“Stopping advertising to save money is like stopping the clock to save time”
"Bad advertising is about the advertiser. Good advertising is about the customer."
Everything you say or do needs to define your "unique differential". What do you stand for?-- That is different from all others and relevant to your client.
Steve Biggs, Town & Country Cedar Homes, Petosky, MI
Develop a sales & marketing budget. How much are you planning to spend in order to reach your goal? Generally, most successful builders spend 1-2% of their gross sales for sales and marketing expenses. This number does not include salaries. Keep in mind there are a lot of variables to this number, such as: How long you have been in business? What % of your business is from referrals? And, what kind of exposure does your model home or office have?
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Keep it small, simple and consistent. Remember the 80/20 rule and focus on the 20%. - Chris Wood, HearthStone Homes, Dandridge, TN
Every ad should have a call to action. Give the reader a reason to call you and take action on your ad. Do not give too much information in your ad or the reader will have no reason to call or visit your model home. - Joe Wooldridge, Champion System Built Homes, Lagrange, IN
E-mail Follow up---It only works once you establish a rapport with the client and they recognize the sender. - Chris Wood, HearthStone Homes, Dandridge, TN
Avoid using email as a sales tool by encouraging voice conversation. When you receive email asking questions that are best handled in a sales dialogue, thank the sender for contacting you, ask for a telephone number and a convenient time to call. Say that you want to speak with them to be sure you have answered all their questions thoroughly. - Paul Kessler, Creative Home Concepts, Inc., Fort Collins, CO
When using e-mail- Know your product throughly before commiting anything to e-mail and tell ONLY the truth. Written information has a way of becoming part of the final contract.- Bill Faucett, Fireside Log Homes, Ellijay,GA
Determine the appraiser selection from the mortgage loan officer ASAP: • Contact the appraiser. • Introduce the appraiser to your web site. • Prepare a portfolio of your best three comparable sales in advance. • Meet with the appraiser. • Follow-up with the appraiser to ensure that all questions are answered and all appraiser concerns are mitigated.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
Nationwide construction loan and permanent mortgage information: www.systembuilt.com - Mike Cole, M&T Mortgage, Lancaster, PA
Whenever you plan a home show always plan a special event within 10 to 14 days after the show to invite people to attend (call to action). Ideas for call to action programs: Special model open house, customer open house, new home planning seminars, site visits, plant visits, etc…
Excellent way to spend a weekend in your local market. The other vendors are almost as important as the prospects, as word of mouth spreads locally. - Chris Wood, HearthStone Homes, Dandridge, TN
If you have traffic in your booth, avoid long-winded conversations with any one guest. Other visitors will feel they aren't important to you. Instead, use your schedule book and make an appointment to call or meet prospects that have interest in in-depth information. - Paul Kessler, Creative Home Concepts, Inc., Fort Collins, CO
Plan on working Home Shows? Make sure your table does not block the front of the booth and they are 42” high. Chairs are a no-no unless you plan on having a circular table to sit with customers to review plans. Consider a stool instead of a chair; it brings your high level higher. Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Looking for an easy display stand to display your photo or product book at a home show, use a music stand. You can adjust the height to 42” high or lower it if someone comes by your booth in wheelchair. Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Include photos of actually work you have done. Show one house under construction, describing the materials and structure, for lay people (use simple terms!). - Carol & Dwain Thola, Lark Homes, Inc., Lake City, MI
After a log home show, I call on my cell phone and ask the leads to do a short survey about our booth. I ask them if I can forward their name to the local dealer in their area. Then I call back a few days later on my business phone. I have found this to be very effective in getting new appointments.- Jerry Midkiff, Midkiff Building Group, Delton, MI
As simple as it may read or sound, always take an interest in your prospects and purchasers: • Make them feel at ease and comfortable in your presence. • Pay attention to them when you are communicating with them. • They should be the most important people in your life at the time when you are meeting them. • They can become an outstanding resource for you to learn about the competition of both new and existing product. • They can also offer recommendations to improve your product during the planning process, the building of the home, and more importantly, after taking possession of the home when they have unpacked and start “living” the home; and, afterwards.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
You are in the people business first. If you have good people as part of your team, you will generally have a good product. Customers buy you first. – Jerry Rouleau, J. Rouleau & Associates, Terryville, CT.
Report card: When you get your grades this term, what kind of marks are you expecting? Here are the topics, rate yourself. 1. Profitability (gross & net). 2. Ad budget: traffic to leads/ratio. 3. Estimate to sales ratio. 3. Order deposits, sales starts and completion wrap up ratio. 4. Job time frames. 5. Actual job cost to estimate. 6. Customer satisfaction ratio. 7. Referral ratio. – Jerry Rouleau, J. Rouleau & Associates, Terryville, CT.
