Taxi Cabs, Mexico, Selling New Homes and Remodeling- What do they have in Common? A Discussion We All Need to Have…

So here’s the scoop…I was privileged to be invited by NAHB and a Builder 20 group to speak – in Cancun. Yes you’re right, not a bad gig if you can get it!

Here I thought I was coming to Mexico to educate home builders on sales and marketing. Little did I know I would become the student, not the teacher.

It all started when we arrived at the airport and needed a taxi. What followed was the most beautiful example of a multi-step sales process (the same process YOU need to be using) that I have EVER seen…Enjoy!

~Rick

My wife Nancy and I decided to add a few days to the trip for some R&R WITHOUT kids. We arrived at the airport and proceeded through immigration and customs. Our next task was to get transportation to the hotel.

Engage

As we walked we were greeted by a helpful young man who escorted us to Jeanie- a person who could help us get a cab.

Jeanie spoke excellent English and quickly advised us on which cab service to use and how much we should pay (using the wrong service could double our fare!).

After she took care of our cab ride she switched the conversation to our hotel- namely, where we were staying. She asked us if we had been to Cancun before and how well we knew the area. It had been 13 years since our last visit so we welcomed her information.

Establish Trust and Credibility

Jeanie pulled out a map of the Cancun hotel zone. She showed us where our hotels were. Next she pointed out the airport location. As she is doing this she begins making notes with a black marker.

On the edges of the map were photos of different activities. Her next question was, “We’re you planning any activities while in Cancun?” Nancy told her she wanted to swim with Dolphins.

Jeanie flipped over the map and on the back was sample prices of what you would pay for each activity if you booked it through a hotel. Jeanie asked, “Would you be interested in picking as many of these activities as you wanted for $50 per person?”

Lifestyle

Jeanie explained to us that the #1 resort in Cancun (she didn’t disclose WHERE that stat came from!) was celebrating 25 years in business this year. The resort’s goal was to introduce as many people to it as possible.

She told us the resort was offering 3 benefits to everyone interested (she wrote these benefits on the map as she explained them).

1. Unlimited activities for $50/person.
2. A full day at an all-inclusive resort- FREE
3. Two 30 minute spa’s- FREE

All the resort wanted us to do was stop by on Saturday for a 90 minute breakfast.

Be Proactive

I told Jeanie that I couldn’t attend Saturday because I was presenting all day. She asked if Sunday would work and I told her we were switching hotels so I wasn’t sure.

Jeanie quickly came up with an idea. Her resort would pay for a round trip taxi. To save us some money, the cab could pick us up at our old hotel and bring us to the new hotel. I knew we had some downtime between check out and check in and thought this would work fine.

I asked her one last question, “Is this a timeshare presentation?” She showed me a receipt from her resort that specifically stated, “This is not a timeshare presentation.”

Controlled Release of Information

To get the activity passes we had to pay for them at the airport and PICK THEM UP at the breakfast. We were given the map Jeanie had made notes on and she asked us to plan which days we wanted to do each activity.

The Sales Environment

On Sunday we arrived at the resort and met Hector. Hector had breakfast with us and showed us the resort. It was gorgeous. Hector showed us the grounds, common areas and suites. I had fun talking to Hector and at the end of our time together he took us into a “closing” area of the resort.

The Rest of the Story…

The resort wasn’t selling timeshares- they were selling a vacation club (as far as I can tell it’s about the same thing). For those of you who have been to time share presentations before you know the drill.

As we went through the process, I asked Hector what his conversion rate was. His answer? 30%- He closes 3 out of 10!

What if resorts sold timeshares and vacation clubs like we sell new homes and remodeling?

Can you imagine my reaction if Jeanie would have handed me a brochure and asked, “Are you thinking about joining a vacation club?” Her conversion would be about 0 out of 10!

Yet isn’t that how we try to sell new homes and remodeling services?

We try to generate as many leads as possible and ask all of them if they are ready to buy…How well is this working for you?

One-Stepping

A one-step sales approach is where you ask your prospects to become a buyer in ONE STEP. You advertise…”Call, email or stop by if you’re in the market for a new home?” And guess what- the phone doesn’t ring too often, does it?

The question you have to ask yourself is- how many people are you talking to that are INTERESTED BUT NOT READY? You probably talk to hundreds like this each year.

Your Sales Funnel

The resort in Mexico had painstakingly developed a sales funnel that converted 30% of their prospects. It started with a taxi ride and offering knowledge of the area.

They know people are shopping differently today. They changed their sales approach.

