“Realtors, Remodelers and Home Builders- Discover how to go from Bust to Boom in 2010 with these 3 Sure Fire Tactics”
What’s in store for housing in 2010? Wouldn’t we all like to foresee that!
My crystal ball is in the shop again so I’ve put together 3 tactics that cutting edge Remodelers, Home Builders and Realtors are using to “crack the code” in 2010.
Warning: You will not hear about these iron-clad strategies from others so if you snooze, you lose…Enjoy!
Ok- 2009 is over. Great, right? I know this was a tough and trying year. But before we close the doors, let’s look at what was good about it…
- A lot of your competitors are gone and you (the strong) have survived
- You’re efficiency is off the charts because you’re doing more with less
- The market has taught you invaluable lessons and you’re a LOT smarter in January 2010 than January 2009
What the worst mistake most of you made in 2009?
If there was one mistake I watched most home builders and remodelers make in 2009 it was REACTING to the market.
When you react it usually means two things-
- Sales are down and you make a move to step them up. Usually this means you cut prices.
- When you do make a sale, margins suffer.
Very few predicted the full extent of how much our market would change in one year…Don’t beat yourself up if you reacted to the market for most of ’09- it was a very difficult mistake to avoid.
So What’s Your Strategy to Ignite Sales This Year?
You’re smarter, more efficient and have less competitors.
If you’re going to get PROACTIVE you need some sure-fire tactics.
Here are 3…
1. Focus and Filter: Diversifying is NOT, I repeat, NOT the answer! Every other industry out there has specialty companies that target a certain demographic and psychographic profile. Very few in the housing industry do. We’re all trying to sell the same thing, the same way- yet we tell our prospects, “we’re better.” It’s no wonder we’re frustrated by price wars.
When money is tight consumers take longer to shop and will choose the companies they feel are best suited to solve their problems. Only about 10% of consumers will buy purely on price. The other 90% buy on emotional perceived value.
If you want consumers to choose you for what you are (and make a buck at doing it)- you can’t be everything to everyone.
The micro market (small niche business) section of our economy is poised to boom (and certain sectors are already booming!). The housing industry needs to take the lead from companies like Target, Best Buy and Ford. All of these companies focus on niche offering to a specific target market.
Focus on what you do best or focus on an un-served niche in your market. Filter everything else out- especially the sacred cows!
2. Beware of Baby Boomers: I know, I know- you’ve been told that you should be targeting boomers- this is where the money is, right? This is where the money USED to be and this group may have the lowest consumer confidence.
- Boomers are getting old (the oldest are turning 64 this year) and they don’t have a lot of time in the workplace. They’re not willing to take on large mortgages and want to do lateral moves as they consider down sizing (which doesn’t work because their current home has lost so much value).
- The dreams of early retirement and staying young forever are fading. Boomers lost an incredible amount of wealth last decade, have burned through a lot of savings and won’t be able to replenish it quickly.
Remodelers take note- aging in place along with certain remodeling projects will start to appeal to boomers because they will find themselves unable or unwilling to move (along with the acceptance they are getting old).
3. The Decade of the Woman: Over the last 30 years a woman’s role in buying, building and remodeling homes has grown to where she is now 80% – 91% of the primary influence.
Couple that with our current job market. Approximately 72% of the job losses have been men due to the high percentage of construction and manufacturing jobs shed.
There is no doubt that as this decade plays out women will not only continue to be the emotional decision makers- they will also take a larger role in the financial decisions of the home.
Find out how a group of home builders and remodelers are making their companies more appealing to women (and adding to their bottom line)>>
What are your predictions for 2010 and beyond? What tactics will the new and rebuilt home builders, Realtors and Remodelers be using to unleash sales?
Share your thoughts below…
Happy New Year & Happy Selling!