Objections are Directional Signs Leading You to the Close!
Buyer’s objections can often derail sales people and end up blowing up the sale. Objections CAN be deal breakers if not identified and overcome quickly.
The problem with objections is that most new home sales consultants view them as a negative. They don’t want to deal with them or, if they do, they just want to provide an immediate solution to the objection and move on. We have actually seen sales consultants IGNORE objections presented by their prospects. Obviously, this is not a good way to handle objections.
Objections are actually powerful selling signals which, when handled properly, actually lead the sales associate closer to the sale. The goal with handling objections is to flush them out early and respond in a calm, convincing way that neutralizes the prospect’s concern.
Below is the 4 step process that we recommend using each time you are presented with an objection.
STEP 1: Validate/Show Empathy – This lets your prospect know you have heard them and validated their point. ‘That’s a great observation!’, ‘I understand what you are saying’, ‘Thank you for pointing that out to me.’
STEP 2: Question/Clarify – This allows you to clarify exactly what they are objecting about. Believe it or not, many times there can be a miscommunication between what the prospect has said and what the sales consultant actually interprets. ‘So, tell me specifically what it is about the kitchen layout that isn’t working for you.’
STEP 3: Offer Solutions (if possible) – Not all objections will have a solution, but if there is one, this is the place to provide it. ‘Here are a couple of suggestions that may work for you.’
STEP 4: Confirm it is resolved or not a deal breaker – At this point you want to make sure that this objection is no longer going to persuade them regarding the purchase of the home. ‘So, do you think that idea will work for you regarding the kitchen layout?’
BONUS TIP: Another great way to handle objections is to ask the prospect at the beginning of your sales presentation to name their 3 MUST HAVES in their new home. This way, if you are presented with an objection during the model demonstration, IE. ‘These secondary bedrooms seem too small’, you can simply remind your prospect of what those three must haves were (assuming one wasn’t large secondary bedrooms!). This reminds the prospect to focus more on what they REALLY want in a new home and not get caught up in the smaller details.
5 Tips to Master Your Sales Presentation & Ace Your Next Video Shop!
As the Sales Coach and Trainer for Melinda Brody & Company, one of the nation’s premier video mystery shopping firms, I have watched thousands of video shops completed by new home sales professionals. Trust me when I tell you I have “seen it all”, the GOOD, the BAD, and the UGLY.
The highest scoring video shops always have one thing in common; they incorporate the following 5 strategies every time. So, here you have my five tips that will help you MASTER your sales presentation.
- You had me at Hello – Remember, you only get one chance to make a great first impression. How you meet and greet your prospects sets the stage for the entire presentation. Be sure to make them feel welcome!
- Stand up to greet them
- Shake their hand
- Use their names
- Introduce them to you, your builder, and your community
- Be enthusiastic! (and SMILE)
- Getting to know you – After the initial introduction, most sales people immediately launch in to a full dissertation about their community and their homes. (We call this Feature Dumping!) It is more important at this time to get to know your prospects, discovery their wants and needs, ask questions….and LISTEN. Here’s what you need to know:
-
- Current living and $$ financial situation
- Information about the family
- Occupation
- Lifestyle – Hobbies – Recreation
- Dreams for the new space
- Discover their WHY
- What’s Important to you? This my favorite question to ask during the sales presentation because if you ask it…..your prospects will tell you everything you need to know to sell them a home! You need to sell your prospects three things….a Home, a Community, and a Home site. So, doesn’t it make sense to ask them what’s important to THEM? If they tell you a 1 story open floor plan with a formal dining room, in a community with a clubhouse, on a conservation home site is important to them, then that’s what you know you need to show them!
- Your Brand – Chances are your prospects are looking at multiple home builders before making their final decision. So, it’s your job to be a brand ambassador and create a compelling builder’s story! What is your builder’s USP (Unique Selling Proposition)? This sets you apart from the competition. Ask your prospects if they have ever built a new home before. If they answer yes, ask them what they liked and/or disliked about the experience. This simple question will provide you with their ‘hot buttons’ when it comes to talking about your builder.
- Overcome Objections – Chances are that you will be presented with objections from your prospects during your presentation. This is a GOOD thing! Your prospects are looking to you to help them solve the problem, or in other words, overcome the objection. When you are faced with an objection, follow these four simple steps:
- Show Empathy – “I can certainly appreciate and understand that.”
- Clarify – “Tell me more about that”, “What is it specifically you dislike about the kitchen?”
- Offer Solutions – “I have an idea that might work for you”
- Confirm – “Will that work for you?”
When you master these 5 tips/techniques, you will become more comfortable asking for the sale because you have earned the right to ask. Remember, closing is not pushy, annoying, or obnoxious. If you do everything leading up to the close – build rapport, qualify/discovery, tell your builder’s story, overcome objections….you will have earned the right to ask!
If you don’t ask….the answer is always NO.
Video Mystery Shopping: What was your name again?
