REALTOR® associations and MLS organizations are being phased out of the industry or are being absorbed into gigantic multi-association conglomerates such as the Northeast's MRIS, or Texas' NTREIS. Seven percent of the brokers/franchisers have over 70 percent of the agents. Meanwhile, where does that leave the agent?

David Knox, a former REALTOR® and now a nationally known trainer, has noticed some disturbing trends emerging from these shifts of power. According to him, agents are getting the short end of the stick with poor or non-existent training in basic selling and communication skills.

It may seem that agents are getting more training than ever with the advent of computer and Internet technology, but as far as selling, closing, and prospecting, agents don't have a clue, according to Knox. Those companies who are able to afford outside trainers or in-house trainers are concentrating on getting their people up to speed with the latest equipment possible, but where is the money and time to teach basic sales skills?

"Everyone is so into technology, they have left in the dust any semblance of teaching people how to sell," laments Knox. "They can work a computer, but can they talk to a client?"

According to Knox, there is a training deficit - agents simply are no longer being trained "in the basics."

Real estate consolidation means fewer companies and therefore fewer events, and less reason to hire a nationally known speaker like himself. If the agents don't attend bi-annual meetings, conventions or celebrations, they miss the opportunity to have sales training.

Continuing education (CE) requirements have corrupted agent motivation for training. With so many clock hours required per year and the fact that accreditation is limited, agents aren't motivated to attend classes.

"If they can't get credit for it they don't show up," says Knox. "People rush to meet their deadline and will take any (CE) topic that is available that day. They are taking what is available, not what they need."

Knox believes that chain reactions are another reason agents aren't getting the training they need.

"The local boards are offering so little that we don't even prospect to them anymore," says Knox. "The boards are price-sensitive and they price for the cheapest dues and tuitions and they get the cheapest instructors."

"They cater to the bottom feeders by trying to be a K-Mart instead of a Macy's or a Nordstrom's."

"They are putting themselves out of business by offering cheap instead of quality. And no one is showing up."

"The result is that the boards are going out of business and going away. Then all they have left is the MLS and the Internet is taking that away," explains Knox. "They've priced themselves out the wrong way."

"The only ones left to deliver training are the broker companies. Most have in-house training programs and I think most of them do a pretty good job."

Knox saw the changes coming. Over a period of several years, he has shifted the focus of his business from live presentations and events to doing events to bringing his training messages to the "in-house" level, via video-training. Although he still does a brisk business in seminars and special events, he knows that to reach more people, he would have to create a new means of delivery.

"Instead of having the audience come to me, I would go to them," says Knox.

Knox created a new training system - 12 videos with "actual live role playing demonstrations for real-life selling and marketing situations. Most companies can own the whole set for less than Knox's typical air fare.

"My goal is let's develop strong ethical sales people," says Knox. "No wimpy salespeople."

Knox's plan means that he can potentially get to more people than he ever could as an outside trainer.

"Even if everyone was hiring outside speakers, I couldn't get to everybody," Knox says.

With the real estate industry beginning to realize the need for "basics" training, who is going to be in charge? Where will agents get the training they need? The big company conventions are key, along with company-sponsored , but Knox believes it is the support of the branch managers which will ultimately make the most difference.

"The real behavior change has to happen at the branch office level," advises Knox. "The branch managers need to take a strong role in teaching skills to their salespeople. Real estate is still a people business. It is the agent's interaction with people that make it go."

"It feels like the industry have forgotten about its people. They are investing in buildings, Web sites, digital cameras, but what about the people? All companies need to invest in their people. They need to spend at least half as much as they do in technology."

"Realtors want technology training, they want to get their clock hours, but what they need is selling skills and dealing with people. The skills I see lacking are prospecting and meeting people, and the biggest skill needed is counseling for needs and motivation. That means listening and diagnosing, asking open questions, probing for the prospect's true motivations."

"Realtors waste a lot of time by not qualifying the motivation to buy or sell. That is the most important, to know how to ask questions like, "What happens if your home doesn't sell? What are you gaining by moving? Then work on presenting benefits and closing."

Where should the branch offices begin? Correcting basic mistakes in selling techniques, believes Knox. This could prevent errors of omission such as fear of getting into the game, looking for the easy way out, or being just plain lazy.

"The biggest mistake is that agents don't show up enough. I mean face-to-face marketing. Even a broken clock is right twice a day, but you have to show up," admonishes Knox. "I ask people in classes, "Have you ever bought a product from a bad salesperson? Yes, they say. Why? S/he was there! There's your answer."

"The second mistake is lack of persistent follow-up. That means you have to show up again and again," continues Knox. "The first step is getting your name out there, then you have to follow up with a phone call or face-to-face."

"Don't put up a Web page and think that is all you have to do."

Published: February 19, 1999

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Blanche is a renowned author of five real estate books. Her newest, Bubbles, Booms and Busts: Make Money In Any Real Estate Market, McGraw-Hill, was rave-reviewed by The New York Times. She was also selected from hundreds of real estate experts to contribute to Donald Trump's book, Trump: The Best Real Estate Advice I Ever Received: 100 Top Experts Share Their Strategies, Rutledge Hill Press, and is featured on page 68. Order Now Review - Honors In 2006, Blanche was selected among scores of candidates to author two consumer real estate guidebooks for the National Association of Realtors: The NAR Guide to Home Buying, and The NAR Guide to Home Selling, Wiley & Sons. She is currently planning two new books for the NAR and its members.       Known for her keen insight into real estate industry issues and for her ability to make complex subjects easy to understand, Blanche is a sought-after keynote and continuing education speaker. Real estate organizations from MLSs, to brokerages, to franchisors, to associations hire her to provide up-to-the-minute analysis of real estate industry news and advice on how to improve revenues. Her passionate delivery, peppered with stinging wit, is a huge hit with audiences and fans. Don Klein, CEO Greater Nashville Association of Realtors, Blanche Evans, Richard Courtney, president 2007, GRAR "The GNAR membership meeting last week featured Blanche Evans as the keynote speaker. Her comments and insights resonated extremely well with those in attendance and we have had many requests for copies of her PowerPoint Presentation. She was a terrific part of the membership meeting and convention program!" - Don Klein, CEO Greater Nashville Association of Realtors Coverage from WSMV, Nashville - 8-14-2007 That Interview Guy - Get Inside The Head Of Today's Generation 2007 AE Institute Session - To purchase 2006 AE Institute Session - Parts 1 2 3 4 5 6 7 8 9 HouseValues Mastermind call - Parts 1 2 Blanche's fireside chat with Jeremy Conaway, HAR - Click here. For more articles by Blanche, click here.