1. HEADSTART 2011 Jim Bottomley September 15, 2011
It’s a Changing World
Future Success Strategies:
Real Estate Agents
Jim Bottomley
September 15, 2011
Jim Bottomley

2. ? ? ?
The Future ?

3. Today’s Agenda Morning: Industry Trends
Future Opportunities & Challenges
Afternoon: Improving Future Success
Profiting from Change Trend Analysis – Future Issues
Meeting Client Lifestyle Needs Better Benefit Strategies
Improving Marketing & Sales Performance: Tools for Success

4. Change results in both opportunities and threats+ _
Change
Change results in both opportunities and threats

5. The key to managing change is determining how to react to it...
Actions to embrace opportunities
Actions to minimize or avoid threats

6. What business are you in?

7. HEADSTART 2011 Jim Bottomley September 15, 2011
Work =
Meeting Needs
Success
Need Satisfaction
Jim Bottomley

8. Evaluating an Opportunity
Is it on trend?
- a need that is growing
Need Satisfiers identified?
- target groups / defined goals
Better Benefits provided?
- solutions delivered in a better
way than other options

9. Technology is the lead-edge of change…
Trend Areas
1. Technology
2. Economic
3. Social/Cultural
4. Demographic
5. Political/Legal
Technology is the lead-edge of change…

10. Canadian Agriculture will impact the World!
The Global Picture
7 Billion to 9 Billion by 2045 ?
Developed world pop. growth dependent in large part on level of women empowerment
1 billion more people in middle class – increasing demand for meat (takes 4 lbs of grain for 1 lb of meat)
Canadian Agriculture will impact the World!
Land prices becoming a global standard
As are world-class cities…

11. Technology Changes + or -
+ Higher levels of productivity
based on new technologies
(new long range cycles coming)
- Industry redefinition; often job loss, followed by increased
career shifting

12. Major World Economic Eras
1. Hunter Gatherers
2. Agricultural Age (90% to 2%)
3. Industrial Age
% of Jobs
in Production 69% 53% 30% 15% 13% 11.5%
4. Information Age
A whole new set of opportunities
and challenges...

13. Widening Gap Between Highest & Lowest Income Earners?
HEADSTART Jim Bottomley September 15, 2011
The bar for minimum skills in all professions/careers is rising
How does an uneducated person find job security in the future?
Less traditional family & community supports to help the least fortunate
There will be a growing need
for housing to fill the gaps
Jim Bottomley

14. The Rise of Small Business
Transitions between economies – maximizes opportunities for small business creation
Small business has been the major generator of job growth in Canada
Future trends point to high growth continuing for small business in Canada
Home offices and wired homes –can the office of the future be virtual… and at home?

15. Trend Convergence: The Age of Innovation
We are in an era of
maximum change!
We are entering the
5th Economic Era
Trend Convergence: The Age of Innovation

16. Wealth = Technology X Resources
HEADSTART Jim Bottomley September 15, 2011
Wealth = Technology X Resources
New Technology comes from
Collaboration, and now, new tools!
Maximum potential
for innovation…
Jim
Jim Bottomley

17. Industry Transformation
HEADSTART Jim Bottomley September 15, 2011
World markets - finding your niche(s)
New Methodologies:
-Internet -Radio Frequency ID
-More complex J.I.T. logistics
-Quality & Green Standards
Reducing costs – collaborative automation and continuous process improvement key
Big wins in client satisfaction possible –interactive transfer of information – knowledge has value!
Knowledge comes thru collaboration
Jim Bottomley

18. The Ultimate Regional Alliance: Forming Regional Clusters
Centres of Excellence are mostly associated with research only
Clusters focus on area of lead-edge need, with collaborative public and private sector partners conducting research, commercialization and serving to promote regional economic growth
Recruitment & retention tie to regional identity, economic development & quality of life

19. The Regional Cluster’s Ultimate Goals
Develop new products and services which could be exported – creating high paying jobs & economic growth for the area
Synergies for Cluster Partners
Branding the region to attract investment, skilled labour and additional Cluster partners

20. Potential Clusters? Match with regional strengths
On-Trend – world-wide demand themes
Connect to lead-edge research
and/or application/testing of the better benefit solutions
Private & Public Partnerships

21. Challenges Developing Regional Vision
For Regional Tourism, the more input, the less differentiated the message tends to be
For Clusters, a sector focus limits identification of marketplace opportunities – better “how’s” transfer across industries
Language that stimulates innovation involves better benefit goals – and can connect Clusters to recruitment to regional branding

