There are two types of key performance indicators (KPIs); we have soft KPIs and hard KPIs. In training we focus mostly on hard KPIs, which are your listings, sales and income. These are critically important as they lead to the end result, being the income that you produce.
Most agents don’t spend enough time tracking their numbers, particularly on the listings, sales and income side as they don’t understand how that correlates with the type of income they want to produce and the type of life that they want to live.
Soft key performance indicators are the things that lead to the hard key performance indicators. They are the actions or the undertakings that you do in order to be able to get that ideal outcome. Things like tracking the number of calls you dial compared to the number of connections you make. About 50% of all calls you make will end up with a connection. About 40% of these move into a position where they lead to an appointment; whether it is a buyer appointment, a market appraisal or a listing appointment.
Make your calls in 45 minute time frames, aiming for between 8 to 12 connections. One of the most successful ways to close for an appointment whilst you’re on the phone is pretty simple. Use the script “It would be great to see you. It would be good to catch up. I can do something tomorrow at either 2:00 or 4:00; what works best?”
Far too many people only measure one side of the equation. Track the soft KPIs – the number of call sessions, how many calls were actually made, how many resulted in a connection with someone and how many appointments were booked. These lead to the hard KPI’s – the results that come out of the appointments in terms of listings, sales and income produced.
Getting on the phone and speaking to the customers you already have will actually transmit more business for you more than any other thing inside of the real estate marketplace.