Why your sales competitions are a waste of time

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“The agent that sells the most objects wins a trip to Chamonix”

Top selling agent ‘X’ wins another long weekend in …. (fill in desirable top mini break destination). We have seen it so many times before right? Certainly no way to motivate all the agents who don’t continually make it into the top five sellers.

 

It’s a fact that the vast majority of all agents already know, before the competition even starts, that they won’t stand a chance against the top performers and hence don’t care about the competition.

 

That said, a well planned competition can be a really great way to put focus on sales if the setup is right.

Best practice sales competition setups

Here are three best practice sales competition setups for estate agents:

  • There are two prizes. The first goes to the best performing agent and the second prize is drawn amongst everyone that is performing above average and reaching over a specified level. That way, everyone that performs well will have a hance to win, even those who are “up and coming” but not yet the best.
  • Every agent gets a “raffle ticket” for each object sold/profile filled/number of cold calls made etc. One or several winners are drawn when the competition ends. This ensures that the agent who does the best work has a great chance of receiving awards, while still ensuring that every small achievement receives recognition.
  • Two prizes again. The first goes to the best performing agent and the second prize goes to the agent who has improved most since the same period last year.

You get what you ask for

It is a natural choice to measure the number of sold objects or the commission earnt by each agent, that’s what is driving profit after all. But you can use competitions to put focus on other things that you have identified as important for long or short term success.

 

Here are a few examples that we have seen give good results:

  • Do the agents need to spend more time cold calling? Ask them to register each call and start a competition.
  • Are agents missing out information when entering new contacts into the system? Start a competition where the aim is to have 100% profiles on each new customer.
  • Are you worried that the agents have started to wind down for holiday too early? Start a competition measuring the number of sales/valuation meetings before the holiday.
  • There isn’t enough teamwork in the office or between offices in the chain? Encourage the estate agents to tip each other about business opportunities, register each tip in a system and start a competition.

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