Recruiting: Thinking Strategically

Robert GavuraSales Manager, Fair Lawn, NJ

Strategic Questions

What’s the current office situation?

Where does the office need to go from here?

– Assess the market

– Focus on towns to serve in order to sustain continued growth

Present Situation: Fair Lawn, NJ

• In 2009, the Fair Lawn office has surged to become number one market share in the town of Fair Lawn

• Exceeding objectives for 2009

• Recruited six experienced agents from Brand X in the last 18 months

Strategy1. Print a map of your market area

2. Place yellow markers where associates live

3. Mark your listings in green for the previous year

4. Track leads of Lead Network in market area

5. Use Lead Network to gain competitive advantage

6. Target associates in towns where your office does not have a presence (Market Share, Listings, and/or Units)

7. Use targeted recruiting dialogue

Create a Map of Your Market Area

Key: Associates’ homes Listings Number of associates and listings are approximate.

Office Assessment

• Yellow dots are where my sales associates currently reside

• Green dots represent listings last year in our market area

• Growth opportunity for Fair Lawn office lies in Paramus, a neighboring town where we don’t have any listings or associates

Creating a Strategy

• Gain a competitive advantage over rivals • A creative, distinctive strategy sets a

company apart from rivals• A strategy-focused office is more likely to

lead to a stronger balance sheet than one that views strategy as secondary

What is Our Competitive Advantage?

Lead Network!

It is not what you have. It is who knows what you have that makes a difference.

Using Lead Network as a Recruiting Strategy

• Paramus had 112 leads last year

• Make recruiting calls using Lead Network numbers

• Call offices that have market share in that town

• Target sales associates that have listing and sales production within the town of Paramus

Which Company To Call?

Company Listing SalesRe/Max Paramus (36) 11% (13) 7.7%

Re/Max Oradell (21) 6.4% (7) 4.2%

Realty Line Teaneck (9) 2.7% (7) 4.2% Coldwell Banker (9) 2.7% (6) 3.60%

The Experienced Recruiting Call

• “I have a business proposal for you. Would you be willing to meet with me if I guarantee you 10 closed company-generated leads in your market area?”

• “Great. Let’s get together and I’ll show you how you can become part of my 2010 business plan for growth in your market area.”

At the Meeting

• Build rapport

• “When you are working with customers what percentage do you convert for a sale?” Probable Answer: 50%

• “So if I gave you 20 quality leads and you convert 50% of them, you would have 10 additional closings. Is that right?”

At the Meeting

• “Let me show you the number of leads we received this year in your market area. Some of them may have been on your listings!”

• “Would 10 additional closings fit in with your 2010 business plan?”

• “We are receiving a large number of serious and quality leads.”

At the Meeting

• “Those leads can be yours and 10 closings can be yours in 2010.”

• “When can we get started so that you can close your first one?”

Recruiting New or Licensed Associates

• Use Craig’s list and other websites to target the town you are focusing on

• Example of online ad: Looking for two people with knowledge of

Paramus who possess or wish to obtain

a NJ Real Estate License. Training classes and

guaranteed leads to start your business.

Review: Strategy1. Print a map of your market area

2. Place yellow markers where associates live

3. Mark your listings in green for the previous year

4. Track leads of Lead Network in market area

5. Use Lead Network to gain competitive advantage

6. Target associates in towns where your office does not have a presence (Market Share, Listings, and/or Units)

7. Use targeted recruiting dialogue