Managing A Fast Growing Real Estate Brokerage with Corcoran Global Living

Brokerage Insider

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Melody Foster, The Chief Experience Officer of fastest growing brokerage in the US, Corcoran Global Living, joins this episode of Brokerage Insider to discuss managing their growth over the past year. The company went from 400 agents to over 1000 in just 11 months - during COVID no less!

Listen in as she also discusses tech and marketing for luxury brokerages.

TRANSCRIPTION

Thanks for listening to Brokerage Insider, this week's episode was recorded live during the Explode Virtual Conference on Thursday, September 24th. We look forward to returning to our regular schedule program soon, but until then, enjoy this session. In this episode, our VP of product, Katie Ragusa, interviews Melody Foster, the chief experience officer in charge of marketing and technology for Corcoran Global Living in the California and Nevada area.

Melody Foster: I'll give it a nice to see you, Brenda. It's like I'm like, oh, I get to follow Brenda.

Katie Ragusa: That's a tough act to follow. But nice to see you, Yes, we are. We've got some powerful women here talking this afternoon. So a little background on Melody if you're not familiar with who she is. So far, she is the chief experience officer at Corcoran Global Living, which is actually the first ever Corcoran franchisee and chief experience officer. So as CXO you handle, let me see if I can get this mouthful. Branding, marketing, advertising, Lead, nurturing, PR communication, web development, all things tech. So pretty much every manifestation of the brand and marketing it in any medium. So that's a lot and you've got a ton of experience. So what brought you here and how did you become the lead on all things experience at Corcoran Global Living?

Melody Foster: So you know, my background prior to Corcoran GL or CGL, as we call it, because it's a mouthful to say. Right. Right. But prior to that, I mean, Katie and I go back several years at this point.

Now, I was with Zephyr Real Estate, which was the number one indie {brokerage} in San Francisco.

And even prior to that, I was at Paragon Real Estate, which was also a boutique firm in San Francisco and then at Pacific Union, also based at San Francisco, which became California wide prior to becoming part of another larger company we all know about. But most of my background was in marketing. And at this point, I don't think there anyone can truly say that there is a real dividing line between marketing and technology.

We leapt over that hurdle a long time ago, and I think there was just the understanding that there's a difference between technology as far as where the cable. Go into the wall, which is the technology that users use on the day to day basis. And so we do still, of course, have people that manage all those sort of systems, but really need to have someone that is looking at it from the marketing, the brand perspective, the usability, what our agents are actually using and the platforms that we're developing. And when you start going down that road, it becomes clear that you can't look at the marketing and the technology without also looking at the operational aspects and how it impacts the day to day. And that's when Zephyr actually decided to let's blend this all together. And rather than just making this so marketing specific, we decided to do the whole CSO role. And when critical, what happened when we launched that in February, Michael Mahon, who is our CEO, agreed. He definitely is vision forward with that and sees that as critically important to have that level of integration so that we are presenting the right tools in the consistency to our growing base that we have.

Katie Ragusa: And with that history and experience, you see the times we're in and the growth you've had and the changes you've had, you offer such a unique perspective then a broker owner who's selling day to day from that technology and marketing and brand story side. So we're actually going to talk to Melody about that change in brand and the growth that's come after that. So a lot of stories today about markets booming and business is growing and recruiting at all time highs even right now. So I love that spin that we get to give it. I don't want to say the word on press anymore, but it's a good positive on that. So let's talk. Before you were caught in global, you were Zephyr real estate, multi decade history Company. I mean, strong roots in the Bay Area, good, strong following group of agents that just had a really good rapport, clients that were loyal. When you changed to Corcoran Global Living, how do you let those people know that they should stick around? You're the same company, the same people that they trust. New name. How do you present that to them?

Melody Foster: You know, that was probably the part that we spent more time on than anything prior to the changeover. I mean, there's all the stuff that's related to the practicality of a change like that. We have to update materials and signage and all that stuff. But we spent more time heavily looking at making sure that the change that was happening, the brand that we chose was going to be one that still aligned with our agents are and how they see themselves that it would feel like either. Similar enough style wise or an improvement. So it couldn't be a brand that felt like it was going to be a step down or it was going to be diluted or it was going to be something that was a mismatch and that was really, really important. But even more than that, we need to make sure we needed to make sure that they are agents. Understood that fundamentally who we are and the support that we're offering and the team that's behind them was going to be consistent through the process. And so we have some really great leadership. We continue to have really great leadership. That was a part of the whole transition from day one is that we weren't going to have that turnover of leadership, that it was really important for everyone to still have a vested interest, to still be a part of it, still be in those leadership positions and connecting with agents because they have spent a lot of time developing rapport and trust and are really relying upon.

