The SERVICE Department that Means What it Says

Everything about Fletcher Jones Motorcars is memorable. It is the largest Mercedes dealer in the world. There is no doubt why.

The sales team is outstanding.

The ownership is always interested in our experience.

They survey customers incessantly…and they give us a gift certificate to encourage responses.

They provide free parking and a shuttle service to / from John Wayne Airport. This alone is remarkable. Avoiding the cost and possible damage in the airport parking lot…possibly arranging regular maintenance while we travel…it’s all good.

They provide a free courtesy Mercedes or other car whenever service is required.

The customer lounge is an internet café, with free coffee and several TV’s tuned to different channels. It’s clean, comfortable and welcoming.

Get your nails done while getting an oil change? Of course.

Shoeshine bar? Of course.

Putting green? You bet!

Mercedes gift store? You got it.

Free car wash for life? Yes!

Regular maintenance costs? Always fixed. No misunderstanding or surprises.

Absolutely stellar telephone manners all round. Every time. Without fail.

Cashiers dressed professionally and unfailingly polite.

Today, I had yet another great experience. My low beam bulb burned out. I called FJ Motors for a replacement. Response? Come in. We’ll do it while you wait. Have a coffee if you like.

But, no mention of the cost.

Now I know why.

Cost of the bulb? $12.12.

Total cost including smile, warm welcome, instant service, coffee and a holiday greeting? Uhh…that’d be $12. 12.

Why would I EVER buy a car elsewhere?

HARDminute #13 Largest US Bankruptcies

The HARDminute # 13
A Series of “Top Tens”
That Took Forever to Compile
But Requires Only Sixty Seconds
for You to Read.


TOP TEN
U.S. BANKRUPTCIES


Company/ Date / Pre-bankruptcy Assets $MM

1. Lehman Brothers Holdings, Inc. 9/15/2008 $691,063
2. Worldcom, Inc. 7/21/2002 $103,914
3. Enron Corp. 12/2/2001 $65,503
4. Conesco, Inc. 12/17/2002 $61,392
5. Pacific Gas and Electric Co. 4/06/2001 $36,152
6. Texaco, Inc. 4/12/1987 $34,940
7. Financial Corp. of America 9/9/1988 $33,864
8. Refco Inc. 10/17/2005 $33,333
9. IndyMac Bancorp, Inc. 7/31/2008 $32,734
10. Global Crossing Ltd. 1/28/2002 $30,185

HARDminute #12 Tallest Structures

The HARDminute # 12

A Series of “Top Tens”

That Took Forever to Compile

But Requires Only Sixty Seconds

for You to Read.


HARDminute #10 listed the ten cities with the highest number of “skyscrapers.”

HARDminute #11 listed the ten tallest “statues.”

In this HARDminute, you’ll see the ten tallest “structures.”

Because the bragging rights for biggest/tallest/best, etc. are always hotly contested, you are probably NOT surprised that there is actually an international body that determines whether a tall structure is a tower, a statue, a building, etc.

This Council on Tall Buildings and Urban Habitat, the organization that determines the title of the "World’s Tallest Building," recognizes a “building” only if at least fifty percent of its height is made up of floor plates containing habitable floor area. Structures that do not meet this criterion, such as the CN Tower, are defined as "towers."

Due to the disagreements over how to measure height and classify structures, engineers have created various definitions for categories of buildings and other structures. One measure includes the absolute height of a building, another includes only spires and other permanent architectural features, but not antennas. The tradition of including the spire on top of a building and not including the antenna dates back to the rivalry between the Chrysler Building and 40 Wall Street. A modern-day example is that the antenna on top of the Sears Tower are not considered part of its architectural height, while the spires on top of the Petronas towers are counted.


Category Structure City & Country Ht. M’s Ht. Ft.

