> How to establish value
How to establish value
We have mobile home listings that were selling for $35,000 last year which is not an inflated price that we can't sell today for $15,000. Everyone talks about buyers being more educated but I don't see that because the people I show don't have a clue what home prices usually are and think that $15,000 is the normal price. Anyone who has done their homework would know that $15,000 is a steal. My question is how do I get the people I am showing to see and believe that $15,000 is a ridiculously low price and that by shopping around they could miss out on a steal of a deal? - by Thomas
There are several potential challenges at play here:
1. You're not reaching the right market. It sounds like people you're reaching are interested in your product, but either unaware of real prices for your product, or they're trying to manipulate you to get an unreasonable deal, or they can't afford your product. Finding different prospects would help.
2. A well conceived selling process in your product niche should include some open-ended questioning about the prospect and what their pricing comfort level. I recommend people never ask about "budget" because it's too easy for them to say, "Oh, we don't have a budget" or "we haven't set up a budget yet." When you talk about "comfort level", you're asking about what they're comfortable spending.
Of course, many prospects will avoid this issue and try to dance around it, so you night need to ask it a couple or three times in different ways. If they say, "Oh gosh, we don't know what these things cost" you can reply, "Oh, I completely understand...I'm not asking you to guess what they cost, we'll be able to go over that later, but so I don't waste your time showing you homes that don't fit into your expectations, I need to know a little bit about your expectations. In what price range are you most comfortable?"
Now, we know from experience, that some prospects will deflate their price (in an effort to think this strategy will get them a better deal), or they inflate their price (even if they can't afford it...they don't want to feel embarrassed!), but raising the money issue in this way gets the topic of money out on the table. If it's on the table, it can see the light of day and be examined, questioned, and analyzed, and you can create dialog about it with your prospect. That's an important step.
3. A well conceived selling process also needs to build sales momentum. Sales momentum starts when the prospect takes teeny steps forward towards purchasing. Too many salespeople expect the prospect to take one huge step at the end of a presentation, rather than dividing up the process into bite-sized, easier-to-accomplish portions. This momentum can get you over the price objection, which is often a factor in larger consumer purchases.
Thomas, I hope that provides you with some insight that will be helpful.
Skip - by Skip Anderson
If they say, "Oh gosh, we don't know what these things cost" you can reply, "Oh, I completely understand...I'm not asking you to guess what they cost, we'll be able to go over that later, but so I don't waste your time showing you homes that don't fit into your expectations, I need to know a little bit about your expectations. In what price range are you most comfortable?"
That is just what the doctor ordered. Thank You! ;tks - by Thomas
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