Sales & Marketing Blueprint. We understand blueprints and know how critical they are in building homes. The more details and specifications you have, the more apt the house will finish on time and within budget. Start off a new year, having a Sales & Marketing Blueprint for our business.
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Evaluating your numbers. If you want to improve sales, you don’t have to improve traffic, but you must evaluate your traffic. Make sure you track the daily numbers of customers who come through your model and appraise the key days of the week and key months. These numbers should help you determine if you are properly staff. As part of these numbers look at the number of key leads you’ve gotten. What is the percentage ratio? Are you a tracking the wrong potential buyers or do you have the wrong sales people? If it’s a selling situation you need to determine the specific area where they need to improve specific skills. Rate your sales people on the following skills; greeting, screening/qualifying, demonstrating, scheduling and conducting first appointments. Keeping track of the above numbers will also help you to evaluate the performance level of your sales staff and how effective your advertising and special programs are. Note: One very successful company distributes leads to their sales people based on the performance of the pervious months numbers. The top sales people get most of the leads. Makes sense to me, when you consider how much a lead cost and the value of a qualified lead.
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Are you selling a Home or a Lifestyle? Harley Davidson Inc., which some people think sells motorcycles, has done it the best, "What they sell is the ability for a 45-year-old accountant to dress in black leather, ride through small towns and have people be afraid of him or her. - Scott Rouleau, J. Rouleau & Associates, Terryville, CT
NEWSLETTER: Send out quarterly, include new promotion information, upcoming events, articles regarding your training and awards and your contact information. Describe one specific product you offer in each edition. If you email it, include at the bottom a line giving them the choice to unsubscribe if they so desire. - Carol & Dwain Thola, Lark Homes, Inc., Lake City, MI
Looking to increase traffic? Have consumers stay longer when they visit? Create more be-backs? The answer lies in investing in model merchandising. The return on investment is probably the best you’ll ever get. With a return so high, why is it difficult to get builders to spend the money? Some comments I’ve heard include “I am in the building business not decorating” and “I want consumers to notice how it’s built not the décor”. While it may sound logical, it is so far off base it’s ridiculous. If you were able to ask the top 100 realtors in the country what sells faster, an unfurnished house or a nicely furnished home, what do you think the answer might be? You guessed the right answer, if you said a furnished house. So why the big confusion between a builder and realtor? It’s probably because one of them makes their money on selling a home and the other on building a house
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
The best time to get a professional merchandiser involved is before you start construction of your home. You want them in on the planning stage. Model merchandising is about first impressions and creating extra sales.
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Merchandising appeals to the consumer’s emotions, creates a strong first impression and gets the customer involved in a touch/feel/senses situation in the buying process of their dream home. When properly done it helps your company develop a professional image and increases referrals. The referrals come about, by styling your home in such a way so that your model become the topic of conversation with friends and relatives and at places of businesses, when co-workers ask, “what did you do this past weekend?” Merchandising creates a warm environment, sells value, shows quality, sets you apart from the competition, helps consumers compare and show off your finished product better.
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
How do you rate your company? Check out the 6 P’s for Sales Success
Place
Product
Price
Presentation
People
Positive Company Image
Dress Codes for New Home Sales. To be successful, you must be able to persuade and educate your customer. One of the keys to successful selling is the way you dress. You have to be extra careful in this area. People who want to buy new homes from sales professionals want to see and meet with someone who is neat in appearance. Remember your customers are qualifying you as they walk in the door and your business image reflects you. If that’s the case, you should have some basic rules on how employees should dress. You may even require a uniform mode of attire, such as company wear with your name and logo. When deciding whether you need a dress code and what that should be, you should consider the following: v Your business public image v The nature of the work performed by the employees affected by the code v Safety standards v Employee privacy interests v Whether a dress code will create morale problems. After considering these factors, select reasonable restrictions and requirements you feel appropriate to request on the dress and appearance of your employees. - Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Gestation period not for the faint of heart. It's hard to get in the business and hard to get out. May take (5) years to get established and make a buck. So having the existing business or financial wherewithall to ride out the start up is essential. - Chris Wood, HearthStone Homes, Dandridge, TN
Remember the 7/11 principle. Most customers make eleven subconscious or unconscious impressions in 7 seconds. What is the impression they are getting with your walkway, your stairs, your porch, and entry door? Every entry door to your model should have glass in it, or sidelights, or a transom. Take away the mystery of coming into your model. Make it less threatening and intimidating. What kind of a statement does you door hardware make? Is it quality or just an everyday door handle? What about a brass kick plate? After they open the door, what does your entry say? Is it welcoming?
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Model Maintenance Checklist. it is critical to have some type of checklist that you review monthly to insure the model is in top condition. Your model home is one of your strongest selling tools. Even though you may have a professional cleaning crew clean your model, a maintenance checklist is important to spot the little things that don’t receive the special attention required. We are so involved in our model home on a daily basis that we don’t take the time to look at the details. The checklist should be developed, then designated to different staff members every two weeks to check the model and fill out the checklist. Each staff member will look at the model from a different viewpoint. Customers notice the little things. Is your model home the kind of you would dream to live in?
- Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Maintenance: Curb appeal starts at "the curb". Make power washing a normal part of model maintenance. As you would the inside of the home, do to the outside of the home. Clean dry streets, curbs, front walks, and flatwork show your attention to details, and provides a welcoming entrance. - Scott Gerner, Up Right Homes LLC, Houston, Texas
Increase your market share through consumer networking: Ask for referrals from every prospect and buyer. Seek referrals from ALL previous home buyers, all vendors, manufacturers, bankers, mortgage lenders, title company representatives, etc. - S. Robert August, S. Robert August & Company, Inc., Denver, CO
Increase your market share through REALTOR networking: • REALTORS have a fantastic network of associates in their respective office and the competing offices.
• REALTORS are a gregarious group who are motivated to sell excellent product.
• Be consistent in all dealings with all REALTORS®! • Never promise anything you cannot do! • Never play a REALTOR® against a customer or vice versa. • Always pay the same commission to a brokerage firm. • All commissions should be middle of the road with the marketplace. • Any incentive that you may offer should not be broker oriented. • Create contest incentive programs. • Incentive programs should be offered to all REALTORS® in your trading area! • Every incentive program should have standard rules and regulations for everyone without exception! • Create separate REALTOR® paper and e-mail newsletters. • Follow up every contact up with electronic and/or print communication. • Write a thank you note to the cooperating REALTOR® and broker after every contract has been written. • Prepare a thank you letter to the customer and compliment him for using that particular REALTOR® and real estate brokerage firm. • Generate phone calls to REALTORS® to solicit their business. • Generate tours to REALTOR® offices! • Create seminars to educate REALTORS® about the new home building process. • Generate tours by REALTORS® to your home building company’s home site! • Go to REALTOR® meetings! • BE CONSISTENT with all REALTORS® and all real estate brokerage companies!!!
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
Increase your market share through retail business-to-business networking: •Your local supermarket may have 100 employees. • Your local hardware store may have 50 employees. • Your window vendor may have 25 employees. • Market your product to all of your neighboring businesses and subcontractors.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
Increase your market share through the use of other people’s money (o.p.m): • Create marketing plans that incorporate cross marketing whereby you obtain and utilize the money from your vendors, subcontractors, manufacturers…lenders to enhance your marketing campaign.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
People ---Customers invest in you and your ability to solve problems creatively and tactfully. If you're going to hire a "front line" person to represent your company, make sure this person handles problems with equal resolve. - Chris Wood, HearthStone Homes, Dandridge, TN
If you have good people you will generally have a good product”. “If you have so so people you will have a so so product” Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Want highly effective employees that are easy to manage, it starts with a good hire. There are four steps that should be part of your selection process.
1. The resume - Learn how to read a resume and spot gaps.
2. The interview - Formalize your interview process with the good (and legal) questions that will get you the information you need and keep you out of hot water from a legal perspective.
3. A good assessment tool (we prefer the Personal Profile System) This helps you identify the behavior patterns that are required in the job and which candidate has the greatest chance of success in the job.
4. Checking references (and in some cases background checks) They are critical to verifying information and/or confirming your perception derived from the interview. - Margot Larson, Management Alternative LLC, Niantic, CT
Interviewing tip: When interviewing candidates, develop a standard format of questions you will ask all candidates. This will help to document a fair selection process.
In the first part of the interview, ask questions to find out more about the candidate's background, interests, qualifications, track record and values. Once you have determined whether they appear to be a good fit, then (and only then) spend time telling (or selling) about the company and the job.
Why? Because if you start off telling them about the company and what you want in the job, they will simply "parrot" back what you want to hear. If they don't meet your needs, why spend your time selling them on a job that is not a good fit for their skills or your company.
Another reason for questions first is for you to learn about the candidate and be able to assess their skill set, their style, etc. If you do all the talking, you really will not get a good sense of who they are. - Margot Larson, Management Alternative LLC, Niantic, CT
Did you know, that most traditional salespeople need to be managed because they work for traditional sales managers! Traditional sales managers monitor activity rather than progress. - Scott Rouleau, J. Rouleau & Associates, Terryville, CT
Happy employees make happy homeowners. Buyers will generally buy from a homebuilder who is knowledgable, honest, and who shows satisfaction in his job. - Scott Gerner, Up Right Homes LLC, Houston, Texas
Improve your personal lines of awareness: • Subscribe to periodicals (NSMC Newsletter and Quarterly Magazine) and trade journals and read them. • Make notes about articles you’ve read. • Scrapbook notes and articles for your own personal book of knowledge.• Read as many housing magazines as you can – all types – trade and consumer publications.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
It is amazing how we don’t give ourselves the right tools to be successful. One of the most critical tools we can give ourselves is on- going training. All other key professions need continuing education credits in order to maintain their license. What are you doing to improve yourself or your people? How much are you planning to invest in yourself, to be more successful? It’s interesting that we spend an average of $800 a year in personal grooming (hair cuts, cosmetics, soaps etc.) for the exterior. How much are you going to spend, for the inside, for personal development?
