There seems to be this fundamental fallacy among many real estate agents that the more money they spend on their businesses, the less there will be for their personal use.
That simply isn’t the case, according to Heidi Sloss, author of “Fortune is in the Follow-Up: Five POWER Strategies to Grow Your Business.”
“Too many business owners under-spend on marketing, thinking that not spending is the same as saving,” claims Sloss. While it’s an annoying adage, it really does “take money to make money.”
An older study by ActiveRain determined how much real estate agents made and how much they spent.
Top producing agents earning more than $100,000 per year spent five to 10 times more money on marketing than lower-earning agents.
Let’s face it, there are a number of money pits in the average real estate practice, from keeping up with the latest technology to what you drive or what you wear.
The truly important stuff, however – most of what’s in your business plan – is where to focus if you’re looking for ways to gain more clients and grow your business.
So, while it’s important to invest money in continuing education, professional development, and ensuring you have the office systems in place to make your job easier, none of it means a thing without clients.
Overcome your Fear
Remember the scene in the motion picture “Ghost,” where Whoopi Goldberg’s character is forced to endorse a $4 million check “to a bunch of nuns?”
She struggles, claiming to “… just want to touch it one more time.” Finally, at the point of almost hyperventilating, with tears streaming down her face, Whoopie’s character, Oda Mae, hands the check to one of the nuns but then refuses to let go of it. A tug-of-war of sorts ensues until she finally releases it and dissolves into sobs.
Is that not exactly what you do in your mind when it comes time to part with your hard-earned money? Especially in a commission-based business, parting with money is frightening. Who knows when you’ll close another deal?
It’s only natural then that you might question whether any particular investment is really the right thing to do. Marketing dollars are particularly hard to spend.
What if the campaign doesn’t work? What if I lose this money? These are perfectly valid questions as you tenaciously hold on to your dollar.
One of the best ways to overcome the fear of spending is by paying close attention to the annual budget every year when you revisit your business plan. Once the money is budgeted, consider it spent. Then, make careful, informed decisions about where to spend the money when it comes time to do so.
To help you make better buying decisions, visit review sites. Here you can read opinions – both good and bad – about the products real estate agents use in a typical day. Here’s our Google reviews page. Knowing what works for other agents arms you with the information you need to make sound spending decisions.
The bottom line is that if you really want to grow your real estate business, you’re going to have to spend some money investing in it – whether it’s on marketing, staff, or technology. So, overcome the fear and lose the death grip on the pocketbook.
6 Reasons to Go After Baby Boomers Right Now
- They own 26 million homes in the U.S.
- They control 70% of all wealth in this country.
- They hold more than 50% of all owner-occupied homes.
- 41% state they will definitely purchase another home.
- They are almost completely ignored by the real estate industry.
- And, we’re giving you the first 100 prospects on a Baby Boomer list for free right now!
That’s Right, Discover Baby Boomers in Your Area and GET THE FIRST 100 FREE!
To get the first 100 on a Baby Boomers Prospect List FREE USE PROMO CODE: BOOM100.
CLICK HERE to create your list (From a desktop/laptop computer) with the Demographic Search tool.
This offer expires on January 29th, at midnight.
Do You Need Help Creating Your Baby Boomer List? Watch This How to Video Below.
PLUS: When you have time…below are some helpful tools to support your success.
1. The Free 12 Month Done-For-You Strategic Marketing Plan
The Real Estate Marketing Planner is a powerful 12-Month-Guide that strategically defines what marketing to do when. Four key market segments are included, niche Markets, geographic farming, sphere of influence, and past clients. – Click Here
2. The Free Interactive Real Estate Business Plan
The Free Interactive Real Estate Business Plan allows you to enter your business goals for this year and get a breakdown of how many prospects, listings, closing, and so on are needed to reach your goals. – Click Here