Company Direction for 2009
Business of Real Estate, Opportunities, Redding Real Estate, Succeeding is a process
March 1st, 2009
Thought I would share the text of my presentation to the company in February. This outlines our overall strategy and direction for 2009.
State of the Company: Real Estate Professionals GMAC
Celebration Breakfast
February 3, 2009
Ross Domke Broker/Owner
Our Market and Our Place in It
I’d like to take this time to reflect on 2008 and to discuss what to expect in the months and years to come for our company. I will answer the following questions:
Where are we?
Where are we going?
How will we get there?
As we all are aware, 2008 was undoubtedly a year of economic turmoil. We witnessed and continue to see the destabilization of some of our most respected institutions by financial crisis and scandal (and often both). There are daily announcements of companies in crisis and subsequent job losses.
In this crisis of confidence REP-GMAC will have a continued commitment to our core values of integrity, excellence, passion and community. These values will be defining characteristics that will continue to set REP-GMAC apart from other real estate organizations. Our core values express who we are.
Where are we?
We enter 2009 very well positioned for a challenging market environment. This positioning is grounded in several facts that represent our strategic market advantage.
1. Dominant and growing market share. Our market share in Shasta County has increased by over 20% in 2008 compared to 2007. We continue to be #2 in market share. However the #1 market share company, with 3 times the amount of agents, is only doing 30% more business than we did.
2. We continue to have the greatest average productivity per agent of any large brokerage. We had an average agent income of close to $50,000 per agent in 2008.
3. We have the highest concentration of successful, experienced agents in Northern California. We have 5 Realtors of the Year including the recent 2008 award winner Donna McFarlane. This gives us a strong voice and influence in not only our local MLS but also on a state and national level.
4. We obviously have a very competitive agent commission structure or we wouldn’t have or be able to keep the high concentration of experienced agents that we have. I encourage you to share it with other agents outside our company. You will find that it is the best, most complete package around.
5. We have a unique and effective marketing plan that targets close to 90% of serious buyers via the internet.
6. We have effective training, coaching, mentoring systems of agent support that other companies only talk about while hiding behind smoke and mirrors. The addition of Mindy Cronic provides an additional commitment to all of your success, regardless of level of experience.
7. We have the strongest financial security of any real estate franchise system with the Brookfield RPS purchase of GMAC Real Estate.
No doubt that 2009 will be another year of challenges both locally and nationally. Dealing with these challenges will be stressful for all of us. However, as I have shown, we have the resources and tools to thrive in this environment. Our clients will need our help as never before. Our top priority must remain to minimize their stress, rather than subjecting them to ours.
Where are we going?
Real Estate Professionals GMAC is continuing down a path that we’ve been on for years which is creating an extraordinary and unique customer experience based on companywide standards which we all are committed to. Our approach to business will be aligned with and customized to each client’s expectations and demands …what we call Premier Service. This includes:
1. Access to a broad range of timely information, community and market analysis available through each of our agents, and our websites. Our goal is to provide unique market insights, backed by accurate data, to help consumers make informed decisions.
2. Demonstrated expertise in internet marketing. We know that almost 90% of serious buyers use the internet to find homes, agents and brokers. We are a market leader and will continue to be so. By using and understanding the web 2.0 platforms of social networking tools we create a powerful connection with consumers. This trend continues to grow exponentially – We will be part of it.
3. Streamlined accountability for services related to transactions through our strategic committed partnerships with Bridge Mortgage and Relay along with an ongoing affiliation and partnerships with other services such as Title and other ancillary providers.
How will we get there?
We will stay true to our values and goals. Themes we will focus on include:
1. Pricing our listings to sell in today’s market. Believing that motivated sellers, who are proactive about pricing their home and offer a compelling value, will be rewarded compared to other sellers. We will continue to offer materials to assist you in having fact based conversations with your clients. Helping your clients make informed decisions about price levels and trends.
2. Aligning expenses with market realities. Almost every company in America has been faced with the need to reduce expenses to remain viable. While we have already made some tough decisions, we will continue to monitor our needs compared to the cost. I have and will continue to invest resources in areas proven to be effective to meet consumer needs and wants such as internet, virtual tours, etc. Some of these changes may be disconcerting for some of you. Rest assured that the priority is to structure the company for the long haul.
3. By investing in training and skill building for our agents and staff. To be the best at what you do, you must be constantly refreshing your knowledge and skills, especially in this rapidly changing market. We have expanded our agent support with the addition of Mindy and her development of on-demand training materials, Agent Jumpstart program, business planning, and lead management, all facilitated through our new intranet platform of REPHOME.COM. Our focus is helping you increase your effectiveness, business and market share.
4. Laser focus on being self employed. You are all self-employed and being so you have only 2 jobs: 1) Acquiring Clients and 2) Serving clients.
a. To acquire more clients you have to focus on spending enough time and doing the right things. This includes finding clients, getting meetings and making presentations …every working day. If your goal is to make $100,000 this year in income then that figures out to about $2,000 per week or $50 per hour.
You must ask yourself the following:
1. Would I pay someone else $2,000 a week for what I do?
2. Would I have the audacity to have someone else pay me $2,000 per week for what I do? If yes…How would I prove it? With my numbers?
3. How many of your “work days” would you pay someone else $400 for that day?
There have been roughly 24 work days since the 1st of the year.
Are you 24 days behind?
We’ve got to earn it every day…Make money daily
Realize the value of a day and manage ourselves accordingly
You can’t do everything…but you can do something
Hopefully I’ve given you plenty to consider for now.
I am excited about 2009 and succeeding together.
I look forward to working together and continuing to set the standard for our profession for many years to come.
Now, more than ever, a laser focus is required.
Win everyday
My focus is your success and through you efforts … the company’s success.
