… Selling, attracting, or hiring.
I hear these words used interchangeably all the time in the residential real estate industry. All the time! And although I understand the rationale behind such usage and do agree that there are similarities between all four, I also see a world of difference.
Here’s what I mean...
Selling is about offering another entity your product or service for purchase. I have a product and I think it can help you solve a problem that you’re dealing with. I show you how it can do that and you make a determination to either buy it or not. At that point, the sale happens or it doesn’t. The payment is received up front or at a contractually determined period of time. In other words, a sale occurs when someone buys something tangible.
Selling is not recruiting.
Attracting implies some kind of passive activity where you are a magnet for real estate agents or something. I am not even sure how this term crept into the brokerage space. It may be here because most believe that “recruiting” is a dirty word so we’ve pacified it into “attraction”. Let’s see how many license transfers a broker-owner can “attract” just by wearing a great suit or a dress.
Attraction is definitely not recruiting.
Hiring is paying someone for their time and/or effort. Redfin-like brokerages do hire agents. Nothing wrong with that and may actually be a way of the future. When I hear someone saying that they are “hiring an agent”, I am asking them “Do you pay them hourly or are they on a salary?”. If the answer is “neither”, then those agents were not hired.
Hiring is not recruiting either.
So what is recruiting about?
Recruiting, in the residential brokerage industry, is about showing a real estate professional a way they can reach their goals, financial and others, at your brokerage in such a way that it causes them to physically move to your environment solely based on their belief that that’s the case. That’s it!