As you might have guessed, your sales process needs to change to. You need to develop a multi-step sales funnel needs that includes the following areas…

The hook. The hook has nothing to do with your solution (your new homes, lots or remodeling) but has everything to do with the problems of your target market.

Believability. Only 10% of adults learn by listening. 45% learn visually and 45% learn kinesthetically (learning by doing.) Yet I walk through countless model homes with no visual aids and no active participation in the sales process. Credibility is established through visual aids (and a model home alone isn’t enough).

Building Value. 90% of what you do is exactly what other home builders and remodelers do. You can’t build value by trying to prove you have better sticks and bricks. Value is only built with the 10% that makes you unique, special and DIFFERENT.

Anticipating Objections. The top 6 objections from your target market should be built in to your sales process. Don’t wait for them to be brought up. Brag about them!

A Reason to Follow-up. The only way you can control the sales process is by holding back key information. You do this to give your prospects a reason to meet with you in the future or follow-up with them.

Your Facilities. Perhaps one of the most overlooked aspects to selling new homes and remodeling services is leveraging the 5 senses. Auditory, visual, smell, touch and taste are powerful subconscious motivators.

Getting the Sale. Rarely are large purchases such as home sold on the first or even second consultation. It can take months and in some cases years from the time you first meet a prospect until they sign on the dotted line.

Developing Your own Multi-step Sales Funnel

This is a pretty complex process and since you’re still reading I want to help you do this. I’ve recorded a short “how to” video that will walk you through this system AND have a guide you can download in my resource area. Of course both are FREE.

You can get access to the “how to” video and guide by clicking here>>

I can’t guarantee you a 30% conversion rate but I WILL guarantee this…

If you’re still using a one-step approach to selling today you’re losing sales to your competitors who have adopted a multi-step approach. It’s just a matter of time before they put you out of business.

Wouldn’t you rather be the one left standing?

P.S This is probably the best resource I’ve added to my free library. It’s a road map of what my best clients are using today. Why not get started today?

Watch the video and get the free guide by clicking here>>

Click here>> and get Rick’s FREE copy of 6 Secrets to Maximizing Your Home Sales in Any Market Revealed.

Ask Rick a question and he may feature it in an upcoming issue of Coach’s Corner>>

Rick Storlie has been helping home builders and remodelers maximize their sales since 1992. Get your FREE e-guide, “6 Secrets to Maximizing your Sales in any Economy Revealed by visiting

www.NHSalesCoach.com.

7 New Home Closing Experts Share Their Best Closing Strategy

Here’s  a quick read with 7 ideas you can use to help your closing process today!

Happy Selling

~Rick

http://www.housingzone.com/probuilder/article/CA6718962.html

Wondering How to be a “Hall of Fame” Home Builder, Remodeler or Realtor? Why Not Copy How a REAL Hall of Famer did it…

I caught a radio interview with John Randle the other day- a former NFL defensive tackle that was just voted into the Pro Football Hall of Fame.

With everything John had to go through, he never should of played in the NFL. Yet in 2010 he was voted, by his peers, as one of the best players to EVER play the game.

I couldn’t help but see the similarities in his story- with what we as home builders, Realtors and remodelers are up against on a daily basis.

There’s a few lessons we can all learn from John. Maybe you too can create a hall of fame business- against all odds.

~Rick

This was told to the 244 pound defensive tackle John Randle in 1990 at the Minnesota Vikings training camp by a coach.

John’s story starts in the little  town of Hearne, Texas- population 150. He was a self-proclaimed poor country kid that had to hitch hike home from practice every day.

He attended the small division II school of Texas A&I where he ALMOST went completely unnoticed.

After he went undrafted, a Minnesota Viking scout remembered catching one of his college games and invited John to attend training camp as an undrafted free agent.

The first thought on John’s mind was trying to last the entire 2 week camp. But as camp progressed he was overwhelmed by the chance to show the pro’s what he could do.

That chance was all he needed and John earned a roster spot on the team. He played in all 16 games his rookie year and earned a starting spot the following season.

After an injury sidelined him for part of the 1991 – 1992 season, John went on to play in 183 consecutive games. Over his 14 year career he amassed 137.5 sacks- tied for the number 6 most sacks of any NFL player.

Always Behind the 8 ball

Every game John played he was undersized. Just like every day you look for business- unemployment, low consumer confidence and tight credit are bigger and stronger than you are.