Skyscraper Burj Dubai Dubai, UAE 707 2320
Guyed mast KTLY-TV mast Blanchard ND USA 628.8 2063
Concrete tower CN Tower Toronto ON Canada 553.3 1815
Skyscraper Sears Tower Chicago IL USA 527.3 1730
Skyscraper Taipei 101 Taipei Taiwan 509.2 1671
Skyscraper World Financial Ctr. Shanghai China 492 1614
Tower BREN Tower Nevada Test Site USA 462 1516
Mast radiator VLF transmitter Lualualei HI USA 458.11 1503
Twin Towers Petronas Kuala Lumpur Malaysia 452 1482
Chimney GRES-2 Power Stn. Ekibastuz Kazakhstan 419.7 1377

Notes
1. Under construction. Actual height is still secret to protect bragging rights and thwart other structures hoping to be taller. This is minimum estimate.
4. To top of antenna
5. To top of spire
6. To top of roof
7. For scientific research
8. Insulated against ground


Please let me know if this is of interest to you.

I welcome your feedback!

HARD

HARDminute factoid #11; Tallest Statues

Last posting was the tallest livable structiures over 500 feet. This time are shown statues. Notice how many are in Asia.

TOP TEN Tallest Statues

1. Spring Temple Buddha in Lushan China is 128 meters high.
2. Laykun Setkar Standing Buddha in Khatakan Taung, Burma is 116 meters high.
3. Ushiku Daibutsu in Ushiku, Ibraki Prefecture, Japan is 110 meters high.
4. Nanshan Haishang Guanyin in Sanya, Hainan, China is 108 meters high.
5. The Emperors Yan & Huang in Zhengzhou, Henan, China is 106 meters high.
6. Sendai Daikannon in Sendai, Miyagi Prefecture, Japan comes in at 100 meters high.
7. Peter the Great in Moscow Russia is 96 meters high.
8. Grand Buddha at Ling Shan in Wuxi, Jiangsu Province, China is 88 meters high.
9. Dai Kannon of Kita no Miyako Park in Aishebetsu Hokkaido, Japan is also 88 meters high.
10. Rodina-mat Zovyot! in Mamayev Kurgan, Volgograd, Russia is 85 meters high.

HARDminute #10: Skyscrapers

This is a topic where there are many disagreements. Future Top Tens will have the tallest structures, tallest statues, tallest free-standing structures, etc. many groups all want to claim bragging rights so I will circulate opportunites for many to claim them! And more opportunites for debate. This is a start. "Skyscrapers" are livable buildings higher than 152 meters, or 500 feet. Source is "De top 10 van alles" Russell Lash.

Top Ten Cities with the Most Skyscrapers

1. HongKong, 188
2. New York City, 183
3. Chicago, 87
4. Shanghai, 68
5. Tokyo, 61
6. Singapore, 34
7. Houston, 29
8. Seoul, 26
9. Sydney, 24
10. Kuala Lumpur, 23

Most Expensive Retail Space

The HARDminute # 9
A Series of “Top Tens”
That Took Forever to Compile
But Requires Only Sixty Seconds
for You to Read.

Last time, we showed the most expensive OFFICE space in the world. THIS factoid shows the most expensive RETAIL streets and cities. I am amazed by the success of Grafton Street in Dublin . That says something about the Irish economy.

The world's most expensive shopping streets; Source: Cushman & Wakefield
Rank 2007 / Country / Cities Location / Rent €/sq.m/year / Rent US$/sq.ft/year
1. US / New York / Fifth Avenue / 11,983 / 1,500
2. Hong Kong / Hong Kong / Causeway Bay / 9,688 / 1,213
3. France / Paris / Avenue des Champs Elysées / 7,364 / 922
4. UK / London / New Bond Street / 6,498 / 814 /

5. Japan / Tokyo / Ginza / 5,459 / 683 /

6. Ireland / Dublin / Grafton Street / 5,340 / 669
7. Switzerland / Zurich / Bahnhofstrasse / 3,926 / 492
8. Australia / Sydney / Pitt Street Mall / 3,905 / 489
9. Greece / Athens / Ermou / 3,600 / 451
10. S. Korea / Seoul / Gangnam Station / 3,441 / 431

Please let me know if this is of interest to you.