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Everyone today seems to be in a rush to somewhere else. They can’t wait to graduate from college, get married, start a new position or career, get on vacation or home from vacation. Can’t wait for Friday, Monday, Summer, Winter or the BIG GAME. Life is lived in the now. People who are impatient tend to live in the future. Successful people love life, every day, one day at a time. - Tim Connor, Connor Resource Group, Davidson, NC
Who are you trying to change? Who in your life needs behavior or attitude modification? If you have a long list you have a lot of work to do on yourself before you will find true happiness. - Tim Connor, Connor Resource Group, Davidson, NC
Most people live their lives in reverse. Most of their thinking is nothing more than recycling old information, over and over again in the mind. It is replaying hurts, joy, memories, dreams, desires, and information that is essentially of no value. Real thought control permits you to decide what thoughts will be permitted access to your unconscious mind. Most people think about what they don’t want, can’t have, won’t become, or would like to change. Happy people accept the mind as a tool that can be used to create happiness or unhappines, success or failure, joy or pain, and productive now moments or wasted time in the present. - Tim Connor, Connor Resource Group, Davidson, NC
Do you need to get back to the basics? For many salespeople it would seem that a ‘let’s get back to basics’ approach would be in order for any number of reasons. So, what are the basics? Attitude management. Setting daily/weekly/monthly/yearly goals. Spending routine time reading/listening to self-help/sales materials. Isolating yourself from nay-sayers. Maintaining a high self-esteem. Managing your sales time wisely. Relying on your mentor and/or mastermind group. - Tim Connor, Connor Resource Group, Davidson, NC
Have a key photo or article that you want laminated contact: Fox Laminating - 800-433-2468. Great prices, fast turn around.
Make sure you always get a photo release from your customers.
Photography: Looking for a good photographer at a reasonable price and get to own the photo copyright, contact Rich Frutchey Associates at 802-263-5771
Photography---- Simple. You sell what you show. Invest in high quality images if you intend on attracting high quality clients. - - Chris Wood, HearthStone Homes, Dandridge, TN
Photography is one of your biggest marketing assets. Make sure when you hire a professional photographer that gives you the complete copyright. Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Grand Opening: Timing is a very important consideration. When do you hold a Grand Opening? A Grand Opening promotion is held when the formal product has been prepared to your satisfaction. You never want to be caught showing your product when it is not totally finished. Therefore, you should plan to offer your product for display when it is sellable! By sellable, it is meant that people will have the most favorable impression of you and your product upon seeing it in its completed form.
S. Robert August, S. Robert August & Company, Greenwood Village, CO
Advertising and public relations are two ingredients of the marketing mix; but, each of these avenues of merchandising do not relate to the one-on-one concept of personalization as do promotions!
S. Robert August, S. Robert August & Company, Greenwood Village, CO
Advertisement and public relations articles often help to create an awareness of an organization; but, the promotion puts you directly in touch with a specified audience.
S. Robert August, S. Robert August & Company, Greenwood Village, CO
Promotional activities can provide the best return on marketing investments as you are able to meet and engage prospective buyers face to face: • The purpose of advertising is to generate qualified leads while the art of public relations helps to reinforce the advertising message while presenting a credible and positive image of the product and/or company. • Promotions are fun. • Create parties for REALTORS. • Create parties for prospects. • Create parties for past purchasers. • Create parties for current purchasers.
• Create stand alone activities such as Parade of Homes, Festival of Homes…an Energy and Water Conservation Idea Home. • Send promotional gifts to prospects, purchasers, REALTORS. • Create promotional events with other vendors, manufacturers, lenders, local, regional and national retail organizations. • Share the expenses. • Obtain their mailing lists.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
Retain a public relations firm and a creative graphic design company: • It is best to employ an organization that has industry related experience. • Create a yearly public relations and media plan of action. • Introduce a minimum of two public relation releases per month per product line in major markets while presenting one per month in smaller markets. • Follow-up with the media representatives. • Create an extensive electronic and print distribution list. • Become a media resource representative for the industry.
