What if you could win high-margin contracts without having to “push” prospects to close the deal? It’s possible…
To make this happen, you need a sales process that helps you identify the best prospects and creates a sense of scarcity and urgency for your residential construction company.
Identifying The Best Prospects
The first step is an effective marketing strategy that consistently attracts potential clients, so you can choose the best ones to work with.
Choosing who to work with can be particularly challenging if you feel like you don't have enough prospects and might be tempted to take on all projects. But remember that this approach almost always leads to working with problem clients and sacrificing margins.
To avoid this, you need a repeatable sales process to determine which prospects are worth your time.
Enter the Builders' Qualifying Checklist - a series of closed questions that work as firm disqualifiers at the beginning of the sales journey. These questions don't involve feelings – they're more like facts determining a prospect's eligibility. For example:
- Do you have land where we can build?
- Is your location within our working area?
- Do you already have designs for your project?
These disqualifying questions filter out prospects who don't align with your capabilities, location, or vision. While disqualified prospects might hold potential for the future, they aren't viable opportunities at the moment.
The Discovery Process
The next step for those who pass the first round of questions is learning more about them. This is called the "discovery" process. In this phase, you want to understand why they want to build and what's important to them.
Why do you need to do this?
As custom home builders, you're not just selling a product. You're offering a transformation. This is why moving from "maybe" to "yes" needs a strategic approach.
It's not about pushing – it's about understanding and helping.
As human beings, we buy on emotion and justify it with logic. So it's essential to know your prospect's motivations and underlying fears to write a proposal that speaks to their emotions, not just numbers on paper.
To do this, you'll want to ask questions like:
- What's your biggest worry about this project?
- What do you look for in a residential builder?
- Have you done a project like this before? How did it go?
- What parts of past projects did you enjoy?
- How do you imagine your life in the new place?
The Power of Construction Slots
When it comes to sealing the deal, one effective strategy is to use construction slots.
Consider a popular concert. There are only a few tickets, and everyone wants one. This makes people want to buy tickets quickly so they don't miss out. That's how construction slots work.
The idea is to allocate specific starting slots for projects throughout the year, ensuring you can better manage your resources and create a limited window of opportunity for clients to secure their preferred start date.
As the discussion progresses with a potential client, you'll want to incorporate the concept of construction slots into your conversations. For example, if you get asked when the project can start, you can say, "We have slots available in March, April, and May. Which one would you like?" This makes them realise that time is limited and they need to decide.
Using construction slots, it's like saying, "Here's your chance – don't wait!" It takes the pressure off of you and puts it on them. With this strategy, you'll create a sense of urgency, and people will want to secure their spot before it's gone.
Want to learn more about how to generate quality leads and convert them into high-margin contracts? Get the Professional Builders Secrets book for FREE below.