And so I think more than anything else was just, well, it was two parts, right? It was letting them know that and talking about that. But he was also walking the walk. Right. We actually had to hold true to that and not just say, oh, everything's great, it's going to be fine. And then 30 days after, everyone's like, I can't find my people anymore, what's going on? And instead it was like, oh, yeah, I love the new materials. I love some of the new platforms. I love what we're doing. This is great. And I still have all the people that I've known and liked and trusted over the years.

Katie Ragusa: Everything I will still here and there that you've introduced. And it's not exactly great. So you did move their cheese a little bit, but into a better. We did. We did, but we didn't steal it. So there you go. So now that you're affiliated with Corcoran, you're a franchisee of Corcoran, what have you been able to benefit from or leverage that brand?

Melody Foster: I mean, first, it's a beautiful brand, I mean, there's just there's no denying that know, that's one that even well before we were Corcoran any time I'd be at any kind of conference, I was always checking out their ads, their materials, you know, staying up to date with them online, all of that stuff. So it is a beautiful and established brand, having access to the very talented team of people that we do have a behind all of that brand. The materials that are furnished, the advertising that's out there, just it's that amplification, right? It's helping that recognition spread and grow by having so much that's already furnished and available to you. Zephyr was hugely successful within that small market that we're in within. Our founder started the company in nineteen seventy eight like him, and three buddies started it. And then by the time we did the transition in February, I think we were at thirty three to 50 people somewhere in that range. So we'd been like slow but steady growth over the years and really well known and respected in the community. And that's important. But getting to a broader audience, which we've done with the growth, we wanted to have a brand that was recognized outside of San Francisco. And because of both and a clear disclaimer, Barbara Corcoran is no longer associated with the corporate brands. Everybody by name is recognized. And Barbara Starr.

Right, right. But the people, the real estate industry, even if consumers or clients are not as familiar with the brand, realtors are familiar with the brand. And that's our client first and foremost. Right that's who you have to be looking at every single day is something that your agents can get behind because they're your customer. Their clients are consumers that are out there. But our clients are always going to be our agents of furnishing them with what their best tools are and getting that in front of them. So being able to leverage something that our agents already recognized had familiarity with, had followed for years, felt comfortable with and we're excited to be behind that brand was a huge part of the success that we could actually make this happen.

Katie Ragusa: What is it like transitioning from an indie to the other side?

Melody Foster: We do have a mixed bag. It's a mixed bag. I'll be honest. To the other side it's a mixed bag. There's a mixed bag. I'll be honest there it is a problem. Not supposed to say that, but it's true. It's great in so many ways because we are furnished with just, you know, we had a box of 16 grams and now we have the giant Crayola box. One hundred twenty eight. Right. We have the whole tatty. We've got all of that, which is awesome. But you do relinquish some level of control, right? Because before. When it was Zephyr, I think it was twenty thirteen, I actually did a rebrand for Zephyr, which was a terrific, although lots of sleepless nights process to go through when you're initiating a whole rebrand of a company and rewriting the style guide and redoing materials, everything from the letterhead to website and everything in between, there is not that level of control at this point. So on the one hand, that's like, oh, I want to be able to make the changes I want. And on the other hand, it frees up a lot of time because you already furnished with a lot of great stuff and you're not having to start from scratch and starting from scratch, especially if you are a boutique firm or even just a regional one. These are really expensive and taxing process to go through. And it does make it hard to be competitive when there are significantly larger organizations that are able to churn through innovation at a faster pace because they have deeper pockets. So being able to sort of leverage that behind you and lean on that definitely has been a bit freeing in that way, because it's one that we can trust in and it already has so much good assets for us.

Katie Ragusa: Right. And you chose the brand for a reason that resonated with you and you get to step out of the shadows, whether it's the best decision or a really good decision, you get to move on and do the other things that you're best not on.

Melody Foster: Exactly.

Katie Ragusa: So you I think you alluded to growth, but let's talk a little bit more specifically about the size of the cake. There are a number you are three hundred something agents that feels like a lifetime ago. But it was actually not that long ago, seven months ago, you had extreme growth. Are there any numbers that you can share with us of that versus now?

Melody Foster: Yeah, you know, Zephyr on its own, we ranged around two billion in sales volume per year, sometimes slightly under, sometimes a bit over on that one. And like I said, somewhere between the three twenty five to three, 350 fifty agent range we are now, I think a four point five billion dollar company. So more than doubled as far as sales volume and our agent count, is it something like seven fifty I want to say. Yeah. So yeah. And that's not even counting our referral agents. So it's it has been fast growth for seven months for sure. And beyond that, and I think this is an area where it doesn't get factored in a lot of times because you look at things like sales volume or GCI or agent count. But there is a whole extra nuance when you're talking about going into different market areas as well. So we used to be San Francisco Bay Area only. We now have presence in Southern California and both San Diego and Riverside counties and then we also do in the Reno Lake Tahoe area. So we're also growing geographically in addition to just office an agent count. So that's been a lot. And as you know, some insights in some more in the weeks and months ahead. So we're not done.