- Be accessible. - Phone, e-mail…fax your thoughts about changes in the market relating to conditions, interest rates, products, sales, etc. - Maintain your web site with published news releases adding more credibility. • Prepare press releases and advertisements in languages other than English to meet the demands of the multi-cultural marketplace.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
Public Relations - How Do You Use It? Public relations (PR) efforts, will build business and your product awareness among target buyers and end users, often at a fraction of the cost of advertising. - Scott Rouleau, J. Rouleau & Associates, Terryville, CT
Publicity is the most cost-effective marketing tool there is and it's the only part of a marketing strategy that builds credibility. - Scott Rouleau, J.Rouleau & Associates, Terryville, CT
"Find out all you can about your clients tastes and previous building experience before spitting out a number. If cost is the prospects initial concern, they are likely more interested in cost than quality." - Chris Wood, HearthStone Homes, Dandridge, TN
Trying to find a housing specialty book call the National Association of Home Builders bookstore at 800 223-2665
Want to find a list of architects in a specific region or area, try: http://www.architectsusa.com/
Need demographic information, housing starts etc. check out: http://www.census.gov/ftp/pub/const/www/permitsindex.html
Do you think you have a high profile customer, go to www.google.com and type in the customer’s name and check out all the various articles and background information that have been written up on him or her. In some cases photos are available.
Have a lead management program and you want to map out your leads as well as your past customers check out BusinessMap3 at www.esri.com/businessmap.com or call 800 465-8974
Ad agency. Want to work with someone who understands the housing industry? Then check out: Power Marketing’s web site: www.powermarketing.com e-mail: info@power-marketing.com ask for Brian Flook.
Looking for a home warranty program check out: Bonded Builders Home Warranty, contact: Kimberly Friedgen, web: www.bondedbuilder.com, E-mail: kfriedgen@bondedbuilders.com
Check out John Burns' website www.realestateconsulting.com.
Read the four-part report on Senior Housing. It shows that our industry should be ready for a big boom.
Lynn Gastineau, Gastineau Log Homes, New Bloomfield, MO
Looking for domain suggestions for your company or help with your web site contact: www.quantabasics.com
Ever get a call from a customer and all you have is a phone number and part of a name? To find out who is calling, all you have to do is go to Google.com and type in the phone number and hit search. You’ll find out the name, the street address, city and state. From there you can click on Yahoo Maps or MapQuest and pull up a map of where they live. Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Increase your sales ratio by demonstrating your product. There is an old saying that says: Tell me & I’ll forget, Show me & I’ll remember and Involve me & I’ll understand.
It’s cheaper to work an existing lead then it is to create a new one
Here is an easy way to remember the type of question you should ask your customers. The 9’s for Question Selling
1. Site
2. Size - dimension
3. Square Footage
4. Shape - lines of home, number of corners, roof design, etc.
5. Spending - total budget without land
6. Schedule - time frame
7. Situation - why are they in the market now and what is holding them back from getting started?
8. Similarities - what kind of common bond do you have with the customer?
9. Shopping experience
Don't make your customers do your work; they will most likely buy from the salesperson who makes the process easiest for them.
John Batzer, Golden Eagle Log Homes, Wisconsin Rapids, WI
Tell the truth when talking to the customers. Don't hide prices, put everything into the price you give the owner, no extra hidden charges.
Dwain A. Thola, Lark Homes, Inc., Lake City, MI
Have a monthly lead generating calendar and make sure that you only keep track of what you are doing to generate new leads. If the next month looks light, find a way in advance to build it up.
Donny Kleinschmidt, LJ Klein Design, Medina, NY
Elimination process. Keep in mind that most first time customers who visit your model, and have just started shopping, are elimination shopping. They are looking at what is available to them and will eliminate potential companies that they don’t feel comfortable with, so that they can concentrate on one to three companies to evaluate and then one to select. Will your company make it through the elimination process?
Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
The most common mistake that the sales representatives make is that they fail to listen and ask questions about what the prospect is looking to incorporate into their new home. What do you know about the caller once you have hung up the phone? - Scott Rouleau, J. Rouleau & Associates, Terryville, CT
Good sales service over the phone can preserve and expand any client base. Phone sales and qualifying the customer is a very easy process but most of us sales people forget the basics. - Scott Rouleau, J. Rouleau & Associates, Terryville, CT
Strike while the iron is hot. Good faith requires something in return from client. - - Chris Wood, HearthStone Homes, Dandridge, TN
Conclude every sales conversation with a clear agenda as to what will happen next and when. Reinforce the next step and place the burden of action on yourself, not the prospect. - Paul Kessler, Creative Home Concepts, Inc., Fort Collins, CO
Use light and well-placed humor in sales meetings to release tension and lighten the atmosphere. Short anecdotes that are pertinent to the conversation can also relieve the stress that sometimes builds up during a sales meeting. By sharing a related story, the prospect gets to know you better and your relationship develops. - Paul Kessler, Creative Home Concepts, Inc., Fort Collins, CO
Let’s say your prospect says, “The price is too high.” Is that really what he/she means? How about, “I need to think this decision over”? Is she/he really saying he needs to think it over, or is there something more going on? How about, “I want to talk with some additional suppliers before I make my decision”? All of these comments can have one thing in common. They are statements that the prospect makes that may not be either the truth or a reflection of what is really going on in his mind. How do you know? You must learn to get beneath the truth line in every conversation or sales presentation. You must learn how to bring the real issues to the surface so you can address them. If you don’t, then you will not be dealing with the real objections or resistance. Traditional sales training asks you to use a variety of clever techniques to ‘overcome’ these objections. I would rather you change your paradigm and see these statements and others like them not as sales objections, but unanswered questions or concerns. - Tim Connor, Connor Resource Group, Davidson, NC
