Key Highlights

  • Strategies to be more profitable in 2021
  • Work smarter and cut expenses

Here are some focused, “small-stuff” strategies that may help you become more profitable in 2021. Remember that “small-stuff” adds up to “big-stuff” over time as long as you’re consistently disciplined.

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  1. Know how much you earn per hour.
    1. Take you NET income (what you report to the IRS) and divide it by 2,000 (40 hours/week X 50 weeks)
    2. Like your hourly wage? Keep doing what you’re doing.
    3. Don’t like your hourly wage? STOP doing anything that doesn’t produce revenue
    4. Reduce your non-income producing costs
    5. Track the activities that CONSISTENTLY generate leads
    6. Forget the activities that do NOT consistently generate leads
    7. The less your non-income producing costs, the more profit you’ll have
  2. Strengthen your referral database that comes from your sphere of influence
    1. Most top/elite producers report that their business comes from referrals, past clients, their spheres of influence
    2. Spend your marketing money and your time here
  3. Remember…profit is ALWAYS temporary
    1. Be on top of identifying and shifting patterns and trends
    2. Invest in learning new skills and ideas
    3. Act, make mistakes, learn and adapt
  4. Be your own lead generator via your phone, email, social media, video and Zoom
    1. Paying for “outside” lead generator programs only buys leads that are being sold to everyone else
  5. Save your time and money
    1. Buy what you use, not what you think you need, in bulk and/or on sale
    2. Post-pandemic, consider hybrid working do reduce drive times and expenses
  6. Know what your buyers and sellers REALLY need in order to make a transaction work
    1. Help your clients know what they need by interviewing them, asking the right questions and listening to them
    2. Wanting and needing are two different things
  7. Regularly check-in with your clients throughout the transaction
    1. Be proactive about identifying potential problems during the home buying/selling process so you can solve those problems before they become obstacles
    2. Being consistently proactive takes less time and effort
    3. Ask your clients what you can do better so you can improve your customer service while your clients are still your clients – they’ll likely become more loyal to you since you’re asking them to invest in you

 

Thanks to a variety of sources published in InmanNews, HousingWire and Harris Rules.

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