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Mumbling Out Loud

Reward the ACTION

By: Ron Tarvin
Tuesday, May 01, 2007 9:02 AM

We've probably all heard it a million times.  REWARD THE ACTION, NOT THE RESULT.  This is usually in reference to past clients who gave us referrals.  A reminder that you reward the person for DOING the referral to reinforce that you are appreciative of the thought and action rather than just if it results in business.

So I got to thinking.  How does that apply to other areas of our business? 

When we take a listing, do we reward their choice to do business with us or wait until the transaction occurs?

When we work with buyers, do we reward their chosing us as their agent or do we give them a "closing" gift when the transaction occurs.

I think that the vast majority agents SAY reward the action but actually reward the RESULT.  So I wonder, if we had a shift in thinking, could that affect the loyalty of clients.  We all talk about how this client dropped me after I showed them houses all day or that client took all my advice on selling their home and went FSBO...putting all the blame back on the "unloyalty" of the client.

Do you think that changing OUR thinking to rewarding the ACTION consistently throughout our business would result in more loyalty?

If you were to have something that you gave to buyers, not as a contingency of signing a buyers rep agreement but just something you did AFTER the fact, would that engender loyalty?   If you had a gift to give a seller that chooses you to be their agent, would that engender more loyalty?   Of course, don't be fooled...a gift at the decision time is NOT a substitute for WOW service.  You MUST follow your loyalty building gift with loyalty building SERVICE.

But, how about it?  Are you ready to reward the ACTION and not the RESULT?

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Comments

Anjanette Fowler
Member Since '06

Anjanette Fowler said:

Kudos! Great point.  Most definitely, with a   "reward the  ACTION attitude"  we would all see a long line of  loyal clients.  I "reward the action" in all aspects of my life.  With my girls, family, dog and of course my husband. :) I have never been dumped by a client....YET!  When I take a listing  OR working with a buyer, I send a small "something" to reinforce my comment  to WOW service  and to say "Thank you"  for choosing ME!  

May 1, 2007 8:38 AM
Traci Nelson
Member Since '07

Traci Nelson said:

Ron,

This is great. I agree that people love a rewards system and react to it much more positively than words alone.

I tend to give my buyers or sellers something right after the listing or while I am out showing property.

For buyers I usually always take them out to lunch in the middle of the day to give them a break and to talk about what we have seen so far as well answer any questions.

For buyers I usually give them a "Thank You" for Listing Gift and I think they really aprreciate it.

Of course, there are those that will always refer and those who will never refer just based on their personalities but I say REWARD and Go For It!

May 1, 2007 8:54 AM
Todd Clark
Member Since '06

Todd Clark said:

Great post Ron 5 Stars yet again. It has made me really think about how I do things and I think I am going to make a change. Not in the way I do business, but as to when I give the thank you.

May 1, 2007 10:23 AM
Ron Tarvin
Member Since '04

Ron Tarvin said:

Wow!  That star hoarder is back!  Oh well, one man's trash is another man's treasure!

So what could a good gift be for a buyer?  A seller?

I was thinking that a good buyer gift might be a couple of tickets to the movies with something along the lines of

"Relax and enjoy the show, the home search and all the details are on me"

For a seller, is it better to give them something THEY will use or something that makes their house ready to go?  A consultation with a stager or a landscaper?  Or would movie passes, restaurant gift cards work there as well?

May 1, 2007 4:43 PM
Todd Clark
Member Since '06

Todd Clark said:

Home Depot or Lowes Gift Card - Works wonders!

May 2, 2007 6:25 PM
Ronda Kaufman
Member Since '06

Ronda Kaufman said:

If you join Lowe's Realtor Benefits you can order Gift Card with a 5% discount. I order them all the time for clients and they love them..

May 3, 2007 8:45 AM

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Ron Tarvin
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