A real estate coach breaks down Tony Robbins' framework for business growth: increasing clients, raising transaction value, and boosting purchase frequency. Small gains in each area compound into major revenue growth.
Foreign. Let's look at real quick here, the seven forces of business mastery. This was, I guess this is the basis for Tony Robbins. He has Business Mastery one, Business Mastery two. I think he has three and four. But it's a more exclusive, way more expensive. I think I spent 20 grand on business mastery one and business mastery two combined. That was on top of the probably 10 grand to get to Fiji for business mastery two. But it gave me a really cool framework for how I need to organize my time and my thought process and what's important in my business. So there's seven forces of Business mastery and I'm going to take you through them real quickly here. I'm not going to spend a ton of time on this, but these are things that you need to consider as you're getting out of production and you're becoming the business owner, the person that's steering the ship, steering you the future of your company. So the first is creating an effective business map. And let me show you real quick. There are three. This is based on Jay Abraham's and you have access to it here. If you go to your Google Drive and you look for it's three ways to grow your business. And I've set this up in a way where you could do different scenarios. And so there are only three ways to grow a business. One is to increase the number of clients you serve. Two is to increase the transaction value for each client by adding more value. And in real estate, we can increase the sales price and commission percentage so you can go after higher price point homes, buyers and sellers. And you can increase your commission rate that you have. And then number three is increase the frequency in which your clients buy. In real estate, this is through referral and repeat business. Put in someone else's numbers here. But in 2013 we did like three, I think just call it 320 sites. And then our average price point in 2013 was 237. Our commission rate, I think it was, I want to say it was like 3.1%. And then there's a trick with the referral rate that I'll show you. But these give you different scenarios. So say we only grew our transaction size by 10%. Say we got the 352 size this year, but we increased our average sales price, let's call it 6% because we're trending over 250 from 237 last year. Our commission rate, let's call it even a modest increase, you know, do a better job of getting a higher commission on the buyer side and the seller side. This might have been only 3% last year, but call this, you know, even, like 3%. Get this up to 3.1%. So a 4% increase and then on average, increase our referral rate from, you know, just a 1 to 1.1, we can have a 33% gain in our business. So our total growth can be 33%, going from 2.3 million in sales to 3.0 million, just by increasing our average price, our average commission, doing better on referrals, and increasing the number of sides. So this is just something that you can play with and realize that a little change in each of these areas can make a big change overall. And then real quick on strategic, so the number two force here, the second force of business mastery is constant. Strategic Inc.
