Late last year, I read a Real Estate Business Online article entitled, Purplebricks already effecting ‘dramatic change’ in commission-charging agents’ behaviour. It quoted Purplebricks global COO Neil Tavender stating that since entering the Australian market, Purplebricks has caused traditional agents to reflect significantly on how they operate.
Tavender was quoted as saying, “We have seen in some instances where commissions have come down from 2.5 per cent to 1.8 per cent. But obviously with the fixed cost models that they have, with premises and associated costs, that is not a sustainable future.”MORE
Personally, I think this is a bit of a stretch. In states where the market was tanking, WA for example, you hardly hear of Purplebricks. Pittard has clients across Australia and none have raised Purplebricks as being a threat.
The fact is, weak real estate salespeople have been discounting their fees to win business long before Purplebricks came along. The recent boom in some states was the reason some salespeople discounted their fees – they wanted to win listings and discounting was the only way they could see to do it.
But Neil Tavender does make a good point: discounting is not a sustainable future.
If you feel that you must discount to win business, if you think that fee is all you’ve got, you have no alternative but to be cheap. And no matter how cheap you are, somebody will always be cheaper.
A better way to win business at a fair fee is to prove your VALUE CHAIN. Your value chain consists of things you can do for sellers that other agents do not do.
To create a value chain, think: why should sellers list with you?
You say you are good, but in what way?
Salespeople often give this little thought. The result is that they look the same as their competitors. When you look the same, you can only compete on fee and giveaways – lower your fee, or perhaps throw in some premium advertising.
Cutting your fee, or adding incentives, cuts into your profit. It demonstrates a lack of business acumen. And if you lack business acumen, how could you expect sellers trust you to sell their properties?
Think about your value chain – it’s the key to winning business with a fair fee for your hard work. Leave discounting to those who have no value to offer.
An interview of William Danko, co-author of Richer Than a Millionaire with Richard Van Ness, will be released this month on Pittard’s streaming platform iTrain®.
In Professor Danko’s previous book, The Millionaire Next Door, co-authored with the late Thomas Stanley, the focus was on what it takes to become a millionaire. In Richer Than a Millionaire, the focus has shifted to two areas: what it takes to be wealthy, and what it takes to be well-adjusted.1 MORE
This is an important distinction. What’s the point of being wealthy if your spouse and kids hate you or have no time for you? What’s the point of being wealthy if you’re miserable or unhealthy?
I like this broader focus. True success is building not only a healthy financial life, but a healthy personal life too. You can be successful and have little money, and you can have enormous wealth and still be unsuccessful.
Many people labour under the mistaken belief that most people gain their wealth through inheritance. The belief that you must be born rich is mistaken. According to the research in Richer Than a Millionaire, most wealthy people developed their wealth in one generation. This should give hope to us all!
Another key to being well-adjusted and wealthy is a happy relationship. Divorce, the authors say, can set wealth creation back by decades. On a personal level, long-term loving relationships do wonders for life enjoyment and longevity.
Fundamentally, we all feel this is so. But I wonder how many people stop to appreciate what they have and work on both their personal lives and on wealth creation. According to Richer Than a Millionaire, we can and should do both.
If you would like to improve your relationship with your significant other, read The 5 Love Languages by Gary Chapman. This interesting read might make you rethink how you and your spouse can get the most from your relationship.
And if being wealthy and well-adjusted is your goal, read Richer Than a Millionaire. These two books together are sure to give you a new perspective.
Rich and miserable? That’s not for you, is it?
You cannot watch, listen to, or read the news for long without being bombarded with bad news, gloomy forecasts and general negativity. Bad news sells.
Let too much of it into your head, and your performance will suffer. I believe that in life we get the ‘negatives’ for nothing. We must work for the positive. We must consciously seek out the good, the positive, focusing on what we can do instead of worrying about things that are beyond our control, much of which will never happen. MORE
And then there’s those little ‘voices’ in our head, the voices that tell you that you won’t amount to much, that you can’t do something, that real estate is too hard. Those negative voices are the committee in your head.
You may have heard the saying, “Feelings aren’t facts”. This is never truer than when it comes to listening to the ‘committee’.