22. Energy & Sustainability
When is peak oil?
Awareness of climate change growing
No magic bullet green solution
Solutions will involve many small & big steps involving businesses and consumers
Expect to be carbon aware; likely tracked and traded

23. Smart Planning The New Urbanism
Higher density & diversity
Walking, biking, public transit
Sustainable with lower ecological footprint
100 mile rule – farmers’ markets and urban gardens
Friendly, interactive and community-minded
Unique identity and sense of place

24. Promoting a Region
Increasingly, not only infrastructure and business conditions, but social/quality of life factors are important
In future, companies will locate where people want to live
Community health and positive lifestyle offerings will increasingly be important to economic health

26. HEADSTART 2011 Jim Bottomley September 15, 2011
Jim Bottomley

27. Aging Population Baby boomers currently 45-65 with peak year at age 50
Single parent & blended families are biggest growing family type – also more often extended families
Highly skilled people in their earlier years want action, vibrancy & diversity
Emerging trend? Baby Boomers & immigrants moving to small towns/rural – seeking nature, friendliness, safety & good health care
The future of crime is fraud
(identity theft and title fraud)

28. Customer Perception: “I’m Not Aging like everyone else.”
HEADSTART Jim Bottomley September 15, 2011
Customer Perception: “I’m Not Aging like everyone else.”
Recent research has shown:
Boomers generally perceive themselves as 14 years younger than their actual age
An example: Gap launched a line of clothing for women over 35 – actually over 50
Lifestyles now more important than age
Jim Bottomley

29. Demographic Trends
Attracting skilled labour will be a bigger and bigger challenge
Immigration will grow - and diversity stokes innovation
Many workplaces now have 4 generations working together – in many places it’s skewed to older and youth

30. Communication by Generation
Gen X’s – born ‘65 to ‘80 (31 to 46)
- less in this group – up against boomer power
- weaker job market following the boomers, who also bid asset values up (realists)
Gen Y’s - born ‘81 to ‘99 (12 to 30)
- grew up in homes with absentee parents
- great L/T career prospects – have power
Both groups are members of the Creative
Class – less structured, seeking creative
stimulation, want to be involved in
decisions & embrace new technologies

31. The Millennium Generation
Saw parents’ sacrifices
- lifestyle work balance sought
Raised with adulation & goodwill
– expect thanks and involvement
Employers must coach not boss
Have bright employment prospects
- they’ll walk
Extraordinary Tech Skills

32. Social Trends Environmental sustainability; connecting with nature
Stress relief; seeking life balance
Cocooning: safety & security
Return to family values
- Inter-family experiences sought
The “creative class” seeks vitality stimulation & is time-challenged
Caring capitalism
Remote technology
- Alternative work styles possible

33. Most Important Social/Cultural Trend
The Rise of
Individual Power
Through
Knowledge

34. HEADSTART 2011 Jim Bottomley September 15, 2011
Result
More demanding, knowledgeable purchasers
Focused need satisfaction strategies are the key to success in the new economy
Suppliers increasingly are “partnering” with buyers/client organizations to achieve need satisfaction – integrating supply chains and more robust services
Effective communication strategies are changing
Jim Bottomley

35. HEADSTART 2011 Jim Bottomley September 15, 2011
Result
Accountability & success tracked and made public
How to best measure impact?
How to measure if needs being met?
How to track need satisfaction over time?
How to measure organizational efficiency?
Effective reporting & communication strategies are changing…
Jim Bottomley

36. Cultivating your Fives
Find out your 5’s and engage
They can become your market intelligence, salesforce, researchers and promoters (LinkedIn is like Facebook for professionals)
What topics do you play in? How can you contribute to advancing the world of that topic? Who really cares about that topic?
Remember it’s about meeting needs…
Key Question:
Why should someone engage?
(Ego, identity, exclusivity, money, knowledge and/or entertainment)

37. Key to Sales Success Trust??
To a customer, a good sales transaction is based on their perception of whether:
The salesperson’s #1 priority is to put money in his/her own pocket or truly to meet customer needs?

