When it comes to commercial real estate sales and leasing activity, you as the real estate agent should be monitoring the key performance indicators relative to your job and your property type. In only that way will you as the specialist salesperson be able to identify the critical trends and successes you are achieving.
So the key performance indicators are numbers that you collate each day and each week. These indicators will allow you to understand what the market is doing to you individually and how you are converting the new business. Commercial real estate agency is all about your results; those results are the ones that you can achieve given the promising market conditions. This industry is built on personal performance and not necessarily the market in which you operate.
The key performance indicators to track within your role as a the real estate specialist will include these elements:
- The numbers of telephone calls that you are making each day to new prospects in the local area.
- The number of connected calls that are achieved from each prospecting time and process.
- The number of appointments that are achieved from the number of connected calls when you are prospecting.
- The number of unsolicited inbound calls to your office and to you personally on a daily basis.
- The source of the property inquiry that comes to you will need to be tracked. On that basis you will understand the best types of advertising and marketing material that work in this market.
- The numbers of active exclusive listings that you hold on a weekly basis will be quite important. Exclusive listings give you far better control of the end result transaction.
- The numbers of exclusive listings that have been converted to successful sales or leases as the case may be.
- The type of property inquiry that comes to you, the price range or rental range, and the types of property that are being pursed in the local area by prospective buyers and buyers.
- The amount of commission that you are generating from successfully closed sales and leases. It is always good to see how your commission conversions are escalating.
- The amount of time that you are devoting to the marketing of each exclusive listing. Time is the main resource that you have to use and optimize. Do not waste your time with overpriced properties and unrealistic property owners.
- The amount of open listings that you are working with in comparison to the exclusive listings that should get the priority of your time and focus.
- The average sale price and the average rental that is achieved from each transaction will give you an idea of changes in the local property market.
- The trends in marketing costs and the right marketing channels will give you important information to focus the marketing of your next listing. You should be using the marketing channels that give the best inquiry results.
These numbers will help you understand the trends and issues in the local property market. These numbers will help you to adjust your strategy when any weaknesses or changes in opportunity are identified.
In any property market there is always opportunity; you just need to find it.