Bob Schultz & The New Home Sales Specialists: The Good News Blog

By ROLAND NAIRNSEY

Are you as fed up with all of the bad news as I am? I thought so.

So with that in mind, here is a blog dedicated solely to good news. If you want to feel negative and are looking to keep company with misery; or would rather continue hearing anxiety inducing stress related stories that cause gnashing of teeth and increases in blood pressure, then this is the wrong site for you.

Instead, I feel it is our job as sales trainers and motivators to lift you up and inspire you with real life success stories from across the World. Firstly, we will hear what happened and where appropriate we will learn exactly what these positive individuals are doing to succeed in these adverse economic conditions.

Please consider this blog a safe haven from the storm. A sanctuary for new home sales people, wherein you can rejuvenate your spirit, recharge your emotional batteries and go out create success for yourself.

Firstly a positive mantra from our friends at PMC homes in Tulsa Oklahoma. As every great motivational book will state, success begins with what you think about. Whether you are quoting Earl Nightingale, Dale Carnegie, Florence Schovel or The Secret, you attract what is first in your mind.

Bo Armentrout, their sales manager heard this phrase from his Superintendent and now it is their tag line that is sent with every email. Here it is;

“At PMC Homes, we choose not to participate in this recession. However, we will lead the recovery.”

I appreciate your interest in PMC Homes and please let me know how I can better serve you to exceed your expectations and earn your personal and referral business.

Best regards,
Bo Armentrout
Sales Manager, Broker, CSP, CRP

Isn’t that a great way to defeat the depression? As the great Gandhi simply stated;

“Be the Change.”

INTERNATIONAL BUILDERS SHOW 2009

The International Builder Show in Las Vegas was a big success, with a larger than expected turnout considering the state of the economy. I had the privilege of speaking at the Sales Rally, as well as on a dynamic program called "Secrets of becoming an Exceptional Closer Now" with the talented speakers John Palumbo and Meredith Oliver, and another program called "Deal or No Deal, secrets of Negotiating Strategies" with the renowned Charles Clarke III.

Here is a photo of myself along with Industry legend Tom Richey, and the other esteemed panelists from the sales rally. They all did a terrific job.

As special treat for all your loyal blogging, we will continue to post a slew of valuable "Free" downloads from the Show. Downloads include PowerPoint's and scripts.The programs are:

"Secrets of becoming an exceptional Closer now"
"Deal or no deal secrets of negotiating strategies!"
"Close more sell more" from the sales Rally
as well as from Bob Schultz's programs:
"Challenges and solutions..opportunities in a changing market"
"Caash in Caash out the new sales strategy to redefine the 50+lifestyle, Buying and selling process"
"Sales is a game" from the Management summit.
PLUS, for the first 50 of you that write to me, the free e-book below, with cutting edge articles from Bob, and one from yours truly.

Write to me at Roland@newhomespecialist.com - Write in The Secret

SUCCESS STORY

Next a success story from the much maligned State of Florida. Minto communities is a company that we at The New Home Specialists have been working with for nearly 2 years, and by remaining focused and methodical in their approach to implementing our systems are continuing to be successful. Please read their success story.

BUILDER IN SOUTH FLORIDA BEATS ALL THE ODDS AND RECEIVES AWARDS FROM INDUSTRY EXPERTS FOR RECORD SETTING YEAR, SELLS NEARLY 500 HOMES IN 08!

If you were to hear that a builder in South Florida sold and closed nearly 500 homes in 2008, would you believe it? Probably not, well the incredible team at Minto Communities has accomplished exactly that.

The management team at Minto realized that every other part of the company was following well defined and clearly documented processes, doing the same with new home sales was a critical next step.

With that in mind they sought out Bob Schultz and the New Home Specialists (NHS) Serious Sales Management system and were also introduced to and implemented their unique trademarked program, the Official New Home Sales Development system.

Through a disciplined structure of on going curriculum based training, consistent and rigorous measurement, evaluation, and follow up, including "role playing" and Video Shop reviews; the Minto sales team has dramatically sharpened its new home sales skills. Also following the NHS ten step recruiting process, exceptional new recruits have joined the team who are coachable, have high energy, and are willing to learn and execute the proven sales processes.

Minto's allegiance to a replicable sales system, coupled with cutting edge, well designed homes in exquisite communities, has been the foundation upon which Minto has built its reputation for over half a century. Combined with carefully conceived pricing strategies, this has been a recipe for sales success. The fact that Minto has been able to accomplish so many sales in these trying economic times, in Florida one of the most difficult states in the entire nation in which to sell homes, has caused other builders to be envious.

