[/frame]
You might think the Professional Sales Industry is broad spectrum and includes almost any kind of sales work. It is true that ‘sales’ runs the world! At least it is fundamental to keeping the economy healthy, moving, and growing. Everyone is selling something! If not, then they are spending someone else’s money. Real estate is part of the Professional Sales Industry but its mission is not broad, it is single minded and focused.
WHAT WE ARE NOT
Many enter the real estate profession thinking that we are ‘order-takers’. New agents often expect this is true and they would be happy if this were true (so would I!). If I went to the office and people called me every day and asked me to show them houses they were ready to buy, I would be showing homes 75% of my time and this would be a very enjoyable job. If I could sit next to my computer and answer the phone all day from people wanting me to list their homes for sale, my business would explode with unprecedented success and very soon I would be wealthy (and could retire one day!). The truth is that none of this is reality for us. The truth is that order-talkers are usually paid by the hour often get minimum wage plus spiffs (modest incentives) for high sales volume to keep them motivated.
There are customer service professionals who can make a lot of money and remain in a warm and cozy office in the winter and enjoy air conditioning comfort all summer. These people often have regular and predictable hours. If you were a valve specialist for industrial applications and happen to have an engineering degree behind your name, then you answer the phone all day handling immediate emergencies or assisting in new plans. You research specifications, recommend the right valve, write proposals, send information and then send it all to the fulfillment center to complete the order so you can get paid a lot of money. Most customer service people a more modest income and some make low pay per hour and often work in a phone center (the modern ‘sweat shop’).
WHAT WE ARE
Professional Sales is about business development and business expansion. In the real estate world we are in this often means expansion into new regions, which is becoming easier and easier thanks to new software developments. For example, businesses can now use Cloud Pay (visit cloudpay.net for more information) to administer payroll remotely, meaning they can manage an international body of staff from one central location. It is always about new and more business. Professional sales people are normally independent in nature and usually quite autonomous people who are smart and driven. We are tasked with creating new work and new money out of nothing! Since sales runs the world, the more we are successful the more successful the business is and the more money everyone in the business earns.
We get paid by commission. Commission income is normally reserved for professional sales people because the more business we bring in, the more work everyone has, the more money the business has, and therefore the more money everyone in the business makes. Of course, we do rely on outside factors, like how well the real estate market is performing, to determine how much money we will make. So, that’s why we’re even considering utilizing the idea of sensitivity analysis, (learn here for information) to create a lot of what-if scenarios so we have a proper plan in place to help stabilize our financial future, but only if it comes to that. We have to be prepared for anything seeing as we get paid by commission. But we seem to be doing ok so far.
Professional salespeople often make more money than the CEO of the company; really??? Why? Because for every bit of business that the salesperson brings in the more and more there is for everyone (including the CEO) and the more the business grows in a competitive marketplace and therefore also gains critical mass for future security. No company cares how much money a sales professional makes because it always means that he or she also makes more money. In fact, most companies want their sales people to be rich because that means that they all do better and have a better hope for future stability. Professional Sales is the highest paid profession on the planet for these reasons.
It is a win-win when professional sales people do their work effectively.
Let’s apply this to real estate. In spite of what recruiters tell new agents about how much business they will have just because they select their brokerage/brand, the reality has always been (I assume nothing has changed for the better) that it will take 2 years for most agents to begin to make reliable money! 80% of the new agents are gone, vanished, working customers service somewhere, within the first 2 years. Of course many cannot last that long.
No one is going to hand you success. You will earn it and achieve it (with many helping hands-up) by your motivation, your drive, by knowledge and understanding, and my endurance and persistence. The first lesson in success is that your focus is always on finding new business. Even when you are successful, you will realize that in working with your sales funnel is going to be your most important task. (maybe you use clickfunnels templates to help with this process). Introducing new prospective clients into your sales funnel. Without this? Expect a famine.
THE FIRST LESSON IN SUCCESS
Let’s apply this to real estate. In spite of what recruiters tell new agents about how much business they will have just because they select their brokerage/brand, the reality has always been (I assume nothing has changed for the better) that it will take 2 years for most agents to begin to make reliable money! 80% of the new agents are gone, vanished, working customer service somewhere, within the first 2 years. Of course many cannot last that long.
No one is going to hand you success. You will earn it and achieve it (with many helping hands-up) by your motivation, your drive, by knowledge and understanding, and my endurance and persistence. The first lesson in success is that your focus is always on finding new business. Even when you are successful, you will realize that in working with your sales funnel (future articles), the most important task every day for your life is not closing sales but introducing new prospective clients into your sales funnel. Without this? Expect a famine.
Sincerely, Randy
Randy McCreith, Principal Broker Bella Casa Real Estate Group Direct: 503-310-9147 randy@thebellacasagroup.com