Attrition, turnover, churn. Whatever you call it, nobody likes losing their employees, period. In real estate, the agent churn rate is insanely high. Here are a couple of tidbits about the average agent tenure:
- Tom Ferry: 87% of all real estate agents fail
- National Association of REALTORS®: Median tenure at a firm has dropped to 4 years
Combine those industry stats with the fact that the average employer spends about $4,000 to hire a new worker, and we’re painting a pretty bleak picture. In any economic climate, the logical question becomes: ‘How can I retain more of my agents?’.
While the membership to the jelly of the month club might be a big hit at your office, one key factor is the technology you’re offering to enable your agents’ success. A recent case study by REAL Trends reveals that agents who engage with the Adwerx Automation Platform retain at a higher rate than those who do not.
Case Study Data
REAL Trends analyzed anonymized data from different brands and brokerages across the United States who all provided the Adwerx Automation Platform for their agents. The goals were to understand whether receiving the service impacted agent retention and whether agents who engaged with the platform retain even better.
- Sample Size: 22,000 real estate agents and teams
- Timeframe: 2 years (2018 and 2019)
- Qualification: active, full-time agents with at least 1 listing
Agents were then segmented based on their level of engagement with the Adwerx Platform:
- Unengaged: did not use the free features
- Engaged: did utilize one of the free features
- Super Engaged: did utilize one of the free features and purchased an Adwerx Sphere Campaign
The data shows a lower churn rate for those who were engaged and super engaged, represented in the chart above. When comparing engagement levels with the Adwerx Platform, analysis reveals:
- Engaged vs. Unengaged: 25% lower churn rate
- Super Engaged vs. Unengaged: 42% lower churn rate
Turn Data Into Action
Those of you old enough to remember the 80s, likely recall GI Joe’s words of wisdom: “Knowing is half the battle”. Now you know that according to the REAL Trends study, the Adwerx Automation Platform improves agent retention. And according to math, more agents selling more real estate improves your GCI and bottom line, and drives growth. Now it’s time to take action based on your newfound knowledge.
You can offer the most cutting-edge technology for your firm, but it can require extensive training, which presents a major challenge for agents who should be spending their time on acquiring or serving clients. Enter automation. The Adwerx Platform is truly automated, not only removing the barrier to agent adoption, but requiring no additional effort from the firm. Once the proper channels are communicating, the ads just happen. Adwerx also provides various levels of free training workshops for your agents from novice to expert, empowering them with the skills they need to become super engaged agents.
Adwerx offers solutions that are tailored for your firm’s needs. In 2019 Adwerx powered over 14% of all digital listing ads in the country. Additionally, 25% of the REAL Trends 500 have the Adwerx Automation Platform. If you’d like to learn more, please follow the link below.