The goal for any sales team is to sell more homes more profitability, but how can this be achieved at the point of sale? Take New Home Star’s approach of looking through two core lenses for selling new homes — the Sales Funnel and the Critical Sales Path. These two methods provide the basic foundation to layer in more sophisticated processes. It allows us to drive consistent buyer experiences, streamline our operations, and continue advancing in the industry. As you read further, you will learn that the single greatest attribute of a successful sales associate is their ability to understand a customer’s needs. In understanding these needs, you can effectively communicate how your product will meet these requirements and, in turn, provide benefits. Implementing these two selling frameworks into your operations will serve as an enhancement to your journey of building a premium customer experience. Additionally, if you're just starting, our new home sales training tips article is a great resource to jump-start your journey.
Sales Funnel: The emotional process buyers should follow when making a home purchase decision.
The Sales Funnel is the means by which buyers move through the decision-making process. This concept recognizes that, in order to get to the end of the funnel (to a decision), you must first start at the top and work down. In some cases, buyers will go through the Sales Funnel subconsciously. However, there are other buyers who you’ll need to guide through this process.
In order to navigate the Sales Funnel effectively, you must first understand that all items need to be satisfied in a top-to-bottom order. For example, if you love a floor plan but hate the area, you will most likely not buy that home. Thus, the floor plan is trumped by the area in which it is located. So, before you even consider a floor plan, you must first choose an area you wish to live in.
Each step of the Sales Funnel is outlined below:
Area: The region or part of town a home is located in.
Builder: The individual/group of people building a home.
Community: A group of people living in a specific area with unique characteristics.
Neighborhood: A specific area within a community.
Lifestyle: The way of life of an individual.
Floor Plan: The layout of a home.
Features: The included benefits in a home.
Homesite: A plot of land for a home.
Terms: Incentives, pricing information, policies, methods, and contracts.
The Sales Funnel demonstrates that new home sales associates are selling more than a home. They are selling a dream that encompasses all areas of the buyer's lifestyle. The decision to purchase a home is highly emotional and immensely personal. Successful new home sales professionals understand that they can tap into the buyer's emotions by being an expert in all areas of the Sales Funnel. This also includes Realtor sales training.
Critical Path: The linear process you follow in order to obtain a sale effectively.
In almost every training manual, sales associates are taught to follow a Critical Path. This method has been around for decades and has stood the test of time as an effective strategy for winning sales. The Critical Path is the linear process in which you should take a buyer from greeting to contract signing.
Welcome: Initial relationship building with your buyer.
Discovery: In-depth learning about your buyer.
Demonstration: Systematic showing of your product concept.
Homesite: Guiding buyers to the physical location of their home.
Commitment: Finalizing and closing the sale.
It is important to understand how the Critical Path works in conjunction with the Sales Funnel. Similar to the Sales Funnel, the Critical Path is to be followed from top to bottom. By beginning with welcome and discovery, moving to demonstration, and continuing on to homesite selection and commitment, you will follow a proven approach to successfully sell a home. This approach taps into rapport and relationship-building to create trust and credibility in order to initiate a sale based on your buyer’s needs and wants.
The Sales Funnel and the Critical Path both provide the basic ideal structure for the consumer experience as well as outline the foundations necessary to escalate the value offered in a new home selling environment. These two methods are used not only by new associates but also by the most seasoned professionals in the industry. By learning and mastering the Sales Funnel and the Critical Path, you will be on a road to sales success and you will have established a foundation for new home sales excellence. To capitalize on these methods further, check out this new home sales training article on the ten most important attributes to possess as a sales associate.
The Era of a Customer-Centric World (Customer Journey Mapping)
The world we live in today has shifted into a customer-centric way of operating. That is, the idea that customers are at the heart of every organization. They are what help an organization advance, and therefore, expect a company to make decisions, products, and services with them at the forefront. In the new home sales arena, customers are what truly drive the industry. It’s not just about earning referrals, it’s about building a powerful brand based on trust, knowledge, and rapport. As your brand is made stronger and relationships are developed further, it aids in being able to execute the best possible customer experience even when undesirable situations may arise, as explained in this new home sales training ideas article. Putting customers first, building relationships with them, and altering operations to meet their needs and wants are key to creating a customer-centric approach in your daily operations. A great example of this is to consider their hot buttons in the sales process. And if you're faced with objections, this resource on new construction sales training outlines how to tailor a situation to your buyers, even in unfavorable circumstances.
Empowering Your Sales Team
After working in the industry for some time, many sales associates will soon find themselves overseeing a team. As a leader, it is imperative to continually motivate and support each individual — and developing a well-rounded sales team training plan that achieves that is just the start. From designing a training curriculum for each meeting to participating in personal sales manager training, these tactics will help strengthen the team operations, thus leading to more sales success in the long run.
And if you find yourself in a spot where you're looking to empower your team but may not be in a leadership position, be sure to reference the resources above as they include great tools to impact others and advance your new home sales career.
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