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I find commentary on sales sites maddening. Not all commentary, but the salespeople who are a bit confused about their job description.
When sales pros believe their job is to show and tell will go along endlessly with customers who want to see product after product, home after home, or car after car. Ultimately, the prospects ends up with something they can live with. Even more frustrating is that, because the customer hasn’t found the solution, whenever a concern comes up, the sales pro – home sales consultant has only one recourse–try to lower the price until the customer is willing to accept. I could not disagree with this approach more.
Let’s think about it from a realtor’s perspective (though it applies to other industries, too).
A realtor with this approach is FAR from earning their 1-3% keep and really makes him/herself unnecessary. Sellers may as well use a for sale by owner (FSBY) approach and buyers may as well contract on the home with the lowest cost per square foot.
If you’re representing the seller (either the builder or homeowner), your job is to find a way to sell the home at the price the homeowner wants to sell it. The whole point of your contract (and your fee!) is for you to sell the value of the home, not to spend your time convincing the homeowner that they need to lower the price.
Let’s say you get a $3,000 commission. If you spend time trying to convince the homeowner/builder that they should lower their price by $5,000 so that they can have the lowest price per square foot for what they’re giving, the total cost to the builder/homeowner is 3K to you (in commission) and 5K to the buyer (in lower price). So you just cost the builder/homeowner $8,000 out of their pockets. And for what?
They might just say, “If we’re 5K overpriced, we’ll lower it 5K and get you out of the picture. That’ll save us 3k and we can put $1,000 of that towards a for sale by owner marketing kit.” So, y taking yourself out of the deal, you save the homeowner/homebuilder 2K. Be careful what you ask for.
Now I understand that realtors and builders can be confused about the value of their homes, but this is a conversation that needs to happen before you sign the agreement. Don’t sign and then come back with your comps a month later saying it’s overpriced. Let the seller know what they’re getting into up front. And once you agree to market and sell a property, sell it at that. Don’t come back later and change the rules.
Earn your commission. Show and sell.
Here’s to earning what you’re worth!
JASON FORREST (two time Stevie Award winner – 2014 Silver Stevie Award for sales training program of the year, and 2013 Gold Stevie Award for sales training or education leader of the year) is an expert at creating high-performance sales organizations through sales training programs, management training programs, and cultural awareness training. He addresses beliefs (not just behaviors) to increase sales, develop leaders, implement cultural accountability, and transform companies into sales organizations. A sales professional at heart, Forrest believes in both the art and science of the sales process. Forrest’s competitive distinction is his behavior-modification approach (which focuses on people, process, and presentation) and his focus on beliefs, not just behaviors.
FORREST PERFORMANCE GROUP specializes in corporate training programs, leadership training programs, and sales training programs. Forrest PG’s competitive distinction is its belief that true change starts at the top, occurs from the inside out, and requires long-term coaching, rather than short term training. Too many organizations are short-sighted regarding training and they only provide one-day events to entertain sales pros and give them a short-term boost in energy or motivation. One-day events are valuable as a jump start, but complete training programs provide increased sales, measurable ROI, tangible sales tools, and accountability.
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