In Special recognition of their outstanding achievement, Roland Nairnsey, Senior Vice President of Training and Development at Bob Schultz and the New Home Specialists recently presented some well deserved awards to Minto's New Home professionals. Tonia Abrahamsson won for the best Video Shop, who's shop represented one of the highest scores ever achieved nationally! Lisa Crovato for the best conversion ratio, which was accomplished in the Port St. Lucie market, deemed as one of the most challenging markets nationwide. Sue Bachman for Rookie of the year, after having been recently promoted from the position of new home sales assistant. The entire Minto Florida New Home Sales Team received an award for their outstanding sales performance in 2008 under the direction of Dirk Neumann, Director of Sales.

With its expansion to West-Central Florida, and with the guidance of its new Vice President of Sales and Marketing Jack Appleman, Minto is beginning 2009 where they left off in 2008., Through their synergistic relationship with Bob Schultz and the New Home Specialist team, the company continues to defy the downturn and successfully sell brand new homes!

The Minto team with their awards, on the left is Jack Appleman, then Lisa Crovato, Pam Wilhoit, Tonia Abrahamsson, and Sue Bachman, and their successful teammates.

SALES TRAINING TIPS

Now for some real world sales training tips. that you can implement immediately to create your own success. Sitting around and complaining or worrying doesn't help, as I like to say:

“Action Cures anxiety!”
Roland Nairnsey©

Here is an excerpt form an interview that I did for Builder Radio that aired in February, I believe you will find it helpful.

BuilderRadio interviews Roland Nairnsey, Sr. Vice President of Training and Development, Bob Schultz and The New Home Specialists

Can you teach me how to close more sales?

That seems to be the most often asked question that Roland Nairnsey – and probably every sales trainer and consultant in the housing industry – is asked these days. Roland’s answer is, “Yes. Absolutely. But, you can’t go straight for the close; you first have to earn the right to close.”

Selling is a process that requires skill in order to perform well. The more skillful we become, the more sales we close. It’s as simple as that. Becoming aware of the steps in the process and the skills we need to develop is the first step. One measure of our skill is our conversion ratio.

“First, be aware of your conversion ratio,” says Nairnsey. “It’s somewhat shocking to us that not all sales managers are aware of their sales team’s conversion ratios. So, the first thing you have to do is measure those conversion ratios. That gives you your beginning point; that’s where you start. Then, once you know what that ratio is, you can begin to improve.

Next, we as sales people should be generating our own qualified traffic. The days of waiting for the builder to provide us all our business are gone. There’s a ‘rule of thirds,’ which says that only one third of our business should come from the builder; the other two thirds really should be self-generated.”

Listen to the audio portion of this program to hear Roland Nairnsey describe in detail how these two points are fundamental to closing more sales. Or, continue reading the summary below.

Watch Your Conversion Ratios.What should your closing ration be? Short answer: It depends. It depends on your market and your product, but most importantly, it depends on your selling skills.

Nairnsey shares as an example a salesperson named Ted in South Bend, Indiana, “not a hotbed for home sales, but Ted has a closing ratio of 1:3.6. That means he closes one sale for every 3.6 customers that walk through the door. So, it takes him less than 4 customers to make a sale. Isn’t that amazing? But, he has to do that because he doesn’t have great traffic.”

A 1:4 closing ration may be outstanding, but Ted isn’t an isolated case. Nairnsey works with a relatively new sales team in Loganville, GA who’s members post ratios of between 1:4 and 1:6, and another team in Colorado that averages 1:4.

Nairnsey says that a closing ratio of 1:15 is average, but that many larger builders are seeing ratios of 1:25 or worse. Still, the point is to measure and then improve. “If you’re converting 1:15, the important thing would be to focus on how to improve that. How can you get that down to 1:14, then 1:13 and so on until you get it down to an acceptable level?”

Roland's ‘Sales Tune-Up’

Look at the numbers within the numbers,” he says, in order to find specific ways to improve. In other words, improving our performance in each of the steps of the sales process will lead to an overall improvement in our results. Nairnsey suggests we set the following goals:

Give a Planned Presentation: 100% Everyone that comes in your door should be given a thorough, planned presentation where you are able to learn about the customer and their needs, as well as share information about yourself, your homes and community, and your company.

Demonstration/Guided Model Tour: 90% - 100% Nairnsey emphasizes the need to make this a guided tour so that you can demonstrate how and why this home meets their specific needs and lifestyle. Your goal should be that everyone who received a presentation moves on to take a model tour.

