The contents of this article were contributed by Jeevan Sahadevan, business growth expert and Founder & CEO of Leveragelab Sdn Bhd.
Have you ever encountered a salesperson who weaves their magic and makes sales seem like a breeze?
It might seem like sheer luck, but the real secret weapon lies in understanding the customers.
Once understanding customers’ motivations and buying behavior, selling becomes less of a push and more of a collaborative problem-solving journey.
Understanding Buying Decision in Real Estate
1. What is buying decision?
Imagine you are shopping for something: it could be anything. Maybe it is a new house or even just smartphone.
The process of figuring out what to buy or which is the best option is a buying decision.
Some things are easier to choose than others. When it comes to an expensive item, long time will be taken to make a buying decision.
For example, buying a new car takes more time to consider. It all depends on how important the purchase is to you.
2. Why is understanding buying decision important?
When salespeople understand the factors that influence their customer’s decision to buy, they can tailor their approach.
Addressing based on the customer’s needs and concerns makes the buying process smooth and enjoyable.
3. These 6 Factors that Create Buying Decisions
To boost sales, a salesperson must know the factors that affect different customers’ buying decisions.
Here are the six factors that have been commonly used in real estate sector nowadays:
1. Emotion of Love
Customer purchases are driven by more than just practicality. Love, in its many forms, significantly impacts what we buy.
Consider a child searching for a home – it is not just about walls and a roof but envisioning their parents’ joy with a nearby market for fresh meals.
Recognizing this interplay between love and buying decisions empowers consumers to make thoughtful choices.
2. Practical Considerations
By prioritizing practicality, customers can make informed decisions that align with their needs and budget, leading to purchases that truly enhance their lives.
When a customer mentions their plans to get married and start a family, it’s an opportune moment for a property agent to suggest considering a larger capacity home.
The property agent can highlight the practical need for more rooms as their family expands. A larger home offers the space needed for children to grow.
This suggestion can be framed flawlessly as an investment in their family’s future happiness and well-being.
3. Desire for Material Wealth
People often engage in the practice of purchasing an item, whether it’s a property, a vehicle, or another asset, with the intention of renting or selling it out in the end as a means of investment.
The desire for material wealth can drive individuals to seek out properties with strong investment potential.
They may look for homes in rapidly appreciating markets or with features that are likely to increase in value over time, such as waterfront locations or proximity to desirable amenities.
Investing in a property with strong potential for appreciation can be a savvy financial move, providing avenues to booster income through rental returns or eventual resale.
4. Self-Preservation
Self-preservation can be a good reason to persuade people to purchase something that can improve their well-being.
For example, for older individuals, self-preservation becomes a priority, especially as concerns about illness and well-being loom large.
Living in proximity to essential amenities such as hospitals or healthcare facilities provides a sense of security, knowing that help is readily available if needed.
Overall, choosing a home in locations that cater to these self-preservation needs brings a sense of satisfaction to those who tend to take care of themselves, allowing them to live with greater confidence in their overall well-being.
5. Freedom of Body and Mind
Owning an asset instead of renting it brings about a unique sense of empowerment.
It is like stepping into the driver’s seat of their life, where individuals have the freedom to make decisions without any constraints.
From choosing the interior design elements to hand-picking electronic appliances, every choice reflects your personal taste and style.
For example, a Barbie enthusiast can splash bright pink paint on walls and ceilings, celebrating their individuality without inhibition.
Once individuals own the asset, it becomes a canvas for them to express their creativity and personality, allowing them to craft a space that truly feels like home.
6. Personal Expression and Recognition
More than just a brag, buying high-end items or living in wealthy areas can fulfill a deeper desire for self-affirmation.
For some, buying property can certainly be a way to express that success.
It indicates a personal landmark that showcases their accomplishments and fuels a sense of “I made it”.
Owning their dream home becomes a powerful act of self-validation.
Crack the customer code, crack the sale.
Knowing their needs lets you show them how your product is the perfect solution, turning “maybe” into “must-have.”
Here’s to your journey to becoming the top seller!
The contents of this article were contributed by Jeevan Sahadevan.
Jeevan is Malaysia’s top business growth expert with more than 20 years of experience, and Founder and CEO of business growth company Leveragelab Sdn Bhd. He has won several awards during his tenure and was dubbed Malaysia’s Top 40 Under 40 in 2012.
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