Even if yours is a flat-fee model, having a luxury division is instrumental to growing your brand. Here’s what I mean.
Whether you’re a team leader, a broker-owner of a boutique, or even a big franchise owner, the importance of having a luxury division can’t be overstated. Luxury Divisions come in all sizes. From the franchise level, to independents, to large teams. Even if a brokerage is a flat-fee model, having a luxury division is instrumental to growing both an agents and brokers brand and market share. Here’s what I mean.
I recently coached a flat-fee brokerage in Dallas. Since they run on a transaction fee-based model, they struggled to see the importance offering luxury tools and support to their agents; the brokerage doesn’t make more money if their agents sell more expensive homes. The brokerage makes money per transaction so their focus was helping agents sell more home, not increasing their agents average sale price. The owner running this brokerage naturally wanted his agents to focus on the quantity of homes sold—that’s where the money is, right?
“Agents in the luxury division who are successful and receiving great income will be less likely to leave your brokerage.”
I told this gentleman that, even though his focus is on having his agents sell a ton of homes, having a luxury division benefits him in two ways: First, agents in the luxury division who are successful and receiving more income will be less likely to leave his brokerage which helps all the agents; secondly, a luxury division is more likely to attract top-producing talent. When top producing agents join your team or office, it lifts everybody up. In general, a strong luxury division boosts the credibility of your brand.
We recently helped Keller Williams Mexico officially launch their luxury division. More than 50 agents participated in our full day of training. We are proud to announce that in preparation for this LUXE Designation training we had our entire LUXE manual, as well as our Luxury Listing Specialist book, translated into Spanish. Translators were also positioned in the back of the room during training, translating my message in real time to audience members who wearing headphones. It was a truly great experience!
If you’re growing a luxury brand and division, you must know what’s going on not only in the region or the country, but around the globe. In some markets, issues like safety and security matter more than in others; perhaps a sign out front is problematic, as agents and the parties they represent don’t want to draw attention to the owner or the luxury home for fear safety and theft.
We recently relaunched our website, and people in more and more countries are reaching out to us for advice on how to launch or strengthen their luxury divisions. We’re looking to expand our courses in different languages.
If you have any interest in strengthening your luxury division or launching a luxury division please reach out to us. We’d love to talk with you.
Below you will see the LUXE class picture from the Keller Williams Mexico training.