Defining Your True Value Proposition
Lately I have been brainstorming about what an agents or brokers true value proposition is and how to effectively communicate this to potential clients. This is obviously going to be subjective in nature as one agent’s value proposition is typically going to differ from the next, but I’d like to start a dialogue about how this is communicated to others as well as how do you come up with your unique value to set yourself apart. For me it has been “How can I sell real estate in Park City better than everyone else?”
Let’s take a look at this from the listing side of things. Typically you will be in a listing presentation with a client and you will go over the benefits to working with your brokerage, followed by your individual unique value proposition. This could come in many forms depending on the person and their strengths as a real estate agent that set them apart from the rest. What could this be?
- Your online dominance in your local area to market your listings.
- Premiere ad placement on top sites like Zillow, Realtor.com, and many other listing syndicated sites.
- Direct mail sent to the surrounding neighbors informing them of the newest listing to hit the market close to them. Etc…
Inman recently wrote an article about the generational differences between real estate agents and things that set them apart. While the younger generations may be more tech saavy and go about lead generation in a completely different way, the older generation typically sticks to the tried and true methods that have worked for years. At some point these two ways of doing business intersect, and one must learn to be open to the other. In today’s market, it is vital for agents to expand their online presence in the marketplace to keep up with the new age of agents who look to dominate online. But how do you turn this value into your value proposition for clients to work with you?
Whatever your true value may be, you have to OWN it to truly differentiate yourself from the other agents in direct competition.
What is your unique value that you bring to clients that others may not and how do you effectively communicate this to potential home sellers?
Victor Lund
Posted at 16:50h, 12 AugustBen, couldn’t a consumer do Items 2 and 3 without the help of a REALTOR? I think that the value is in the service the REALTOR provides. In other words, it is expertise the REALTOR inserts into the process, not the process itself.
A consumer can build a single listing website, virtual tour, market it on social media, add it to Yahoo, Trulia, Zillow, and dozens of consumer search portals, even build lovely flyers to distribute to the neighborhood and keep the sign box filled.
In our market, home sales start at about 300,000 – that is $9000 in commissions to the listing agent. Most homes sell for $400-$650k. In terms of basic online marketing, the consumer could do the marketing for a small fraction of the $9k they would pay a consumer.
The value of the REALTOR is in two places. The experience in shepherding transactions, and the collective force of the MLS members who market the property to buyers they represent. Consumers cannot duplicate the experience or service – that is what makes the difference.
I totally agree with your post in one light. If the REALTOR is not providing the online marketing services that the consumer could easily do on their own, the REALTOR is at risk. REALTORS need to do both.