You’re not stupid, you’re not a failure, despite what the ‘committee’ tells you. Don’t fall for it.
Understand that we all have our own committees and you can bet that yours is no more negative than anybody else’s. Replace the committee’s negativity with positive Affirmations. Change the inner dialogue.
When you think about it, why shouldn’t YOU succeed? Other people have succeeded, so why not you?
If you want an antidote to the committee’s negativity, develop a bigger picture of what you want from your career and your life. Set goals and write positive Affirmations that will change your thinking over time. Goals and Affirmations will help to quiet the committee.
Focus on the positive. Let the committee find another audience.
In an age where people can be quick to assert their rights but slow to live up to their responsibilities, we at Pittard advise our leaders to hold their people accountable. That is, accountable for doing winning actions, in large quantities, on a regular basis.
In Sales, there are right actions and wrong actions. The right actions lead to a listing, a sale, or a price reduction, and eventually to properties sold and fees received. The wrong actions are a waste of time and don’t lead to results. MORE
In my 25 years as a real estate agency profit consultant, I have had the privilege of working with many winners and I have seen that they share many qualities.
One of these qualities is that a great salesperson never waits for their boss to put pressure on them. They put pressure on themselves to do the right actions. They hold themselvesaccountable.
They apply pressure to themselves so that their leaders never have to.
Canadian trainer Brian Tracy says, “If it’s to be, it’s up to me”. Nobody is going to make you successful. Many people can help but ultimately you and nobody else is responsible for your success.
You have the choice to:
It all boils down to this: you can do, or you can be a person who doesn’t do. If you don’t, it’s nobody else’s fault.
Hold yourself accountable. Your success is in your hands.
It always has been.
To people of integrity, their word is their bond. They do what they say, when they said they’d do it, how they said they’d do it. People of integrity realise that those who promise are in debt.
When I say that our word should be our bond, I mean in matters large and small.
If we say we will do something, we must do it, even if we don’t specifically use the word “promise”. If leaders and salespeople forget this, their reputations suffer. MORE
Leaders in particular should follow through and be seen by their people as doing what they said they would do. If you want your people do be consistent with their words and actions, lead the way. Then, and only then, you have the right to insist that everyone else on your team does the same.
I have never seen a winning team where there is even so much as one team-member who fails to do what they said they would do. If team members break their word to their leader, you can bet that they are letting clients down too.
Deliver on promises
Seeing as many clients as they do, salespeople can say they will do many things, but often don’t deliver. Some salespeople don’t see these statements as promises, but if you tell a client you will do something, you’ve made a promise. And if you don’t deliver, a client’s faith in you erodes.
It is a good habit to set a deadline for the delivery of each promise at the time you make it, and then enter the promise in your diary. If work must be done prior to delivering the promise, enter a date for that work to be done so you are ready by the deadline.
Be a hero
It’s better to say, “I’ll get back to you about that by 3 pm tomorrow. Does that work for you?” than it is to say, “I’ll get back to you about that”. Giving the client a time and asking if that time is suitable means that the client will not be expecting to hear from you until 3 pm the next day. Get back to them before then and you’re a hero. Get back later and they are disappointed in you.
Provided you enter the promise into your diary immediately upon making the promise, you won’t forget, you’ll deliver your promise and you will impress the client.
Customer service can so bad these days that it doesn’t take much to impress clients. One of the best ways to impress is to be consistent with your word.
A promise is a promise. Deliver on what you say you will do, and you will be regarded as a reliable and dependable professional – the kind of professional that gets plenty of referrals throughout their career.
Some people say you must love your work. I agree that this is desirable, but it’s not always realistic. Pursuing this ideal could cost you a great career.
Author Larry Winget says you don’t have to love what you do, but if you accept payment to do a job, whether you love it or not, you have a moral obligation to do it well.
Let’s face it, a sales job is tough. When you first start this career, chances are high you’re not going to like it, or at least not every aspect – prospecting for example. But this is irrelevant. Like the task or not, some tasks are essential to success and longevity – prospecting for example! MORE
When you start, you make a lot of mistakes. An old co worker from AMP Payment Systems once told me, “Failure is a necessary step in the learning process, and a necessary step in the success journey.” This was great advice, however, I often say, “It’s hard to love something you suck at”. Perhaps not as great but it’s the honest truth. So it can suck in the early days of a sales career.