I welcome your feedback!

HARD

HARDminute factoid #8 Office Space

HARDminute Factoids
A Series of “Top Tens”
That Took Forever to Compile
But Requires Only Sixty Seconds
From You to Read

HARDminute #8

Cities with
Most Expensive
Office Space



City / Country
London UK
Tokyo Japan
Paris France
Moscow Russia
New York USA
Hong Kong China
Frankfurt Germany
Geneva Switzerland
Bombay India
Milan Italy

HARDminute #7 Dangerous Mountains

HARDminute Factoids
A Series of “Top Tens”
That Took Forever to Compile
But Requires Only Sixty Seconds
From You to Read

HARDminute #7
Most Dangerous Mountains
To Climb



Mountain Country Height in feet
Annapura Nepal 26545
Nanga Parbat Kashmir, India 26657
Siula Grande Peru 20814
K2 Pakistan/China 28251
Kangchenjunga India/Nepal 28169
The Matterhorn Switzerland/Italy 14691
Everest Nepal/China 29029

Washington New Hampshire, USA 6288
Denali Alaska, USA 20320
Fuji Japan 12388

(Source www.mensvogue.com)

HARDminute factoid #6 Universities

HARDminute Factoids
A Series of “Top Tens”
That Took Forever to Compile
But Requires Only Sixty Seconds
From You to Read

HARDminute #6
Top Ten Countries
with most universities




Country Number of Universities
1.India 8407
2. USA 5758
3. Argentina 1705
4. Spain 1415
5. Mexico 1341
6.Bangladesh 1268
7. Indonesia 1236
8. Japan 1223
9. France 1062
10.China 1054

Cinema Screens...now we know!

In HARDminute #4 & #5 I wondered why India had so many cinemas but so few TV stations. It caused a response from my youngest brother in Canada. As he says, “pretty cool.”


"One reason for the large number of movie screens in India is that, following independence, the central government saw movies (and news reels) as an indispensable part of state control. India has some hundreds of ethnics groups, religions, languages. All controlled by the Hindu, Urdu and English speaking, British trained central authority. India embarked on a massive campaign to build movie theatres in every village in India. Movies showing friendly relations between ethnic groups and across religion were encouraged by the state.

Pakistan did the same thing.

My father-in-law Les Russell had a large hand in India and later Pakistan (originally through RCA Victor) in building village theatres. Quite an undertaking, really. Most of these villages had no electricity. So a building had to be erected, a generator installed, projectionist trained, delivery of movies set up, etc. Some movies would be screened with a hand (or bicycle) crank and an acetylene lamp for light. All to bring the messages of “One India” to every little hamlet. And don’t forget, the movie reel news would have to come from Delhi – traveling thousands of miles by train and bicycle – reaching each tiny village to spread the message. But, there’d only be ONE theatre per village. Propaganda does not need competition.

It may have worked. For all its problems, India has never had a military coup. It has managed to make progress as the largest democracy on earth. No significant ethnic violence (when compared even to the US and the black-white lynchings and burnings – forget about most African nations, Germany, Serbia, etc.). More religions than France has cheeses. More races than Asia. More languages than the whole New World. Stitched together with cellulose film. Pretty cool."

Thomas Harding

Trial Lawyers Advocacy Group
#200 - 8459 - 160th Street
Surrey, B.C. V4N 0V6
ph.(604) 635-1330 fax (604) 635-1340
tharding@stargate.ca

HARDminute factoid #5 TV Channels

HARDminute Factoids
A Series of “Top Tens”
That Took Forever to Compile
But Requires Only Sixty Seconds
From You to Read

HARDminute #5
Top Ten Countries
With most TV channels

Last factoid was the top-ten of movie screens, by country. I’ll re-run (great play on words!!) below. I suppose there is a relationship with, and explanation for, THIS factoid.


