We're in an industry where 95 - 99% of all builders do virtually the same thing. When a prospective buyer can't tell the difference, price is the default metric.
Minneapolis, MN (PRWEB) November 27, 2012
It's an all too familiar scenario in the world of home building- that uneasy feeling a builder gets when a price is presented to a prospect. With the housing recovery seemingly in place, there's still one area today's new home and remodeling buyers are still uneasy- Pricing.
According to Rick Storlie of New Home Sales Coach, a new home sales training firm that specializes helping home builders and remodelers reach their sales goals, today's new home and remodeling prospective buyers are still very uneasy about pricing.
"I'm seeing better buyer activity all across North America. My clients have more prospects than they did a year ago. What hasn't changed, however, is price resistance. It's still a topic I address daily," Storlie said recently.
Storlie sees a shift among his home builder and remodeler clients. Instead of asking 'how do I survive,' they are now asking 'how do I start increasing margins?' It's a problem he calls the Value Gap.
"The Value Gap is the difference between a prospective buyers perception of what the service is worth and what they're willing to pay. We're in an industry where 95 - 99% of all builders do virtually the same thing. When a prospective buyer can't tell the difference, price is the default metric," Storlie commented.
To add to the complexity of the issue, Storlie sees a radical difference when and how pricing should be presented based on the source the prospect used to find the builder. He contends that too often, a builder presents a price before the Value Gap is closed and unnecessarily loses a sale.
"There are 3 key elements a builder needs to take into consideration before presenting a price. First, they need to know how the prospect found them. Second, there should be a deposit established and third, the pricing should be formatted using lump sum and itemization," Storlie argues.
Using home builder sales case studies, Storlie has documented some best practices to use when presenting pricing. All builders are invited to attend the November 29th webinar free of charge.
What: Case study Results Revealed: How and When to Present Pricing so More of Your Prospects Buy from You (webinar)
When: Thursday, November 29th, 2012 at 11 PST, 12 MST, 1 CST, 2 EST
Cost: $0 but limited to 100 attendees
Storlie has created a sales and marketing Scorecard that will tell any home builder or remodeler how well they're doing today. The Scorecard takes 2 minutes, builders will get an immediate score and see how they compare to their peers. Builders can get their Sales and Marketing Scorecard by clicking here.
About Rick Storlie: Rick Storlie of New Home Sales Coach has been helping home builders and remodelers reach their sales goals since 1992. Visit NHSalesCoach.com to access Rick's free Sales and Marketing Tutorial Library full of tips from generating new leads, Realtor strategies, sales techniques and sales management secrets. Storlie can be reached at 952-895-5566 or Solutions(at)NHSalesCoach(dot)com.