But don’t quit too early because you don’t love it. Given time, study, practice and a high level of the right actions, success will come. And with success, love for the career will blossom.
I don’t want to sound like an incurable romantic, but I do love Sales. But I didn’t when I first started.
How did I turn doubt and distress into love?
Do these things and success is assured. You will begin to see successes – firstly small ones, then larger successes as your skill builds.
And from these successes you may come to love your work. Sure, you won’t like every aspect of your work. Who does, honestly? But just as it’s hard to love something you suck at, once you stop ‘sucking’, it’s hard not to love a career that gives you so much opportunity to help people and earn a high income. Remember, good things take time.
It all begins with not sucking!
Some years ago, I presented a Field Challenges workshop in Perth. Participants submitted for discussion challenges they were facing in the field. A few topics were offered and dispatched quickly as the solutions were obvious.
I then read to the audience a field challenge submitted by email and asked the audience if that challenge affected anybody. All hands went up. MORE
The challenge centred around objections raised by clients after they had spoken to a competing agent. In effect, the competing agent was feeding clients with objections to raise with other agents.
We spent the rest of the workshop on that one challenge, the audience commenting later that they learned a lot.
Then I made a confession: the email was actually sent to me in 1993 – around 12 years before this workshop!
It doesn’t matter what those objections were. My point is, they were the same objections recurring over a period of 12 years. Wouldn’t you think that agents who are faced with the same objections repeatedly would learn how to overcome them?
Stop giving competitors free shots!
Competitors are going to lie to win listings. Get used to it. Learn to combat it.
Competitors are going to discount to win listings. Get used to it. Learn to combat it.
Competitors are going to make disparaging remarks about you. Get used to it. Learn to combat it.
Your competition is predictable. The salesperson who makes disparaging remarks about you won’t do so only once. These people do very little training – the fact that they resort to such low and desperate tactics shows this – and their behaviour is predictable.
All you need to know is the name of the competing salesperson and you know what he or she is saying to win listings. Think about what they say, learn ways to overcome those objections and, whenever you are competing with that salesperson for a listing, combat the objections that you know are coming. Even if the client doesn’t voice the objections, you can deal with them anyway.
At a workshop in New Zealand, an audience member said that whenever a certain competing salesperson was told by a client that they were talking with XYZ Real Estate, this salesperson said, “They’re amateurs”. It is so easy to destroy tacky lines like this.
All the salesperson had to say was this: “You’re talking with x from xx Real Estate? They’re a good company. Could I ask you something in confidence? Did x say that we’re amateurs? He usually does.”
The sellers will sheepishly reply, “Yes”, to which you say, “Has that been your impression of me so far?” Followed by, “It’s a pity he chooses to say that about us. Funny thing is, a true professional would never say such a thing. I thought they were better than that.” Job done.
Then you go on to prove why those sellers should choose you.
There are times when you can ignore your competitors and there are times when you must stand your ground and stop giving them free shots. Standing your ground doesn’t mean being aggressive. It doesn’t mean being a door mat either!
Salespeople spend a lot of time trying to convince sellers how good they are. They talk about the advertising they do, the awards they’ve won, the results they’ve had. The trouble is, too many salespeople make the presentation all about themselves.
Whether your clients are buyers, sellers, landlords or tenants, they are all out to look after themselves. Most are fair, but in their minds, their own interests are paramount. MORE
Buyers may have little choice of the agents from whom they purchase, but salespeople who fail to look after them have no chance of ever being invited back to discuss the sale of those properties when the buyers decide to sell. Salespeople who disclose one buyer’s offer to another, who treat buyers badly, or who resort to other questionable tactics will only ever take advantage of those clients once.
Sellers and landlords have more choice. They can choose the agent they like the best and are in a better position to negotiate terms that are favourable to them. Salespeople who give client-centric presentations, who take the time to ask good questions and find out what’s important to their clients, give themselves a huge advantage over their competition.
Once you know what is important to your clients, you can tailor your presentations toward showing them why they should use you. You position yourself to answer the question: “Why you?”
