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Getty ImagesWell if you were Coca-Cola it would be. In a recent BusinessWeek article, the small but powerful reputation consulting firm Communications Consulting Worldwide (CCW), claims that if Coke’s reputation were as good as Pepsi’s their stock would be worth 3.3% more or about $4 Billion dollars.CCW goes on to outline several other “brands” that benefit from the intangible attribute of “good reputation” such as Exxon, Southwest, and Johnson & Johnson. They report that, “a company’s reputation for being able to deliver growth, attract top talent, and avoid ethical mishaps can account for much of the 30%-to-70% gap between the book value of most companies and their market capitalizations.” WOW!

One of the problems they discuss is just how companies go about communicating their reputations to the rest of the world, and why many times, all things being equal, the company with the better reputation gets a premium on its value.

There is no mystery about this. Good companies are worth more. So are good real estate agents. I think good agent instinctively know this, and work at cultivating a good track record.

Reputation science is going to become the new “mass media”, only ads or marketing from trusted sources will be let thru many consumers filters, look at what has happened with spam. How are you managing your reputation? Do you realize that your good reputation is worth? 

What if it were worth just one percent (1%) more of commission?  In California, that worth about $28,000 annually, for the average agent, but its probably worth substantially more, since a good reputation would elevate you above the average agent, but its hard to quantify.  1%, 1 more deal, 1 more referral?  I’d say conservatively its worth about $12,500 for doing the same number of deals your doing now

I’m really interested to hear what you are doing to build a good reputation. Drop me a note at mike@agentscoreboard.com