COUNTRY No. of Channels

1. Russia 7306
2. China 3240
3. USA 2218
4. Serbia & Montenegro 771
5. Turkey 635
6. France 584
7. India 562
8. South Africa 556
9. Germany 373
10.Norway 360



HARDminute #4
Top Ten Countries
with most cinema screens




Country Screens
1. China 42,400
2. USA 36,594
3. India 11,000
4. France 5,294
5. Germany 4,870
6. Spain 4,388
7. Italy 3,566
8. Great Britain 3,474
9. Mexico 3,197
10. Canada 2,974

HARDminute factoid #4, Cinemas

HARDminute Factoids
A Series of “Top Tens”
That Took Forever to Compile
But Requires Only Sixty Seconds
From You to Read

HARDminute #4
Top Ten Countries
with most cinema screens




Country Screens
1. China 42,400
2. USA 36,594
3. India 11,000
4. France 5,294
5. Germany 4,870
6. Spain 4,388
7. Italy 3,566
8. Great Britain 3,474
9. Mexico 3,197
10. Canada 2,974

It’s Called The Hospitality Industry…For A Reason.

Just the Facts…

Dateline: San Francisco CA, Sunday October 18. Time: 1615 . I was working the daywatch out of AT&T Park. My partner was Salmon. My name’s HARD.

We had an appointment in Foster City at 7PM and felt like a cocktail before returning to AT&T for our unmarked unit. My partner called ahead to The Salt House to see if they were open for a drink and a snack. The subject answering the phone said they were setting up for 1700 dinner service, gave us directions from 24 Willie Mays Drive and explained we were only five minutes away.

We hailed a cab.

In under five minutes we were in front of The Salt House. There was no one on the street, but we let the cab go. I covered Salmon as we proceeded to the door. On entry we were accosted by one of the non-busy staff. No, they were NOT open…not for another 30+ minutes, not for drinks, not for bar snacks. Not for called-aheads. Just not. Not at all. Not. I deduced that they might not be interested in us.

Reception: rude. Atmosphere: cold. Service: not applicable. Likelihood of return: none.

We exited the establishment and surveilled the neighborhood. Salmon observed Roy’s, just a few steps to the South. My partner and I covered each other as we proceeded to their location. My fellow officer entered and I watched the door.

Two hostesses were preparing for their opening time…also at 1700 hours. (Are donuts the only thing hard-working servants of the law can get before dinner time?) Nonetheless, they seated us quickly at the bar and made us feel welcome. Jacob did the same. He showed that his “time behind bars” had given him valuable lessons on life. His pour was friendly, his measure generous. He explained that the kitchen wasn’t yet fully-prepped, but he would take care of us.

Our preferred snack, the hamachi, would not be ready immediately, but we were presented some complimentary lumpia while we waited. Everything was worth the walk from The Salt House. And worth the pace of service.

Reception: prompt and welcoming. Atmosphere: warm and friendly. Service: trained, hospitable, focused on the guest. Likelihood of return: guaranteed.

Several members of the Roy’s team made us feel like we were the reason that Roy’s was in business. They recently celebrated their 20th anniversary.

This Officer’s Opinion...

The Salt House should NOT get the same sentence! Not.

HARDminute #3; Best Selling Books

The HARDminute #3
A Series of “Top Tens”

That Took Forever to Compile
But Requires Only Sixty Seconds
for You to Read.


