Lessons Learned
Most of us had some previous career before we became REALTORS®. How about you?
What lessons have you learned from your previous life that you can apply to your Real Estate career?
When I was 26, I started a wholesale motorcycle parts distribution company called Power Twins Performance Parts. ️
In my first location, I shared a tiny office with another small business owner and stored my inventory on a 400 sq ft mezzanine. I remember climbing up and down a ladder every time I needed to pack an order.
Early on, I had to sell my treasured vintage 1973 Yoshimura Kawasaki Z-1 to buy groceries.
Also diapers for the new baby boy. Thanks a lot, Kevin! 😡
I still miss that bike.
It was mostly youthful self-confidence and a strong work ethic that kept me going through those early years.
Long before my phone was ringing with orders, I was doing the dialing, talking to motorcycle dealers across the country. ☎️
I just straight-up asked them what it would take to get their business. The response was remarkably consistent and straightforward.
“Have the parts in stock and deliver them quickly.”
Okay, then!
Based on this, I focused on two things:
First, I vowed to have the best fill-rate in the industry.
That wasn’t easy since I had extremely limited cash-flow. But I was determined.
I watched the inventory like a hawk and placed smaller but much more frequent orders with my suppliers. It was more work and more costly, but I offset that by quickly improving my fill-rate to over 95%, a number that was unheard of in the industry.
My customers started to take notice.
Next, I established contract rates with the major national couriers allowing me to deliver over 90% of my shipments by overnight courier for FREE. This was years before Amazon. Free overnight shipping was unheard of in any industry.
Suddenly, my little company was a trend-setter. My customers were amazed at the new standard for fast and reliable delivery.
My much larger competitors started to notice also, but they must have figured it was only a matter of time before I bankrupted myself.
How could I afford to offer free overnight shipping? It wasn’t easy at first, but I also offset a portion of the cost with slightly higher prices.
My customers were happy to pay a little bit more for fast and reliable service. After all, that’s what they said they wanted, and I was delivering!
My sales increased at a rapid pace over the next few years, and I was able to negotiate better and better rates with the national couriers, so my margins steadily improved.
By the time my competitors reacted, it was too late for them. I was no longer the “little guy.” Now, they were the ones going bankrupt, as I became more and more successful and took over their product lines.
Out-Think, Out-Service, Out-Sell
Having the best fill-rate, and providing the fastest delivery were two of the most notable examples of how I out-serviced and out-sold my competitors, but there were many other programs I contrived and implemented over the years. I was always five steps ahead of my competitors.
By focusing on delivering a superior experience to my customers, I never had to worry about the bottom line. In fact, I grew my sales at an average rate of 55% every year for 14 years. From a tiny start-up, my business eventually became a national leader in the industry.
So, what does all this have to do with Real Estate? Everything!
In business (and life), it’s all about your attitude.
When I began my Real Estate career, I wanted to know what really worked in Real Estate, and what didn’t.
I ignored all the “fluff” that sounded good but didn’t work.
I figured out what worked, and I stuck to my guns. Luckily, my approach to Real Estate proved to be the best for my clients and for me. It turned out to be an incredibly rewarding career.
Keeping it Simple
My success in the motorcycle parts business was simple. I asked my customers what they wanted, and I figured out how to deliver it.
In Real Estate, it’s the same thing. Just give people what they want!
“Try not to become a person of success, but rather try to become a person of value.” — Albert Einstein
My third venture (Agent Skills) is where I get to give back. It’s where I get to show you HOW to become a person of value. When you achieve that, success naturally follows.
It really is that simple.
