Having determined that adding a new markets or markets will help level-up your business, it’s time for a plan. And winter — especially during precarious economic times — is perfect for revisiting, evaluating, and revising your business plan.

Approach the new business plan with the same fervor you did when faced with the reality-check market of 2009–2012. View it through a lens of business growth in new markets. Note gaps in the existing business as well as areas of success to duplicate in new markets.

Strong plans, including one for the existing business and one for new expansion, will cover at least six categories:

 

 

1.   Market Analysis

Beyond the basics of who is buying what and for how much, incorporate recent trends, especially as related to their economic impact on real estate.

Note other trends that have waned and may give way to market opportunities. When a sellers’ market becomes a buyers’ market, real estate teams can expect to find new prospects they may not have had access to in recent years.

Are any aspects of your current and prospective markets saturated? Perhaps high-end condos and new construction interest has given way to fixer-uppers, with buyers hoping to find more readily available tradespeople in a slowed economy. 

 

2.   Competition Analysis

Research and uncover which niches in each market are unfiled. niches, saturations, opportunities.

It could be that fewer agents are specializing in median-income seniors who are entering a stage that warrants a lifestyle change. If your prospective markets include retirement areas Nevada, Florida, Montana and Arizona, these clients may also benefit from your knowledge there.

Likewise, if everyone else in either market is focusing on first time homebuyers with large down payments, consider that a saturated segment and look deeper for underserved buyers and sellers.

Speaking of what other agents are doing, steer away from segments that everyone else wants. It might be that having patience with auctions, vacant land and even commercial or mixed-use real estate will add a new dimension to your expertise.

 

 

3.   SWOT Analysis

Regarding expertise, take an honest look at your (and your team’s) Strengths, Weaknesses, Opportunities and Threats in each existing and future market.

Where and how can you harness your expertise more efficiently? What trouble spots do you need to fill? Would new technology or talent better serve you, your team and your clients?

Determine which strengths to initially leverage in the new market. Easy to adopt technology, such as digital marketing and lead-generation can be just the solution to help you build a successful new presence.

 

4.   Know your audience profiles

Analyze your greatest successes of the past few years, putting special focus on the types of clients with whom you experienced the greatest, mutual success. Create client profiles for those buyers, sellers, or investors.

In addition to researching where to find more of these clients in your existing market, compare those client profiles to the prospects in the new market(s) you are pursuing.  What similarities do you find between the two?

Determine if your ways of attracting your ideal clients here are feasible in the new market. If not, determine the tools you need to promote your brand in the new market.

 

 

5.   Product and Service Analyses

You and your service are your primary products. Describe and differentiate these products, spelling out exactly the benefits that clients and team members gain by working with you.

Decide which areas of expertise and which tools are directly transferable to your prospective new market. These can be as high-level as your reputation for always answering the phone or as specific as the transaction process that you apply to each client’s sale or purchase.

Some services may require new talent so that existing talent isn’t stretched too thin. Use your service analysis to attract talent that will help elevate the new business.

 

6.   Goals

Now that you’ve outlined who you are, where you are, where you want to be and what you and your business offer, it’s time for goal setting.

The “how” aspect of goal setting will include the specific steps you’ll plan to take and tools to complete them. A blog post here next month will outline various resources and methodologies for the detailed aspects of goal setting.

 At this stage, create a general outline of goals so that the business plan has its direction.

For existing market goals, create measurable goals in categories such as Financial, Image and Market Exposure. Adjust previous goals and reset expectations with timelines.

Let your new-market expansion guide the “Growth” section of goal setting.