the strategic model for generating leads and building ... · the strategic model for generating ......

Your Strategy—Generate Leads and Move People into

Your Inner Circles

w w w . m i l l i o n a i r e s y s t e m s . c o m

The Millionaire Real Estate AgentTM

The Strategic Model for Generating Leads and Building Relationships

General PublicHaven’t Met

Target GroupHaven’t Met

Met Group

AlliedResources

1 on 1

12 Direct

Prospecting andMarketing

33 Touch8x 8



Think Big Goals and Big Models

$80 Million a Year ModelBig Habits

$40 MillionHabits

$20 MillionHabits

$10 MillionHabits

$5 MillionHabits

$2.5 MillionHabits

PRO

DU

CTI

ON

TIME



The Difference Between a Functionary and a Fiduciary

FUNCTIONARY

1. Low Level2. Low Relationship3. Assumes Little Responsibility4. Uses Low Skill5. Records Information6. Responds to Needs7. Processes Data8. Narrow Picture Viewpoint9. Delivers Information10. Other-Directed11. Minimum Legal Responsibility12. Employee13. Does the Task14. Tells and Sells15. Stays out of Decision Making16. Follows Rules and Procedures17. Replaceable18. Minimally Paid

FIDUCIARY

1. High Level2. High Relationship3. Accepts High Responsibility4. Masters High Skill5. Perceives Information6. Anticipates Needs7. Interprets Data8. Big Picture Viewpint9. Advises and Consults

10. Self-Directed11. Maximum Legal Responsibility12. Partner13. Owns the Result14. Educates and Guides15. Involved in Decision-Making16. Uses Judgment and Intuition17. Irreplaceable18. Highly Paid



LEADS

Net

Earn

Think

LEVERAGELIST

INGS Receive

The Three L’s



Total GCI $2.4 Million

GCI fromBuyer Sales$1.2 Million

Buyer COS$600,000

GCI fromListing Sales$1.2 Million

Listing COS $100,000

$700,000 Total Cost of Sales$700,000 Operating Expenses

$1 Million Net Income

The Basic Cash Flow of the Economic Model of the Millionaire Real Estate Agent



1. Know What Numbers You Must Hit2. Focus on Appointments3. Focus on Conversions

1. When Doing All You Can Do, Hire Administrative Help

2. Hire Talent3. Train and Consult

1. Prospect and Market 2. Set Up a Database and

Systematically Market to It3. Focus on Seller Listings Taken

1. Lead with Revenue 2. Play Red Light, Green Light3. Stick to the Budget

Economic Model

Lead-Generation

ModelOrganizational

Model

Budget Model

1

2

3

4

“Don’t Just Think Like a Business —Become One!”

The Four ModelsThe Key Areas



1. Leads Generated2. Listings3. Contracts Written4. Contracts Closed5. Money6. People7. Systems/Tools8. Personal Education

For each of these eight categories,you should set “someday,” three-

year, one-year, one-month, and one-week goals.

The Eight Goal Categories of the Millionaire Real Estate Agent



The Four Models The Issues and Numbers of the Millionaire Real Estate Agent

1. 320 Closed Sales – $250K Average Price

2. $2.4 Million GCI3. $700K Cost of Sales

$700K Operating Expenses

4. 27.73 Seller Listing Appts./mo.25.53 Buyer Listing Appts./mo.

5. 20.53 Seller Listings Taken/mo.16.63 Buyer Listings Taken/mo.

6. 13.33 Sellers Sold/mo.13.33 Buyers Sold/mo.

1. Three Key Hires: • Administrative Manager• Lead Seller Specialist• Lead Buyer Specialist

2. Seven Recruiting Sources3. Nine CompensationOptions

• Total Cost of Sales – 29.2%• Expenses – 29.2%

1. Salaries – 12.0% 2. Lead Generation – 9.2%3. Occupancy – 2.0%4. Technology – 1.5%5. Phones – 1.0%6. Supplies – 1.0%7. Education – 1.0%8. Equipment – 1.0%9. Auto/Insurance – 1.0%

Economic Model

Lead-Generation Model

OrganizationalModel

24

1. Database• 960 Met• 8,000 Haven’t Met

2. Cost• $31,680 – $63,360/yr.• $96,000 – $192,000/yr.

3. Focus on Listings

“Don’t Just Become a Business—Become a Big One!”

BudgetModel

1

3



8 x 8

• Week One—Drop off a letter of introduction, your personal brochure, a marketreport, and your business card.

• Week Two—Send a recipe card, inspirational card, community calendar, or market statistics.

• Week Three—Send a recipe card, inspirational card, community calendar, ormarket statistics.