John developed 4 strategies to cope with his “market” and become one of the best to ever play the game…

Strategy #1: Leverage Your Coaches. A big heart and great attitude will only get you so far. John credits his coach’s for teaching him techniques that allowed him to stand out. He came in early and stayed late at practices- always looking for an edge.

I’m sure you work hard. But are you working smart? Are you leveraging the people in your life- or bringing others into your life that can give you that extra edge?

Strategy #2: The Law of Focus. John wouldn’t talk to his teammates before a game. He wouldn’t shake hands with any opposing players and he was superstitious. He had the same pregame rituals that HE felt gave him an edge.

Are you focusing on the activities that will bring your next buyer in the door? Or are you spending time doing things that are no longer relevant in this market? Everyone has the same amount of time in the day. How are you spending yours?

Strategy #3: Have a Secret Weapon. Speed was what John was known for. But he’ll tell you  what made him great was his hands.

“I used my hands to make sure guys couldn’t block me,” he said in his interview. “Nobody was expecting that.”

What do you do for your prospects that your competitors won’t do? How do you differentiate? Every owner and salesperson needs to push themselves to where they are uncomfortable.

You must constantly be developing your own secret weapons.

Strategy #4: What are You Saying? John was infamous for his “motor mouth.” He would study his opposing players and find out as much personal information as he could.

On Sunday he had his scripts all ready to go…

“I used trash talk to get into people’s heads and make them overplay, ” John commented. “One game Trent Dilfer was thrown out for beating on my chest because he was so upset at what I was saying to his offensive lineman.”

Now more than ever you need a carefully crafted verbal presentation. And it’s changed over what you needed just a few years ago. Many salespeople lose opportunities not because of outside forces. They lose buyers because they don’t pay attention to what they’re saying or asking.

It all comes down to objections…

During the radio interview John described how he got into the NFL. “Some guys get there in a limo. Some guys take a bus. I happened to walk.”

You’re just a country kid…

You didn’t go to the right college…

You didn’t get drafted…

You’re too small to play in the NFL…

These are nothing but objections. John learned to deal with them. And you can deal with the objections of the moment too.

You just need a big heart. The rest is easy…

Happy Selling!

Home Builders, Remodelers and Realtors- You Have a 96% Chance of Failure if You Miss This

Are you ready for the spring sales market?

Are you looking for innovative ways to Close More Sales and Maximize Profits?

Statistics show that about 60% of your sales are made by June 1st. These next couple of months will either make or break your year.

Well, this is where the rubber meets the road…

It’s where I pull out all the stops and take a full day to share with my clients the most powerful sales techniques I know.

If you’re tired of muddling along without the sales tools you need in 2010- this is your once-a-year chance to attend my Sales Symposium…

The Ultimate System for Closing More Sales and Maximizing Profits>>.

Here’s the deal. I put this on for my clients and only let a few other people attend. That’s it. No encores.

This year I’ve decided to let 10 other people get the same iron-clad strategies my clients are using to outsell their competitors 8 to 1.

I’ll be presenting the same sure-fire tactics that my clients get- only at a fraction of the price. And when 10 other people have signed on- the doors are closed on this symposium until next year.

Does this stuff work? Don’t listen to me. Click on this link to see how Andy beat out 25 other competitors who didn’t have my training.

Use this link to hear Andy’s story>>

One last thing…if you register for the class in the next 3 days, you can take 10% off the registration when you use the promo code moresales2010. Just type in “moresales2010″ when you checkout to save 10%. You need to do it by February 19th to get it!

Will you be in my video talking about your great 2010 next year?

P.S Remember- only 10 people get the opportunity to get my easy-to-implement ideas AND save 10% off the registration. Good luck!

Register for the symposium here>>

Click here>> and get Rick’s FREE copy of 6 Secrets to Maximizing Your Home Sales in Any Market Revealed.

Ask Rick a question and he may feature it in an upcoming issue of Coach’s Corner>>

Rick Storlie has been helping home builders and remodelers maximize their sales since 1992. Get your FREE e-guide, “6 Secrets to Maximizing your Sales in any Economy Revealed by visiting

www.NHSalesCoach.com.

Why do some salespeople excel over others? Why do some always have follow up activities going on, regardless of how many prospects are coming in the door? Why is it that some salespeople consistently get higher customer satisfaction scores than those of their peers?

As a sales trainer and coach I am constantly seeking the answer to those and similar questions. The 80/20 rule states that 20% of the new home salespeople will make 80% of the sales (and commissions!). On the other hand, 80% of the salespeople make only 20% of the sales. I’m guessing that those of you in the 80% group would like to figure out how to get into the top 20% or even top 10%. On May 19, 2007 I found some answers on just how to do that.

