Thursday, April 2, 2009

Tough times calls for standards within your businesses

Real Estate Agents in Australia and New Zealand are going through tough times... to say the least. Only last night I had a chat with a client who had been cornered by his top sales agents demanding more commission or they would walk to an opposition agent. What do I do he asked?

My first reaction was to tell the sales agents to list and sell more properties at better prices and higher commission rate... perhaps this would increase their income.

However as a business owner he needs to review what it is that these agents bring in on average, what it costs him to have them in the business not just financially but the fact that they are the office gorillas and if he had two average performing sales agents would they in fact produce the same results.

Most businesses owners create their own gorillas and then when times get tough like it is now the agents know they have the director by the short and curlies because if they walk they normally take a large portion of the business and database with them.

So what is the answer?

Well to start with there is a lot to be said about having all sales agents on a commission structure within your business... everyone is the same. There are a number of high profile agencies who do this and attract and retain good people

Have clear standards and non-negotaibles within your business. If you choose to work for me these are the conditions and values you work with.

Manage the people and ensure that they do not become gorillas, do not favour agents by flicking them listings or buyers.

Make sure you create a culture and environment that people enjoy working in,the team they work with, values you have and have had input in creating all of this.

These are interesting and challenging times for everyone and your people will be looking for security, leadership, guidance and confidence that their jobs are secure.

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