1. Brokerforce
A referral program to help brokers incentivize their
clients and attract quality leads
Interviews Day Day Day Day Total Adam Tetenbaum
1 2 3 4
Brokers 7 6 8 6 27
Eric Metelka
Renters 7 4 35 5 51 Cadran Cowansage
Total 14 10 43 12 78 Andrew Morcos
2. Business Model Canvas – Day 1
Brokerforce
Which of our • Provide essential
• Brokerage firms • Software customers problems • Residential
development are we helping to features for free/cheap brokerage firms
• Building, • Customer solve?
development & • Funnel / customer • Personal assistance
apartment and acquisition leakage • Independent
acquisition
property owners • Sales and
• Customer retention
• Marketing/listing brokers
marketing platform to consumers
• Consumer- What are the key • Building owners
features of our product
facing rental sites that match customers
problem/need? • Direct sales
• Software / platform
• Client survey tools
development • Process automation
• Industry expertise • Follow-up reminders • Mobile, web
• Sales force • Electronic form applications
submission
• Customer feedback / • Social media
referral platform
channels
Fixed Costs: • SaaS subscription model
• Technology development • Freemium service with additional feature upgrades
• Equipment • Potential advertising / lead generation revenue for
• Salaries
complimentary service providers (moving companies, etc.)
Variable Costs:
• Sales
3. What we learned: Broker Process
Office
Manage = Potential Brokerforce features
r Lead
Personal Lead Collect search Compile list of
Contact Broker
parameters Apartments
Send list to Give client
Schedule tour Go on Tour
client summary
Summarize Request Submit Thank You &
tour information Application Feedback
Send quarterly Send Birthday Send Lease-
follow-ups Email end follow-up
4. Business Model Canvas – Day 2
Key Lessons:
• Brokers think they are organized but process shows clear inefficiencies and pitfalls
• Want to focus on customer service and relationship but don’t have the time or the proper tools
• Owners have their own software tools that serve very different needs from brokers
6. Business Model Canvas – Day 3
Key Lessons:
• Referrals are extremely valuable but not given the appropriate amount of attention
• Brokers don’t follow up with clients after successful deals
• Brokers won’t even enter basic info into a computer / CRM system; don’t think long-term
7. Business Model Canvas – Day 4
Key Lessons:
• Most important features are:
• Retention & referral programs
• Email information crawling
• Follow-up reminders
• Renters/referrers are an integral customer (user) segment
8. Process Workflow
Start Tenant inquiry Rewards e-mail sent
to current tenant
and referrer
Sent
From Forward email to profile
NO
Web generator
Form YES
YES
Customer
referred
Lease
Auto-fill tenant profile from
signed another
tenant?
Tenant sends NO
Referral request +
customer referrals to
rewards link sent to
other potential
tenant
tenants
9. Business Model Canvas – Day 5
Key Lessons:
• Referral program is not illegal and adds the most direct value to brokers
• Focus on referral system as MVP
• Change revenue model from subscription to per-transaction
• Brokers, not brokerages, now paying for “customer service” expenses
10. Process Workflow
Was this
Start:
Lease signed a
Tenant inquiry referral?
NO YES
Client refers new Referral request + link Finders fee gift
prospective client sent to client sent to referrer
11. Marketing Tools
Referrals
Brokerforce Refer.ly
Customer Groupon
Purchases
Relationships
Direct & Telesales
Coupons
SEO
TV Adwords
Print
Radio Ads
Billboard
Leads
Physical Virtual
Transaction
12. Archetype
• Steve Broker
• Broker at Miron Properties
• 22 years old
• Ohio State University grad
• Just getting into the NY real
estate business
• Is friendly, charismatic, and
professional (good broker)
• Trying to build a client list
13. Steve’s Life
Monday, September 24
9:00 am 4:00 pm
•Steve has 3 emails from Brokerforce with •Becky finds a shoe box on the
referrals via past clients UWS she loves and applies for it!
•He sets up appointments with them for
later in the week
10:00 am
•Steve meets Becky, a new Columbia Student who was referred to
Steve by Tim, whom Steve rented an apartment to last week
•Steve and Becky have showings at 10 apartments because Becky
only has 1 day to find a place
14. Steve’s Life…One week later
Monday, October 1
9:00 am 3:00 pm
• Landlord confirms that Becky is approved! • Steve gets an email from
• Steve goes to Becky’s profile on his Brokerforce Alex through Brokerforce.
account and clicks “Apartment Rented!” He was referred by Becky
• New finders fee link is generated which Steve sends and wants to set up an
to Becky and congratulates her! appointment…
10:00 am
• Becky and Tim each get a $50 electronic Amazon gift card to buy
stuff for their new places!
• Steve’s credit card is debited $100 (2 gift cards) + $5 (Brokerforce
fee) = $105 total
16. What’s Next?
• Show prototype to earlyvangelists for feedback
• Understand economics of gift card and payment processing
• Seek further legal clarity regarding incentives specifics
• Make first sale!
17. SPECIAL THANK YOU TO…
• Miron Properties (May Amos & Bar Cohen) – Spent 1.5 hours
with us brainstorming ideas!
• Alfred Realty (Danny) – Referrals are worth 8X a cold lead
• Bruce Feldman Associates (Bruce Feldman) – Some referrals are
LEGAL
• Cadran: When is a good time to call?
• Bruce: Anytime. Like Denny’s: ‘Always Open’
