Vendors this one is for you.  I represent solutions that help agents and brokers make money and I’m always preaching that you must invest time and resources in your business to be successful.  In a lot of markets agents and brokers are pulling their money from vendors they have enjoyed working with for many years. Vendors are being asked to reduce their fees and still maintain the level of service and quality expected. We have to get through this together.  If you want to ask your vendor for discounts then help sell their solution among your peers the same way you ask for referrals and may give a discount to a client who consistently refers you.   We need our vendors! When this market stabilizes and you need services, you want them to be there for you with the same quality service and product.

Brokers and agents, I have been shocked by some of the comments made to vendors regarding reduction of fees and refunding of monies.  Here are just a couple I have in my inbox regarding visual tours.

 “…Your costs should come down since we're in this market that has every seller pitting us against each other for commission structures.” 

“…I want my money returned immediately! Your tour product didn’t get my listing sold in the 60 day listing agreement period and now the seller has listed with another agent and I have no use for this tour.” 

When volume goes down for agents…volume goes down for vendors. They have overhead and families to feed just like you do. They are not in a position to give away free services or discounts just like you aren’t.  Please don’t ask them to unless you are willing to put some money up front and guarantee the purchase of their products and services.  That could certainly be a conversation you might want to have with your vendor.  In the long run, it helps both of you.

Selling to the real estate industry is no cake walk. If you think that these services provided are cash cows generating massive profits for the vendors you are mistaken. Think about the percentage of agents who really make a good living selling real estate.  The rest of the agent population sells a few houses here and there. Who do you think vendors have to align their pricing with? 

Technology providers tend to be holding debt more than most providers because technology advancements force them to invest and update continuously whether they are getting paid or not.  They do this to bring you a better solution and bank on future sales to help fund the new platforms.

Vendors are not the enemy because they want to be paid for services rendered.  They deserve to be paid for a job well done just like you do. The stress of a slow market brings out some really bad manners and some very knit-picky behavior which doesn’t exist in a hot market.  If you have a legitimate issue with a solution or service by all means get it rectified, but please do it in the same manner you would if you were swimming in money.

There are vendors out there carrying hefty….HEFTY accounts receivables right now.  Money they may never see for services they have already had to support and pay for.  We’re all in this together.  Let’s play nice.