mike blake

From Mike Blake, The Blake Group

I met a potential home purchaser just inside my model home door.  We exchange pleasantries and I proceeded to walk and talk them through a model home demonstration.  I knew they walked into my model home that day because I controlled the area, community, company and plan information they needed to buy a home.

Their desire for research information and my need for their buying criteria created a win-win relationship.  The point is I controlled the sales process because I controlled the information.

As I provided more information they disclosed more of their buying criteria essentially moving them down the critical path sales processes.

That was 2003, now fast forward to 2013.  Almost 96% of potential customers look online before making contact with a realtor or builder salesperson.  According to a PEW study 57% use online research to narrow down their buying criteria.

Why is this significant?

We as sellers no longer have exclusive control of the information buyers need to research for a home solution.  In fact, the Internet has created a situation that I call – Information Equilibrium.

Buyers are responding to greater access to information by collecting information, prioritizing needs and wants, investigating solutions and refining solutions before making contact with a builder representative.  Essentially they use the Internet to gain more control of the buying process.

So what’s the solution?

  • As marketing people we need to understand what potential purchasers are looking for online.
  • We need to develop marketing strategies that capture the interest of potential purchasers during their online research phase.
  • We need to more effectively engage and create dialogue with potential purchasers before they narrow their buying criteria.
  • Salespeople need to discover and understand what information the purchaser has collected and its relevance.
  • Salespeople will be more effective if they quickly discover what stage in the buying process the customer has reached.
  • The above discovery process will insure that the sales process is positioned to address the buying criteria of the purchaser.

Buyer’s access to information is not a passing phenomenon.  If fact, access to information found on the web will likely be more influential as new generations enter into the market place.  Except in a high demand housing market consumer’s access to information will lengthen the buying cycle.  This will place greater emphasis on developing long-term communication activities that create or maintain a dialogue.

Essentially we need to become as prospect focused as we are customer focused.

From Mike Blake of The Mike Blake Group

I think we can all agree that the use of the Internet to access information has not only changed how we acquire and consume products, but also changed the way we conduct our daily lives.

A traditional “view of economic behavior is that the two most important activities are producing and consuming.”  However today, a new economic behavior of connecting to people, creating and distributing information has emerged. I characterize access to information, interacting with others and distribution of information as the “connectivity age”.

Today, how consumers use information and multiple forms of communication to express themselves is a driving force behind changes in consumer buying behavior. The question is how do we adapt to the challenges of marketing and selling homes in this new age of connectivity?

First we must understand that the connectivity age has gained momentum with the proliferate use of smart devices. According to most technology experts, the use of connected devices like desktop computers will become obsolete in the next 10 years. Handheld smart devices are redefining business to consumer sales and in fact destroyed some aspects of traditional selling.  Consumers are using access to volumes of information found on the Internet to collect information, conduct research, compare options, refine a solution and in some cases bypass salespeople all together.

In fact, historic access to information has created an “information equilibrium” not previously seen before in history!  When buyers and sellers have equal access to information the dynamics of the sales processes changes.

In more complex sales environments such as home sales, equal access to information creates a sales environment which requires a more sophisticated set of selling and marketing skills to engage and influence buyer decision-making.

Equal access to information changed the home sales environment in three significant areas.

  1. Buyers can wait until they are further down the buying cycle before making contact with a builder representative.
  2. The sales cycle has become longer.
  3. On site salespeople are at a significant disadvantage when prospects do finally connect with a builder representative.

A key aspect to thrive in this new environment is finding ways to reach, connect and dialogue with potential customers earlier in the buying cycle.  This process is best achieved through the Internet. Companies that understand this challenge and develop activities to reach these prospects will thrive in our new “connectivity age”.


Mike Blake

The Mike Blake Group

www.mikeblakegroup.com

“Inspiring Top Performers”

mikeblake@ultimatesalesdriver.com

To help you better navigate your way through the “connectivity age” be sure to contact The BDX at info@thebdx.com

Come hear Mike Blake and BDX’s Chad Bria speak at the SEBC show in July when they present: “Buyers Vs. Sellers – Are You Ready?”. Click here for details: http://www.sebcshow.com