RISMedia's Real Estate Magazine

MAY 2019

Real Estate magazine is the industry's leading source for real estate news and information since 1980. Published monthly by RISMedia, Real Estate magazine offers timely and relevant real estate news to the industry's top brokers and agents.

Issue link: http://remag.rismedia.com/i/1109029

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Page 47 of 118

RISMedia's REAL ESTATE May 2019 43 {Business Building} With a little digging, other interesting differences emerge as well—espe- cially in per-agent productivity, the most telling metric of all. Need an example? Just go back and look at the Top 10 brokerages in RISMedia's 2019 Power Broker Re- port, as ranked by transaction sides. VARIETY OF STYLES The Top 10 firms on this year's list are an interesting mix of newer players and longtime power brands ranging in size from just over 1,000 agents to more than 50,000. There's a wide variety of styles and busi- ness models at the top—all of them boasting big-time sales totals. As CEO of RE/MAX, I'm proud to note that RE/MAX Results, a 39-of- fice powerhouse in Minnesota and Wisconsin, ranked No. 9 in transac- tion sides in RISMedia's 2019 Power Broker Report. Owner John Collopy, CEO Brenda Tushaus and their out- standing leadership group have built a cutting-edge, highly strategic op- eration around a single mission: to help their agents be as successful as they want to be. It's obviously working. RE/MAX Re- sults' 1,048 agents closed 24,008 transaction sides last year. That's an average of 22.9 sides per agent—an impressive number to say the least. What makes it even more impres- sive, though, is how it compares to the per-agent productivity of the other nine competitors in the Top 10. A WIDE GAP Among those 10, RE/MAX Results is an outlier. Only two of the other nine firms have sides-per-agent averages in double digits—one at 15.5 and one at 12.1. Another comes close at 9, followed by a 7.8, a 6.8 and a 6.7. For comparison, these fig- ures aren't too far from the overall Power Broker average of 7.5 sides per agent, based on data from this year's 1,000 qualifying companies. After that, there's a significant drop to the last three Top 10 averag- es—a 4.7, a 3.9 and a 3.8. That's a 6X range of per-agent productivity among just 10 compa- nies—the ones at the very top of the list. Surely, the gap would be even wider among a larger sampling. It makes you wonder what such a disparity looks like from an agent's perspective. DECISIONS Think about it. If you were an agent choosing an office, would you see a difference between a brokerage av- eraging nearly 23 sides per agent, and one averaging less than four? If you're serious about the busi- ness, you want to be closing sales constantly—not every few months. Right? To me, per-agent productivity says a lot about a brokerage—and the brand. Companies with high per- agent averages have systems and competitive advantages that sup- port peak performance. Whether through leadership, culture, profes- sional development, accountability or something else entirely, these of- fices focus on creating an edge that helps agents succeed. The result is a dynamic, produc- tive environment that attracts even more agents who are wired to aim high, push hard and reach higher levels. Personally, that's the place I'd want to be. RE Adam Contos is CEO of RE/MAX, LLC. For more information, visit www.remax.com. Agent Productivity Is the Real Measure by Adam Contos I always look forward to the annual industry reports that rank the country's top brokerages by transaction sides and sales volume. This year's surveys are a good reminder about how many different players—with very different styles —are vying for sales and marketshare these days.

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