In the Zone | vIV i11 | Sales Tips for a Buyer's Market
In the Zone
Volume IV Issue 11
- What Successful REALTORS(R) Are Saying
- Motivational Quote of the Month
- Prospecting: Seven Steps to Cold Calling Follow Up by Ari Galper
- Negotiating: How to Stop the Broken-Record Negotiator
- Listing: Sharpen the Saw with These 5 Sales Presentation Tips
- Selling: Sales Tips for a Buyer's Market
Hey,
On September 26, 2006, MBNC reported "Annual existing home prices declined in August for the first time in more than a decade as sales fell for a fifth straight month."
On August 24, 2006, CNNMoney noted, "... a government report on new home sales showed a bigger-than-expected drop in sales, along with a continued rise in unsold homes and a further weakening of prices in the closely watched sector."
If you haven't heard yet, most of the nation is in a buyers' market. That means you need to use different skills and tactics than you would use in a sellers' market.
For instance, you can use these four unique selling skills to work and negotiate with buyers. Find these skills in this month's Selling article.
Or follow these seven tips from sales trainer Ari Galper that will help you reap the biggest rewards from cold calling prospects. In fact, with this mindset it's not really "cold prospecting" at all.
Indeed, some buyers have begun to think of this market as 'sellers suicide'. They are unrealistic about price expectations. If this is the case and you run into someone who is adamant to the point of stubborn on price, or any other issue for that matter, try this negotiating tactic to encourage him to budge. Read in this month's Negotiating article.
And finally, let's not forget that you still need to hone your skills when it comes to listing presentations. The inventory of houses to sell is growing now, which makes it much easier to get listings. But the market will eventually flip. Be ready. Master these five basics in this month's Listing article.
Enjoy!
And here's to your success,
Gary Elwood
Proquest Technologies
1-800-959-3959
Any questions about anything you've read about in this newsletter?
Just call 1-800-959-3959 and ask to speak to Brad or Ann.
Find past issues of ITZ here.
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1. What Successful REALTORS(r) Are Saying
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"With the numbers of calls that we are getting, I am converting them at a rate of about 9% to face to face appointments each month. I am very pleased with the results. The secret I have learned is to respond quickly (within 15 minutes if possible). I would recommend this system to every agent that is growing their business."
Bob Garwood
Keller Williams Realty Spokane
If you don't already know, see how Provantage could become a key, indispensable ingredient to your success--like it did for Ron Gent. Click the link below for more information:
http://www.realestategrowth.com/how_to_grow.asp
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2. Motivational Quote of the Month
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"It is not necessary to change. Survival is not mandatory."
W. Edwards Deming
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3. PROSPECTING: Seven Steps to Cold Calling Follow Up by Ari Galper
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Let’s say you’ve had a great conversation with a prospect. They’ve shared their problems and seem genuinely interested in what you are offering. You’re excited about following up with them – but your calls aren’t returned. What’s happening?
Well, the only way to find out the truth of the situation is to ask them. However, before you do, let’s stop and consider some important points. You must approach this in a way that invites trust and diffuses the barriers to comfortable communication. Here are seven important steps to follow:
1. Don't assume the sale.
Prospects are used to the traditional buyer-seller relationship. They assume you’ll pressure them. Therefore, they may decide not to tell you things that make them vulnerable to pressure. Until you’re sure you know the complete truth, you can never assume the sale is yours.
2. Keep making it easy for potential clients to tell you their truth.
Toward the end of your conversation, ask, “Do you have any more questions?” If the answer is no, follow up with the 100% final truth gathering question: “Now, are you 100% sure that there’s nothing else that I can do on my end to make you feel more comfortable with this situation?” You’ll be amazed how often people will reply, “Well, actually, there’s one more issue....” It’s at this point that you really start to hear their truth.
3. Call back to get the truth, not close the sale.
Most potential clients who suddenly disappear expect you to chase them down. They expect you to call and say, “Hi, I was just wondering where things are at?” Instead, eliminate all sales pressure by telling them you’re okay with their decision not to move forward, based on their not having called you back. In other words, take a step backward. Most of the time, this will open the door to a new level of trust-filled communication.
4. Reassure them that you can handle a “no.”
Of course, we’d rather hear a yes. However, the only way to free yourself and your clients from subtle sales pressure is to let them know that it’s not about the sale – it’s about the best choice for them. If that means no sale, it’s okay with you.
5. Ask for feedback.
Whenever prospects disappear, call them back (e-mail only as a last resort because dialogue is always better). Simply ask, “Would you please share your feedback with me as to how I can improve for next time? I’m committed to understanding where I went wrong.” This is not being feeble or weak. It’s being humble. This invites the truth.
6. Don't try to “close” a sale.
If your intuition tells you that the sales process isn’t going in the direction it should be going (which is always toward greater trust and truth), then trust those feelings. Make it safe for prospects to tell you where they stand. It’s simple. All you have to say is, “Where do you think we should go from here?” But be prepared because you might not want to hear the truth of how they’re feeling. You can cope with this by keeping your larger goal in mind, which is always to establish that the two of you have a “fit.”
