John Palumbo, CEO of The Sales DNA Institute
Q. What are some important sales strategies Realtors and site agents should be using as we go into the summer months?
A. In today's market, the most successful agents are learning to become un-negotiators, especially as they realize most consumers today are not enjoying the negotiating process. Instead, top producers are increasing their skills in areas of influence and persuasion.
In a true business sense, a negotiator has the power and ability to control the sale price. In most cases, Realtors and agents do not, and so they simply become errand runners, going back and forth between the buyer and seller. Today's most successful agents are utilizing their ability to influence the customer's way of thinking long before the close, and persuading them not only to spend their money with you (instead of someone else), but also that the listed price is a deal that can't be missed.
Q. Current low inventory levels are benefitting new construction selling. How should builders and site agents use this to maximize sales?
A. Unfortunately, research shows that 86% of all salespeople believe what their prospects tell them, even when the prospect is bluffing about needing a lower/better price or that the decision will be based on price only. The facts are that the golden rule – he who has the gold, rules – no longer applies. In today's market, price is not a 100% determinant of whether your customers are going to purchase from you or not. It's related more to the salesperson's ability to influence and persuade, especially when it comes to new home sales. Today's consumers would rather feel confident that the price they're paying is a fair, fixed price. They no longer want to worry about negotiating, or leaving money on the table. Now they can focus on getting exactly what they want, without having to settle for something less than they actually desire.
Q. What suggestions do you have for agents to help them develop a more extensive qualified prospect list?
A. Here's a little secret: in the world of real estate, you don't want to be known as a great negotiator. I've never heard anybody refer another friend to agent 'John Smith' cause he was a great negotiator. There are plenty of CRM programs on the market today to help all agents track and develop more extensive qualified prospect lists, but the agents of today are focusing their attention on becoming trusted advisors and better closers.
Q. The bottom line is turning prospects into sales. What is your advice?
A. I strongly advise today's agents to become un-negotiators. Harness the power to influence your customer's way of thinking by hitting their emotional hot buttons. Help your customers make a buying decision based on logic and reason so they don't feel like they haven't made a buying mistake. If you practice selling to your prospects' emotions and logic from the very beginning, you will be able to influence and persuade them covertly, without ever having to negotiate.