Keller Williams - FTP Directory Listing

Winning Keller Williams Offense

Winning Keller Williams Offense

The End Game is…. Cohesive, well-integrated, Recruiting/retention strategy. Live it every day.

Keller Williams vs Weichert, Realtors

Mission Statement Keller Williams Realty was founded in 1983 by Gary Keller and Joe Williams with the mission to build careers worth having, businesses worth owning and lives worth living® for its associates.

Keller Williams vs Weichert, Realtors

Mission Statement To provide world-class service by guiding our customers through a personalized and value-added real estate experience that saves them both time and money while achieving their dream of homeownership.

Recruiting vs Customer

Weichert Distinct Advantages

Develop your local talking points for each distinct advantage.

Weichert Distinct Advantages •

I am with Weichert, Realtors for 26 years because of Jim Weichert, his leadership team & family of companies.

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Jim’s company is debt-free and it is evident to me his profits are reinvested wisely to keep his organization on the cutting edge of constant industry changes.

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National Real Estate Company Leader as a provider of home services.

Weichert Distinct Advantages •

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I am a full-time sales manager dedicated to my agents’ success. I refer my personal leads to my sales associates. Our office has full time Gold Services Manager dedicated to helping them close more sales! Our office averaged 6.8 closed units per associate so far in 2010 compared to 4.5 units per associate in KW Media office.

Weichert Distinct Advantages •

Did you know the internet defines the new ‘market share’ and www.weichert.com has captured it over all of our competition!

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WLN scrubbed leads for the Media Office – – – –

59 for October 2010 669 year-to-date 2010 7684 leads since inception 338 sales since inception

Weichert Distinct Advantages Weichert Tool Kit – marketing tools on line for your convenience Listing Marketing Tool – is also available electronically Out Key sales tools are customized for buyers and sellers Marketing Updates are specific to our local market www.weichertone.com

Weichert Distinct Advantages Weichert Lead Generation Systems: – – – – – –

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Open Houses Weichert Lead Network Weichert Referral Associates Weichert Relocation Inter-Office Referrals Affiliate Referrals

Generated over 4,100 leads to the Media Office year to date 2010 Open House Program for the Media Office year-to-date: 703 Open Houses 3,298 Visitors Average of 91leads per Sales Associate in Media Office year to date

Weichert Distinct Advantages •

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Did you know that Weichert University recently received the 2010 ASTD Best Award for its training and development programs? [I give a copy of the press release and flyer to speak to it] Training & Development has been an integral part or the Weichert culture since its inception and now it is enhanced on-line making training available to our associates 24/7 In addition, our office supplements with weekly agent workshops and sales meeting information presentations to keep our associates on top of their game!

Our Office’s New Business Opportunities Opportunity

Week

YTD

Open House guests

85

3,288

Weichert Lead Network customers

17

670

Pre-approved buyers

3

110

Other opportunities

2

80

104

4,148

TOTAL:

Promoting Weichert Distinct Advantages • Deliver regular, consistent Weekly Sales Meeting Powerpoint Presentations. • Reinforce value of specific Weichert sales tools and lead generation systems [what we have that they don’t]. • Communicate and share sales associate sales success stories. • Celebrate individual and team sales achievements.

Regional Quarterly Sales Associate Training Event Schedule

Regional Quarterly Sales Associate Training Event Schedule

Regional Quarterly Sales Associate Training Event Schedule • Conducted by top sales associates. • Each selects niche/area of expertise. • One to two training sessions per week held in various regional locations. • Promote training schedule regionally.

Top 10 Sales Associate Objections to Keller Williams Model 1. Agents refer to KW as a cult-like culture. 2. Do not want to be responsible for monthly fees, worried about months when they have no income. 3. Worried about where their leads will come from. 4. No Relocation business. 5. No Internet lead network type system in place to support them.

Top 10 Sales Associate Objections to Keller Williams Model 6. Not interested in recruiting. 7. No real leadership inside the office, everyone leads. 8. Poor Internet website presence. 9. No Luxury Properties marketing and/or division. 10. Skeptical about the profit share – Amway like.

