The document discusses the need for real estate companies to adapt their business models to changing market conditions and consumer demands. Specifically, it recommends moving from an agent-centric to consumer-centric model by focusing on becoming trusted advisors, offering ancillary services, and empowering agents through systems that ensure consistent service. It also stresses the importance of leadership, profitability, and having a clear vision and purpose to guide the company through times of change.

1. Thanks for inviting me! MARTIN RUETER GRI, CRS President Weichert Real Estate Affiliates, Inc.

2. Deep roots… SOBGSOBGGNOBHOBBOB COB Charles W. Rueter “The Man on the Spot”

3. 1961

4. A business worth owning today?

5. A career worth having today? Going down!

6. A bright future?

7. Are we next?

8. Is our service desired? Why do customers call us? Do we meet their expectations? Every time? Are we structured for service? RELEVANCY

9. Does our value match our price? People in real estate say the same thing. How are you different? Are you really better? Why should I list with you or work for you?

11. Internet

12. Media

13. Technology

14. Accolades

15. Community data

16. Promotional strategyA more level playing field

18. Reputation

19. Appeal

20. DurabilityWhether correct or not…

21. What’s underneath?

22. Are cosmetic changes enough?

23. Beliefs… “All of us have the agents we deserve.” “There’s no such thing as bad business, there’s only bad management.”

24. Things have changed.

25. Emboldened consumers…

26. Desperate housewives? “They’re willing to throw in their kidneys.”

27. Too much money down…

28. Free fall…

29. A topsy-turvy world… “I don’t think we’re in Kansas anymore!”

30. New, different customers The generation gap in real estate is widening.

31. 247 million real estate websites!

32. Generation Text!

33. A different kind of agent…

34. Empty cubicles…

35. In search of customers… How do we keep consumers using us?

36. In search of professionalism… WE MUST… Elevate our expertise. Do more. Become trusted advisors. RELEVANCY

37. In search of service… Relocation Mortgage Title Insurance Home Protection Home Connections RELEVANCY

38. In search of systems… Systems ensure that what needs to be done gets done consistently for every customer by every agent. Systems never forget! RELEVANCY

39. The E-Myth Michael Gerber Rather than relying on the skills of great people, the business empowers ordinary people to perform in extraordinary ways. The System runs the business. The people run the systems. If you can build a business that works and thrives without you, you have put yourself in control of both your business and your life. On the other hand, if your business depends on you, you don’t own a business – you have a job.

41. People drive the systems.

42. Great leaders drive the people.It takes all three.

43. “Three Crises” Purpose Profitability Leadership

44. Crisis of Purpose VISION GOALS EXECUTION

45. Who’s our customer? We have too long focused on the agent as our primary customer. The consumer should be paramount. Most offices still follow a flawed agent-centricbusiness model.

46. Agent Centric Consumer Agent Broker Are you adhering to an outdated business model?

47. Consumer Centric Broker Agent Consumer The office becomes the agent’s “personal assistant.” The office introduces its ancillary services.

48. Personal Marketing How many versions of your office are out there? I am the greatest!

49. Egos bigger than a house!

50. “We’re just looking…” How many versions of your office are out there?

51. Crisis of Profitability “You never go broke taking a profit.” ~William H. Rueter “Marty, you have a math problem.” ~James M. Weichert

52. Staying in business For the past five years, staying in business has been our main priority. We’ve adapted.

53. We’ve adapted.

54. We’ve slashed and burned! Office expenses at 2000 levels.

55. We became salesmen again.

56. Are you building an asset? You can cut costs to achieve profitability. But you can’t cut costs to achieve prosperity. You must substantially increase revenues.

58. Training/Coaching

59. More Company Leads

60. Manage every one until they buy or die!

62. Profit is measured minus the broker’s personal sales.

63. Profit also considers the cost of managing the business.

65. More leads

66. Higher productivity

68. Rolling quarter averaging

69. Company vs. agent generatedContain expenses

70. Crisis of Leadership

72. Knowing where you’re going

73. Getting them to follow

74. Unified thinking

75. Consistent but flexible

76. A fun place to be around!Few of us are born leaders. The rest of us must learn leadership.

78. Competence

79. Collegiality

80. Connection

81. Coordination

82. Communication

83. Community

85. Collaborative Facilities

86. Flying together as ONE… UNIFIED THINKING UNIFIED DIRECTION

87. Which dinosaurs must go?

88. Some have already left… Wasteful advertising Money draining branches Excess space Unnecessary management

89. Recycling of agents Fresh blood invigorates a stagnant sales force. We must redefine “experience.” A mix of genders, sexes and networks.

90. The numbers game

91. One size fits all… Agents should profitably fit your business model… versus changing the model to fit them! 59

92. Too many trophies… Building a Solid Middle “A” Agents – top producers “B” Agents – solid citizens “C” Agents –rebels “D” Agents – rookies

93. Split madness… Biggest hot buttons for productive agents: LEADS Company marketing Coaching Cool facilities Bundled technology 61

94. Regionalization… WHY IT’S OCCURRED? Consolidation of MLS’s. During “run-up” market, due to lack of listing inventory. In market downturn, desperation to go anywhere for sale. Fewer sales facilities covering larger territories. Photos on Internet.

95. The next BATTLEGROUND will shift from the internet back to the point of sale.

96. EVERY Point of Sale! Meeting Interviewing Presenting Qualifying Open houses Listings Showing property Area Tour Presenting offers Any interaction

97. It’s show time! CO-STARRING YOU YOUR TEAM YOUR NETWORK

98. Associate Interviews 50/50 meet at first listing or office. Majority of take separate vehicles when showing properties. No area tours in showing process. Associates frustrated over volume of listings shown without sale. Most refer customers to loan rep. Most cover multiple counties.

99. Findings… Overall our Sales Associates are NOT: Conducting a structured meeting with buyers. Formally eliciting and recording their key wants, needs and priorities. Methodically and systematically previewing every property in their market area. Consistently using tools, materials and brochures to help differentiate them and build buyer loyalty. Positioning the introduction to the GSM as the person who can discuss with them all the services they’re entitled to as a Weichert® customer.

100. Findings… They ARE: Getting to know the buyers in the car or through the process of looking at houses. Setting them up for auto e-mail distribution based on simple criteria such as # of Bedrooms, bathrooms, etc. Showing them properties the buyers saw on the Internet versus selecting properties based on buyer needs and wants. Allowing the buyers to drive the process versus the other way around.

101. Some things are certain... In the next ten years we will see more changes than in the past twenty. Change occurs with us or without us.

102. “When it comes to the future, there are three kinds of people: those who let it happen, those who make it happen, and those who wonder what happened.” ~ John M. Richardson Tomorrow… 70