Read the Play
Too few salespeople actually listen to what is going on around them. They fail to ‘read the play’. They encounter the same objections again and again, but never stop to think if there is a better way to handle those objections, or even smarter, avoid them altogether.
So slow down a little when you’re with clients. Ask good questions and find out what is important to them. Tailor your presentation toward proving that you are different from your competitors, that you are a better choice because you deliver solutions to clients. Make the presentation all about them.
Why you? Because they got to know, like and trust you. The promises you make are what your clients want and need. And you deliver on your promises.
Any person who wants to succeed in their career must study their craft.
Self-improvement isn’t a luxury. Winners realise that every dollar they invest in themselves has the potential to boost their income and job satisfaction.
But there is another benefit to studying that often gets ignored – the improvement to your marketability. MORE
In the 21st century, many traditional jobs are dying out. Skill and knowledge are the currency of today. The more you know, the more skills you have, the more desirable you are in the market. Have you heard the saying, “She can write her own ticket”? It means that, within reason, she can charge whatever she likes. Only those with the highest skill can do that.
If knowledge and skill are the new currency, how do YOU study?
When a baby boomer like me started their sales career, books, cassettes and then CDs were a common way to study. A car with audio became a ‘university on wheels’, as Zig Ziglar used to say.
YouTube largely changed that. Most millennials love video. If that’s the way you like to train, there is nothing wrong with that.
Reading has become less popular but will always be a valuable learning source. Some say reading is too slow but, personally, I absorb material faster through reading than through video.
Cassettes, CDs and DVDs are dead, gone the way of the floppy disk.
In 2014 Pittard launched its streaming portal iTrain® followed by the iTrain® App in 2015.
That same year Pittard TV was born as we entered the world of webcasting. This technology allows us to interview some of the finest business minds in the world, with live questions from subscribers anywhere in the world. Those who miss the live broadcast can stream it on demand on iTrain®.
What I love about this technology is that our clients no longer have outdated programs. The latest versions are always on iTrain®.
No doubt the internet has a massive amount of good information, much of it free, which is good. But there is a catch with ‘free stuff’. On its own, it’s not going to make you great.
The downside is that most ‘free stuff’ is not a systemised, cohesive program that builds step-by-step. You get little snippets of this, snippets of that, but seldom complete programs.
No trainer is going to give you their entire program for free. All you get is little ‘tastes’. You must invest to get the full program.
Do you invest? If not, all you are getting are the crumbs off the table.
The free material I provide gives good takeaways designed to help people think and grow. There are good tips for salespeople and leaders, but tips are what they are.
Our Agency Profit System® is presented over four days. It is a complete business system for running a profitable agency. There is nothing like it anywhere in the world. I can give leadership tips in my blogs, but there is no way I could provide the full profit system piecemeal in videos or blogs.
Likewise our flagship sales seminar, Winning Ways, is a three-day presentation for salespeople at all levels. How could three days fit into short videos and articles?
What Are You Really Investing in?
When people cut corners with training and opt for the free stuff, they sell themselves short.
What are you really investing in? Are you investing in training, or is the price of training actually an investment in something more important: YOU? You know the answer to that!
Get into training – video, audio, written, seminars, webinars and webcasts. Study, absorb, and practise. Get skilled. Add action to the mix and your income will soar.
Invest in you. You’re worth it.
Everybody wants to be a better closer. Of all the skills salespeople say they want to improve, it’s closing. But there is more to a GOOD sale than just closing.
What is a good sale? It’s one where all parties – clients, salespeople and the agency – are satisfied with the transaction.
To make every sale a good sale, there are things to do before the major close, the close for the ‘order’. MORE
Questioning and Listening
Many people say they want to be better closers, but few will admit that their questioning and listening skills need work. Questions help uncover the clients’ hopes, dreams and fears. Many property owners, have never sold before and are uncertain how to do so.
When a salesperson asks good questions, and listens to the answers, the sellers’ confidence in the salesperson grows – good questions do that – and they begin to believe that the salesperson will look after them.
For the responsible salesperson, one who wants to delight clients, asking questions and listening to the answers will tell the salesperson what is important to the clients.
