Saturday, February 5, 2011

WHAT'S IN IT FOR ME?

As a modular home builder you are always trying to find out how to get the new home prospect to buy from you.  You are continually striving to find the answer to that age-old question…”Why should I buy my new home from you?”

Instead, let’s look at it from their side of the table.  They’re really asking themselves…”What’s in it for me?”

New home builders, both modular and site built, have been trying numerous ways to entice the new home buyer to buy their new home from them.  There are Open Houses, targeted marketing campaigns and that old favorite, low-balling the price.  These are all good ways for you to answer the first question, “why should they from you”, but don’t really address the second, what’s in it for them.


There must have been a reason for them to look at you in the first place but now you need to figure out how to address that second question.  Immediately most of you think that price is the answer.  That may have been the primary one while the boom was going on 4 years ago.  Today the new home buyer is looking for more than that.  They are into green construction and energy savings.

I have sat with enough home buyers over the years to relate to your pain when it looks like you’re not going to land the prospect and you start thinking that if I lower the price, they will buy from me and I’ll be able to feed my family and pay my bills for next few months.  What you’ve done however is short changed yourself and set yourself up for the next prospect that appears to be ready to walk out your door.

You need to understand that if you’ve qualified them properly, listened to their wants and needs, discovered their “pain” and explained the features and benefits of your modular homes; price should not be the ultimate stumbling block.  If price continues to be the final reason they won’t buy your home, simply substitute the word “can’t” and now you have “they can’t buy my house” which is probably the real reason and one you should have discovered in the first meeting.

You need to answer their “What’s in it for me?” question by forming a good relationship with the prospects and bringing them into a place where they feel important and understood by you.  Then the answer becomes “This house is everything I want.”  That’s only going to be accomplished by you putting as much effort into closing the sale as you do in actually building their home. 

Most builders look at building the home as the goal but the real goal is having them sign a contract that’s best for BOTH parties.

2 comments:

Anonymous said...

Coach, I agree that some builders only work on price but they will always be at the bottom even in good times. There are a lot of good modular builders out there that work hard for their customers.
One thing I do have a problem with is that my factory does not have distinct sales areas and once I quote a home to a customer, they can shop my price for the same exact home with another of my facotrys builders. Now that part sucks.

Anonymous said...

Funny how folks will shop every deal they get. Then when someone shops THEIR price thats unfair.