I’m not a horse racing fan but for some reason, the results of the 2007 Preakness caught my attention. There were two horses battling it out right to the end of the race. Street Sense, the lead horse, had taken a big lead against the rest of the group and looked like he would run away with the crown. But coming around the final turn, a horse named Curlin started to gain on Street Sense at every stride. They were neck and neck coming into the finish and it was Curlin, by a nose.

Now in my book, it didn’t matter if Curlin won by a nose or six lengths. He will go down in history as the winner and Street Sense will forever be second. After hearing this it hit me that in order to “win” in new home sales, we only have to persuade our prospects just a little bit more than our competitors. Consider these other thoughts I looked up:

1. The average margin of victory on the PGA tour over the last 25 years is less than three strokes.

2. An Olympic sprinter will train for six to ten hours a day, six days a week for three years for a race that usually lasts 10 seconds. In 2004, the difference between first place and fourth place in the Men’s 800 Meters was .71 seconds!

3. At 211 degrees, water is very hot but if you increase the heat by only one degree, water boils and turns to steam. Steam can power a locomotive! (For a great inspirational video on this concept, visit 212 movie.)

If you want to win at new home sales, that little bit of extra effort will put you in the winners’ circle (or in our case, at the closing table) more often than not.

Here is the key point: to get what you’ve never had you must do what you’ve never done!

Question: “How do I apply this ‘extra degree’ of effort to the new home sales process?

Answer: Read on!

In May, we discussed Presenting and Demonstrating. Our next two steps are Selecting One (creating urgency) and Objections. With Objections, we are moving into the Action phase of the Critical Path. This is really what separates the winners from the losers.

A=Attention

I= Interest

D= Desire

A= Action

The Critical Path to new home sales (in chronological order):

1. Preparation

2. Greeting-Attention

3. Discovery/Needs Analysis- Interest

4. Presentation- Interest

5. Demonstration- Desire

6. Select One- Desire

7. Objections- Action

8. Finance- Action

9. Closing- Action

10. Follow up- Action

11. Due Diligence- Action

12. Referrals- Action

Selecting One (creating urgency)

“If you don’t want this home there are two other families that do,” or “We’re selling one home per week at Wild Meadows so if you don’t reserve this site, there is a good chance it won’t be around two weeks from now.” The previous are statements that were heard far and wide between 1998 and 2004. As you all know, you can’t use them anymore. How do we create urgency in today’s market? By narrowing down each prospect to one specific home or homesite.

The only way to accomplish this is to create a Unique Selling Proposition (USP) for each home or homesite. Take a look at the following list of ways to distinguish your individual homes or sites from one another:

1. Price

2. Size

3. Style (flat, LO, WO)

4. Vegetation

5. Location within neighborhood (near park, amenities, larger homes)

6. View (trees, water, green space)

7. Orientation to sun

8. Easements (utility, drainage, conservation)

9. Cultural preferences (address, cul-de-sac)

10. Limitations (width, depth, water table)

Use this list to give every home/homesite you are selling some unique characteristics. The idea is you don’t have 20 sites available, you only have one or two that will work for your prospect. For more information on creating urgency, click here Creating Urgency.

Objections

I’ve got a great article on objections here Objections but today I wanted to share my favorite technique for dealing with objections in today’s market. It’s called, Just Suppose and here is how it works.

The next time you have selected one with a prospect and now you are moving into the objection phase of the sales process, try this.

Prospect: “We would buy from you if we could afford it,” or “If the (road, power line, gravel pit, etc.) weren’t there, we would buy.”

All Pro Salesperson: “Mrs. Prospect thank you so much for bringing that to my attention. In addition to (list objection), is there anything else that would keep you from owning today?”

If the prospect gives you another objection you say, “Besides that, is there anything else?”

If the prospect says “No, that is all,” you use the Just Suppose method.

All Pro Salesperson: “Mr. Prospect, just suppose (the road/view/power line) wasn’t there, would you want this home?” If they say yes, it’s a legitimate objection and you move to changing the base of the objection (list out all the positives of the home/neighborhood/community) and simply ask, ‘what is more important, you getting all the amenities you want at the budget you’ve determined or the fact that the view could be a bit better?”

Now, if they still say ‘no’ after you have removed the objection you have a smoke screen. Something else is wrong that they are not telling you or they are not a ready, willing and able buyer. It’s time to dig deeper!

Try this technique the next time you get an objection and see how good it works.