Understanding is the goal of questioning and listening. After all, how can you PROVE to clients that you can give them what they want and need if you don’t first UNDERSTAND what they want and need?
Before you present, identify the points you will need to prove so the clients can see that you are the salesperson they should appoint.
When you know what is important to them, you can help them understand why they should choose you.
Good presentations are loaded with value propositions. When presenting, the question you must always address is, “Why should I list with you?”
Sellers might not ask this question point blank, but this is what they want answered. Your value propositions should answer this question.
Asking comes last
We must earn the right to close, which means that the major close – the one where we ask for the business – comes last.
If you have asked good questions, listened, determined what is important to your clients, and proved that you can solve their problems, they feel emotionally connected to you. Achieve that connection and you will be the salesperson for them.
Now go ahead and ask for the order.
Relentless – I like that word. It means “unceasingly intense”.
I also like the word Persistent, which means “able to bounce, withstand or recover quickly from difficult conditions”. And “continuing firmly or obstinately in an opinion or course of action despite difficulty of opposition”. These are good attributes for salespeople.
Sales is not for everybody, especially those who give up too easily or are easily discouraged. Salespeople need to press on, especially when things aren’t going their way, which is often. MORE
Authors Chester and Gary Karrass give good advice. They say, “Don’t let your job get to you”. They say that salespeople spend only a fraction of their working week in positive situations, signing up agreements, getting a ‘yes’.
Much of their time is spent hearing reasons why buyers will not buy, hearing the word ‘no’. This time spent in negativity can gradually wear salespeople down, leading them to think that most clients are not going to buy. This puts them off asking for business.
Have you ever heard the real estate saying, “Buyers are liars”? This is a classic example of letting our sales job get to us.
Since our job description requires us to put ourselves in the path of regular rejection, we need some resilience and persistence to keep going and to ask again for the order. And when it comes to pursuing our goals, who couldn’t do with a bit of relentlessness, or unceasing intensity?
It can be too easy to walk away from a client after they have said their first ‘No’. With persistence you will keep asking questions and keep presenting, and then ask for the order again and, I hope, again if necessary.
We have all experienced setbacks when working towards a goal. To get up and have another go is what differentiates winners and those who quit too soon.
Relentlessness, Persistence, and Resilience. These are attributes that, with practice, you can develop and strengthen. It all begins by resolving to keep going.
If what you are pursuing is a worthwhile goal, and if you are not hurting others or yourself, don’t quit – keep going. If you want it badly enough, you will find a way to make it happen.
The more you try, the closer you get to success.
There can be many barriers to success, but one of the greatest challenges for some people is perfectionism.
Perfectionism is the enemy of success. People who suffer from it will not ‘launch’ until everything is ‘just so’. Most often, they fail to launch at all.
I find myself wondering if the problem really is perfectionism and not some kind of fear. I have seen salespeople getting ready to prospect spend so much time ‘getting ready’ that they run out of time to make the calls. MORE
Their lists had to be right, then there is a right time and a wrong time to call, and they had to clear all their other messages first… You name it, there were so many reasons why the time was not quite right to pick up the phone or to start knocking on doors.
I have seen people working on a project get to a point where it was almost ready to launch, but was not quite perfect. And so they tweaked… and they tweaked. And then somebody else came along with a less-than-perfect product, and stole the market.
If you suffer from perfectionism, understand that there is seldom a perfect time to do anything. Learn to launch, and fix things as you go.
When we rebuilt the Pittard website in 2014, it was far from perfect when we launched, but over time we got it to where we thought it was a useful tool for anybody looking to increase their income or agency profit.
We ran with this for 18 months, and again rebuilt it. And, again, it was less than perfect when we launched, but because we were now ‘live’ we had the advantage of user feedback that made our development much clearer and faster.
Most times, less-than-perfect launched now is better than perfect launched later.
That plan you’ve been playing with for months, those goals you’ve been going to set, but didn’t because the timing wasn’t right… LAUNCH NOW!
Whenever I find myself wanting to put something off until all the lights turn green, or until it’s just perfect, I remind myself of a winner’s mantra:
DO IT NOW!
These three little words might help cure your perfectionism, one of success’s true enemies.