7. Give yourself the last word.
Eliminate the anxiety of waiting for the final call that will tell you whether the sale is going to happen. Instead, schedule a time for getting back to each other during your conversation. This eliminates chasing. Simply suggest, “Can we plan to get back to each other on a day and at a time that works for you? Not to close the sale, but simply to bring closure, regardless of what you decide. I’m okay either way, and that’ll save us from having to chase each other.”
You'll find that these suggestions make selling much less painful because you stay focused on the truth instead of the sale. The truth is, the more we release the idea of needing to make the sale, the more sales we will likely see.
Want to learn more? Get FREE Access to 10 Audio Mini-Lessons (sent via e-mail) from the Teleseminar that put the old 'sales gurus' back into sales pre-school.
Just visit http://www.UnlockTheGame.com.
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4. NEGOTIATING: How to Stop the Broken Record Negotiator
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One of the most difficult negotiators to deal with is the unilateral thinker who can see only one possible outcome to a negotiation. This negotiator’s attitude is “My way or the highway.”
For example, imagine a buyer who is irate because the stainless steel refrigerator and oven he thought was coming with the home is not in the contract. To every option that you suggest, the buyer reiterates, “The refrigerator and oven were supposed to come with the home. I want my appliances.”
There are several counters that may be effective in this situation.
Apologizing and responding to the buyer ’s frustration with empathy is a great place to start.
Brainstorming alternative solutions with the buyer or suggesting other alternatives that might work could also be effective. For example, since the seller never promised the appliances and can't do without them, you might try the tactic of Higher Authority by asking, “On the off chance that the seller can find an alternative to our problem, would that be agreeable to you?”
Unfortunately, some people never stop playing their broken record. If that is the case, you could acknowledge your client's emotions and simply say, “I understand this is a very frustrating situation and you are not happy. Of the possible solutions I have suggested, which one would work best for you?
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5. LISTING: Sharpening the Saw with These 5 Sales Presentation Tips
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Brushing up on the basics is not a bad idea. In fact, mastering the basics is a foolproof way to reach success. If you haven't already, make a point of embedding these tips into your sales presentation and then master them for the highest standard of effectiveness.
Presentation Tip #1—Practice and Customize Your Presentation
Take time to practice your presentation many times before using it in a real live sales situation. You should know your presentation backwards and forwards, word for word.
Presentation Tip #2—Build Rapport and Qualify
Make sure you build rapport before you dive in to your presentation. People buy from people they like and trust, so spend adequate time on rapport building. The same is true for prospecting. Make sure you're clear as to what the prospect's problem is before presenting your product or service as the solution.
Presentation Tip #3 - Use Visual Aids
Your company may already have visual aids for you to use. Some things to include are media articles about you and your company. Testimonials you've received from satisfied clients. Tell stories about how you've helped another customer, especially ones that are similar to the current prospect.
Presentation Tip #4—Get the Prospect Involved
Using handouts is a great way to get a prospect following along with your presentation. You could play a game during the presentation or have them take a test. Ask them open-ended questions.
Presentation Tip #5—Emphasize Customer Service and Long Term Relationships.
The prospect needs to be sure you won't sell them and then disappear, never to be heard from again. Talk to them about your involvement in the delivery, training and service after the sale. Also let them know you're there for the long term.
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6. SELLING: Sales Tips for a Buyer's Market
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During the last five years of the hot seller's market, negotiation skills weren't quite as important as they are now. In many cases, all you had to do was put the house on the market with a reasonable price and let the bidding begin.
Now things have changed. Today, we're seeing a more traditional market where buyers have their share of homes to choose from. So the negotiation game among sellers and buyers (and their respective agents) has reached a new level of importance.
Here are four tips to help you negotiate in a buyer's market.
1. Be informed. I can tell you without exception who always wins in a negotiation—the one who has the most information and uses it wisely. It's the one tool that's imperative in any negotiation. Information leads to the right price for a property, it puts details in perspective, it lessens tensions and it keeps emotions in check.
2. Don't lower your commissions. This is a key point, because in a buyer's market, many REALTORS® automatically put their commissions on the auctioning block. But if you lower your commission to get a seller's business, what does that really say to the seller? That you're easily willing to come down on price—not what a seller wants!
3. Handle offers with care. Never flat out reject an offer. Sure, you'll get offers that you simply will not accept (and that you might even find insulting), but be careful and tactful with how you respond to those offers. You've done your homework to arrive at the asking price, so explain that to those who make offers instead of a flat rejection.
4. Keep a positive "this will work" attitude. Consider how comfortable you'd be on the operating table with a surgeon who's sending out vibes that things might not pan out. Focus on solutions and persist without exception. There really is a solution to every problem. .
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Proquest Technologies, Inc.
inthezone@proquest-tech.com
1-800-959-3959
In the Zone: Focusing on the 4 Profit Pillars of Real Estate
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"In the Zone" is a Proquest Technologies publication.
(C) Copyright 2005, Proquest Technologies.
