What is Sales?
Sales is the process of acquiring the desired outcome from the target audience through the use of marketing and sales management skills. Sales consists of identifying the need for a product or service, identifying the person who has that need, converting that person into a customer, and then providing support to the customer. Sales can be seen as an exchange between a company and its customers. Each company expects to receive something in return for the effort they put forward to be successful in the market. The company also expects to grow as a result of this relationship. While much of this article can be applied to any sector of sales, it is very much relatable, applicable, and necessary in real estate.
Hunting, Farming and Gathering
Hunting, farming, and gathering are activities that are done to obtain raw materials or satisfy basic needs. It’s important that sales reps find activities in their industry that allow them to work with raw materials and/or basic needs.
Hunting
When you’re in sales, you’ll often be required to hunt for leads. This can take many forms, from cold calling to social media outreach and email marketing. You may also be required to go into trade shows, networking events, and other meetups to meet new and potential clients. Like a skilled hunter, the ability to hunt is just as important as the related skills.
As a real estate investor or agent, you will often be on the hunt for the next buyer or seller that you can work with. Where are your leads coming from? How can YOU source more of them? Once you have a lead, what are you doing to turn that cold lead into a warm lead? How will you qualify leads from marketing and convert that lead into an actual opportunity?
Farming
Farming is the process of converting raw materials into products that customers can buy. You’ll often be required to prospect new clients, go through the sales process, and close the deal. In many cases, this means you are playing the long-game. Many successful real estate agents and investors look for focus on a particular niche, build a reputation in that space, and work it until it can be harvested and you reap the benefits of your hard work. What areas can you farm? What actions can you do to cultivate those long-term relationships and plant seedlings that will grow into something much more in due time?
Gathering
Gathering and raw materials are necessary for survival. You can, however, choose a job in sales that involves gathering materials that are useful to humans in some way. Gathering raw materials such as lumber, coal, or other resources that can be sold and used to provide products and services. In many cases, you can choose a job in Sales that involves gathering materials you can directly sell.
Now, you are probably thinking, “How does this relate to me?” Well, it is all pretty abstract, until now.
The gatherer is all about listening to the needs and finding a solution for them. In many ways, it is very similar to hunting – you are looking to add value. However, as a hunter is a bit more aggressive and on the prowl, gatherers are a bit more passive in their approach. They are essential when it comes to collaborating and building relationships, where they gain loyalty with their customers.
Where does that leave me?”
Most successful business models intertwine all three skillsets into their business. Sometimes, these roles are different positions within a sales function. Other times, they are tasked of the same individual as a means of diversifying. As you build your business, you’ll need to identify which techniques you’ll employ. Although, the labels aren’t important. What is, however, is the fact that you are able to adeqetly meet the needs of your customers and build sustainable business – one where you are able to source leads (hunt), show value through active listening (gather), and build a reputation for your business so you can develop organic in-bound leads in the future (farm).
Prospecting and Meeting New Leads
Now that you know what you need to do, you may be asking, “How do I get started?”
One of the most important parts of the sales process is prospecting and meeting new leads. This can involve cold calling, attending networking events and other local meetups. You may also be required to use social media to find potential leads. Some sales reps are required to go into the field to meet customers in person. In order for you to be successful in sales, you’ll need to be able to meet with the customer, demonstrate value, and close the deal. There is a lot of strategy invovled in those simplified three steps. However, by researching your market, identifying your competitors, and identifying your target customers, you can overcome half the battle.
Negotiating and Handling Objections
The negotiation and handling of objections is a vital aspect of sales activities. In order to close a deal, you’ll often need to negotiate compensation, terms, and other details. However, it’s important that you handle objections properly. If an objection is handled poorly, it can result in the deal being closed unsuccessfully. The negotiation and handling of objections allow you to close deals, but it’s important that you don’t bite off more than you can chew. It’s also important that you don’t lose the deal after there’s a handshake (in real estate, that should be accompanied by a ratified contract). If you don’t handle objections or problematic circumstances properly, the deal can be jeopardized, resulting in lost time and revenue.
Conclusion
Sales is a diverse career path that requires a significant amount of time and effort. However, the rewards are worth it, as a successful salesperson can earn a six-figure salary and have a great, flexible lifestyle. To succeed in sales, you’ll need to be great at networking and meeting new people. You’ll also need to be able to deal with objections and close deals. To advance in your career, you’ll need to invest a lot of time in training, education, and personal development. Happy hunting!