Top 10 best sold books in the world;
(Source: Top 10 of everything 2007)

The Bible, 6,000,000,000
Quotations from Chairman Mao Zedong, 900,000,000
J.R.R. Tolkein-The Lord of the Rings Trilogy, 100,000,000
Noah Webster, American Spelling Book, 100,000,000
William Holmes McGuffey – The McGuffey Readers, 60,000,000
Benjamin Spock – The Common Sense Book of Baby and Child Care, 50,000,000
Betty Crocker’s Cookbook, 45,000,000
Elbert Hubbard – A Message to Garcia, 40,000,000
Rev Charles Monroe Sheldon – In his Steps: ‘What Would Jesus Do?’ 30,000,000
Jacqueline Susann – Valley of the Dolls, 30,000,000

HARDminute 2: Top Ten Companies by Market Value

The HARDminute #2

A Series of “Top Tens”That Took Forever to Compile

But Requires Only Sixty Seconds for You to Read.

Last factoid was about the value of the BRAND. Below is the market value of the entire company. Many will be surprised by the growing importance of Chinese companies.

Are you?

The Top 10 most valuable companies worldwide
(Source: Ernst & Young – Quality in Everything We Do)

PetroChina CO (China)
Exxon Mobil (USA)
General Electric (USA)
China Mobile LTD (China)
IND & COMM BK of China (China)
Microsoft Corp (USA)
Gazprom (Rus)
Royal Dutch Shell PLC (The Netherlands)
AT&T INC (USA)
China Petrol & Chemical (China)

HARDminute 1, the top ten brands in the world

The HARDminute #1

A Series of “Top Tens”

That Took Forever to Compile

But Requires Only Sixty Seconds

for You to Read.



The Top 10 most powerful brands

BRAND / BRAND VALUE $M
Google 86,057
General Electric 71,379
Microsoft 70,887
Coca Cola 58,208
China Mobile 57,225
IBM 55,335
Apple 55,206
McDonald’s 49,499
Nokia 43,975
Marlboro 37,324

Please let me know if this is of interest to you.

I welcome your feedback!

HARD

September 26, 2008

Do you know everything about urban condos in LA?

Hi friends,

I am recommending an event that will open your eyes regarding successful condo development in downtown LA.

If you are going to be in Los Angeles on October 7, I recommend you attend the Annual Urban Infill Event. This is the fourth annual and will take the form of case studies for Market Lofts, the Lee Homes / CIM development at 9th & Hope downtown.

Harlan Lee, one of the pioneers of the LA urban experience will be a presenter. Lee Homes (www.leehomes.net) literally re-wrote the urban LA book when they developed Flower Street Lofts. Since then, they have been a major force in urban developments from LA to San Pedro to Hollywood to Playa Vista.

The organizers recently arranged for a second case study to be part of the program.

AEG, part of worldwide sports and entertainment behemoth, is the owner of The LA Kings, LA Lakers, etc. They own more sports teams and events than any other company in the world. They developed Staples Center, Nokia Center, Grammy Museum. (See www.lalive.com). Their Ritz Carlton Residences at LA Live are setting a new standard of luxury for urban condos in Los Angeles. Talk about an exciting place to live!!

And they are not far from Market Lofts, which is the venue for the event. Market Lofts is the condo tower where Ralph’s is on the ground floor.

For details of this important event, see http://www.rethinkurbanliving.com/.

It will certainly be worth your time!!

SALES-Centric Attributes

Continued from last blog posting...

Sales-centric homebuilders intuitively understand that without sales, nothing else matters. When a CEO of a public company makes a presentation, she/he always mentions deliveries very early…often first. In a robust market, it may be partially based on bragging rights. In normal markets, it is the ultimate test of how they understand the buyers…their own, their competitors’ and the buyers of resale houses. In depressed markets, it is a matter of survival…even if there is no profitability per sale. A sale that closes at least repatriates some capital…and pays down some debt. Better than the alternative.

Our business always awaits with anticipation the May edition of Builder Magazine, when the “report card” is issued. The Builder 100 ranks builders based on numbers of annual deliveries. Sure, there are other metrics, but they all follow deliveries. How many were there?

Members of the KB Home team often say theirs is a sales and marketing company…whose commodity happens to be housing. That sums it up!!