How You Earn Downline Profit

Four Steps to KW Profit Share [Employed Monthly] 1. The Market Center Calculates Profit 2. The Market Center Splits the Profit 3. The Profit Share Factor is Calculated 4. The Profit Share is Dispersed

How Downline Profit is Earned

Step 1 – The MC Calculates Profit MC gross closed commission $1,070,124 Less KW royalty fee 27,416 Equals net gross commission $1,042,708 Less agent commission 910,671 Equals company dollar retained 132,037 Less KW approved expenses 58,378 Equals KW profit $ 73,659

How Downline Profit is Earned Step 2 - The MC Splits the Profit LEVELS

PROFIT SHARE

POOL

OWNER

PROFIT

1). 1st $2,990 of profit

25%

$747.50

75%

$2,242.50

2). Next $8,250 of profit

35%

$2,887.50

65%

$5,362.50

3). Profit over $11,240

50%

$31,209.50

50%

$31,209.50

Totals

$34,844.50

$38,834.50

How Downline Profit is Earned

Step 3 - The Profit Share Factor is Calculated On a monthly basis the MC profit share factor is determined MC’s total profit share pool $34,844.50

Company Dollar Amount $132.037

To determine the Profit Share Factor = .2639

How Downline Profit is Earned Step 4 – The Profit Share is Disbursed What each agent paid in Company Dollar for the month is multiplied by the profit share factor to find the amount of profit share that will be distributed to that agent’s branch in the Profit Share Tree / Down-line on the 21st of the following month

Criteria for Qualifying for Monthly Downline Profit

• Office must be profitable for the month. • Down line agent must close a unit. • 100% Cappers do not qualify.

How Downline Profit is Earned Step 4 – The Profit Share is Disbursed

Example: if an agent paid $1800 in Company Dollar in the month, multiply that $1800 by the Profit Share Factor of .2639 [$1800 X .2639 = $475.02] $475.02 will be distributed to this agent’s branch

How Downline Profit is Earned Step 4 – The Profit Share is Disbursed Background: • Each agent names a ‘sponsor’ when they join KW Realty • A sponsor is the one person the agent perceives to be primarily responsible for bringing him or her to the company • In this example, the person that was named as his sponsor will receive 50% of $475.02 • The person their sponsor named receives 10% and so on

How Downline Profit is Earned Step 4 – The Profit Share is Disbursed LEVEL

% SHARE

WHOLE

RECEIVES

1st

50%

$475.02

$237.51

2nd

10%

$475.02

$47.50

3rd

5%

$475.02

$23.75

4th

5%

$475.02

$23.75

5th

7.5%

$475.02

$35.63

6th

10%

$475.02

$47.50

7th

12.5%

$475.02

$59.38

Total

100%

$475.02

How Downline Profit is Earned 1. Special Note – –

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A MC must be profitable in order for there to be profit distributed If an MC is not profitable, an agent in that MC can still build his or her profit share tree / downline in anticipation of MC profitability An agent in an unprofitable MC can still receive profit share from agents in their profit share tree / down-line who are in profitable MCs

How Downline Profit is Earned

2. Special Note –

An agent must pay Company Dollar in a particular month in order for Profit Share to be distributed to that agent’s branch in the profit share tree.

How Downline Profit is Earned

3. Special Note –

The Profit Share system is coordinated throughout all of North America. An agent could join a MC in Massachusetts and name an agent in an Ottawa MC as his or her sponsor

How Downline Profit is Earned 4. Special Note – –

Once an agent has been with KW for 3 years and a day, he or she is vested When an agent is vested, he or she can leave KW and still receive profit share

5. Special Note –

Agents can will their profit share to a beneficiary

How Downline Profit is Earned 6. Special Note –

Agents can – and often do – receive more in profit share than they pay to their MC Company Dollar Cap

7. Special Note –

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Receiving $100 per month in profit share would be equivalent to having $24,000 after-tax invested for a year at 5%. Requires no investment on the agent’s part

*Based on $270,000 Sales price with a commission rate of 6% less 6% marketing fund.

Weichert Value vs Keller Williams

*Based on $270,000 Sales price with a commission rate of 6% less 6% marketing fund.

Weichert Value vs Keller Williams

Weichert Value vs Keller Williams

“I’m worried about covering these expenses month to month.”

What Keller Williams Associates Pay For

EVERYTHING!!!