38. Leadership is Changing
Old
Management is Control & setting rules
COP - Monitor
Coercion; Top Down, Leader Directed
Total Authority
Focus on the present
New
Leadership is Motivational & guiding values
COACH -Inspire
Respect, Self-management, Teams
Share Authority
Focus on the future

40. From Mass Markets to Niche Markets to a Target Market of One

41. The 5th Economy Is Coming… The Age of Innovation
HEADSTART Jim Bottomley September 15, 2011
The 5th Economy Is Coming… The Age of Innovation
A combination of…
DNA
Computerization
Robotics & Process Automation
Nanotechnology
Driven by Customization &
New levels of Customer Collaboration
Jim
Jim Bottomley

42. The Information Beast Has Escaped the Zoo
Microsoft Data predicts the world’s information data base will double every 7 days by 2020
24/7 communication access
Info attacks us everywhere and anywhere
+4,000 ad messages / day
We’re Good at Tuning Stuff Out…
All communications must be clearer and focus on stakeholder needs…

43. Better Benefits: Better Benefit delivery is our
Attract attention in the age of information overload – drive branding
Our reason for buying anything
Drive motivation & investment
Define the value of each step in a process
Better Benefit delivery
is our
collective and individual
reason for being

44. Strategy for $$$$$
Moving from lowest price to providing added-value at higher margins?
Requires focused better benefit strategies
Involves providing specific
high-priority need satisfiers better than competition… and
proving it over time… your sales “story” should reflect this

45. Marketing/Branding Success
Positioning Message
(Better Benefit Message)
Company/product is the who/what you are
that offers better benefit(s)
Keep promises or apologize
Surprise and delight

46. Delivering on Brand Promise
Understanding (of customer needs)
Identification (of competition)
Planning (an integrated effort)
Learning (what actions work/don’t work)
Delivering (as promised!)
Evaluating (and measuring)
Improving (and continuing cycle)
SOCIAL MEDIA SUPPORTS THESE STEPS
-connects people to communities efficiently
-brand is the sum of conversations re. you
-listening & responding & promoting story

47. The Innovative Organization
People understand the total system
Decision making at all levels
Information to those who act
No artificial barriers
Supervisors manage not police
Make jobs to fit strengths
Problem solving is shared

48. Process Design Guidelines
Look for:
Disturbances/problems in the process – never hand off a problem to the next stage
Redundancies/non-value added hand offs
Inefficiencies/deficiencies/delays
Does the step add a better benefit or not? Are goals related to need satisfaction measurement?

49. Motivation = Clear and Shared Goals x Tracking & Measuring & Communicating Success x Rewards for Achievement

50. Leadership
Common goals are key for team success (managers change from cop to coach; need to align goals of the organization with those of each department with those of the individual)
Change Planning involves identifying both the positives and negatives
Involve people in the process
Ego-less Management…supporting the stressed and stressing the positive…

51. Electrical Career: Sales Pitch
Hands-on & fun
Work anywhere in the world
Intelligent: new technology
Most respected & popular trade
Well paid career
Work inside
Exciting (dangerous?)

52. Manitoba Hydro Career: Sales Pitch
Career Variety: Several Careers in One
Impact Future World Issues
-powering economic growth with sustainability & environmental protection
Manitoba Hydro International
– work the world
Quality of work life balance
- flexible work cycle – time off, etc.
Leader in diverse work environment
Above average pay scale

53. The Anatomy of Innovation
It works
Brass band and fireworks
Maybe not a bad idea
This is taking time
Pessimism Optimism
Attitude to the Activity
Results aren’t visible
Is it worth it?
Enthusiasm
The Dark
Night of the
Innovator
Skeptical
Start to see payoffs
Existing business is suffering
Weeks or Months Up to Two Years

54. Innovation & Success Customer Focused
Creating Sustainable Competitive Advantages
Continuous Improvement
Dynamic Leadership
Strong Partnerships
Process Driven
Creating Learning Organizations...

55. In The Future… We’ll All Be Learning A Living

56. The Future of Real Estate: Issues?
Macroeconomy? Good or Bad?
Baby Boomer Choices? Rural? City?
New Technologies? Key ones to test?
Changing Homes? What’s next?
Changing Competition: Strategies?
Changing the profession? Strategies?
Utilizing social media effectively?
Other Issues?

57. Afternoon Session Improving Future Success
Profiting from Change Trend Analysis – Future Issues
Meeting Client Lifestyle Needs Better Benefit Strategies
Improving Marketing & Sales Performance: Tools for Success

58. The Information Age New strategies! New Skills!
An Era of Maximum Change…
Change Causes Stress…
More opportunities than ever before for small business…
New strategies!
New Skills!

