Which leading indicators to watch and how they can help you succeed.
Real estate is a numbers game. I bet you’re sick of hearing that, but it’s true.Because of this, you have to look at the leading indicators to find success.
What are the leading indicators that can tell you what’s happening with your business? A lagging indicator would be something like closings; you might have had a bad month for closings, but it’s too late to do anything about it once you notice.
Looking at the leading indicators will help you actually respond. The first thing you may want to consider is the number of conversations you have about real estate. Let’s say that 50 conversations equal one closing. If you wanted to have two closings a month, you’d need to have 100 conversations. You can break that down into 25 a week or five a day.
Everyone’s numbers are different. Depending on who you talk to, you may only need 25 conversations to get a closing, so how do you judge how many it’s going to take? You need to track your numbers. If you’re analytical, that’s not a problem for you, but certain personalities might have a harder time.
Another leading indicator to track is your listing appointments. If you can convert one out of every two appointments, you’d only need to go on four to get two closings a month.
Think about those leading indicators because they will determine how well your business does. If you have any questions, give me a call or send me an email. I’d be happy to help.