Are you prepared for the ups and downs of the real estate media business? Seasonality plays a significant role in this industry and being aware of it can help you plan and prepare accordingly. In this post, we'll dive into the seasonal trends of the business and how you can navigate them.
When the founder of ListerPros started the business in January 2014, he hit the ground running and experienced growth throughout the year. However, come October, November, and December, the business saw a significant decrease in revenue. The founder was not prepared for the seasonality of the business, resulting in a loss of income during the holiday season.
To help other real estate media businesses avoid the same mistake, ListerPros created a monthly trend chart that shows a tapering off of business starting in October and a significant drop in December. This trend is common in most US markets and can be attributed to the holiday season.
Knowing the seasonality of the business is essential to planning for bigger expenses when there's more revenue coming in. You can also prepare for the slower portion of the year by identifying activities to focus on, such as training your team, creating new marketing materials, or working on special projects.
At ListerPros, they focus on training their team during the slower times of the year to ensure they are productive and engaged. Additionally, they come up with different projects to keep the team motivated and productive, such as creating this exact course. It's also important to accommodate the needs of your team members during the holiday season, as some may prefer reduced hours while others may want or need more hours.
It's important to note that seasonality may vary depending on your location. For instance, weather conditions can impact real estate activity in some areas. Checking new listing trends in your area can provide insight into when peak and low volume listing seasons occur.
In conclusion, understanding the seasonality of the real estate media business is crucial to running a successful operation. By planning and preparing for slower periods and accommodating the needs of your team members, you can maintain productivity and navigate the ups and downs of the industry.