• Week Four—Make a telephone call:“Hello, this is _______ from _______ Realty. Did I catch you at a bad time? How are you? Did you happen to receive the _______? Have you had a chance to look at it? The reason I’m calling is to find out if you happen to know of anyone who might be buying or selling their home. . . .”

• Week Five—Send one of your free reports.

• Week Six—Send a real estate investment or house maintenance tip.

• Week Seven—Send a refrigerator magnet, notepad, or other usable giveaway(not throwaway!) with your name, logo, and contact information on it.

• Week Eight—Make another telephone call:“Hello, this is _______ from ______ Realty. Did I catch you at a bad time? How are you? Did you happen to receive the ________ that I sent you? That’s great. Did you have any questions? As you can tell, I really hope you willallow me to be your Realtor for life. And also, let me just give you a quick reminder that if you happen to know of anyone who might be buying or selling their home, could you please share their name with me or my namewith them...”

8 x 8 is About Building Relationships and Winning the Real Estate Agent “Mind Share” Battle



The Nine Ways the Millionaire Real Estate Agent Thinks

1. Think Powered by a Big Why2. Think Big Goals and Big Models3. Think Possibilities4. Think Action5. Think Without Fear6. Think Progress7. Think Competitively and Strategically8. Think Standards9. Think Service

FOUNDATIONAL

SUPPORTIVE



Average Conversion Rates

$250,000 Average Sales Price320 Closed Units/12 months =26.7 Closed Sales Per Month

Leads Generated

26.7MonthlySales

80% 65%

65% 80%

25.73 Listing

Appointments

25.58Buyer

Appointments

16.63 Buyer Listings

Taken

13.30 Buyers Sold

13.37 Listings

Sold

20.58 Seller Listings

Taken



The Path to People Leverage

SALES AND MARKETING

ADMINISTRATION AND PROCESSING

YOU YOU

YOU

YOU

1st Assistant

1stLevel

2ndLevel

3rdLevel

Marketing/Administrative

TransactionCoordinator+

YOU 4thLevel

Lead BuyerAgent +



5thLevel

YOULead ListingSpecialists


Tele-marketer++

Buyer Agents

Lead Buyer Agent

Listing Manager



Tele-marketer+

Listing Manager

TransactionCoordinator

+

YOU(CEO)

6thLevel

ListingSpecialists

Lead ListingSpecialist

+

BuyerAgents

Lead BuyerAgent

+


Tele-marketer+

Listing Manager


CEO

7thLevel

ListingSpecialists

Lead ListingSpecialist

+

BuyerAgents

Lead BuyerAgent+

LeadCoordinatorYOU

(Owner)



The 7th Level Concept: The Seven Potential Models of PeopleLeverage of a Financially Wealthy Real Estate Agent

Agent

Administrative

Administrative Administrative

AdministrativeAdministrative Buyer Specialist

Administrative

Seller Specialist

Buyer Specialist

Administrative Administrative

Administrative

You do not need to predetermine which level you will ultimately achieve. The key is to master thelevel you are on and then let that set the foundation for the possibility of moving to the next stage.Trying to skip levels or move too quickly through them may set the stage for burnout or backslid-ing. Note: If you decide against going to the 7th Level, you should master investing.

Buyer Specialist

Administrative

Seller Specialist

Administrative

Administrative

Buyer Specialist

Administrative

Seller Specialist

Administrative

Agent

Agent

Agent

Agent

AdministrativeManager

AdministrativeManager

ManagerAgent

The 1st Level

The 2nd Level

The 3rd Level

The 4th Level

The 5th Level

The 6th Level

The 7th Level

No Leverage

One Administrator

Multiple Administrators

Multiple AdministratorsOne Buyer Specialist

Multiple AdministratorsMultiple Buyer SpecialistsOne Seller Specialist

Agent Administrative Manager Multiple AdministratorsMultiple Buyer SpecialistsSeller Specialist

Manager Administrative Manager Multiple AdministratorsMultiple Buyer SpecialistsSeller Specialist

OtherBusiness

OtherBusiness

OtherBusiness



Breaking Through to Higher Achievement

Improved ModelsCreativity

“New Achievement Ceiling”

“Natural Achievement Ceiling”

Foundational ModelsNatural Ability

Creativity

“New Achievement Ceiling”Breakthrough!

Breakthrough!

Breakthrough!

Improved Models



UNSTABLE

STABLE

Which business has a more stable foundation?

Creativity

Models

Creativity

Models



The Millionaire Real Estate Agent Energy Plan

1. Meditate and Pray—Spiritual Energy

2. Exercise and Eat—Physical Energy

3. Hug, Kiss, and Laugh—Emotional Energy

4. Plan and Calendar—Mental Energy

5. Lead Generate—Business Energy

All by Eleven A.M. Every Day!

the strategic model for generating leads and building ... · the strategic model for generating ......

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