Real reasons why prospects don’t buy after a site visit
There are situations today most of the Builders face that there are many prospects come to the site, but after the visit, many of them do not Buy. Few of them sit on the fence. Other Few of them shut themselves and do not reply and eventually one or two buys or takes a decision.
Many times the sales team holds a bit puzzled on this and never been able to clearly zero in why this happens?
As discussed in my last previous blog posts in smart selling 7 – Most of these happens due to various reasons, which are complicated. But to zero in there are top reasons wherein we can at least understand, why this happens.
Probably we can be smart to identify such cold prospects but can never avoid attending such prospects
If we understand the techniques of smart selling we can restrict or limit doing too much work for such cold prospects. Of course, we can provide all required but need not build castles of conversions from them.
Also, avoid the anxiety of doing too much Homework and losing out finally.
This will save our productive time.
After all, I don’t blame the prospects as I know as a Buyer they are pushed with too many confusing signals at this point in time.
What we need to understand is – More site visits does not mean more sales
To understand this cycle of conversions from site visits- let’s go to the Basics
Why prospects come to the site?
Prospects come to the site for various reasons
People who visit the site can be categorized into three important categories.
site visit- types of prospects who visit the site
The first type is information seekers – they are the remote people in the buying process, they Visit the site more for curiosity and they just seek and assimilate information
The second category of prospects are Researchers, where they try to collect relevant information for a pre-purchase decision. They may or may not buy immediately.
The third category of prospects is the Transaction Guys who are serious about the purchase and looking for buying the apartment soon or very soon.
Many times our main job is to understand and classify these prospects into these three buckets. The basic judgment of a prospect starts with understanding classifications.
A smart sales guy needs to do this and this is the starting point of understanding the sale will happen or not.
The sales guy needs to understand what is the intent of the prospect for what reasons the [rospect wants to invest in this property. If you want more details on this you can visit my blog page.
There will be always shifted between Research and transaction status – where we fail to understand and make a flaw in assuming this prospect as immediate Hot but the conversion may consume more than a regular Buying cycle time. ( the buying cycle time varies on the ticket size, availability, location, product completed status, and other factors which are less significant also ).
The common mistake is sales team misunderstands the information seekers as serious prospects, because of the time spent by the prospect and the depth of information being clarified by the prospects at the site. Finally, it will turn out to be a Productive time loss for sales members, even though it is his/her job to explain the product to an information seeker, Who is not going to buy immediately?
Real reasons why site visits are not converted.
Product- Market Mismatch
Many times prospects come and understand that they don’t have the product at your place to buy at the price and features they would like the same to be purchased.
If the customer expects a risk-free product, and you don’t offer that contextually now, he may choose not to buy. He may consider this as a mismatch on product-market mismatch. In real estate, the most common risk which is considered today is the delivery time of the product or Budget or Essential living parameter like transport, off the road, etc.
Let us take delivery time for a discussion. In spite of the fact that you have a beautiful product, if the customer feels it is risky to buy as the same is not ready for possession now or in recent times, this is considered to be a mismatch in his dictionary. Whatever discount you offer the product does not get sold.
So essentially the product- Market mismatch may consist of one or two mismatches or several mismatches. There can be situated one mismatch like Delivery or a budget mismatch of 5 lacks may kill the deal.
Site visit – a mismatch of criteria , which the prospect is looking for
Let us list the probable and top matches which a prospect looks in – and can probably become a mismatch.
The below are not only reasons but top reasons;
May Not in one order of priority, as the perception of the Builder and prospects changes, based on customized needs for his family and purchasing power.
- Location of the project – Even Good locations here are criticized. ( yes what is a Good location- we need a debate on this again it is essentially a Builder and customer perception match – we will take this as a separate discussion )
- Budget with carpet area/Ticket size- Market sensitive and targeted customer in the catchment area of your Project location
- Available variant (Bedroom)- The most preferred variant always being available
- The floor level of availability- less than 10 and charges are not levied if more than 10.
- Specific directions –Apartments facing and meeting directions. Maybe a matter of High specificity for certain specific customers
- Amenities and facilities being offered- Basic to be in place and parallel availability on possession. Some things missing may not be a show-stopper if the same is available outside the project and in proximity.
- Design of the apartment- floor space Utilization
- Number of apartments on a floor- Spaced out / cluttered
- Car park availability- fulfilling the needs.
- Essential on living – water/related cost/availability/sewage plant/ related cost/ Gas services/
- Essential on living- electricity, and Genset
- Essential of living- workplace location/commercial spaces
- Essential of living – school/college/clinic/Hospital/Pharmacy/Dr on-call/
- Essential of living- nearness to Transport/ Bus stand/Metro/railway station/Airport/
- Essentials of Living- security risks/Proper street Lights/Police station/internal security.
- Essentials of living- greenery/spacious/nearby neighborhood/office locations
- Construction technology and Reputation
- Status of construction- deliverability, and credibility
- Previous projects track record
- Name and Brand
The list is not restricted to the above and may have more to the lookout. But essentially it may need to be addressed when you really want to convert your site visitors.
Most of the points can be addressed on availability. The objection is some of these are not available.
We may need to place them with customers depending on what is the actual purpose and lookout.
Many times the customer will be specifically looking out for certain top essentials and not all of them in his product-market match analysis
Also, the customer would have zeroed your project as well as a few of them and will be comparing the Product –match of the chosen few.
So How do you manage his Lookout and How do you address the value proposal of yours suitable to him vis a vis the competitor Project, decides the closure.
There are various smart ways of looking out on objection handling, at the same time we Desell the competitor project provided you have one or two mismatch elements.
Obviously, if we have more mismatch criteria, competition takes your sale.
Site visit -How will you categorize & conclude
To conclude, let us list the smart selling approach
- How smart are we in identifying the site visit prospect who will book? This makes you nearer to conversion by 50%.
- The second is how smart are we in identifying Prospect’s Top product-market match criteria (This makes you to nearer to conversion by another 30%).
What is the balance of 20% which will give you the essential sale which you are eagerly waiting for, stay tuned for the smart selling