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TouchPoint Selling

Rick Heaston
My goal was simple. Why not create a place for serious sales and marketing professionals A place for us ... to rant ... to rave ... and to share colorful stories. Have fun!

Tuesday, January 8, 2008

If Six Percent is Good... Why Not Ten or Twelve?

Jan 8 2008 6:55AM | Permalink | Email this | Comments (3) |
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On my last blog I discussed the importance of conversion rates. Specifically, I talked about how my manager friend in Phoenix believes that today’s market it’s all about the associate that does the best job in terms of selling. And not about the one that does the best job in terms of discounting. After all, everyone’s discounting these days … and everyone’s discounts are about the same.

My friend also poses one more question. If today’s market is all about conversion rates … why are we satisfied with what we are currently doing? And why don’t we think we can get better?

He continues by asking if six percent is what we are used to … why don’t we believe we can convert ten to twelve percent of our traffic? The answer is obvious. You can … but you just don’t know it’s possible.

Unfortunately, the homebuilding industry is plagued by a hideous disease. It’s called mediocrity. We’re trapped by a phrase I hear on a regular basis, “That’s the way we’ve always done it”. And if I’ve heard it once … I’ve heard it a million times. If only you knew. 

There are companies out there … counting just like you do … that are averaging ten to fifteen percent conversion rates. And if they can do it you can too. All you have to do is “shake loose” of the past.

Reader Comments


at 1/8/2008 9:05:15 AM, F Haunschild said:
Totally disagree about conversion rates. Never met a sales staff yet that could not gaurantee you your conversion rates, simply by how they count their traffic. I believe the community should have a realistic sales goal, given the competitive conditions existing at the time, and each salesperson should have their own assigned sales goal that they are personally held accountable for.

at 3/25/2008 11:24:07 PM, Juanita said:
Well said, Mr. Haunschild! Down with stupid reports where you have to report how many thank you cards you sent relative to traffic count, or conversion rate reporting - you're right, we're not stupid, we just adjust the traffic. Builders are running so scared right now they wouldn't know a true report if they saw it. We also have to report what we think the builder needs to hear - or risk his depression and black moods that send us further along the negative track. I'm not suggesting a Pollyanna mood - just go back to a more positive approach. Buyers want to follow us on the path to a sale - they just have to be led with a steady and caring hand. More fun for us, too - getting to know someone along the way. How difficult is that? Hard Sell people are usually the sociopaths of our business - they could care less who gets hurt. Wow - that just made me think of a way to make it all simple. Remember the Golden Rule? It never goes out of fashion!

at 5/22/2008 12:51:20 AM, W.G said:
How about a decent prospect report that a Manager can glance at and offer ideas on how to move the sale forward. "Mr. Jones- likes the 345.C plan, wants bigger discount, told him id check" doesnt cut it people. We need information. Yeah, the heck with how many thank you cards when all they say is what everybody else writes "it was so nice meeting you yada yada." Why are they moving? Why a certain sq ft? why this community? feed me information!!!

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