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Table for 2 or a Burger to go?

By: Carl Minicucci, BBA CA
Thursday, August 02, 2007 10:21 AM

Option A -  A candlelit 5 course gourmet dinner, each featuring a wine pairing and served in the private dinning area overlooking the moonlit Bay with good ol' Sam the pianist playing your favorite melodies, all evening long.

Option B - A Burger, cooked in yesterday's animal lard and accompanied with a crispy (some would call it burned) basket of home fries complete with a vintage 32 oz tub of the finest soda, this side of Atlanta ready in 2 min and 39 seconds.

If you're like me, I've been often lured by the self-serve convenience, economics and immediate gratification to my belly from Option B.  If you're also like me, it's not too long after the grease session that you come to realize the longer term impact of "super-sizing".

No, I'm not taking dinner orders here.  Nor have I confused this blog entry with one meant for the Food Network.

The analogy I'm drawing here is that of a Full Service versus Discount/On-line Service.  

The challenge of being a successful full service Realtor will ultimately require you to thoughtfully develop a comprehensive set of value propositions that you plan to offer your prospective clients.  Like the successful restauranteur, you will need to set out a detailed customer-service action plan...from the time they make reservations to the time their napkins are fluffed up, to the time they are escorted to the door at the end of the evening and to the time you send out a mail-out thanking them for their patronage. Every detail counts.

Don't be too concerned with those thrifty, impatient clients who are looking for their next quick grease fix who are opting for FSBO's Burget Pit.  It's the valuable client base that you want. Rumours of delivering quality value-added service usually spreads quickly, brings valuable customers in the door and often back for seconds. 

Welcome to Chez Realtor
Buon Appetite! 

 

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Comments

Kevin and Christina Stevens
Member Since '06

Kevin and Christina Stevens said:

We have visited this subject a few times in the last few weeks.

Again it comes down to what you define a discount broker as.

I do like the presentation.

August 2, 2007 12:16 PM
Tim and Susan Fennell
Member Since '06

Tim and Susan Fennell said:

"Industry standard"?  I didn't know there was one.  See... learn something new every day.

August 2, 2007 2:35 PM
Jay & Francy Thompson  REALTORS®
Member Since '05

Jay & Francy Thompson REALTORS® said:

I'm working on my broker's license, and I spent 4 hours just last night in "agency" and "commissons" classes.

Talking "Industry Standard" when it comes to real estate commissions is a great way to lose your license - at least in the State of Arizona. Given that the Sherman Anti-Trust Act is federal law, I don't think AZ stands alone....

There is no "standard" for commission. To think otherwise could be construed as price fixing. Sherman has a real problem with that.

I have certainly negotiated commissions under a variety of circumstances, but I don't consider myself a "discount broker".

Walmart is a store, so is Nordstrom's.

McDonald's is a restaurant, so is Ruth's Chris.

A Lexus and an Pinto are both cars.

Full service, fee for service, on-line, discount, flat rate, MLS listing only -- they are all viable business models. What the individual does within those models is what will seperate the Lexus from the Pinto.

August 2, 2007 2:53 PM
Mark Cohen, Broker
Member Since '03

Mark Cohen, Broker said:

This thing called an "industry standard" is what got the Dept. of Justice involved in real estate.  What Susan says about fees being dictated is what the government calls anti-competition and price fixing.

Like any other industry there are price and quality levels from bottom to top.  There are Hondas and Ferraris and Chevrolets and BMWs.  They all have a place in a huge diversified market.  If you don't like another broker's or agent's fee and service structure, tough luck.  Compete the way you want to and stop whining about other business models.

August 2, 2007 2:54 PM
Velda Miller
Member Since '03

Velda Miller said:

So true - so true

Wow, ----- back in the 70's I owned 2 Pintos (a 1972 and then a 1978) but I've never owned a Lexus.  I'm a frequent shopper at WalMart but I am never in Dillards unless I'm just passing through to get to the rest of the mall.  Am I a lesser human being?  Am I lower on the primate scale than a monkey?  Will I enjoy watching Caveman this fall on TV or will I be insulted?  If we apply this "industry standard" philosophy to other areas of our lives, a bunch of us are in trouble!  

:D

I don't care about anyone's business model as long as they don't bad-mouth anyone else's company in their attempt to get clients. This topic just keeps coming back.

August 2, 2007 3:46 PM
Tim and Susan Fennell
Member Since '06

Tim and Susan Fennell said:

I see that the remark about an 'industry standard' that I comment on has been removed... probably a very wise move!  However, it left my comment 'dangling' like a preposition at the end of a sentence.  Then Mark's comment references a person named 'Susan' - I assume that is the name of the person that originally spoke of the 'industry standard' and not my dear wife.

At any rate, to avoid any misunderstanding, my comment was made sarcastically.  I probably should have been far more direct as the original post (which has been removed) was a very serious violation of law.

August 3, 2007 5:30 AM
Carl Minicucci, BBA CA
Member Since '06

Carl Minicucci, BBA CA said:

Tim/Susan,

Sorry about the resulting dangling comment, but the original coment was removed at the author's own request.  I would never censor commentary, unless of course the remark was blatantly slanderous.

I really do think it was an innocent slip of the typing hand anyways, but also a good lesson about the importantance of being careful about what we post online.

Enjoy your day

August 3, 2007 6:48 AM

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Carl Minicucci, BBA CA
Humber Valley Realty (1997) Limited

Carl Minicucci, BBA CA
Member Since '06

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