Site on first Visit: 90% If you’re selling in a community, make it your goal to move everyone that takes a tour on to choose a home site. Or, if they have their own site, you should arrange an appointment to visit their site with them. The purpose is to get them to envision their new home on the site. Get them to fall in love with the prospect of living in your home. “You can’t make the sale until you get them to fall in love with your product,” says Nairnsey.

Ask for the sale: 90% Most salespeople let a huge amount of business walk out the door because they simply don’t ask the customer to buy. A closing question that both Nairnsey and Bob Schultz use is, ‘Do you have any questions before we go back and review the paperwork?’

“Then, let them answer ‘No,’ a term buyers are predisposed to use,” he suggests. “Aim for the bulls eye, not just the target.”

Sit down to review terms: 90% “Never negotiate on your feet; always close at your seat,” quips Nairnsey. “So, we’re going to sit down with them for a recap of what you’ve covered,” again, asking for the sale at least 5 – 7 times before moving on to the next step in the process.

Next appointment: 50% - 100% of those who don’t buy on the first visit. If asked properly, an average of 20% or more might buy on the first visit. For those that don’t, 50% of those that come in the door should be booked for a next appointment. “70% of those that leave without a next appointment will never come back,” he says.

“At least let’s get 50% of those that don’t buy on the first visit back for a planning appointment. You must insist upon a next appointment. That’s the kind of emphasis you need to have.”

Follow Through: 100% of those that don’t buy on the first visit. You must be dedicated to an excellent follow through strategy to get as many buyers back to the table as possible.

‘Narrowcasting’ to Generate Traffic

Your typical advertising methods – website, billboards, media, etc., might be called ‘broadcasting.’ That’s certainly appropriate for your company, but individual salespeople should assume responsibility for generating their own leads through a process Nairnsey calls ‘Narrowcasting,’ that is, going after your niche market; knowing who and where your buyers are, and finding ways to connect with them.

Some key areas where salespeople can narrowcast to for leads include:

Realtors
Networking with Realtors.Customers who are brought to you by a Realtor are three times more likely to buy than walk-ins. Cultivate real estate contacts by sponsoring and attending broker breakfasts; join the local Board of Realtors and go to their meetings; make contacts and keep in touch with them on a regular basis; refer business back to them; take excellent care of the customers they bring you.

Referrals. Referral sales are the #1 lead source for home sales and are among the least expensive, easiest to close, and most profitable sales you can make. Nairnsey recommends that sales people ask for referrals…

1. When making the sale - get 4 names at time of purchase

2. At walk-through

3. At closing

4. Current customers – VIP or Ambassador Program

5. Social Events ‘Pick Your Neighbor Event;’ You be social director.

Also narrow cast with:

6.Cancelled Agreements – Situations change, call back every 3 – 6 months

7. Zip code analysis

8. Rental communities

9. Local businesses – HR departments at factories, hospitals, police, etc.

10. Clubs and Organizations – Chamber of Commerce, BBB, etc.

Nairnsey began selling homes in 1983, during a housing market similar to the one we see today. He credits those tough markets with giving him the impetus to take control of his sales by getting the training to develop the skills required to survive the tough times and thrive in the boom times.

MORE SUCCESS STORIES

This was an email from Carmen Ware Sales Manager at Olthof Homes in Schereville Indiana,

Just wanted to let you know that we have sold 36 homes since the beginning of the year. Can you believe it! That’s better than we did last January and February. I don’t want to brag, but I think it may be because I am running things my way.

Carmen Ware
Olthof

Another manager who works very hard at his total process to the same extent that Carmen Ware does is Scott Baughman. Here is an email from him with sales tips included.

Roland –
In what started off a challenging year for Premier and other home builders we seem to be on pace to sell about 8 per month – net – in the first quarter.

I attribute our success to the following factors:

1) A builder (Company Owner) who understands the realities of the market and has priced our available inventory in line with what the market dictates that we should be priced at.

2) A mortgage company that continues to provide service above and beyond to our buyers and – by extension – to us as a seller. When they give a “green light” – usually on the same day as we write the agreement we know that there is a 99% chance that the transaction will close.