What Keller Williams Associates Pay For

KW Agent Start Up Expenses • • • •

National Application Fee: National Bookkeeping Set Up Fee: Technology Fee: Agent Billing Escrow Deposit: Total:

$25 $25 (annually) $75 (annually) $200 $325

What Keller Williams Associates Pay For

KW Agent Variable Expenses • • • • •

Personal Office Supplies: Actual Letterhead and Envelopes: Actual Personal Marketing & Advertising: Actual Postage: Actual Copy Machine: $.05 / each B/W $.38 / each Color

What Keller Williams Associates Pay For

KW Agent Variable Expenses • Communication Package $31.00 / with Desk ($9 / Voice Mail) ($7 / T-1 internet) ($5 / Help Ticket) ($10 / Phone)

$26.00 / Free Space ($9 / Voice Mail) ($7 / T-1 internet) ($5 / Help Ticket) ($10 / Phone)

• E&O Insurance: $300 (10% discount if paid by Jan 1) $150 due by Jan 15 / $150 due by June 15

What Keller Williams Associates Pay For

KW Agent Variable Expenses • • • •

Yard Signs @ Actual Cost: Sold Signs & Name Riders: Color Photo Cards: Permanent Desk Fee (Optional):

• Royalty Fee (6% of GCI): • Processing Fee:

$44 / Each (est.) $ 8 / Each $60 / 1,000 (est.) $125, $100, or $75 per month $3,000 Maximum $50 / Transaction

What Keller Williams Associates Pay For

KW Agent Variable Expenses • • • • •

KW Internet Consortium Fee: Broker Reciprocity (Mandatory): MLS (TReND) Fees: Board of Realtor Membership Fees: New Agent Career Launch:

$10 / month $10 / month Actual Actual $99.00

What Keller Williams Associates Pay For

Average Monthly Carrying Expenses

$375.00

Keller Williams vs Weichert Realtors

What Agents Pay for*: Keller Williams Average Annual

$4,812.00

vs

Weichert Realtors Average Annual

$798.00

*includes start-up expenses

Keller Williams Commission Program

Keller Williams Model: Who Runs Sales Office •

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Regional Franchise Owner –Individual who owns multiple franchises. Regional Director – Reports to regional franchise owner and has responsibility of opening offices. Franchise Sales Person – signs up individual franchises. Operating Principles – people who “buy in”, usually the Broker. Team Leaders – usually not the broker, has recruiting goals with net activities for the “Market Center”. Agent Leadership Council – Top 20% of producers in Market Center.

Keller Williams Model: Managing Expenses •

Franchise Owners are required to manage their expenses – 10% to 12% range is the acceptable norm – No higher than 12% for a start-up which could run as high as 26% - 30% – Franchises can lose their franchise license if expenses run consistently too high The expenses of a MC are used to calculate profit which ultimately impacts the amount of distribution to a sales associate’s downline profit.

Keller Williams Model: E&O Insurance • Keller Williams ICA requires the agent to indemnify the Licensee and Company from any and all claims regardless of guilt or innocence – Agents are charged per transaction [range of $30 to $50] for E&O Coverage – Agents must pay a deductable the amount varies based on franchise litigation history which includes vulnerable situations – Deductibles vary between $800 - $1750 depending upon litigation history of franchise

Keller Williams Team Leader

How many hours/days to spend on recruiting?

Monday Thru Friday 9:00 a.m. to Noon Recruiting Calls

Keller Williams Team Leader Agreement

“Where do you earn more?”

Weichert True Split Calculator Found on Weichertone.com • Managers Best Practices • Click on Recruiting Section • Click on Tools • Scroll down to Overcoming Objections • Click on True Split Calculator

Weichert Advantages over Keller Williams 1. 2. 3. 4.

Company Generated Leads. Superior Internet Website Traffic. WLN scrubbed live lead referrals. Broker/Sales Manager devoted to sales associate business development. 5. Broker/Sales Manager runs office, not sales associates. 6. Company sponsored free training.

Weichert Advantages over Keller Williams 7. Leading International Relocation Company. 8. Company Paid Print PR/Advertising. 9. Capital Properties & Estates, hi-end presence. 10. Brand focus on the customer.

Keller Williams Talking Points

Q&A [Assumptive Questions to provoke agent thinking to lead them]

Keller Williams ICA Sensitive Clauses:

Keller Williams ICA Sensitive Clauses:

Keller Williams ICA Sensitive Clauses:

Keller Williams ICA Sensitive Clauses: :

Keller Williams ICA Sensitive Clauses:

Comparison Shopping Grid

Weichert Value Summary Slide Strategy • Live and Promote Weichert Distinct Advantages Daily. • Educate sales force on Keller Williams model – – – –

Recruiting Sales Lead Generation Sales Associate Pays for Everything Pyramid Model Reputation

Weichert Value Summary Slide Strategy

Best Weichert defense is the right offense! Sell the Weichert Difference Every day!