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10 Things I Learned About Selling Real Estate from Buying a Car Today

By
Real Estate Agent with Long & Foster Real Estate, Inc.

I walked in a buyers' shoes this weekend, and came home with some lessons learned as well as a new car from Adams Jeep of Maryland.

  1. Walking in my shoesA personal referral is the best possible introduction.
  2. If a buyer walks through the door, he/she probably wants to buy - not just try.
  3. Listen to the buyer's wants and needs.
  4. Know your inventory well, so you can promptly present buyers with something that matches their wants and needs.
  5. Know the financing options well, so you can quickly calculate the required cash up front and monthly payment.
  6. Buyers want EASY, so don't drown them in details unless they ask (or the information is a required disclosure).
  7. Don't insult the buyers by talking down to them.
  8. Buyers are not automatically raving fans.
  9. Thank buyers for their business.
  10. Follow-up after the sale may determine if buyers will be raving fans.

For the past year, my hairdresser has been a "raving fan" for the car dealership where he purchased his vehicle.  That's why my husband and I drove 75 minutes to find out what made that dealer so extraordinary.  We didn't drive all that way, passing many other car dealerships en route, to window-shop. We wanted to buy a car from someone who would value our business and provide great service during and after the sale. (1 and 2)

The sales person to whom we were referred listened to what we said, pulled out the paperwork on a car that fit our wants and needs, and worked out two financing options for us on that car - one with their rebate, and another with 0% interest.  (3, 4 and 5)

Satisfied that a purchase was doable within our parameters, we were ready to go for a test drive in the car the salesperson had identified - he was right, it did satisfy our wants and needs.  We didn't feel compelled to look at any other vehicles or financing, even though they had a parking lot full of cars and probably a whole menu of financing options and lenders. (6)

Larry Woda

We were having one of those "raving fans" experiences ourselves until they sat us down at a table to watch a video about taking care of your new car and warranty options.  About 2 minutes into it, I moved beyond restless to annoyed and then started to feel insulted.  Really, at that point, I was ready to walk without buying.  We did buy, but those few minutes undid the warm fuzzy feelings we both had about this experience, and that mis-step could cost this dealership our repeat or referral business. (7 and 8)

When everyone in the dealership said "Congratulations" as we left, it seemed a little misguided.  Instead, I felt they should have been saying Thank you for your business and saving their "high-fives" for themselves after we were out of sight.   I didn't feel the slightest bit appreciated for driving 75 minutes to their dealership and being an "easy sale" for them in this buyer's market.  (9)

Can they redeem themselves?  They were going great until Items 9 and 10, so I guess good follow-up is their best hope for restoring our positive feelings about doing business with this individual or company.  I wonder... will there be a hand-written note from the salesperson and/or manager in our mailbox on Monday?  Will their Service Department be worth the drive past all those other Jeep dealers, including the one we've used for the past 12 years? (10)

One thing is certain, we came home with more than a new car...  By the time we got back to Crofton, I already had pages of notes about what I learned from walking in the shoes of a buyer.  At the top of my list:  Pull Raving Fans off my bookshelf and re-read it this weekend.  In 2009, I'm going to tweak how I do business to make sure MY clients have a "raving fan" experience from start to finish and beyond - without any of the pauses my husband and I experienced at Adams Jeep of Maryland in Aberdeen.

8 out of 10 is not a "bad" score - in fact, it's pretty good - but I know I can do better than that!  

Bottom line:  "Satisfied customers and clients" are good to have, but I prefer to earn "raving fans."  Walking in a buyer's shoes provided me a fresh perspective to evaluate whether my business practices are on target for that. 

_ _ _ _ _ _ _ _ _ _

P.S.  If you haven't already entered, check out A Contest So Easy that Even A Consumer or ActiveRain Newbie Could Win.

 

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This infoMargaret Wodarmation was provided to you by Margaret Woda, an Associate Broker with Long & Foster Real Estate in Crofton Maryland. Contact Margaret today for general real estate information or to learn how she can help you buy or sell a home in Annapolis, Bowie, Crofton, Davidsonville, Gambrills, and Odenton. 

