Build some sales magnetism in commercial property. Here are the rules to help with this idea:
Your listing will be location based. When the property comes to the market, get into the location and talk to lots of local people. Tell them about the new listing, why it could be important to them, and how you can help with more information.
Target market your properties. Every listing can be taken to certain business owners, investors, and industry professionals. Make this a special part of your client services. Define the target market as you pitch for the listing, and then comprehensively connect with the target market through the campaign.
The people that inspect your property listings should be comprehensively qualified so you can show them other things as they come to market. It is interesting to remember that the best listings create the best leads and prospect inquiry. If you lift your listing focus for that very reason, you will find that your database will grow faster and with higher conversion factors.
Choose the best method of sale and particularly use the exclusive listing process. When you look at any subject property, the methods of sale that you use should be high on inquiry generation and inspection creation. Do you know what types of campaigns and methods of sale are better than others currently?
Help your clients succeed. A successful outcome for your clients could be a higher price or rent, a shorter time on market, or a timely sale that fits into their business activities and investment plans.
When you seriously think about these things, you will soon understand that most agents and brokers are very ordinary. They don’t do much with the listings that they win. What a mistake! They list, advertise, then hope for a result. That is the generic marketing approach; it doesn’t do anything for your brokerage profile or client base.
In commercial real estate brokerage, it pays to go beyond solutions when it comes to working with clients and prospects. Show them quite clearly that you can provide a specific strategy and process to fast track their commercial or retail property challenge. Give them the process to move ahead.
In giving them the process and the action plan, this will usually be done in some form of listing presentation, sales pitch or property proposal. Whilst ultimately the client may wish to sell or lease their property, you need to show them the exact stages and the strategies in what can be a very complex situation. You can do this through a Gantt chart process.
So a Gantt chart can be placed in your property proposal to show the client the road ahead and your particular recommendations.
A standard lease or sale situation can be broken down into 15 to 20 specific stages. It is simply a matter of listing those stages on a Gantt chart in successive order. You can then apply a time frame to the process.
When the client reviews the proposal or the sales presentation, most of your discussion and recommendations can be formulated around the Gantt chart. You can talk to the process effectively and directly. The client can then see exactly what you are going to do as part of moving the property requirement ahead. Make it easy for the client to see through the complexity of finding a tenant or a buyer as the case may be.
In establishing this process for use within your brokerage, look at the typical sale or lease situation. As an example, I will provide you with a sales pattern.
As a general rule, the listing of a property for sale will involve the following stages:
Property inspection and information gathering
Reviewing the competing properties in the local area
Understanding the history of previous sales
Identifying the concerns of the client
Establishing a target market
Making recommendations to the client regards the property listing process
Creating a marketing campaign for the approval of the client including all of the required advertising layouts, marketing funds, and campaign timing
Seeking the approval of the client to the marketing campaign
Implementing the marketing efforts
Tracking the inbound enquiries from each level of marketing
Directly contacting a short list of qualified buyers within your database
Creating inspections with qualified parties
Short listing buyers for negotiation
Negotiating on the deal
Documenting the contract and getting the required signatures
Satisfaction of the terms and conditions of the contract including due diligence
Moving the property to settlement
So there are plenty of things here to do. Each of these stages will have specific things to focus on. The stages can be formulated into a Gantt chart related to the agency timeframe. The process helps greatly when it comes to converting exclusive listings. It helps the clients see exactly what you are going to do as the broker and how important that will be to achieving a positive outcome. Your property solutions become more real and meaningful for the client and their situation today.
If you would like more tips on commercial real estate brokerage, you can get those in our Newsletter.
To improve your sales pitch in commercial real estate brokerage today, you should have a significant presentation strategy factor to help you connect with your clients and prospects. In simple terms, you need to believe in yourself, your information, and your capabilities. Confidence is the key to a top presentation outcome.
The confidence that you can show your clients and prospects as part of every presentation will help you with your conversion factors and listing opportunities. The clients and the prospects that we serve like to work with the best property agents with the right skills; in this way they know that they can achieve the results that they require efficiently and effectively. It stands to reason that your presentation needs to reflect those personal factors clearly and directly.
The top agents of the industry have plenty of confidence, commitment, and knowledge. In this way they can attract the clients into the highly successful listing pipeline and marketing process that they have developed over the years.
Here are some tips below to help you improve your sales pitch and presentation for the property market today. You can add to the list based on your town or city, and property speciality.
Gather relevant information from the market that can be used in any sale or lease discussion. That information will include time on market, pricing strategy, best methods of sale, and best methods of lease, marketing alternatives, and negotiation strategies.
