Are Commission Plans Your Only Benefit to Agents?

Management
June 8, 2021

Ah, the commission split. It’s such an industry giant that it impacts everything from job offers to tech, including here at Zipi. Brokerages offer individual commission plans and need back end commission flexibility depending on agreements with their agents. But the question remains: are commission plans your only benefit to agents? 

They’re an incredibly important benefit to your agents, but the simple answer is no, there are other ways that you can add value. While commission plans may have at one time been the key playmaker, they’ve evolved, and we’re even seeing them being replaced by flat fees. What we’re trying to say is that there is more to life than the commission split as today’s modern brokerages can offer so many other benefits to guarantee success.

1. A supportive management team 

For the majority of real estate agents, the number one characteristic they look for is a supportive managing broker. On the flip side, the number one reason agents leave a brokerage is a lack of support. So, for once, forget about the split! Take a look at your management practices. Do you, or another member of management, mentor new agents? Do you offer regular trainings? What about marketing collateral? These are all supportive areas to agents, especially to new ones who leave the industry at a ridiculously high rate. 

2. Digital exposure and support

Have you invested in your digital presence? We sure hope so. We’re talking about the website, social media, photography, blogs, etc. Real estate agents know how crucial a strong digital presence is in the industry, and who wouldn’t want to piggyback off an expert? Dedicate a solid portion of the company website to showcasing your agents, and teach them how to take advantage of these tools for their own professional development as well.  

3. Service offerings and fees 

Hand-in-hand with the commission split are the service offerings. Agents can’t really determine the impact of a commission plan without first knowing the brokerage’s service offerings and fees. For example, a lower commission split might be more attractive if benefits include items like monthly print ad space, copies, administrative support or desk fees. 

4. Your brokerage size

It may not have been the first benefit that came to mind, but your brokerage’s size does change what you’re available to offer agents. National chains and larger brokerages may have better access to resources and training opportunities, but a local, independent brokerage may have better ties to the local community. 

5. Sales and legal advice

It’s no secret that real estate experiences its fair share of lawsuits, but even so, a recent NARS Legal Affairs report finds that 75% of licensees are found not liable, which underscores why legal support is just that crucial for agents or brokers. Seemingly small in comparison to something like the commission split, either in-house legal aid or access to legal advice could be the benefit that sets your business apart. 

6. The value of technology

Technology is an important way to add value to your agents (obviously, coming from us). Something as simple as cloud-based back software platforms allows your agents a wide range of resources including the ability to put in an offer onsite rather than wasting time running back to the office. Modern transaction management platforms, apps and real estate OS systems streamline workflows, ease the application of data analytics and enable your agents to provide clients with better support and inside information.

Zipi is the Real Estate Operating System (OS) that aims to make real estate simple from agents and deals to commissions and billings. Request a demo to get in contact with one of our expert team members. 

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Written by
Jesse Garcia

Jesse’s 13-year career and tenure as an office manager, coach and top producing agent includes running two multi-million-dollar real estate offices and managing hundreds of agents, while increasing both production and profitability. It was this experience that led him to develop Pipeline Wizard, which became the proof of concept for Zipi.

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