A good real estate company cannot make a difference in a client’s results by playing it safe and conforming to the rules and expectations of rather ordinary Southern California real estate agency competition base. If a company decides that they are going to accept the status quo of a rather boring marketing template – take the listing, put on the MLS and then wait to see if offers come in – they have made the decision that they are not looking out for their clients be interests, and they certainly aren’t serving their clients. There are many reasons that this occurs, buy one of the most glaring is that the Realtor simply falls into the 80% of the 80/20 principle, why we’ll talk about in the next few blog postings.
Nearly everyone has heard of the 80/20 “rule.” Here are a couple of examples:
20% of the roads produce 80% of traffic jams
20% of drinkers consume 80% of beer
20% of students generate 80% of classroom discussions
What can we take out of this and how can we apply it to the real estate market? This means that the best 20% of a Realtor’s activities are 16 times more productive than the remaining 80%. If a professional wanted to decrease the complexity of their life and increase the productivity they would focus all of their attention on the top 20%.
What is the point we are trying to make? If a Realtor is content on taking a listing, putting it on the MLS and then for other Realtors to bring in another qualified buyer to purchase the home, they fall into the 80% part of the 80/20 principle, which mean they are 16% less productive than a real estate broker who was actively marketing the home locally, regionally and nationally through traditional, internet and social advertising (Google+, Facebook, Twitter, LinkedIn…).
What causes a Realtor to fall into the 80% of the 80/20 principle? (1) They are doing too many things, and (2) the things they are doing are often the wrong things. And that is a recipe for an ineffective and very average Realtor.