Key question Premises: Get information before you give it. There are no absolutes. Never make assumptions. Your prospect will tell you what you need to tell them to sell them. The information you don't get early will hurt you later in the sales process. If you don't get the answers you want, it is not the fault of the prospect. You have a right to ask questions. Questions determine the ongoing interest and qualification of the prospect. Questions make you stand out, look different and professional. Questioning is a skill that is used throughout the sales process. - Tim Connor, Connor Resource Group, Davidson, NC
The Purpose of Questions: Get them talking and keep them talking. Get accurate and timely information. Validate their concerns. Eliminate poor prospects. Verify prospect intentions. Build trust. Create rapport. Find common ground. Determine personality style. Get control of the sales process and phase you are in. Make you look smart. Keep their attention. Determine timing/urgency. Find supporting rationale for the need/desire/pain. Determine the strategy for the next phase – presentation. Create leverage. Give you credibility. - Tim Connor, Connor Resource Group, Davidson, NC
A technique I have used for over 25 years when I am getting information that I am not sure is the truth or is just a cover for something else is, “In addition to that (whatever he told me), is there anything else that will get in the way of our doing business together? The rationale for this question is: 1) I am not challenging his opinion, view or statement. 2) I am accepting whatever he is saying (not necessarily agreeing with him, but accepting the words for the time being) 3. I am positioning myself to determine what else might be going on (below the truth line) that might stand in our way. Notice I put a trial close at the end of the question rather than just asking the question. - Tim Connor, Connor Resource Group, Davidson, NC
Disarming sales resistance in advance: Discovering the dominant buying motive. Learning in advance what issues can prevent success. Using effective stories to illustrate your points. Not giving up too easily or quickly. - Tim Connor, Connor Resource Group, Davidson, NC
People buy from people they trust, not people they like. The key to building trust is simple. Promise allot and deliver more. Do what you say you will do and then some. Honor your commitments, communicate with integrity and be a resource for your client not just a salesperson selling a product or service.
Successful salespeople don't sell price. They sell value. Price will always seem high if value is perceived as low. When you focus on price either because of poor product knowledge, poor client knowledge or poor sales skills, you will always lose in the long run. Clients don't want cheap. They want the best value for their dollar. If you are focusing on price you will never make it big in this dynamic profession. However, if you always sell value you will never have to worry about losing business to price competition. Oh yes, on the short term you might lose a sale here or there. But If you are in this business for the long haul for both your company and your client, sooner or later your prospects or clients will come back to you and the value they need and desire. Poor salespeople believe that prospects buy for price alone or as their major motivator. - Tim Connor, Connor Resource Group, Davidson, NC
An effective sales presentation is not a presentation but a conversation. A two-way conversation, not a one way conversation. Many salespeople have been trained to deliver their sales message. This message is often a programmed discussion of the various features and benefits of their product or service. This approach to selling has never been used by the real pros. It is not an effective way to represent the product or service in the most professional manner and it is certainly not in the best interests of the prospect or the goal of making selling a new client relationship. Successful salespeople are more concerned about getting a client than making a sale. Every prospect buys for their reasons, not those of the salesperson or the company. When you deliver your standard approach or presentation you are assuming that each prospect buys for the same reasons, at the same time and in the same way in the buying cycle. This just isn't true. - Tim Connor, Connor Resource Group, Davidson, NC
Cost out (estimates) to close ratio: What are your numbers. If it’s one out of ten or higher hang it up. If you can get it to one out of five you’re a so-so sales person. One out of four you good and if you are doing one out of three, you’re a pro. If it’s one out of two, your in the top of your game, However if it’s one out of one, your just an order taker and waiting till everything is perfect. How many sales are you loosing because your not asking for the order. I don’t care how good you are there are some sales that you will loose that are just out of your control. – Jerry Rouleau, J. Rouleau & Associates, Terryville, CT.
Closing the sale is not a matter of trick closes or manipulation. It is not using fear, guilt or hard sell tactics. Closing the sale on a well qualified prospect is the natural conclusion to everything you have done in the sales process that is correct and effective. You can make people buy things they don't need, but you can't make people buy things they don't want. Poor salespeople try to turn poor prospects into customers or clients. Good salespeople identify good prospects early in the process and help them get what they want. They accomplish this with good listening skills, allot of client or prospect understanding and a willingness to be flexible and compromise. - Tim Connor, Connor Resource Group, Davidson, NC
How much are you costing your company? Lets look at the numbers. If a good sales person is closing one out of three or four of job estimates, and your closing one out of nine, what is the cost? In this case you need to do three times as many estimates to make a deal and most likely more leads. If the average house you are selling is $250,000 and you are looking to sell 10 homes a year. You cost the company profit on $5,000,000 in sales and you lost the commission on that amount. – Jerry Rouleau, J. Rouleau & Associates, Terryville, CT.
