A home stager friend of mine recently wrote to me wondering why her competition closed a recent deal and she didn’t. She claimed the stager had the same type of furniture as she and did a beautiful job.
She asked me, “How could she do it for less and make a profit? “
My friend’s question led me back to this short video of sales guru, Zig Zigler, explaining how to overcome a price objection.
Many times home stagers lose a sale by not emphasizing the value of their staging services. What is the value of home staging? What benefits will the home seller realize by using your services? In the video, you saw how Zig confronted the price objection using the “cost versus price” concept in the bicycle story example. How could you implement this example in your consultations?
5 Sales Closing Techniques
1. In your consultation, emphasize that staging is a marketing tool to sell your home faster and for more money. Mention the consequences of not selling quickly – seller is stuck in a home that he doesn’t want, paying all the costs of home ownership.
2. Emphasize that according to the National Association of Realtors, the typical buyer looks online first before contacting a real estate agent. Online photos need to be appealing to entice the buyer to visit the home. Research shows that it takes 15 seconds for a buyer to form a first impression of the home. Mention real estate mogul Barbara Corcoran’s estimate of what a buyer’s first impression is worth- 5-7% of the listing price.. It equals the money lost if the home sits on the market over 30 days.(cost)
3. Show what your staging statistics have been for the homes you have already staged and sold. What is your average number of days on the market from date of listing to date of first accepted offer?
4. If there is a price objection such as, “We interviewed another home stager who was much less in price;” your comeback is, “Are you more concerned about cost or price?” Then go on to explain that a cheaper price does not always mean lower cost. Explain that if the home is not staged with the correct buyer in mind and the house doesn’t sell, the sellers may have to bring in another staging company at an additional cost. Emphasize your value not only as a home stager, but also as a marketer who has already researched the demographics of the neighborhood to stage the home with furnishings that will appeal to this buyer. This demonstrates how you are different and the value you bring to the table as opposed to your cheaper competition.
5. Don’t forget the most important thing – Ask for the Sale. Don’t waste time talking . Once you’ve overcome any objections, say to the sellers, “When can we start getting your home ready to sell to that certain buyer who would love a home in your neighborhood?” If you don’t ask for the sale, you won’t get it.
The bottom line is that when price becomes the issue, show how costly it will be if the seller doesn’t stage his home, or hires the wrong staging company to do it. If the other home stager can do it effectively for less, then she has less costs than you do, or she doesn’t know the meaning of the word “profit”. If your prospects are more price conscious than cost conscious, you probably don’t want them as customers anyway.
“When you can’t compete on cost, compete on quality.”~ James Dyson