How to Improve Sales Closing Rate by 10 Points

Brian Kaskavalciyan's team raised their closing rate by 10 points through three changes: hiring dedicated coaches for daily 10-minute check-ins and role-play, tying lead allocation to each salesperson's closing percentage, and bonusing based on compliance metrics like Google reviews and realtor standards.
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The other thing we did, which is a little bit dramatic, is we hired coaches whose sole purpose is to do ride-alongs, not listen to Rillas, do ride-alongs, coach the people, check in with them every day, 10 minutes every morning. Hey, how you doing today, Ryan? Is your marriage good? No offense. Is your marriage good? You happy? Did you have too much to drink last night? Because if you did, I don't want you running my leads. But if not, I'm going to ride with you today. And it's— and that compensation of that manager or the coach is based on a small salary and then a volume and closing percentage of the salesman of his particular team. And that team is typically 8 to 10 people. So they're getting daily check-ins. We're coaching them up, we're role-playing, we're listening to Rilla. Now all of a sudden We're, we're giving them the roadmap to be successful. And it's not like a manager that says, hey, I'm going to ride along with my guy once every month. It's not I'm going to do it every week. And he does. He may or may not do it. It's required. That's their job. And then they give a management report to us to say, let's review the reports every week. So every Friday I go in my email and they're all downloaded. So I know they're doing it. And I'm listening to the RILA while they're in the house. My compliance department is like, oh yeah, there's 2 people in the house, they're listening. So what happens is now we've raised the expectation of what the salesman is, is supposed to be doing, and we've told them what we're going to do. You have to be RILA compliant or you don't qualify for bonus. Our managers are all aligned with the compliance and the teaching and everything else that we do. And then what we did miraculously is we stopped giving them leads. So effectively, if you work for me and you're closing at 25%, we have the 6-10-30 rule. You get 6 leads. If you're at 30%, you get 10 leads. Very simple. What happened? It's interesting. If you look at Rilla, time in the house went up dramatically for the people who were struggling. They were up, they were in the house for hours and they had nowhere else to go. The people who had 10 leads, and I don't care how long you're with us, if you have 10 leads this week and you're under 30%, you're getting 6 next week. Doesn't matter how long you're here. And the perception of our industry, and if you take a step back, and this is, I hope nobody gets offended with this fat guy and, uh, and with all the food, which also looks like fruit, I don't understand, but or vegetables. He's a healthy fat guy. What happens is, is that when you turn around and you think of the salesman mentality, why does the salesman have any incentive to stay in the house for an extra hour to try to get a deal if he knows you're going to give him 2 more leads tomorrow for the burger? Why? He has none. So if every day I give my salesman 2 leads a day, What incentive does he have? This guy's a harder sale. He's— I'm going to leave. I'm not going to work to get him secondary finance approved. I'm leaving because I got 2 more tomorrow. All of a sudden, the behavior changed. It was miraculous. Like, our average time in the house went up an hour and a half. So did our closing percentage. Not an hour and a half. Our closing percentage went up 10 points right away. The bonus metrics. Google reviews. Our demo rate stays the same. It's 93% of issued leads. Um, and, and just so we're clear, our demo rate is— we consider a demo rate on any issued lead. So once we give a lead to a salesman, they can't manipulate the information. It's straight through on all metrics. Um, our bonus metrics were simple: 8 Google reviews a month. 75% realtor compliance, not covered percentage. We had a, we had a big not covered percentage last year. If you're under— if you're over 3% not covered, we cut your rate, we cut the leads we're giving you. And the closing rate issue, which is 30%. So between all of these things, what's taken place is, from a larger scale, is our sales continually improve, but we need less leads. So what happens is, is that when we have our list of people in the call center— or I'm sorry, on the sales force— that are scheduled to run 6 leads instead of 10, they schedule that with marketing and say, hey, we don't need that many leads this next week because all these guys are on reduced lead counts. So now all of a sudden you're not worried about how many leads you're setting because the guys who deserve 2 leads are getting 2 leads. The people who need work are getting 6 leads.










