Do you feel as though you are wasting time preparing free estimates on residential building and renovation jobs that you don’t get? It’s frustrating and costly. Especially when you client signs an almost identical agreement with another building company! Sometimes for more money!
In this article I will give you three tools to help you increase your estimate conversion rate.
Maybe, you are making one of the common mistakes residential builders make when working with clients on their estimate…You are not giving your client the feeling that they are doing the choosing! Maybe they feel you are making their choices for them.
Many residential builders provide just one renovation solution, or prepare only one building estimate. And some, when talking to their clients, like to tell them what they should do, even though they have not yet been asked for their opinion! Know what I mean? The fact is, you probably do have a pretty good idea of what that they do need, but…Should you make the choices for them?
In reality most clients are like you…they like to make their own choices. And they don’t appreciate having their choices made for them, especially by someone they hardly know. So building trust is most important at the early stages.
So when preparing your estimates consider the following
1. Give Multiple Options
Include/discuss several options with each part of the home improvement plan. For example include an estimate for that additional room or French doors; standard or executive decks finishing; brick or timber cladding; tiled or wooden flooring; several levels of bathroom fittings; standard or architectural light fittings etc. These options give your clients the feel that you are not rail-roading them to decsions they don’t want to make.
2. Provide Helpful Information
Ask your client to decide which options they think are better for them and give them helpful details to assist them in making decisions. Keep asking questions and keep providing information. Eventually, if you do your part well, they will ask you which option you think is better for them. This is an important step because it indicates that they now consider you no longer simply a builder but a trusted building adviser.
3. Establish Budget
Once you have become a trusted building adviser and before recommending options, it is good to talk about the budget. Usually clients are not prepared to talk about budget until they believe they can trust you. Once they trust you, and have discussed budget, you can make suggestions you know are affordable rather than suggest options that have a price tag that is way out of your client’s reach.
Following these simple steps will ensure that when you come to present your final estimate, your client will trust it’s veracity better, it will be closer to what the client really wants and thus it will have more likelihood of being the preferred one.
Let me ask you: Have you failed to close recent deals in your building company? Have your recent estimates been turned down by the home owner? Are you losing work to other builders? Or are you cutting your rates down and still doing too much work? Do your estimates kinda suck? I’d love to hear what you’re struggling with.
Just post your comment.
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