On the Video Mystery Shopping scoring sheet, there is a question that reads: “Did the SA use the prospect’s name more than twice during the visit?” Now, initially you might be thinking, “That is a silly question to ask! Of COURSE the SA used the prospect’s name AT LEAST twice during the sales presentation!” Well my friends, you would be surprised!
In about 75% of ALL the video mystery shops we review, the SA DOES NOT use the prospect’s name more than twice….in fact in most of the video shops the SA doesn’t even use the prospect’s name once!
How can this be? I have asked SA’s countless times why they don’t use their prospect’s names, and the first response I normally get is ‘Oh, I am HORRIBLE at remembering names! And then I am too embarrassed to ask them again what their name is.”
OK, I get that. But, let me ask you this….can you honestly tell me that you would be comfortable asking someone to purchase a $500K home without even knowing what their name is? I can just picture it now ‘Hey, what’s your face, do you want to move forward in the purchase of this home?’
If you are not good at remembering names, here are a few suggestions for you that will help.
- During the sales presentation, carry a clipboard with you. Write the prospect’s name BIG AND BOLD on a sheet of paper that is on the clipboard. This way you can easily glance down and see it.
- Try using the prospect’s name a minimum of 3 -5 times during the first 20 minutes of the presentation. For example, “Sarah, tell me what’s important to you in your new home?” , “Have you ever built a new home before, Sarah?’
- If your prospect has an unusual or hard to pronounce name, ask them to say it for you. This can be done by simply saying “You have such a unique and beautiful name, would you mind repeating it again for me?”
- Use an Alliteration Memory tactic. For example, if your prospect’s name is Sam, notice something about him that also begins with an S. Sam is wearing sunglasses. Sunglass Sam. This may sound silly but it really works!
The bottom line, do whatever you need to do to remember your prospect’s name and USE IT.
Video Mystery Shopping: Be Your Personal Best
Over the past few months I have noticed a DANGEROUS new trend among new home sales associates. They are working themselves TO DEATH! I spoke to one sales associate last month that said she had not taken a day off in over 28 days. Another sales associate told me he had not gone on a ‘real’ vacation in over 2 years! And yet another told me she had not worked out or gone to the gym in 6 months and had subsequently gained 35 lbs. because of it! I hear stories like these almost on a daily basis!
OK, people…here is your wakeup call! It’s time to start taking care of yourselves! How can you be expected to perform at your best if you are not taking the time to relax, recharge, and rest! Let’s start with your smart phone…..it’s OK to turn it off at night. I have actually heard sales associates tell me they SLEEP with their phones. I don’t know about you, but I have never heard of a new home sales emergency taking place at 2 a.m. Suggestion: set a designated time each night to turn your phone off! Also, if you are in the practice of keeping your phone on when you are eating dinner with your family, at least put it on silence or vibrate. If calls come in, let it go to voice mail and return the call later.
Secondly, most new home sales associates are given two days off during the week. These are called ‘days off’ for a reason. You are not supposed to work. However, almost every sales associate I speak with says they literally work through their days off. I certainly understand if you have to check voice mail, return a few emails, or maybe even write a contract on a day off, but your entire day off should not be about working. Suggestion: set aside an hour in the morning and an hour in the evening to do these tasks (excect the contract writing!). Also, plan something special for your day off. It can be as simple as reading a book, getting a massage, or having lunch with a friend. Enjoy your time!
Third, don’t put your health in jeopardy. I know it can be easy to blow off exercising, but it is important that you take care of you. Suggestion: use a day timer or calendar program and SCHEDULE your exercise the same way you would schedule an important appointment. Also, when it comes to eating properly (going through a Mickey D’s drive-through does not count as healthy!) plan ahead for the week. Suggestion: Always have healthy snacks on hand in the sales office. Also, when you do your weekly grocery shopping have a plan for what you will be eating for lunch and dinner for the entire week.
Some of these suggestions might sound elementary to you; however, I can promise you that by incorporating them into your life you will improve your well-being! New home sales is not an easy job. It can be stressful, demanding, and overwhelming. So, it’s up to you to set boundaries and standards by which to live!
Video Mystery Shopping: Meeting Unrecognized Needs
In Maslow’s Hierarchy of Customer Service, he discusses the 3 levels of service.
Level one is Meeting Expectations. For example, you need to purchase toothpaste. So, you go to Walgreens and buy a tube of Colgate. Your expectation has been met, and you are satisfied. Not a thrilling or memorable experience, but you got what you came to get. You are satisfied.
Level two is when you not only meet expectations, but you also Meet Desires! This is the level where most new home sales associates are. You meet with your prospects; ask questions to determine what they are looking for in their new home. You then find them the home that successfully meets their desires. This creates a loyal customer!
However, the third level of Maslow’s Hierarchy is referred to as creating a ‘transformation’. This is when you meet your prospects Unrecognized Needs. This creates EVANGELISM!
What is an unrecognized need? It’s a need that your prospects never knew they had! You can only get to this level of service by finding out everything you can about your prospects and how they live. This takes more than basic discovery and questioning. It takes empathy, understanding and out of the box thinking. Let me give you an example, in a shop I watched last month the SA was working with a couple. They had scheduled their first meeting, but the husband was unable to attend the first meeting due to health issues.
