There is an unfortunate ignorance in real estate that leads to an erroneous conclusion; discount brokers are what’s wrong with the industry.
Most people expect to pay handsomely for great service/great products. Whether it’s the car you buy, the coffee shop you frequent, or the person you see to cut your hair, you expect great value in return for what you’re paying for.
Conversely, you should expect to be paid well for the services and products you deliver.
DISCOUNT BROKERS VS. DISCOUNT SERVICE
The problem with the real estate industry is NOT discount brokers. The problem with the industry is full commission brokers who provide a discount service.
The reason discount real estate brokers exist in the first place is that most full commission real estate brokers do not deliver extraordinary service. As a consumer, if you are going to receive marginal service, an unreliable outcome, and a less than pleasant experience, you want to pay a lot less for those results.
Full commission brokers providing a discount broker experience are the norm in real estate. Sadly, this experience is what consumers have learned to expect, and they expect to pay less.
Here is how you can differentiate yourself and start changing the industry:
- Be exceptional.
- If you are an exceptional agent and add more value to the consumer than what you receive in payment, you are a champion in this industry and consumers will always appreciate what you do. This is what should be considered a “Full Service Broker”.
- Communicate your value.
- Learn to do this without judgment and without resentment if a consumer asks “will you do it for what the other person will charge?” It’s only natural to immediately think “The Other guy!? That guy? He’s terrible! How can you even ask that? Do you know how hard I work!?” The truth of the matter is they do not know. Consumers want to believe in results, and what they believe is the average, and the “average” in our industry can be terrible.
- Appreciate the “commission question”.
- Learn to look forward to it from your consumers. Not because you are a great negotiator, but because you are so clear about the value you offer, the service you provide, and the experience to which you are dedicated to creating.
- Recognize industry incompetence.
- This has trained consumers to expect very little. Learn that every time you do more than expected and deliver more in value than the compensation you receive, you restore a little faith, one person at a time, in the value of what great people in this industry provide.
Don’t blame the discount broker. Instead, patiently educate consumers to demand more by delivering extraordinary value.
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