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#117058 - 04/27/06 09:30 AM honor-based marketing compensation
broker Offline
Major Contributor

Registered: 08/16/04
Posts: 1979
Loc: Cary, NC
I've a question for other agents... regarding a business building program recently developed. Right now it has one pricing structure that is a flat monthly fee... but they are looking at a "results-based" option also.

If they were to come to you with a business building program that could help you increase your sales volume and deal closing rate, and offered it on a "pay us a 15% referral fee only if it works for you" basis..., but couldn't track if it actually worked for you... would you honor paying the referral fee?

What I mean is: you would know if the reason a consumer chooses you is because of this program, and so would the consumer, but the company that helped put you in that position wouldn't know unless they made calls and tracked people down.

It would essentially be payment on the honor system... would that work... or is the temptation to not pay too great?
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#117059 - 04/29/06 09:11 PM Re: honor-based marketing compensation
Tony Sena Offline
Member

Registered: 01/24/06
Posts: 87
Loc: Las Vegas
I think there are agents that would honor the system, but unforunately I think there are more agents that wouldn't honor it completely. I could see them letting a few go by here and there.

If you were to offer a system like that, I would screen the agents a little more closely to make sure you are dealing with agents who have integrity. Just like in any profession, you are going to have some bad apples.

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#117060 - 05/03/06 03:54 AM Re: honor-based marketing compensation
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#117061 - 05/03/06 03:55 AM Re: honor-based marketing compensation
broker Offline
Major Contributor

Registered: 08/16/04
Posts: 1979
Loc: Cary, NC
Thanks for your reply. I think you're dead-on with your view.

I'm going to test-market this option and see what happens. My ultimate goal is to provide a worthwhile marketing program at a reasonable monthly cost. One 15% referral fee more then covers an entire years subscription and I'm confident anyone enrolled in the program will benefit.

Has to be more trust in this world and if something is working for them they should honor an agreement.
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