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Old-School Franchises Are Smothering Agent Success
If there’s one lesson we can learn from this year, it’s that agility is survival.
What’s most surprising to me is that it took a crisis of global proportions to bring that concept to the collective conscience.
About 15 years ago, I discovered the secret to personal success was about your ability to pivot and adapt as needed. The key was to ignore the set rules, even though ‘that’s how things have always been done.’
Unfortunately, we operate in an industry where change makes slow progress. The losers aren’t the head franchises or the big-office operators who’ve grown fat off the old business model, but rather the individual agents working for them.
It’s increasingly clear that many in our industry are stuck in the past, and it’s doing no one any favours.
While the old way to work in real estate may have been great a few decades back, it’s now hurting more agents than it’s helping.
I think it’s time to make real estate great again by adopting a whole new approach.
The old approach
As we all know, the traditional real estate model has always relied on agents working at an office. The office leveraged its brand recognition to attract potential sellers and capture listings.
For a substantial slice of the commission, the office (and franchise) offered a structured approach. This included property marketing, administrative support and an office space.
This model has been in operation for decades – and it served its purpose once upon a time. However, the evolution of technology, particularly the invention of the internet, has made it redundant for today’s agents.
We can now take a different path, away from the suffocating clutches of the old structure, if we’re brave enough.
Relieving the pain points
This contemporary approach to real estate recognises one key aspect of today’s industry. It’s simple. You – the agent – are central to the entire operation.
Nowadays, vendors seek individual agents with a track record of successful sales within their area, property type and price point. They don’t care what agency that agent works for.
Similarly, purchases seek property via web portals and deal directly with the agent directly. They aren’t strolling around to brick-and-mortar shopfronts asking what listings are on the books.
Once you realise this, it’s obvious that the old model is entirely irrelevant and unnecessary.
The result is that if you’re are an experienced agent with a great network and a track record of success, then working under a franchise agency like it’s 1980 is stifling your personal and professional success.
By working for yourself instead, you can break free and reap the rewards.
Becoming your own boss allows you to:
- Earn more money: I’ve been working with agents this year who, by running their own show, have said goodbye to handing over half the sales commission to a head office. One agent in particular kept an extra $232,000 in his pocket vs his previous year at a franchise agency. Imagine working the way you want while doubling your income. It’s within grasp.
- Build your brand: People list with people, not agencies, so building your own personal brand is a sure fire way to ensure you stand out from the pack. Standing out is how you create an attraction business, rather than constantly having to chase listings. Plus when every signboard and every online ad is advertising your name and your brand, it’s like bolting a turbo to your business.
- Better customer experience: The modern way of doing things is to outsource mundane administrative tasks so you can concentrate on those things key to grow your success – prospecting, listing and selling. Customers are noticeably more satisfied when agents devote their time to engaging with their listing rather than worrying about admin.
- Call the shots: No more clocking in. You are a driven and successful individual who can manage your time and resources effectively without having to answer to an employer or attend boring sales meetings. This control allows you more flexibility with your personal and family life too.
The pride that comes with creating a business that is yours, has presence and is known for operating to the highest possible standard is difficult to measure, but I guarantee, it’s a life-changing feeling.
Don’t be ordinary when you can be extraordinary. Adapt to ensure you’re in control, and the rewards will follow for years to come.