Let’s start with three principles:

If it does (eventually) not contribute to a sale, should any activity be continued?

If it contributes to a sale, which activity should be abandoned?

If there is something that could contribute to a sale, and we are NOT pursuing it, when will we start?

With those as overriding concerns, we can then fine-tune our processes, value-engineer many components, and find better, faster, more economical ways to support 2 and 3 above.

The great companies ALWAYS consider the buyers.

Not first.

Not mostly.

ONLY!!

If we take the position that we want to attract more sales, we will have better marketing advice. We will have designs that buyers will accept, not that sellers love. We will keep our sites clean and green. We will have proactive customer care programs. We will...all of us…understand that the days of we/they are over. (They should never have taken root, originally, but anything that gets in the way of sales is a mistake. Those members of our team who cannot embrace that attitude should be discharged to impose their bad attitude on someone else.)

Below are some ideas.


Products / plans must be based on buyers needs, balanced with their limits of affordability;

Model merchandising must be based on showing our buyers how and why they may live in our homes;

Our hours of sales office operation must be based on when the greatest number of buyers can visit our community, engage our sales professionals, tour our models, and see a specific location that could best suit their needs and affordability;

Everyone is in sales. Whenever possible, even when we DON’T think it is possible, we ask for a referral. Referral sales are less expensive and are less likely to cancel. Referral sales increase profitability. Profitability affects survival.

It is the responsibility of sales management and senior leadership to train everyone…including non-staff trade partners…how to ask for referrals.

It is then the same responsibility of sales leadership to have an immediate, and effective, system for following up referrals. And, to report back to the source of the referral, both the members of our team and the “civilian” who put her own credibility on the line for us.

It is also the responsibility of sales management to celebrate and say thank you to both if a sale results. And, to encourage more referrals. Referral sales are less expensive and are less likely to cancel. Referral sales increase profitability. Profitability affects survival.

If everyone IS in sales, then, everyone also needs to be part of several other teams.



Everyone is in market intelligence.

Everyone tries to shop the competition;

Everyone is a clipping service and forwards news articles of interest to the marketing leadership;

Everyone collects resales fliers from the nearby neighborhoods.

Everyone is on signage patrol.

When our A-boards are knocked down, everyone is deputized to pick them up;

When our signs show graffiti, everyone is accountable to either remove it or let the marketing leadership know immediately.

When anyone sees a potential signage location, they make it known;

Everyone should be prepared to give a bottle of cool water to the human arrows;

Everyone is in HR.

While shopping the competition, anyone who spots great sales talent lets the sales leadership know the details;

In a professional, non-accusatory way, anyone who sees our own team
missing sales opportunities, owes a duty to the entire team to call out that failing to the appropriate manager. It is mis-placed loyalty to hide the facts if the sales team does not even have the office and models ready for “show time” during 100% of the posted hours of operation. Those failings affect the income, the job satisfaction…even the employment…of the entire team;

Everyone tries to improve our own human capital…by helping to develop our own and by looking for great talent elsewhere. When we have better salespeople, our closing ratios increase. Our metrics improve. Our profitability goes up. Profitability affects survival.

d. ANY improvement in our talent pool will speed up our turns on capital,
increase our absolute sales, or reduce our cost of sales. All of these improve profitability. Profitability affects survival.

10. Everyone reduces litter on site. This is a multi-faceted matter:

No more tossing burger wrappers that land close to…but not in…the appropriate trash containers;

Trade partners clean as they go;

On site construction management inspects what it expects. The supervision always includes finding ways to reduce the construction debris in the first place and it always requires the source of the construction debris to own the responsibility for managing it;

Our sub-contracts normally require the trade partners to clean as they go. That means we never, ever, reinforce bad behavior and hire clean up crews to make up for any failures in that regard…unless that cost is back-charged to the offending trade.

None of us is beyond picking up litter. It is OUR community, OUR business plant, our source of income and pride. We will treat it as if the litter were in our neighborhood retail store, our living room or our classroom.