Cost estimates are a weak way of selling. Screen and qualify first. If your potential customer is looking for a cost estimate so they can compare and buy from the lowest bidders, how likely are you to make the sale? If price is an issue, send them to your nearest competition. However, if they are looking for service, quality, brand names, etc. It becomes a different issue. – Jerry Rouleau, J. Rouleau & Associates, Terryville, CT.
Use name badges? Make sure you wear them on your right side. It’s easier for your customers to read them, when you introduce yourself. Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Tired of customers wanting discounts: Sell value early on, demonstrate, screen & qualify your customer early on and get rid of the word “suggested” retail price. Jerry Rouleau, J Rouleau & Associates, Terryville, CT
When following up with a magazine "reader service" lead via e-mail, make sure you use a key word in the "subject" block, or you'll run the risk of being deleted as spam before the prospect opens the message
Joe Folker, Kuhns Bros. Log Homes, Inc. Lewisburg, PA
When reviewing your notes from a client meeting, if you do not have enough information, you have talked too much.
Patti Street, Sunset Structures, Charleston, WV
When meeting with a client and they ask you if you are the owner, you will know that you are representing your company well. Always us the words "we or our team" when referring to co-workers and yourself, never us the word "I".
Patti Street, Sunset Structures, Charleston, WV
When dealing with a prospective client, ask him/her to name 3 things they value most in the construction of their home. This will enable the builder to focus on the issues most important to the buyer. Building homes is about listening to the buyer, and meeting their needs/wants/desires - Scott Gerner, Up Right Homes LLC, Houston, Texas
Open/Welcome Flags - Used to generate extra traffic, these red, white and blue flags are available with copy saying OPEN, WELCOME, OPEN HOUSE, MODEL, NEW HOMES, GRAND OPENING or with no copy. These flags should be placed out by the road or entryway when your model is open for business. Flags are made of nylon and are 3’ x 5’ in size. Never place flags on the model itself or on the front entryway. These flags are a guaranteed way to increase traffic at your model home.
- Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Seminars: when the homes are under construction, you may create a program to educate consumers about home construction. A promotional event such as this will help to draw attention to the community. The seminar should not be geared to the direct selling of your particular product; but, should be an educational program to teach consumers about the home industry in general. The purpose of seminars are educational; and, not solely for the purpose of directly selling your particular product. If you use this exercise as a vehicle to educate consumers, they will perceive you and your associates as “trust worthy neighbors” and will eventually “buy you!” If you - on the other hand - use the exercise as one of a hard-selling mode, it may be the last opportunity you have to use the seminar as a promotional tool to merchandise your company. People do not like to be “over-sold”.
S. Robert August, S. Robert August & Company, Greenwood Village, CO
"The Modular Home" Book - The complete guide for building a modular home from start to finish. A must have for sales
people in the system built housing industry. Also an ideal resource for appraisers, realtors, lenders and inspectors. Check it out: www.the-homestore.com/order_book.php - Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
Log Homes: "On Design - Desiging a better Log Home" Book. The complete guide for building a log home from start to finish. A must have for consumerwho are planning to build a log home.. Written by Murray Arnott an industry log home design expert. Check out the book at: www.designma.com - Jerry Rouleau, JRouleau.com, Terryville. CT
“By the year 2050 – everything we know so far will represent only 5% of known information”
Doing a search? Make sure you add “ marks before and after your search words to get a more direct search.
Want to check out a property location and see what it looks like from space go to: www.teraserve.com
Technology---use it to save time and money. - Chris Wood, HearthStone Homes, Dandridge, TN
If you are looking to excel in today’s market, keep in mind, it’s not the size of your company, nor the number of years in you have been in business, or the number of people you have working for you, nor the amount of money you have, it’s how you use the technology in getting information out to your customers. Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Using Your Time Effectively. If you are not working on items that will produce sales, you are unemployed. Work on productive items that will be helpful in getting you one step closer to the next sale. Ideas: • Follow up by phone on your key customers. • Call past customers to see how they are doing and obtain their referrals. • Cost-out a popular model and obtain pricing for key options. • Do follow-up mailings. • Prepare press releases. • Work on advertising campaigns. • Get updated mortgage rates. • Role-play your presentation. • Read trade publications. • Listen to personal development tapes. - Jerry Rouleau, J. Rouleau & Associates, Terryville, CT
“What is worst than training an individual and having them leave to go to the competition...
