Realtors®, Competition, and Mr. Sausage

Realtor.com’s  new ad campaign “Accuracy Matters” is a terrific example of using what is important in today’s market.  What can this ad and “Mr. Sausage” teach us?  A few important lessons about sales!

First, we see the average homebuyer.  In their situation, they are busy in their regular life.  They are just like your busy clients.  Your investors and rehab buyers have little time to look up and look for property.  The good news is, for you, using Realtor.com, the latest information will be updated every 15 minutes.

Why does this matter?  Well in this particular example, Realtor.com is using the stick of “information” to beat to death the competition they have. Think about it.  How is that ANY different than what you are doing when presenting comparables to a Seller? In this example, Realtor.com has the direct information feed to over 800 MLS’s while their competitors (unnamed but presumably Trulia and Zillow) have to gain that information through other sources.  How could you use this very same technique to your advantage?

Mr. Seller, I appreciate that you may have other offers on the table!  However, are you aware that right now, less than HALF of the properties that receive contracts actually CLOSE???

It is important to know the statistics for your marketplace.  For example, if you know that on average, 1500 homes receive contracts in an average month, and only 750 actually close, then could you not make this claim?

Another lesson to be drawn from this commercial is Realtor.com’s open acknowledgement of competition.  Instead of running away, or refusing to compete, or ignoring it as though it does not exist as some real estate trainers recommend, Realtor.com has taken an enormous amount of money on this new ad campaign and made it a top priority to dominate this information market.   In your Real Estate practice, you likewise must redouble your efforts to become better than your competition.

This is why I stress your adherence to a strict schedule of regular role play, and practice.  You need to be prepared for the real-life situations you will encounter in the street and day to day dialogues with the buyers and sellers.  To do that well, you will need to first do the following:

  1. Accept that there is competition in your market.  Instead of running, improve.
  2. Upgrade your business.  From your shoes, to your presentation.  Improve everything!
  3. Give your customer what they want.  What do they want?  A house bought or sold! Everything else is superfluous.
  4. Practice, Practice, Practice!
  5. Role play the hardest situations you face.  That way when you face them in real life, you are ready.

Finally, another lesson I draw from this endearing commercial…

Consumers (Retail as well as Investment buyers) will go to the entity or person who will serve them the best.  Despite the catchwords that are written on our Facebook walls about being servants or consultants to their process, the consumer is  notoriously good at going to the service that gives them the service they need.  Clients do not care about the fact that Realtor.com spent MILLIONS promoting this commercial.  GAZILLIONS creating the software to give updated information every 15 minutes (which when you think about it, is FRIGGIN amazing)  So what does our customer care about?  Well just like the tears welling up in Mr. Sausage’s eyes at the sight of his dream house being sold, your customer cares about themselves and their dreams.

As often as we try to get into our customers heads about what they want, we are wrong more often than not.  So for a change, try the following.  Listen to what your customer is telling you they need.  They are speaking, actually, more accurately they are shouting to you what they need.  It’s not always price!

Learn to identify your client’s wants, needs, and dreams by learning to ask better questions.  When you learn to ask better questions, then you will learn what their deeper motivations are.  When you learn them, then you are able to better help the customer.  What tends to be the problem in modern Wholesaling as well as Real Estate, is that we want to digitize the entire sales process.  While this is efficient for selling books on Amazon, it is frightfully difficult to the average novice.  Despite the flashy emails, courses, or Facebook ads which glamorize the “Virtual Wholesaling” lifestyle, it is extremely difficult and if you have no sales skills, it is virtually impossible.

So, in short, what have we learned?  That if you spend the time necessary, put in the work, and actually try to compete, you might find out that your skills get better, and you may actually win a time or two.  Now, that wouldn’t be all that bad now would it?

I invite your comments!

 

 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s