New agents: Ditch the cookie-cutter approach

There are so many different avenues to success available, beyond the legislative and basic functionality parameters that we’re all governed by. There isn’t a set way that works universally across all demographics and all markets. It truly is one of the only industries that offer this level of freedom in action in order to achieve success. Does it get much better than that?!

However, according to Macquarie Bank’s 2023 benchmarking report for the real estate industry, our collective inability to keep hold of any talent that comes through resulted in a talent turnover rate of 25 per cent, which is a huge 11 per cent higher than industry average of 14 per cent according to this report from the Australian HR Institute.

Why are people leaving the industry?

There is a price to pay for the incredible opportunity that this industry provides … it’s bloody stressful! An undeniable root cause of that is the inherent uncertainty of human behaviour, which increases when you’re dealing with that at scale while under pressure.

But that is a part of any service-based industry, and is hardly in our control unless we come up with a Men In Black-style brain control pen that we can zap at people! So what concerns are there that we can potentially control and improve so that our talent can feel more secure in their roles?

More money (is the obvious, but not feasible) and more flexibility (in PM maybe, but really?!) are the first answers that come up, but we know about these – and there’s a reality to running a business that makes these very limited.

Ponder this: Could it be argued that the enthusiasm that comes with wanting to have that freedom in the industry, the thing that makes the industry as amazing and attractive as it is, is (to a large extent) being denied by the way in which we introduce, induct, integrate and grow this fresh talent into the industry? We’re basically bursting the bubble before any of this talent has any real chance to enjoy their role.

Why the way we educate NEEDS to change.

Before you say it, I’m not here to tell everyone that the wheel needs to be reinvented! A lot of the concepts and strategies that are being used and shared still stand up to the dynamics of what we do and what we want to achieve, but I would argue that the way in which that information is being delivered is no longer congruent with the wiring of the majority of humans that are entering the game.

Why’s that? Because in principle, if you look at almost all training methods and structures, including the heralded/hated scripts and dialogues, they tell people what to do, without explaining how and why they work.

How is this a problem? If you take a look at society these days, it is being conditioned to have that need for control. Everything has become about the “self”. Technology puts the power of running a business literally in the palm of your hand, and AI has made that power scaleable.

In a world of uncertainty in the macro, humans have gotten sick and tired of being told what to do (I think that COVI-19 jabs have really slammed that one home with their subsequent fallout), so to come into an industry that celebrates being human-focused and flexible, the reality upon entry into it is far from advertised when we insist on just telling people what to say and what to do.

What are we doing? We’re treating talents like programmable robots, which then instigates a loss of identity, leaving our people feeling lost while they’re desperately trying to make something happen for themselves and their families. And we wonder why we keep losing staff as they start their own business or just exit the industry so that they can plug back into themselves?!

It’s this loss of identity that not only causes things like burnout, upset and anxiety, but importantly prevents people from growing in their role because they can’t attach their personal growth to their professional growth.

The key? Identity starts with WHY.

Part 1 - Growth

Up until recently, we’ve been putting the same cookie-cutter approach for success in real estate across people and expect them to accept it as correct and crack on applying it every day. When we’re dealing with humans, there is no guaranteed path to success because of the random nature of humans, so I agree that consistency in actions will at least bring a consistency in outcome.

However, a structure is only as strong as the understanding behind it, and if we’re only explaining what to do and say, then our knowledge will never go past surface-level.

Take listing presentations for example. If you line up 100 agents and ask them to run through a presentation, they’d probably be able to recite the presentation as taught to them to a reasonable standard. But if you run a presentation and ask the same 100 agents why certain things: 1) help them to make more for the house (not just sell it), and 2) why it’s important for the owners and their situation – watch 90–95 of them go to water.

There is no way that we can expect our agents and PMs to be able to apply knowledge appropriately, and in relation to their own identity, with any increased probability of success unless we help them to understand why certain scripts, certain structures, and certain methods work in various scenarios.

If you’re an agent reading this, ask yourself why you go to a coaching day or event, get all enthused because you’ve been told “what” to do in order to make loads of money, only to then become despondent about two weeks later because none of it has really helped you to move forward? This happens a lot, and not only is it the coach’s responsibility to explain why in greater detail, but it’s also the agent’s responsibility to keep asking why certain structures help, and why certain scripts affect the dynamic of a conversation in your favour.

If you understand why things work, you’ve got a way higher chance of recognising when they need to be applied, and not only that, you can then translate and embed the knowledge into your own identity, therefore being able to deliver it with a much greater sense of authority and authenticity.

Part 2 - Culture

From the Saturday receptionist to the seasoned campaigner, they’ll all feel connected to the business if they feel that their personal identity is recognised, respected and acknowledged as contributing towards the success of the team.

Well-known and well-respected CEO Scott Bateman talks about “the power of five whys”, in relation to getting to the root cause of people’s concerns and motivations, as well as improving awareness around solutions and successes.

Question: Why is it that whenever people ask us “Why?”, we tend to get offended or affronted? It’s like when we tell our kids to do something, as soon as they ask why you’re telling them to do it, we lose our shit and tell them something ludicrous like, ”Because if you don’t, then Santa’s going to skip our house this year” (or is that just a sign of my bad parenting?!).

But there’s the hint, because from a young age we’re wired to believe that to ask why is to challenge authority, and that’s wiring that we take all the way through our lives. As leaders, we want people to do what is asked of them, and as staff we follow blindly because we don’t want to question the leader.

I think the key to an amazing culture that respects everyone’s train of thought (and therefore identity), as well as growing a sense of collective contribution and progression, is to create a belief that asking why is the only way for the individual and the organisation to grow, making it a necessity in any business to keep asking why things work, why things are done a certain way, and why they can’t be improved.

The same applies to our consumers. If we get into a habit of asking “why” our consumers want to sell, buy or lease, and ask more than just the one why in a chain of understanding (within reason and with respect of course), then our consumers are way more likely to feel heard, not just listened to, and therefore the feeling that you’re creating a greater level of personalisation will lead to stronger connections that is likely to lead to more business.

We’ve only got ourselves to blame here, as leaders and players in this industry, that we accept “what” we need to do way too blindly, simply because we see that as the easy and quickest way forward. In some instances it is necessary to be told what to do (e.g. in the middle of an auction, it’s probably not the right time to be asking why a listing agent wants you to do something in the heat of the moment!), but if we want our talent to grow, and more importantly, stay in the business, then we need to develop that deep need for understanding why things work, and why it’s so important for their own fulfilment to be able to do so.

Andy Reid is an auctioneer, podcast host, coach and speaker.