To help you convert or attract the clients to your ideas, have stories from the marketplace that can be shared during the presentation. The stories should be of a successful nature and can be supported by necessary photographs, statistical information, and local property market trends. Don’t breach confidentiality as part of your ‘stories’ or sharing of information.
Inspect the subject property comprehensively before you create your proposal and recommendations. Take plenty of photographs in and around the property to use on a laptop as part of your client connection process. Those photographs should be in a ‘rolling photo presentation’ as you talk to the client about the listing alternatives and marketing recommendations. The client’s property will be of great interest, far more than some other ‘PowerPoint’ marketing package that you have created.
Review the competing properties through the region so that you can understand the strengths and weaknesses that they present to your listing. You will also see some trends from those other competing properties that can be acted upon or avoided.
It is very difficult for a client to ignore an agent or broker that has a significant database of ‘up to date’ prospects. Use your database as leverage in the property presentation, by talking about it. Shortlist a group of people from the database to show the property to when the listing has been accepted by the client. Tell the client about the ‘short list’ and show them some detail of it without breaching confidentiality.
Determine the target market that should be the centre of your marketing campaign. Establish your marketing campaign with due regard for generating inspections. Get away from any generic approach to marketing and promotion. Given that you are asking for exclusive listing authority, put yourself into the marketing recommendations so that the client knows you will be personally involved in promoting the property.
It should be said that ‘practice makes perfect’ when it comes to attracting new business and listings in our industry. Certainly the rule applies to your property presentation and listing proposal. Be prepared to show the client how you can improve their situation quickly and effectively. Show them the confidence that they want to see.
In commercial real estate today, the top agents in the market have quite specific strategies when it comes to presenting and pitching their services. In many respects they will have had some years to prepare their strategy and develop their approach across many property situations. The proposal that most top agents present is usually of a comprehensive nature that addresses all the needs of the client and the property directly and effectively.
Preparation is the key to a top sales pitch and proposal strategy. Bringing all the facts together into a brief period of time and connection with the client is what it is really all about. I go back to the fact that preparation is the key. You need to know the market, the competition, the property, and the client. Your solutions provided in the proposal should be uniquely considered so they are better than anything that your competitors could provide.
Here are some ideas to help you build a successful property proposal to present to your client:
As part of an initial preparation to do the proposal, meet with the client on site so that you can walk through the building together and discuss the factors that relate to both the property and the surrounding market today. At the same time you can question the client about the history of the property, the reasons for their actions today, and the expectations of the sale or the lease as the case may be.
The client will have certain knowledge and experience as it relates to the property type locally. They may have little or no knowledge of the local area when it comes to competing properties. Understand all of these facts before you proceed further.
If the property is of a complex nature, involve other specialists from your agency to help package the proposal and the recommendations correctly. It may be that a complete investigation is required of the leases, tenancy mix, income base, and outgoings. All of these things can have significant impact on the marketing and inspection process that you will need to undertake.
Check out the surrounding area with regard to successful transactions. Look for the direct comparisons to the listing in question. Structure your marketing, pricing, and inspections strategy based on the experiences and results from other properties in the local area.
Every property listing will have particular strengths and weaknesses. The strengths will always help you determine the target market and should also feature in the marketing campaign. The weaknesses may be a hindrance to the overall marketing effort and particularly inspections as they occur. Some weaknesses may need to be addressed prior to the commencement of the marketing campaign. Structure your recommendations to the client accordingly. Some clients think that the property promotional process is quite the case of ‘test and measure’. Given that the property market is today quite slow to react and selective, all of your efforts need to encourage results. On that basis the marketing process is not an experiment. The client needs to understand that fact. You have only one chance to create the best results and it is the first four weeks of the campaign that is the most important.
Your proposal strategies in commercial real estate will evolve into a process that you are comfortable with and know that can be reasonably successful. Learn from the other agents in your location and refine your processes for the best results.
In commercial real estate agency, the presentation or sales pitch will be critical to your listing conversions. In most of the presentations we do today are highly competitive. Three or four agents will be chasing the same listing and on that basis will be seeking to influence the client through incentives and enticements. You must have a strategy of relevance for the client to listen to you.
This then says that your sales pitch or presentation has to be of the highest quality when it comes to selling or leasing commercial property. In this property market, there is no point in being ordinary when it comes to presenting your services to the client.
Everything in your proposal and presentation should be of the highest quality and focus on the outcomes the client seeks. It is of interest to note that many agents will pitch for the listing without understanding the full factors of the client and the property. Complacency like this will lose the listing.
Here are some other ideas that you can apply to your presentation strategy.
