely to sell in the near future, allowing agents to strategically reach out to fewer property owners, spend less on marketing, and increase their lead conversion rate. The same goes for finding buyers. Agents use sophisticated data to target digital marketing to specific groups of people and drive more traffic to their listings. Using technology to harvest and analyze big data is moving us into an era of precision marketing. Rather than a haphazard catch-all approach, it’s a laser-beam focused approach to marketing.
Diane Hartley: While there is always ever-changing tech in the space around us, the true constant of any successful real estate business model is great personal relationships with your clients. Luxury real estate professionals in Canada are certainly taking advantage of the latest tech trends (drone video, geo-fencing, social media), and have displayed a willingness to take risks and become innovators. But, the purpose of any of these digital innovations is to support, not substitute, a high level of service. Affluent consumers place a premium on these relationships and any agent who understands that will be successful.
Richard Robbins: The top performing agents aren’t leaning on shortcuts or new innovative technologies to disrupt the industry. They continue to leverage technology, setting their primary focus on real-time, tangible benefits that their clients see immediate value in. Agents who invest their time in interpreting market data and transforming it into relevant insights that serve to educate and help their clients to make informed decisions are the ones who rise to the top.
— Brian Buffini, Buffini & Company™
Luxury
Elaborate on one simple strategy for an agent to grow their database, in each niche:
Diane Hartley: 2019 promises to be a year full of potential, despite anecdotal feelings of a softening in some markets, especially for real estate professionals focusing on the luxury price point. With that said, perhaps the most critical skill set to focus on is thoughtful networking outside of traditional venues. Relationships with other providers of luxury goods and services, and other successful agents could result in connections to buyers that wouldn’t happen by simply listing a property and creating effective marketing materials. Focusing on positive opportunities will make the difference between an average year and a great year.
Chris Leader: Fish where the fish are. If luxury is your niche then you need to belong to the right social circles. Socialize where your clients are, and take an interest in the things they’re interested in. My suggestion is to join a country club. I recognize the fees are expensive, but so is the real estate you are attempting to sell. Consider it a marketing investment, but understand that you cannot write it off as a business expense.
Boomers
Richard Robbins: Target key neighbourhoods with a high concentration of boomers, as these areas may have a low turnover rate and could be on the precipice of change. Deliver relevant content on how to cash out and maintain quality of space in a new location. Educate them on current market conditions and help them answer their big questions: How do I get the most for my home and where can I go?
Chris Leader: This is the age group that has money and time on their hands. At this point they are more health conscious, and a great opportunity to connect with them is at your local farmer’s market. You'll become a familiar face for people who frequent farmer's markets. Constant contact turns strangers into friends. Get a booth or become involved in another way by sponsoring an event, organizing and co-hosting a food drive, or subsidizing reusable shopping bags. Boomers like to support the local community and they will admire you for doing the same.
Gen X
Chris Leader: This group is in desperate need of financial planning and this is a great way to connect with them and offer exceptional value. Host a financial planning seminar and market it with a message that speaks to their pain points. Partner with a financial planner and an estate lawyer. Educate your clients on how they can use their real estate equity as a large part of their retirement planning.
Richard Robbins: Open houses are great for attracting this generation in particular. Take that opportunity to create and deliver content that they can take away with them that speaks to their issues – how to accommodate aging parents, how to move up without losing out, what to renovate, and break down market updates that easily educate them on their home’s value.
Millennials
Brian Buffini: These groups want a professional who will help them negotiate the best deal, find the right home, and be their trusted advisor. Younger buyers and sellers may be more tech-savvy; however, they all crave that human aspect that technology cannot replace. In fact, Millennials have consistently demonstrated customer loyalty (78 per cent) based on the customer service they experienced. 1 Keep it simple and deliver excellent, attentive service to clients.
Chris Leader: Millennials are constantly connecting. If you want their attention, be more social. Most agents automatically think Facebook, but to connect with Millennials, you need to engage on Instagram. Post great pictures of entry-level housing they can afford. Share photos of contemporary interior decorating tips. Talk about the struggles they face and your solutions. Post 30-60 second videos, every day, on topics they care about. Keep it real. Be authentic. Show them you understand them.
— Richard Robbins, Richard Robbins International
Over the past few years, we have seen increased intervention from federal and provincial governments on the real estate industry. How do agents stay ahead of the changes?
Brian Buffini: If you want to stay ahead of the curve, make these three words part of your mindset: Never stop learning. Become an expert who’s well versed in the regulatory changes that’ll impact your current and future buyers, sellers and homeowners. Many agents think, “My clients can just learn more on the Internet. What can I do?” The Internet may provide an endless supply of information; however, they need your expertise to help them understand what it means. People are drowning in information, but starving for wisdom.
Chris Leader: Leaders are readers. The best way to stay ahead of what is happening in the market is to read trade publications and understand what the experts are saying. Rather than surfing Facebook in your downtime, surf news websites or download The Globe and Mail and National Post apps. Government intervention, regulation and policies change with the economy. When the industry is hot, they try to slow it down. When the industry is slow, they try to speed it up. The best way to stay on top of trends is to stay informed and seek out training for what might come.
What do you foresee the industry will look like 5 years from today?
Chris Leader: The ability to refine and analyze big data will substantially increase, making the home evaluation process more accurate, and allowing agents to enhance their marketing to target specific demographics with tailored messages. Technology will continue to take a larger role in our business and it’s no longer acceptable for agents to say: “I’m not a tech person.” If technology is not your thing then make it your thing. Take courses or pay someone to teach you. Practice. Force yourself to give up paper. Smart home technology will become the standard rather than the exception. This has many perks, but agents need to become acutely aware that they no longer have privacy during showings due to increased surveillance. Expect to be recorded everywhere. Beyond the next five years, I see a world where no one owns cars. Driverless cars will pick you up in real time and take you anywhere you need to go. This will eliminate the need for garages, driveways and parking lots. I can’t say when, but it’s coming!
Diane Hartley: The industry has seen three decades of amazing change. Everything has altered in a way that makes selling homes and servicing clients more effective and efficient. The real estate industry of the future will continue to be a high-touch experience, one that is increasingly more important and more valued by affluent consumers. We will continue to see new opportunities and new innovations, but consumers at every price point, especially in luxury, will continue to rely on the expertise of a real estate advisor.
Brian Buffini: There will be an increased demand for professional, skilled agents. The agents we coach earn an average of $358,486, that’s 12 times the national average income. And they’re doing it by concentrating on a core group of high-referring clients. Competition is higher than ever before and it’s easy to buy into the latest trends. But do you want to keep up with everyone else or stand out from the crowd? Five years from now, or 50 years from now, great customer service will be just as relevant as it is today. Successful agents will be those who invest in relationships with their clients, exceed their expectations and raise the level of professionalism in their markets.
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