59. Future of Real Estate: Big Issues
The future of the world economy? Bubbles? Canada? The future of housing?
Changing needs? Smart Cities? Green Living? Do customers want it? Do they pay? Is there a shift from 2nd homes to a dream lifestyle?
The competitive environment? How to better satisfy customers? How to support a higher price for services?
Are success strategies changing? New strategies which may work better in future?

60. Marketing & Sales Messages must be Focused & Simple…
Information Overload
24/7 communication access
Info attacks us everywhere and anywhere
+4,000 ad messages / day
Marketing & Sales Messages must be Focused & Simple…

61. Let’s Plan a Cruise What need should we focus on?
What would our dining room look like?

62. Features Benefits Any characteristic of a product or service
The need(s) a feature meets
Customers are attracted to need satisfaction – Benefits!
Why choose one over another?
BETTER BENEFITS!

63. Keys to Planning Success
4th Dimension Planning
Keys to Planning Success
1) Trends
Needs that are growing
2) Customer
Target groups
Need priorities and benefits sought
3) Competitive
Identify other ways needs can be met
Identify Your Better Benefit

64. 4th Dimension Planning 4) Internal Analysis Your vision & goals?
Capabilities? Resources?
What needs to be put in place to deliver the Better Benefit?

65. Steps to Effective Planning
Brainstorm all needs you could cater to… as long a list as possible since often innovative ideas come from combining needs or stacking on additional needs
For each need listed, examine trends – which needs are growing – where will we focus?
For each need priority listed, what would the various target groups be who care most about that need being satisfied?
For each Target Group, what better benefit story is most relevant?
For your organization, what needs to change to be more effective?

66. Better Benefits:
Reflect a better way of satisfying a customer need priority
Are the keys to establishing branding
Should reflect the overall organization, but may vary by type of service or client
Individually, are the route to career success

67. Every business owner has more than one business…
Marketing dollars are better spent the narrower the niche you target
Every business has many table legs to consider – with the potential for separate marketing approaches for each

68. Rifle Shots vs. Shotgun
A key success factor for the future in all industries is the ability to serve more than one target customer using separate marketing strategies
Leads to the question of focus
(managing your tabletop)

69. Higher Prices – Higher Profits
Better benefits support higher prices and better margins
Commodities lack better benefits
Remember the 2 of 3 rule re. quality, speed and lowest price
Battle scope creep with clear communication conduits

70. Effective Pricing Strategy
Are you establishing price based on cost-plus formulas? OR
Are you establishing price based on what the market will bear?
Start with the customer range of prices and look to compare where the product fits in on a better-benefit basis – often, margins can be improved

71. Strategy for $$$$$ Moving from lowest price to providing added-value ?
Requires focused better benefit strategies
Involves providing specific
high-priority need satisfiers better than competition… and
proving it over time… your buying “story” should reflect this
Often involves alliances to achieve

72. What Are a Home’s Benefit Themes?
Safety, security, peace of mind
Convenience? Travel time to work, school, interests?
Active, healthy lifestyle?
Connection-to-nature lifestyle? Outdoor living?
Serenity? Peace? Spiritual need? (magic sunsets)
Aesthetics? Reflecting a certain style/lifestyle?
Better community experience? For what community? (golf, skiing, other activity? Attitude? Ethnic group? Work group? Telework?)
Elegance? Success? Exclusive to a certain class?
Multi-generational sharing?
Handling special needs? Aging? Health issues?
Better by family style? Singles? Aging?

73. Think of Housing Ads
Can you identify a feature-driven ad you could change to a better-benefit driven ad?
Share examples with your neighbour
Share best ones with us all?

74. Key to Sales Success Trust??
To a customer, a good sales transaction is based on their perception of whether:
The salesperson’s #1 priority is to put money in his/her own pocket or truly to meet customer needs?

75. High vs. Low-Involvement Buying process
For low risk/involvement purchases, a simple better benefit message is effective
For higher risk/involvement purchases
(a home), client seeks information and compare own need priorities for at least three different options
A good salesperson’s role is to help clients develop their “chart” - and then help them evaluate options
After-sale anxiety (second guessing) must be dealt with if relationship is to thrive

76. The New-Economy Sales Process
Prepare questions to qualify need priorities
Partner with client to review need satisfiers focusing on action plan to achieve goals
Establish ongoing communication and future interventions

77. Client-Partnered Selling Process
Introductions & chit-chat
Clarify overall brand promise
Questions to determine specific need priorities
Present “better benefit stories” matched to needs identified
Answer Objections
Close the Sale
After-sales follow-up to improve brand promise / word-of mouth

78. Questions to Determine Need Priorities?
Are their good ones that you use to better determine customized client need priorities?
This is a future strength of your network…
Share good questions?