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Comments(80)

Margaret Woda
Long & Foster Real Estate, Inc. - Crofton, MD
Maryland Real Estate & Military Relocation

UPDATE:  6 p.m. on Tuesday - 'Just received a "canned" (i.e. scripted and long-winded) phone call from the dealer's call center - NOT the sales manager or Newbie who was assisting him with us.  She wanted to know if I would participate in a survey.  The level of my annoyance at another canned presentation surprises me, and I'm REALLY going to erase anything resembling that from my marketing and follow-up.

Thanks for your comments!   In case you missed it, Jeff's referring to Kristal Kraft's comment about my obvious youth and inexperience. Thanks for the laugh.

Nov 25, 2008 09:16 AM
Lisa Friedman
Alliance Realtors - Bedminster, NJ
Central New Jersey Real Estate

Margaret, congrats on your new car.  I hate when people try to sell those warranties.  They should definitelyh thank you for the business and reserve the high fives until after you leave!

Nov 25, 2008 09:48 AM
Sharon Simms
Coastal Properties Group International - Christie's International - Saint Petersburg, FL
St. Petersburg FL - CRS CIPS CLHMS RSPS

Margaret - we do indeed have lessons in service whenever we buy something, from a car to a hotel room.

We were referred to a great saleswoman at Lexus, and have now bought 3 cars from her. We only went to the showroom once - since then she brings the car to us to check out. The dealer is 45 minutes from here, but she has them pick up our car and leave us another Lexus whenever service work needs to be done. She sends handwritten thank you notes, and birthday notes, and telephones. We recommend her a lot.

Then there was the Jaguar dealer who made me so angry I wouldn't buy a Jag (they are the only dealer around) if someone paid me (this was before my Lexus experience). They spoke only to my husband, even though I was buying the car for myself, and wouldn't even let me test drive it - I could ride while the salesman drove it.  I don't think so. Bad salesman? Yes, of course. But because of him, I won't ever go back to that dealership again.

Nov 25, 2008 09:50 AM
Frank & Jodi Orlando
Frank & Jodi Orlando Get Us A Home Realty Atlanta Homes Sale - Cumming, GA

I was a top car salesman for 10 years, it was not a difficult job to me as I was able to develop my own style. The biggest problem is the trainers that teach responses that can be condescending to a purchaser. I was lucky to do my own thing, each dealership is totally different, most are totalitarian, and THAT is what turns people off...

Nov 25, 2008 10:10 AM
Lane Bailey
Century 21 Results Realty - Suwanee, GA
Realtor & Car Guy

I have bought more than a few cars in my life... go figure...  Some were new, others were used.  In the case of the new cars, the best dealer experience I have had was with Ford.  A local dealer that was NOT convenient to me had the best price and easiest to deal with staff.  When I took my truck in for warranty work I was offered a GT Mustang convertible or a Dodge Ram truck... my choice.  Work was always completed on time and under budget. 

My first ford purchase was quite different with a different dealer.  They didn't care about my business at all.  I bought a Mazda truck as well.  Never used the service department again after the first time... they weren't bad, but the free oil change cost me $50. 

The parallels for real estate are that I treat my clients like they matter... they matter to me.

Nov 25, 2008 10:20 AM
Connie Wilhelm Zulu
Peak Realty Ltd., Brokerage - Saint Marys, ON

I found this post to be extra interesting for I use to sell cars.  thanks for the post

Nov 25, 2008 11:14 AM
Charles Stallions
Charles Stallions Real Estate Services - Pensacola, FL
850-476-4494 - Pensacola, Pace or Gulf Breeze, Fl.

OMG they got a B grade and you r complaining about watching a video. I wish the dealship where my daughter bought her car would have shown her the video and then she might not of had $1300 dollars worth of clutch work on an 08. It just goes to show you cannot do everything right 100%. I would really rethink whether you could do better. To get 8 out of 10 is pretty dang good.

Nov 25, 2008 11:46 AM
June Watson
Weichert Realtors, ProSouth - Florence, AL
Realtor , NW Alabama

Great reminders! Thanks for the post!
Happy Thanksgiving!

Nov 25, 2008 11:58 AM
Katerina Gasset
The Gasset Group & Get It Done For Me Virtual Services - Provo, UT
Amplify Your Real Estate & Life Dreams!

Margaret- Love Raving Fans! I should dust mine off too. I am reading another book now, Triibes by Seth Godin. A good read too.