Katie Ragusa: I'll let you mention whatever you want to do about that. But you just kind of glossed over new markets. And I think coming from the industry, we all kind of take what's been a little bit more time about what it's actually like entering a new market. So we all know probably there's data involved you got to normalize to work with and approvals there in the data side of it. But there are also the people of this strong group from the Bay Area, and you've got agents in Reno, Tahoe and Southern California and all over the place. How do you make them feel welcome and introduce them and embed them in your group?

Melody Foster: I mean, part of it is really. I think Brenda touched on this, you have got to have the best people on your team. I mean, just nothing replaces that. Great. There's no other South that you can do for it. There's no technology that can solve that solution. You have to have great people and then you have to trust those great people. And a lot of what we've been doing, it's not just about pitching the brand and getting people to agents or out to the public. It's also about bringing staff in and the support people that are behind it so that they're a part of it and not just part of it, like there's a new sheriff in town. Here's what you have to do now, but really bring them in so they understand the culture. They're part of the team. They understand how important collaboration is, which is everything. I mean, I have a new guy in San Diego that became part of the team two and a half weeks ago with that launch. And every time we have a roll in and this is a funny thing and it seems so basic, but the people in that office, I actually set up my Gmail so that every email that comes from the principal people in that new region gets a red star on it, because I know that they absolutely, absolutely have to have responses quickly.

Katie Ragusa: And there are people waiting to hear what.

Melody Foster: Yeah, they're getting questions. It's new for them. They're going to they're trying to wing it as best they can. They're trying to be supportive. And nothing makes them feel like they're better supported. Then having those quick responses, nothing is leaving them out on a limb and then they're able to continue being that front line and helping their agents so those agents are reassured. So that's a huge part of it, quite honestly, and that goes for everything. I mean, it's from that moment on our team who makes himself a resource for the sales managers that are out there in the different regions. It's really collaborative in that way. It starts prior to launch. But it's that first 30 days after we've gone into a new market area, it's it can't be a siloed effect. It is all about collaboration and ongoing communication for sure. And then we also and this started because of Covid, actually, we've started doing town halls twice a month. We call them once a month. It's a agent panelist's discussion where we have agents from our different market areas talking about some particular aspect of the market. And then once a month, it's guest speaker, which can be on a variety of topics. Sometimes it's, you know, technology oriented, sometimes it's legal stuff, different things. But that's a companywide event.

We keep them brief, we keep them timely, and it actually gets everybody participating at one thing, not regionally specific, but because the whole thing. So you're seeing benefits. People are coming together. They're participating. They're asking good questions. They're realizing that they're part of this growing thing, which is exciting. And I think that's also been helpful as well.

Katie Ragusa: So just going back, you mentioned the word Roland, so just to make sure everybody's on the same page, I'm sorry, is adding a whole office that formerly was a different brand entirely and folding it into the Corcoran Global Living Brand. Right. You didn't just have one giant one of these. You've had lots in the past. I don't know. I can't remember how many months since February. Yeah. You've got, like a well oiled machine going now and all say that I know nothing's perfect. And internally, I don't know how you feel. The process has improved, but watching it from the outside, I mean, to repeat that process, sometimes you do multiple in a day to it a week. I mean, you guys are killing it with those. So what has gotten you to this just process that you have in place to be able to just execute.

Melody Foster: Well and I'm going to give a shout out to you and Eric at this point.

So TRIBUS is our partner for website. But it's true. But you do to have great money. But no money changed hands now. But you do have to have great vendor partners that you can rely on for this stuff, because sometimes we have months of planning and sometimes things happen far more quickly. So you do have to have those workflows figured out. You have to know who your go to people are. Everyone has to be well equipped with they have to know how much authority they have so they can act on decisions quickly so that you're not getting things bottlenecked. I think that's an important part of it, having good vendors you can rely on and bringing them into the fold as well. So you're not treating them like an outside vendor. You're treating them like a partner so that they actually can be a partner for you to make these things successful. I think that's a really important part of it.

And then the other part, and this was this was a request that was initiated by our VP of Tech, Hud Bixler, and was. Brilliant, which was after our first one, because we kind of had a pause of some of these when it first happens or first one after we kind of decided, OK, let's keep pressing forward, which was back in June. We did a post-mortem on it. Let's get together. Where do we need to fine tune this? What was it that could have been better? What should we have started sooner? That was the biggest one. Which part of the process needs to be started earlier?

Because anything that we have control over. Right, like if it's something where it's a matter of making an update to someone's bio on a website, I can jump in at ten o'clock on a Friday night and do