79. Toughest Client Objections?
There are only five types to prepare for...
What are best ways to answer these objections?

80. Types of Objections
Need – don’t need; or can’t believe need can be satisfied better
Source – Company or people
Time – Not right time
Price – Too high, or too low
After-sale Follow-up – Implementation / Training / Support / Problem-solving / Delivery / Performance Tracking

81. Marketing Realities Very expensive to market direct to consumer
Need to stimulate future purchases
(loyalty programs/viral marketing)
Strategy is to get key influencers to recommend provider
In the age of information overload, simplicity and repetition is essential – branding is key

82. A promise of better benefits consistently delivered with
What is a Brand Promise?
A promise of better benefits
consistently delivered with
the highest level of
satisfaction versus direct and
indirect competitors

83. Peace of Mind - Long track record of meeting needs successfully
“Helping You is What we Do” - better need matching with local knowledge and a focus on customers for a lifetime
Canadian owned with real impact on local community (Ex: Shelter Foundation)
Culture of open/sharing/support/family

84. Delivering on Brand Promise
Understanding (of customer needs)
Identification (of competition)
Planning (an integrated effort)
Learning (what actions work/don’t work)
Delivering (as promised!)
Evaluating (and measuring)
Improving (and continuing cycle)
SOCIAL MEDIA SUPPORTS THESE STEPS
-connects people to communities efficiently
-brand is the sum of conversations re. you
-listening & responding & promoting story

85. Branding Success Two Components 1) An ad that is “pretty” Stands out
Attracts interest
Memorable
2) An ad with a “message”

86. Marketing/Branding Success
Positioning Message
(Better Benefit Message)
Organization/product is the who/what you are that offers better benefit(s)

87. Sales Success
Ability to combine a clear better promise reflecting individual client need priorities
WITH…
A “story” to prove the promise can be delivered
- unique skills /process
- client experience
- performance / quality
- unique relationship

88. Agent Better Benefit Pitches?
Relationship: low-stress, ease, speed, convenience, low price (lending options)
Identification of needs of client
Finding suitable homes to buy
Finding suitable buyers effectively (mkting)
Getting a better sale price (staging, etc.)
Better peace of mind –risk assurance
Better impact on community – values
Better meeting specific needs (property type)
Better long-term relationship
ANYONE Like to SHARE GOOD ONES?

89. The Entrepreneur Improving leadership … and management… … and teams

90. How Should You Spend Your Time? What % of Time Now vs. Future?
Operational/delivery ____ ____
Organizational/HR ____ ____
Technical ____ ____
Financial ____ ____
Marketing & Sales ____ ____
Research & Dev’t ____ ____
Process Improv’t ____ ____
Visioning ____ ____

91. Stages to Effective Delegation
Establish joint goals and quality standards
Gut-check skills required and provide supports
Be clear on decision-making boundaries
Baby steps & check-backs, celebrating wins and “giving it up over time”

92. Keys to Employee Retention
HEADSTART Jim Bottomley September 15, 2011
Keys to Employee Retention
Culture of respect and thanks
Quality direct supervision
Granting other priorities - family time - flex work time
Team-based culture - fun
Rewards for measured success
Clear vision matched to need priorities
Creative stimulation
Individual impact – local & world
Jim
Jim Bottomley

93. Leadership and Values
Remember that organizational values drive behaviours
Values reflect the culture and are transferred from the top
(walking the talk)
What are your values in relation to the stakeholders you interact with?

94. Leadership
Common goals are key for team success (managers change from cop to coach; need to align goals of the organization with those of each department with those of the individual)
Change Planning involves identifying both the positives and negatives
Involve people in the process
Ego-less Management…supporting the stressed and stressing the positive…

95. Customer Service Satisfaction
Collaborative
Showing Empathy
Focus on customer need priorities
Partner to solve needs/solutions
Prepare for objections – Price, Time, Source, Follow-up, Need
Keep promises or apologize
Surprise and delight

96. Here’s to your…
FUTURE SUCCESS !!