The SA spent about 20 minutes at the beginning of the presentation asking questions, and building trust and rapport. The wife shared with the SA that the husband had some long term health issues that would eventually cause him to be in a wheel chair. The SA began discussing options on how to build the home so that it would accommodate his future health needs. She even went so far as to suggest the option of adding a hidden elevator in the home. The wife was ecstatic! She had not thought about these options and was thrilled with the recommendations. The SA had met unrecognized needs for her buyers. This is your job as a new home sales associate. In doing so, you will create Evangelism with YOUR buyers!
Video Mystery Shopping: We’ve been building quality homes since 1902…. Perfecting your Builder’s Story
“The SA mentioned that her builder was one of the best in the area, except for the illegal stuff that happened at corporate a few years ago”
This is an actual quote from my book They Said WHAT??!! Behind the Scenes of 25,000 Undercover Video Mystery Shops. Sadly, we can’t make this stuff up! For the first time in 30 years of mystery shopping the builder’s story ranked dead last in our 2015 Benchmark Study. Only 46% of those we video shopped last year even mentioned their builder. I was shocked! Your builder is your brand!
When I talk to Sales Associates many of them tell me they ‘forget’ to tell their builder’s story. Or, they don’t know how to properly introduce the builder without sounding ‘canned’. Here are a couple of tips to help you incorporate your builder’s story with every one of your prospects.
- Ask them if they have ever built a new home before. This is one of the best questions you can ask! If they have built a new home, ask them to share with you what they liked and disliked about the experience. This will give provide you with their ‘hot buttons’. Once they give you that information, you can craft your builder’s story to address their issues.
- If they have never built a new home before, they are probably pretty clueless about the whole process. This is your opportunity to share with them how YOUR builder does things differently and better than the others. Again, an opportunity to explain your process
- Ask them what is important to them in a new home builder! Are they concerned about value, reputation, quality of craftsmanship? By asking them this question, they will tell you what they are most interested in getting from their builder.
- Trial close on your builder! After sharing your builder’s story, ask them if your builder is one they would feel comfortable with moving forward in the process
- Identify the top 10 things that set your builder apart from the competition. These are called Unique Selling Propositions (USPs). This is your brand! This is WHY people would build with you versus other new home builders.
- Make your builder’s story engaging and vibrant! No one wants to hear that you are a quality builder that has been building homes since 1902. BORING!
- When discussing your builder or your building process, always use the pronoun ‘WE’ instead of ‘they’ or ‘them’. In your prospects’ mind YOU are the builder!
Bottom line, your builder’s story is your secret weapon. Not all builders are alike. This is your opportunity to shine!
Video Mystery Shopping: That was then….This is now!
I was having a conversation with a client last week and we were discussing the many ways the process for selling new homes has changed. While some things remain the same, many things are very different. Technology plays a large part in this transformation, as does the customer’s expectations of the process. It’s very important for you to be aware of these changes and adapt your presentation accordingly.
Here are a couple of my key observations.
- Structure not Scripts: Remember when scripted sales presentations were all the rage? If you followed the ‘critical path’ and used your scripts you were doing a great job! But, sales people don’t LIKE scripts. They want to do their own thing. However, even if you are doing your own thing your presentation still must have structure. This is different from scripts. Structure is having a plan from start to finish as to what you and your customer will be doing during your time together. I can’t even begin to tell you the number of video shops I watch that are sloppy with not structure and no purpose. If you don’t have a plan (or structure) you are not in new home sales, you are a tour guide.
- Internet Leads are ‘be backs’: Technology and the internet have given a great deal of power to our prospects. They are doing their research BEFORE they walk into your sales office. In fact, they use the internet to determine which builders they are going to narrow it down to. If you have an internet lead come to your office, they have obviously seen SOMETHING on your website that they like. It might be the location, a particular floor plan, or even a review that a past client gave you. Regardless, they have made the conscience decision to visit your community. It is your job to find out what sparked their interest. It is no longer acceptable to just ask IF they have been to your website. You must now take it even further and ask WHAT they saw on the website that brought them to your community.
- Discovery upfront: In the past most sales people asked discovery questions throughout the entire sales presentation. They collected bits and pieces of information along the way. Nowadays we are seeing more and more sales people actually say at the beginning of the presentation ‘Before we look at homes, let’s sit down and talk for bit so I can get to know you a bit and determine what your needs and wants are.’ Great discovery questions include: What are your expectations for our meeting? What’s important to you in a new home, community, home site, and builder? What’s your current situation? The more information you get up front, the more likely you are to Personalize & Customize your presentation to meet the specific needs of your customer.
- Exceed expectations 100 plus 1%: We have become a nation of people with high expectations. Call it entitlement or whatever you want, but most people are not satisfied with status quo service. They want to be ‘WOWED’. They want you to not just satisfy their expectations and desires but to go above and beyond that and meet their unrecognized needs. Maslow’s Hierarchy of Customer Service refers to this as Transformation! In order to reach this level you have to give 100 plus 1% every time.