3) And finally, a sales process that works. A sales process that I learned from Bob Schultz and the New Home Specialists. Bob – you and Roland have shared everything from the basics of the process to very high level ‘mastery’ skills I have worked hard to first of all get it and understand it. Then, to share it with sales people that I have worked with in such a way that they get it and benefit from it. Using this information I helped the first builder group that I worked with in Georgia go from a virtual start up to sales of close to 600 homes per year – in 4 short years. The second builder I worked with doubled sales from close to 750 to almost 1500 in one year (2005). Here at Premier Homes sales have increased over 300% in the three full years that I have been here using the New Home Specialist systems. As a side note 300% - I think – would be a great accomplishment in any market but when you consider the kind of market that we have been in for 2006, 2007, and 2008 it is remarkable. The process (and the ability to teach, coach, and train sales people on how to implement it) while not successful 100% of the time – and what is – works more of the time than anything else I have ever tried. From the self prospecting techniques that sales people use to generate their own traffic to everything that they do with that traffic (qualifying, model demo, available home demo, available home site demo, recap close, advantages of home ownership, secrets of mortgage finance, DISC knowledge, follow up when they buy, follow up when they don’t buy, CAP, Cancellation Analysis, goal setting, handling objections, and so much more) once they have generated it helps us get more of the incremental sales that we may have missed if we didn’t use the process.

I am looking forward to my next trip to Florida to refresh my skills in both sales and sales management. This will be my fourth trip to the sales management program and my third trip to the sales program. Even though I have been before – with each return trip I pick up some new idea – some new technique that gives me more insight on how to sell more new homes quicker for more money. I truly believe that the incremental sales that we make more than pays for the investment of the return trip.

Thanks again for everything! I will see you in June at Boot Camp

Interestingly I feataured Carmen and Scott in an articile for NAHB's SMI magazine. For the full article, and more information on the processes that both Carmen and Scott follow to create their consistent success, email me at

Roland@newhomespecialist.com - Type in Red Hot Managers

Now for a few more of you who are continuing to succesfully slug it out in the selling fields of new homes.

From: bobby g

Sent: Sunday, February 22, 2009 4:18 PM

To: Bo ArmentroutCc: Roland NairnseySubject:

RE: CIP Form

Roland

Out of the 9 families that have come through my community, only 2 of them I was unable to close. Here is a CIP for one of the two.

Thanks,

Bobby Green
PMC Homes

So in other words my modest friend Bobby closed 7 out of 9 customers, or 1 sale per every 1.2 customers walking in the door. Take that recession! Seriously, great job Bobby!!!

The CIP form is of course the ultimate coaching tool that I have referenced in previous emails and is still available to any of you that email at:

Roland@newhomespecialist.com - Type in CIP form.

Next is a very positive email from Tabitha Smith who has just joined Pulte in their Charlotte division. I love the message because in sales we have to take the time to Celebrate our Success.

Roland
By the way I sold a pre-sale yesterday!!!
My second sale with Pulte....and I feel great!

Tabitha Smith
Pulte Homes, the company most trusted to build the places we call home!

As salespeople we must savor our victories; and enjoy our success one sale at a time!

Housing and the economic stimulus bill.

Socrates said:

“Knowledge itself is power”

I believe he also said, "Does this wine taste funny to you?" Ok, so maybe he didn't say that, but back to my point, which is conversely I believe that: “The absence of knowledge causes stress and ultimately dooms one to fail in today’s highly competitive market”.

With that in mind the NAHB recently had on their website a detailed overview of the stimulus package and how each proposal benefits us in the housing industry, written by their NAHB Staff. If you would like a copy email me at:

Roland@newhomespecialist.com - type in NAHB Stimulus Benefits.

The last testimonial is from Buddy Blake a Real Estate Broker for Seacoast Realty, in Wilmington, North Carolina. Buddy’s team represents new home builders. Many of his team have attended our Boot Camps and have always been very eager to learn, and hone their sales skills.

What I love is that Buddy took the time to publicly recognize one of his sales people. As managers we must always remember to “Praise in public, and (if you need to) rebuke in private”. Here is an excerpt of an email from a very happy customer praising sales professional Courtney Pridgen.

Here is the email:

Roland and Bob,

It has been your team's guidance and training that has helped me to become the agent that I am today. Thanks again for the kind words.