Seek to understand the client first before you design your package of recommendations. Your client will have certain requirements as to price, rental, timing, and confidentiality. All of these factors can be identified through a comprehensive meeting with the client when preparing for the presentation.
Arrange to meet the client on site so you can both go through the property together. This gives you a significant opportunity to ask questions about the history of the property, how the client came to acquire the property, and how they see the property today. In a minor way, this is the start of your presentation. You can show the client how relevant you are to the type of property and the local area. You can also show your experience as it applies to the challenge that the client faces.
Client expectations should be identified. That will include the trends of the current market and where the client sees their property moving and at what price or rental. If the client has inflated expectations, you will need market evidence to help them understand the prevailing market conditions. Facts and figures, together with photographs will help with this process. Carry a selection of comparative properties in your marketing folder for this very purpose.
After the initial meeting with the client on site, ask for a period of 24 hours where you can prepare the final proposal and investigate the fuller market conditions. This then means that you will have another meeting with the client as part of a formal presentation. At that meeting you will be completely prepared with all the strategies and evidence that you require. If possible, have the presentation in your office boardroom. This allows you to control the environment and the distractions that could apply during your presentation.
The marketing processes that we apply to property listings today are quite unique and special. The days of generic marketing are well gone. Provide a marketing campaign to the client and their property that comprehensively taps into the defined target market. Explain to the client how you will reach the potential buyers or tenants that are required to get the best price or rental. Put yourself personally into the marketing equation so the client knows what you will do to promote the property individually in addition to any broad based marketing approach. That being said, you should expect an exclusive listing for the hard work that you are going to provide.
Choose the best method of sale or lease that applies to the property type and the client. The choice should be influenced by the competing properties in the same location. Don’t repeat the mistakes of other property owners and other agents with listings that have been on the market for a long time. Tell the client exactly why you are making your recommendations today.
One of the most significant tools that you can use in a sales pitch or presentation is that of a relevant story. The client likes to hear about other situations and circumstances that have been successfully handled; they will remember your stories more than your recommendations. Choose your best stories that illustrate the road ahead for the client. In some cases they will base their decisions on the relevant stories and experiences that you can share.
Summarize to the client the four or five factors that will drive enquiry to the listing. Those factors should be aligned to the target market and also be prominent in the marketing material. Show the client some examples of quality advertising and marketing strategies that will be applied to the listing. Give them some choices regards marketing costs and marketing solutions.
Seek an exclusive listing with vendor paid marketing funds. In this market, it is the only way to promote a property comprehensively and correctly. There are no short cuts when it comes to spreading the message regards a good property.
It is possible that you can add to this list. Importantly every presentation that you prepare for should be optimized for the client and the property. In this way you will be the relevant agent of choice to solve the client’s property discomfort.
In commercial real estate you will be pitching your services to clients regularly. Sometimes you will be doing so competitively with other agents chasing the same listing. The fact of the matter is that you must be prepared for a top listing presentation.
You need to convert at least 50% of your presentations to listings. Top agents will get up to a conversion factor of about 75%, and ultimately that should be your goal. To do this you need to practice.
To win the listing you have to be the best choice of agent for the property and the market, and in doing so you should bring relevant skills and knowledge to the client. The whole point of this is that you must get the message to the client about all of these things so they can make an informed and correct decision. To do this you should have a presentation model and you should practice it at least twice a week. Over time the model can be shaped and then you can improve your conversions.
Try answering these questions as you consider your pitch model:
Are you a real person that brings benefit and skills to the client? If so what?
What is your point of difference in commercial real estate services and business that make you stand out as ‘better than the rest’?
In what way are you a great marketer of properties for sale or lease? What do you know about property marketing beyond the generic stuff that most agents peddle? Why is your marketing better than the rest? Do you have proof for the client to see?
How do you negotiate on listings, leases, and sales? Are your negotiation skills the best that they can be?
What do you know about the local area that is of use to the clients as they market their property?
What proof and evidence can you give your clients to show them of your experience in the market today with difficult property challenges?
What stories do you have that you can tell the client about results and recent market trends?
What is the size of your database today and is it relevant to the clients that you serve? Could you use that database as leverage to convert the listing?
Most of these things can be a challenge if you are new to the industry or the property market. The point is that you should work towards optimising them as you build market share. Practice will get you there a lot faster.
Commercial real estate today can be a challenge because the clients that we work with are typically under some pressure of rents, prices, tenant mix, and property performance. That being said, your success as a top agent is simply a matter of you adjusting your skills to the market conditions. Very soon you will see that you can put deals together; in all comes down to how many people you know and how you market yourself to the clients in the industry. Improve your personal marketing efforts and you will find that the industry opens up for you.