Nov 25, 2008 12:28 PM
Paul McFadden
Responsive Pest Control - Seattle, WA
Pest Control, Seattle, WA.

Margaret: Those are great tips. It sounds like, for the most part, the car dealer did you right.

Nov 25, 2008 03:26 PM
Marcia Kramarz
Re/Max Executive Realty - Medway, MA
CDPE,LMC,CBR

Talk about using YOUR TIME wisely!  Do you do that with all your activities??  Actually I watched my salesperson closely when I bought a car - couldn't help but make comparisons... Thanks for the detailed analysis though - We can all learn from it!

Nov 25, 2008 09:21 PM
Lanre-"THE REAL ESTATE FARMER" Folayan
Samson Properties - Bowie, MD
I don't make promises.I deliver results.SOLD HOMES

Congratulations on your new car Margaret. I guess the good thing about your experience with Adam Jeep of Maryland is that you learned something that is going to make your a much better real estate professional than what you already are and help you improve your business. I might have to add raving fans who I believe also wrote who cut the cheese? to my list of books to read. I am currently reading 7habits of highly effective people by Stephen Covey. Happy Holidays. Great post.

Nov 25, 2008 09:24 PM
Margaret Woda
Long & Foster Real Estate, Inc. - Crofton, MD
Maryland Real Estate & Military Relocation

Charles Stallions - I have to reply to your comment...   This is simply a "lesson learned" and not a "complaint".  I think it's important to realize that a "raving fan" is not the same as a "satisfied customer."  I certainly didn't fnd this to be a glass-half-empty experience.  

Nov 25, 2008 10:50 PM
James C. Johnson
Legacy Real Estate - Sioux Falls, SD

Never thought of it that way - new outlook - happy thanksgiving!

Nov 26, 2008 08:40 AM
George Tallabas
RE/MAX Advantage - Nampa, ID
Idaho Real Estate

Amen Margaret.  Reminds me of a book I read by golfing legend Tom Watson titled "Getting Back to Basics". The basic rules of successful real estate selling has never changed.  Only technology has been added but the basic traits of every succesful Realtor has never changed.  Have a great Thanksgiving and be blessed.

Nov 26, 2008 08:59 AM
Susan Milner
Florida Future Realty, Inc. - Cape Coral, FL
Cape Coral Real Estate Broker, FloridaFutureAgents

Your car buying experience is a dream compared to what mine have been like. I DREAD buying cars. Great points on how to provide GREAT customer service though :)

Nov 28, 2008 06:08 AM
Gerry Khatchikian
Red Lodge, MT
ASA, TRC, SFR

Margaret,

I really enjoyed reading this post.   Thank you for sharing your car buying experience and relating it to the 10 things we need to do as real estate sellers to wow our clients.   It was good to remind us that we need to make an effort to put ourselves in the buyers' shoes and determine the kind of service they expect and then not only satisfy them but try and exceed those expectations.  Let's all strive to earn nothing less than raving fans!

Nov 28, 2008 03:51 PM
Judy Jennings
Top Agent Plus - Middleboro, MA
Tap into Judy's real estate expertise & resources.

Margaret, great post! I have purchased (and NOT) purchased cars as a direct result of how I was treated at certain dealerships.  The absolute WORST is during negotations.  You start in a room with your salesperson, then they bring in their supervisor, and if you are not in agreement with the price, or financing they bring in the manager.  This is a complete turn-off.  I have walked out of this type of situation 3 times in the past, never to return to the dealership ever again. 

p.s. your contest was a great idea.  Who won?

Judy

Dec 03, 2008 03:12 AM
Debe Maxwell, CRS
Savvy + Company (704) 491-3310 - Charlotte, NC
The RIGHT CHARLOTTE REALTOR!

Hi Margaret!  I came here from Thom's post today--only several months after writing (I just can't keep up!) and just wanted to say that I love this post!  The direct correlation between real estate and cars IS customer service and I truly don't think that many agents get this point!  Those that do are incredibly successful and corner the market because of their amazing, superior quality customer service!

May 17, 2009 01:54 AM
Margaret Woda
Long & Foster Real Estate, Inc. - Crofton, MD
Maryland Real Estate & Military Relocation

Debe - 'Guess I'd better go read Thom's post!  Even re-reading this, after seeing your comment, I was reminded of these basics yet again.

May 19, 2009 12:58 AM