Everything and anything that “trashes our community” reduces sales. Those that disagree may be better off in a new career.

When closings are happening, everyone can be a courier for escrow documents. This doesn’t mean that everyone is a notary or a certified document signer, but we can all pitch in, save some costs…or some time…and deliver documents if such is necessary / helpful. Closings pay the bills!

When sales are closed, everyone celebrates. When metrics are achieved celebrations include the entire team.

Everyone, including trade partners, knows our fiscal year end. No one plans a vacation immediately before FYE. When we meet our metrics, our lenders and equity partners are happy. When they are happy, they are likely to do business with us again. When they know we are reliable, that our closings are predictable, they consider us as less risky. When we are less risky, the cost of “renting money” is reduced. When renting money costs less, profit increases. Profitability affects survival.



Everyone is in customer care…and recognizes that happy customers make for more referral sales, at a lower cost, thus improving profitability. Profitability affects survival. Sometimes it is easier to oil a hinge than it is to send a memo to the hinging oil department! It is certainly faster!!!

When we have grand openings, topping-off, phase releases, VIP previews, etc., everyone is on the promotions team. Beazer-Los Angeles has a great spirit in this regard. Their operations team arrives shortly after dawn. They look for ways to improve the presentation, rather than excuses to stay away and reasons to snipe at others. They know that successful events result in more sales or earlier sales. Each of these contributes to profitability. Profitability affects survival.

Everyone is in Marketing & PR. We can take a lesson from the very highest levels of management at LENNAR. If they wear name badges at the supermarket, at the movies and at the hockey game, they show a real pride in themselves and their builder. I dare say it has an impact on their conduct in these places, and results in a wider, but also, better impression of LENNAR. If we consistently consider ourselves to be “brand ambassadors” our brand improves. Our sales increase and our costs of sales decrease. Our profitability increases. Profitability affects survival.

Everyone is in land acq…looking for opportunities. If there are sites that come available, where any of us believe we can be successful in making sales, we must advise the land acquisition / forward planning leadership of those opportunities.

CONCLUSION:

Sales-centricity means that everything revolves around sales. In the absence of sales, no other metric matters. Indeed, we don’t matter and we don’t survive. Some have tried to impart this attitude for years, but too many of us were too preoccupied. We were too busy with “our jobs” to worry about sales.

How is that attitude working for us in 2008? How is our job security if there aren’t sales? Maybe, just maybe, this market can be the time when we all embrace that sales and closings are results. Everything else is simply a process.

Jeff Brotman, founder of Costco, is quoted as saying “Reward results and not efforts.”

What do we want more of…results? Or processes and efforts?

No matter what else we do, if we don’t make sales, we don’t survive.

Sales-centricity. It’s time to embrace it! MAKE time to embrace it.

"Sales-Centric" companies

What does it take to be successful in sales? Is it (only) a great sales team? How well would that sales team perform if they had an inferior, outdated, or discredited product? Is it the advertising, marketing, web-tools team? How well would the company do if the website was superb, if the ads of whatever type generated plenty of visits, and the consumer was well-qualified, but the product was simply too expensive for the buyer? What impact does a terrible reputation have…even when the product, price, value, timetable, etc. are excellent?

I was impressed by the comments of Centex’ CEO, Tim Eller, where he said that his company was paring down its products from 4500 different plans to 700. He used the term “manufacturability.” Mr. Eller sees that he can improve quality by having fewer variables in his “manufacturing plant.” There is a shorter learning curve for everyone involved. Less opportunities for error. Likely an improved “manufacturing time.” Certainly, he looks forward to some cost savings by purchasing more construction components of fewer different versions. And, with good architecture, there can certainly be 4, 5, 6 or 7 elevations of each plan, so that the street scene is still varied and offers prospects a “one-of-a-kind” combination of location, home style, orientation on the site, etc.

