Everything you do as you work with your client establishes the fee you’ll be able to get. In this Coaching Tip I’ll explain exactly how clients determine the fee they’re willing to pay and how the best agents command the highest fees.
A lot of agents panic when it comes to selling their services at a reasonable rate, especially with the new fixed fee discount that’s come into the marketplace. Great agents think differently about the way they work, though. They operate in a no-competition space. They simply focus on running their business and never worry about what the competition is doing.
You can improve your customer experience with more attention to detail. For example, some things you could do after a market appraisal include sending a follow-up email, placing the clients in your Facebook custom audience and serving them videos about how you can maximise their sale price. This lets you increase your brand awareness and demonstrate your marketing capabilities.
Your personal presentation and style of conversation must reassure clients that you have sound market knowledge and can effectively identify their needs. This allows you to charge a much higher fee. You need to cover the cost of serving your customer, which includes occupational business expenses and paying the support people who help get the property sold. Knowing these costs helps you set the right profit margin.
It’s critical that you calculate what to charge to be highly profitable, so you must get clear on how clients determine the fee. Profitability is a requirement for you to have the resources to run your business, plus the fee you’re able to charge establishes your standing in the estate agency arena. You don’t want to be seen as the cheapest agent. You want to be known as the agent who delivers the most value in your marketplace.
I hope you’ve enjoyed today’s Coaching Tip, and I look forward to seeing you here again next week.