Used House Salesmen or Real Estate Professionals? What Realtors Can Learn From Used Car Salesmen.

As Real Estate Agents, we often try branding ourselves as Professionals, like Lawyers, Doctors and Accountants. True, we've passed State Courses and Tests, and have State Licenses. We Realtors even have our Code of Ethics, with a 4 year refresher course. But few outside our industry, and even a few of us Agents/Realtors, would group us with those professions.

Most people stereotype, categorize and lump us more with other groups like used car salesmen, life insurance salesmen and telemarketers.

During a recent presentation, a statistic was cited: 85% of used cars are sold by used car dealers, while only 15% are sold by owners. These percentages are about the same as those for homes sold by agents and by owners. Also, dealers sell their used cars for 15% more than individuals.

With these surprising similarities, I wondered if there was anything else we Real Estate Agents could learn from taking a closer look at Used Car Salesmen.

Sales 101 Refresher:

• People tend to do business with people they: 1) Know 2) Like and 3) Trust.
• The first goal of the Real Estate Agent is to become a Trusted Adviser.
• It's Not About The House. It's About the Relationship. (The Realationship).
• The best business is Repeat Business.
• The best business is Referral Business.
• The 3 Rules of Business: 1) All things being equal; People buy from their Friends. 2) All things being unequal; People buy from their Friends. 3) Make Friends.
• Faster. Better. Cheaper.

Used Car Sales 101:

1. Location, Location, Location: Make it Convenient to buy your cars. Find a location where people can easily find your cars.
2. Selection: "Select, Don't Settle at Barney's." Private owners have one car to sell. Listings are your store's inventory.
3. Kelly Blue Book, Edmund's, Consumers' Report: (and they're all online): Take the doubt out of buying your car: Give them all the information they need to buy your car. Used Car Salesmen have been dealing with their Zillow.com, RealEstateABC.com and HouseValues.com for years.
4. Guarantee: Take the risk/fear out of buying a car: (You don't need your mechanic to look at it.). If something goes wrong you take responsibility. (In New York we have a Lemon Law, so it's not an option).
5. Branding, Reputation and History: Take the risk out of buying a car: If something goes wrong, they know where to go. Repeat and Referral Business. Buzz or Word of Mouth Marketing.
6. Financing: Make it Simple and Easy to buy your car. Arrange the financing for them.
7. Car-fax: Take the doubts out of buying a car. Give them all the information about the car.
8. Doll Up/Curb Appeal: "Sell the Sizzle. Not the Steak." The little things can mean a lot, and can add up. But, does putting lipstick on a pig work?
9. Let's Make a Deal: "It was meant to be/ It wasn't meant to be": Sell them their dream car. Handle their emotions about the sale/non sale.
10. Marketing/Advertise: "Early to bed, Early to rise. Work like hell, And Advertise." Get your advertising where your customers can see you: Classifieds, the Internet and on their way home.
11. One Stop Shopping, The Whole Enchilada: Handle the whole transaction: a) Purchase/ License b) The Financing 3) Sell their old car. (Several years ago a car dealer told me his goal was to make at least $400 on the sale, $400 on the financing, and $400 on the used car sale.
12. If you can't be Cheaper, you need to be Faster and Better. 

Adapt Or Die!  Happy Searching.

WebHomeUSAblog; The Blog of Real Estate Search Marketing

Comments

[john harper]

As usual, to the point. Relationship, relationship, relationships.

Don't forget all those referrals amongst agents nationwide. I have found Active Rain and LinkedIn to be great relationship builders.

[ChrisC]

Nice summary. This is a new agent training course in one blog post. Good job!