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!
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.
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?”
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.
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?
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?
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