Your Step-By Step HANDBOOK on how to WIN THE BEST FEES and COMPETE based on service and value, without COMPETING ON FEES or playing the game of 'race to the bottom!'
"When we first meet Darren he went through all the relevant increases that we could roll out without too much push back. Our leadership team were sceptical at first in getting the whole PM team on board.
Darren then offered to fly up for the day and go over all the possible objections and encouraged everyone on the journey to higher fees.
Due to ongoing rental increases we decided it best to incorporate the new fees with the one letter and sent it as a DocuSign.
This proved a real win, win for our owners and had minimal push backs in the process.
We had one person dedicated to this project and she became very skilled in handling all of the possible objections and following up all the owners that delayed a reply.
We would highly recommend Darren as he has been an ongoing help when needed.
"We had Darren come into our company a few years ago to have a good look at our fee structure and to see where we could either increase our existing fees or introduce any new ones.
Darren spent time looking at what we were doing. He pinpointed some increases we could do, such as our monthly admin fee, our marketing fee, our annual statement fee and so on. He also suggested we introduce a new fee for conducting routine inspections.
We implemented Darren’s suggestions and followed his instructions to the letter. The letters and scripts he provided were excellent and worked like a charm together with the strategies he gave us.
To our surprise, we had very little pushback from clients and only lost a handful of properties (less than 2%).
The biggest challenge for us was to change our mindset and truly believe we were worth our fees. Our fears were soon allayed once we started implementing the plan.
Frankly, these changes saved the Company at the time, and I highly recommend Darren’s program!”
"We knew something needed to change, I had faith that we were supplying the best service in town.
However our fees didn’t reflect that and with rising cost of business ‘what can we cut back on’ started to sneak in.
This was what triggered me to reach out and get more details on the fee increasing. I respected my team too much to cut back on them.
After the initial meeting with Darren and realising where we could be, the classic ‘what if we lose a bunch of managements’ thought was still holding me back.
Did the maths and in theory we could lose 30% of our portfolio and still have same income. Worse case less work, same money!
Results were just 2 in over 250 managements were lost (0.8%).
In reality the journey with Darren and the team, was one of fee mindset training. The team have a stronger resolve in their worth and what we do.
When there is push back with existing or new business I hear the scripts and dialogues been used. 95%+ of new business is full fees and growth has never been as quick.
What we were not charging, and what clients are happy to pay for now is almost embarrassing!
If you want to know more reach out.
My suggestion is ‘realise your worth, connect with Darren and make yours and the teams life better’!
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Having low to no margins greatly limits your ability to hire and retain top talent, create new and innovative services, and be attractive in the marketplace.
You simply cannot operate an effective property management company unless you are profitable and creating value.
As entrepreneurs, it's often challenging to admit the need for an expert like Darren to take your business to the next level.
We are constantly pulled in a million different directions, but the fact remains: if we aren't creating value and being appropriately compensated for it, the business shouldn't exist.
Darren's effective process maximizes the potential for success while minimizing the risks associated with increasing your value-based service fees.
Our management company is a direct example of this success. Through the process, we retained the vast majority of our clients while increasing our total fee income per month/door from $125 to $266 per month/door, more than doubling our total fee revenue!
We often overlook that our greatest strength in the business lies in the clients we already serve, not solely in acquiring new business. We should consistently contemplate how we can better serve these clients and how we can be compensated for doing so.
The real key to this lies in having a clearly defined and tested process while delivering high value to the clients, resulting in maximizing your financial outcomes.
Darren's partnership clearly outlines the strategy, delivers the process, and helps alleviate the natural fears we all face when embarking on such a journey.
Simone Fogarty is a Director and the Senior Property Manager with One Agency in Orange NSW and came along to our last workshop, and immediately signed up property at 75% more in fee income right away, once she got back to the office.
In some cases, Simone was earning an extra $1500 per year/property, such was the change in what she believed she was worth with her services.
Initially Simone thought that what her much cheaper rivals charged would hold her back.
Listen to Simone explain what happened...
Bronwyn Evans- Business Owner with McAdam Turnbull Realty in Toowoomba QLD has signed up $3,292 per property/year (total average fee income excluding GST) for the last 23 new properties brought into their rent roll.
That's an increase of 145% extra fee income per property, on what they were doing previously...that's an EXTRA $1947 per property/year!
Shari Lockett- Team Leader with Parry Property from Launceston TAS was signing up $1,765 per property/year (total average fee income, excluding GST) for each new property, and now for the last 11 properties, has signed up an average of $3,496 per property/year (total average fee income, excluding GST).
That's an increase of 98% extra fee income per property, on what they were signing previously...this is an EXTRA $1731 per property/year!
Paul Weeks- BDM with Harcourts Reforma from Auckland NZ was signing up NZ$2,676 per property/year (total average fee income, excluding GST) for each new property, and now for the last 36 properties, has signed up an average of NZ$4,066 per property/year (total average fee income, excluding GST).
That's an increase of 52% extra fee income per property, on what they were achieving previously...that's an EXTRA NZ$1390 per property/year!
Here's what Jo Natoli from 'The Rental Specialists' in NSW said: