Sometimes it is not closing more deals that make a difference in our profit margins, but rather it is about increasing how much we retain from our deals that counts. It is all about profit, and how much we walk away with at the end of the day.

Real estate across the country and market conditions may vary a little, but how we get the job done does not. Some of us battle a shortage of inventory, while others in our business suffer from a glut of homes to sell. Before we begin, we must place a value on ourselves and the services we offer. Then we must be able to demonstrate our market knowledge and skills and prove their value has weight and substance.

Full service is not free. If the seller perceives our skills are worth more our competitors...then we are the person to hire. All they need is proof. They will pay the difference as long as we demonstrate that our performance and perceived value is different from the competition's. So rather than discounting our services, it is possible we may net more dollars from each deal. Make more money, and do less deals! What a concept!

Think about this. Everyday in our society, we have choices as consumers. We can buy the same product at different stores. One store may offer the product at the lowest price, while another is priced normally. However, some shoppers would not be caught dead in a discount store! Why? Because it is a perception of value. They may feel the higher price is worth the service they get. There is peace of mind in service, company reputation, quality, and they know that if they have a question, want to return the item, or have an issue or concern, they know their needs will be addressed! It is peace of mind that closes the deal. It is all about satisfying the consumer.

Our industry is currently besieged, and is changing at the speed of light on many fronts. First, the advent of the Internet, major portals with aggregation offerings of homes for sale, and broker reciprocity (IDX) have all vastly diminished our real estate reputation as the keepers of information. Consumers want instant information, and via the Internet, personal computers, instant communication via e-mail and cell phone they have it. Over 80 percent of home purchases will now start on the Internet. At this point, we must concede it is now the consumer on a research quest that is driving our industry! But does that mean we have to give our services away at reduced commissions, flat fee, and fee-for service menus?

Some in our industry think so, and accommodate by offering these services. However, all that means that you will sell twice as much, and earn less. This is not an insurance that you will survive and be profitable; all it means is that you are stretching your resources to the limit. This is a major stress territory! The major contributor to this current dilemma of ours is the technology gap. It exists because the first-time home buyer is 25 years old and the average real estate agent is in his/her early 50's, many of us are in over our heads, and in a panic to regain market share at any cost. We are driven by fear and not logic. We must not go into a scramble to take whatever business we can at any price!

Agents that employ the right technologies, understand it, and use it effectively will control more and more of the real estate business. So for those of us that did not like the old "80/20" rule it has changed. I am told recent surveys now suggest seven percent of all real estate agents/brokers account for 93 percent of all business transactions. If we are to survive and be profitable in our industry, we must make an effort to understand the fundamentals of our business and what drives it! These younger tech savvy potential clients do! They want answers, and they want them quickly! They also need someone that can effectively and quickly communicate with them.

We must acknowledge these younger potential clients grew up with technology as a way of life. They know how to use it effectively! Most in our industry do not. From an early age, these potential consumers grew up with it. They use it for entertainment with games, chatting and communicating with friends, and use the Internet to do fast and informative research. Technology is second nature to them, and to the average real estate agent in their late 40's or early 50's, it is not. We still think it is magic, and it's not! It is a reality. It is not something we can just delegate if we do not understand it, and success is not purchased in a software package. We cannot deceive the consumer. They'll size us up real quick! We can close the technology gap by providing those expected services.

We must be able to demonstrate our abilities, and make them tangible. After and during a presentation, if the seller perceives that we have a solution they will pay for it. Our professional presentation must cover all bases, and leave no doubt in the seller or buyers mind that you are the agent they need to work with. Our presentation must encompass all of our talents. The demonstration of abilities, our professional appearance, experience, skill, abilities, and a concise plan must be the one to beat! Our polished presentation must include: designations, company awards, achievements, testimonials, an encompassing assessment of price and market, and a plan to get the seller from point "A" to point "B!" We must be careful not to promise more than we can deliver, because that will harm our business reputations. An honest market assessment is always best. The seller and agent must always be reading on the same page.

It is better to follow-up post listing with weekly progress reports. Keep the seller in the loop via email, phone calls, and copies of marketing materials in print or on the Internet. It is so pathetic to see that most of our competition in our industry will not do this. A quick search of the MLS and Realtor.com will show you that most agents do not even include multiple photos, a virtual tour or even an enhanced description of the subject property. Remember, this is a tech-savvy seller in the new millennium. If we can demonstrate how our service is different from the competition up front and even online … then we'll get the listing on our terms. They'll appreciate the candor, and your ability to cover all marketing bases.

For added value for the home seller, we can demonstrate our abilities historically from past closed deals, testimonials from past clients, days on market, customized marketing materials we used, and final sales price. Your past performance is a comforting reassurance of your abilities. A well formed presentation will leave no doubt in the seller's mind that you are the bench mark from which they will hold the competition.

Remember, it is important to pay attention the smallest detail. Our abilities will be judged on appearance, our body language, the quality of our presentation, and how we present it are what will make the difference. It does not take rocket science to list a home, put a sign in the ground, and place a listing in the MLS. However, it takes skill of a successful real estate agent acting on the seller's behalf to negotiate the best terms, get the highest price, sell it in a reasonable period of time, and negotiate through financing issues, and the inspection amendment. Remember, perception is everything. You are who you think you are!

Published: December 4, 2003

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Jim Crawford, ABR, e-PRO 500 is currently licensed as a Broker Associate with RE/MAX Greater Atlanta in Atlanta Georgia, and as Broker Associate with Distinctive Realty Inc. in McLean Virginia. Jim and his wife Ellen work as a husband and wife team in the northern Atlanta suburbs. As the team's rainmaker, Jim is a self-taught webmaster and designer, and he relies exclusively on the Internet for marketing. He is considered an expert on marketing, nationwide relocation, cutting edge technology, Search Engine Optimization (SEO) for real estate, and Internet marketing. Jim's seminars, online contributions, and technology ideas assist real estate agents to maximize their business results, and raise the industry's professional service level skills. His common sense marketing ideas have been published and quoted regularly in trade publications. He has also consulted and advised NAR offices regarding Internet issues, and Internet ethics for Realtors. In between sales, Jim is a popular speaker at national and regional real estate seminars, and retreats. He is also an online real estate coach, with a self-tutorial coaching site for real estate professionals. Jim was a featured speaker at the November 2004 National Association of REALTORS® convention in Orlando, and has spoken at the several REALTORS® conventions both in the United States and Canada. Visit his website at RealEstateTechCoach.com, or e-mail him at .