….Is not training them and having them stay” Zig Ziglar
Prepare your company for sales success: • Every employee is a salesperson. • Teach all of your associates the philosophy and art of sales. • Train one-on-one. • Shop each salesperson three to four times per year.
- S. Robert August, S. Robert August & Company, Inc., Denver, CO
Train only those you want to keep. - Chris Wood, HearthStone Homes, Dandridge, TN
According to the latest consumer housing trends the top three important spaces in a new home are: 1. Kitchen 2. Master suite 3. Storage and closets
Per Design Basics Inc., one of the leading plan selling companies in the nation, most consumers are selecting homes that feature: Kitchens with double ovens, mixing different woods and finished, more pantry space, larger garages - primarily for organization and storage, more windows, but fewer specialty windows, the ‘rear foyer’ as a key space
Check out Design Basics they are a great resource: www.designbasics.com
Trends---avoid predicting and go with the flow. - Chris Wood, HearthStone Homes, Dandridge, TN
Cut down on the amount of small call backs by giving your customer a tool box with a hammer, both types of screw drivers, a small spackle knife, paint brushes, paint, the applicable stains or putties and a certificate for $100.00 redeemable at the end of the first year of occupancy. If the customer has not made a call back of that nature during that period then they redeem the coupon. You price this into your deal and you save every time the customer does these small repairs themselves.
Victor DePhillips,Signature Building Systems Inc, Moosic , PA
Warranties---Are as good as the paper they are written on. How you handle problems will far outweigh any written warranty. - Chris Wood, HearthStone Homes, Dandridge, TN
Warranties: “If you were presented two products that appeared to be similar to you, which would you buy?” Jerry Rouleau, J Rouleau & Associates, Terryville, CT
Bad news: when you've been in business long enough and sold enough homes, you are very likely to encounter the customer you and your employees are unable to satisfy. This will happen in spite of the most thorough sales process and best customer service practices. At best, you, your subcontractors and employees will spend a great deal of time (and sometimes $). At worst, your attorneys will spend the same resources. We call this phenomenon "When bad things happen to good builders". Here's the good news: When one of the 'features' of your homes is an insured, third party warranty with informal & formal dispute resolution agreed to by all parties, (and you employ thorough sales and service practices)- your time and resources have a better chance of being spent building and selling more homes.- Kimberly Friedgen, Bonded Builders Home Warranty Association, Columbia, CT
65% plus of consumers who buy homes have access to the Internet either at the office or at home. Will your site show up if they are searching? 87% of consumers, who use the Internet, use search engines to find websites.
Internet leads are by far the best lead source and the least expensive. How much do you spend on updating your site?
So you’re getting leads from the Internet, now the question is not how many leads are you getting, but how many sales are you getting as a result of your web page?
How many times do your key words or phrases show up on the first page? They should show up at least 8 times, or 3 – 10% of the total words. Make sure they show up at the beginning of the copy, in the middle and at the end.
How are you listed under the various key search engines? Check it out. The top three search engines are: # 1 is Google, #2 is Yahoo and #3 is MSN. Your website should be listed in the top 30 positions of search engines.
How is your company positioned on web searches? Positions 11-20 receive 87% more traffic than positions 21-30.
Is your site easy to read? Is it easy to open? Do you have too many bells and whistles?
Consider some of these web page buttons on your web site: Owner/President message, Staff photos, Photo gallery, In the news (copies of articles or bibliography), testimonials, Recently completed projects, Project under construction, Projects in the works, Commercial projects, Feature brands, Driving instructions to model/office and Resources. Certain pages should have a button titled “Send to a friend”.
Make sure you use some photos with people in them.
Do you have your contact info on every page? Keep in mind potential customers don’t always come into your web site from the front page.
Use external methods to get consumers to your web site include: Brochures, flyers, letters, ads, word-of-mouth, post cards, web cards, articles in magazines, answering machines, business cards, stationary, promotional products, e-mail marketing, classified ads, billboards, radio, vehicle lettering. etc. You get the idea. How many are you using?
Never have a programmer design your site, or a designer program your site. - Dewayne Todalen, Quanta Basics, Omaha, Nebraska
Keep it simple and low maintenance. Don't overestimate it's ability to sell homes. People still buy from people. - Chris Wood, HearthStone Homes, Dandridge, TN
Include photos of actually work you have done. Show one house under construction, describing the materials and structure, for lay people (use simple terms!). - Carol & Dwain Thola, Lark Homes, Inc., Lake City, MI 49651
Women make 80% of the decisions related to home purchases and they spend more time online than watching TV - so make sure your site speaks to them! Use photos of "real women" that they can relate to - not just 18 year old super models. Julie Ostrand, Quanta Basics - www.quantabasics.com
When your searching for a website designer, visit the pages of out-of-market builders and when you find ones you like, follow the link to the designer (usually at the bottom of the page). - Matt Spiess, Horizon Homes, LLC, Delta, OH