Take care, Courtney

Buddy Blake
Coldwell Banker
Wilmington, North Carolina

Forwarded message:
From: Heim 1stLT Carl J. Date:

February 7, 2009 7:2 5:01 PM

ESTTo: Buddy Blake

Subject: Courtney Pines

Sir,

I recently purchased a new home in Courtney Pines. I am writing to let you know how pleased I am with the purchase of my first home as well as the excellent work of Courtney Pridgen.Prior to my decision to purchase this home I spoke with many real estate agents throughout the area. None of them left me with the"warm fuzzy feeling" that I needed to purchase a home. In fact, with a military deployment in my near future I was almost dissuaded completely for fear that I was taking on more than I could handle. That all changedafter meeting Courtney. She explained to me the process of purchasing ahome in Courtney Pines in a manner that I could easily understand (having absolutely no real estate knowledge). Given her manner, professionalism and obvious competence the decision to purchase a home from her was a no-brainer. In short, I walked away from our conversation feeling confident that I would not be taken advantage of or left in the dark on any part of this process. As you can tell, my assumptions were correct. Courtney handled every detail of this purchase with extreme professionalism. She is by far the most knowledgeable real estate professional that I have encountered and was able to answer everyquestion - as stated above, in a manner that I understood, without making me feel like she was dumb-ing down her information.In closing I'd like to re-assert that her knowledge and most importantlyher professionalism are unmatched. In addition her communication skills and overall manner are superb and were the driving force behind my decision to purchase this home. You are extremely fortunate to have her on your staff. I am confident that my words echo the thoughts/feelings of any of her clients. Thank you both for making the purchase of my first home such a simple and exciting experience.

Remember, that buying is "Emotion backed by logic", our customers aren't buying just "sticks and bricks", they are investing in their next home. The tie breaker for them is often the anticipation of the enjoyable experience of having us sales professionals help them.

Great Job Courtney and to Buddy for taking the time to recognize a job well done!

SALES HEROES

There could be so many, as I have such respect for all of you that are staying positive and are hunkering down and working so hard in the toughest market in all of our lifetimes. But of course there are a few sales heroes that standout even in this elite crowd.

Tonia Abrahamson of Minto homes, for having one of THE most outstanding Video shops I have ever seen, and scoring an in incredible 218 out of 250. Coincidentally Tonia is consistently the most successful sales person in her company and during training can been seen lip synching the planned presentation as we work on it, and always has the answers to my complicated sales training questions.

Just as Dr. Covey says in the 8th habit, “Find your voice and inspire others” , Tonia is so effective at implementing her sales process, that she is now training those around her how to improve and become a sales hero like herself.

Secondly are two salespeople from London Bay Homes in Naples Florida, Ed Anderson and Paul Schmidgall.

Ed is a retired insurance agent and instead of spending his twilight years on the golf course decided to sell new homes. He had never sold new homes nor received any training before attending our programs. At the end of the second day of training Ed came in with his complete sales presentation hand written by him. He was a little bleary eyed because he had been up until three in the morning working on it. Talk about commitment! Watching his Video shop in February, Ed did very well at implementing a very effective sales process and received one of the highest scores.

Paul is an interesting character. In his first career Paul was a soldier for the US army. Not just any soldier but the kind that was trained specifically to be dropped behind enemy lines to rescue downed soldiers. So while the rest of us are busy complaining about a bad day at the office, think about what Paul had to go through. In his second career Paul became a trained chef. Now in his third career he has become a new home sales proffesional at London Bay. I have to admit that at times during training Paul would appear at little agitated with my high expressive (mildly waffly)responses to his very serious questions. Since Paul has lived by following proven processes, it is not surprise that he was looking for clear and simple answers to his questions. I had the privilege of watching his video shop in February, and have to share that without a doubt it was THE BEST FIRST shop I have ever seen! He scored a remarkable196 out of 250, and showed real determination in implementing thoroughly the process which he knows will cause his success.

To all of our sales heroes a very heartfelt well done!

RECAP

Sales training tips such as how to:

Measure your conversion ratio
Self generating traffic,
Give yourself a Sales tune up.

SUCCESS STORIES

Bo at PMC Homes in Tulsa
Minto Homes in South Florida
Scott Baughman at Premier Homes in Southern Colorado
Carmen Ware in Schererville Indiana
Bobby Green at PMC Homes in Tulsa
Tabitha Smith at Pulte in Charlotte North Carolina
Buddy Blake and Courtney Pridgen at Coldwell Banker Seacoast Realty, in Wilmington Delaware

SALES HEROES

Tonia Abrahamson at Minto
Ed Anderson and Paul Smidgall at London Bay Homes In Naples

FREE DOWNLOADS

Red Hot Managers – Full article containing management secrets
CIP Form
NAHB Stimulus Package Benefits
IBS 2009 programs

Write to me at roland@newhomespecialist.com and name the downloads you are interested in.

MORE GOOD NEWS

It was my Birthday on February 20th (Same every year, if your thinking of sending me a present). I am not sharing my age so please don't even try! Here I am below being suprised by a cake at the office, and there is Bob Schultz himself eyeing up one of the Cheesecake Factories finest specimens!