Centex is certainly not abandoning its constituency. They still prize their strong showings in customer satisfaction. See http://www.bigbuilderonline.com/industry-news.asp?sectionID=0&articleID=771316

They must believe that they can still take very good care of their customers as well as their shareholders by heading to “manufacturability.”

Centex is certainly one of the firms that understands that we are here to serve the customer. In the business of new home sales, there can be many metrics, ROI, IRR, turns, return on capital, pre-tax income, stock price, etc. But unless there are enough sales, there are not many things to measure. In the absence of sales, survival is questionable.

By streamlining the building process, Centex should expect to deliver better-built homes to its customers, with fewer defects, and take less time to do it.



When that happens, there is a higher level of customer satisfaction. (The latest, J.D. Powers survey shows a close connection between the markets most impacted by lowered prices, and overall satisfaction. Respondents do link a great value to a great experience.) Better customer satisfaction means less call backs, lower costs, and more referral sales. Marketing costs are reduced by every referral sale. Even the number of pages of a brochure is reduced. Fewer renderings may be needed to be in the sales office displays, requiring less wall space in the sales gallery, less frames and less spotlights placed above them. Indeed the artists’ rendering costs can be reduced. Renderings might be bulk produced in Dallas and sent to the various divisions.

The plan reviewers at the municipalities should be quicker to respond. They will build a body of knowledge about the plans…and have fewer of them! They will see the same basic plans more frequently. In some jurisdictions, once a plan is approved, it may be used extensively and we may approach the municipality with a “K-revision” showing only the changes from the master approval.

Less management time is required for fix-it work, freeing up the brainpower for other creative ways to improve the customer experience and the company performance.

With fewer different plans, the sales team gets more familiar with each and is less likely to make errors in the presentations. If there are fewer, and by definition only the best remaining, plans, there are fewer models needed and the enormous costs of models can be contained.

If a customer is likely to want the Centex experience, they have fewer basic homestyles to choose from…and may well make a decision sooner. They will still have plenty of choices of elevations, garage-handing, perhaps the color palettes of body-trim-door-roof colors.

It looks like everything is focused on make more sales, making smoother sales…and expediting the sales they would already be likely to achieve.

Look at the auto manufacturers. Each year, in the US alone, we sell about 8,000,000 new cars. (In great years, we may sell 1,200,000 new homes.) Can we imagine that one manufacturer could have 4500 models? Overall quality of motor vehicles has been growing, not only in third-party evaluations of safety, mileage, etc., but in customer satisfaction as well. Customer satisfaction, and vehicle quality, do not need to mean a one-of-a-kind, custom built vehicle. And, vehicles are decidedly portable, unlike homes!

This is a good sign. I expect we will see the same trends in homes as we see in cars. Continuously-improved quality. More “manfacturability.” Better overall value perception. Then, there will be the truly tiny niche manufacturers like Bentley which sold 10,000 new cars worldwide for the first time in 2007.

By and large, car manufacturers are closer to their consumers. They respond more quickly. They are quicker to innovate. They streamline systems. They build in controlled environments to improve quality and reduce building time. And, at the end of the day, they think about what the consumer will buy in future. They are not infallible, but they avoid a mistake we see all too often in new homes…many designs and processes are established for the preference of the manufacturer and not for the convenience of the consumer.

Automotive manufacturers are more “sales-centric” than homebuilders. It’s time we learned from them.

Next edition: “Attributes of a Sales-centric Builder”

Why NOT?

1. This week, some airlines have decided to collect extra revenue by allowing third party ads on their online boarding passes. This allows them to delay/avoid further fare increases. Why NOT have other ads on the bin-covers of the overhead racks? I remember busses used to have placard ads. Why NOT planes? Planes could use all that beige-gray “canvas area” for even more revenue. And, added color would contribute visual interest to liven up the ride.

2. While we are talking about air carriers, I recall a story from my economics professor regarding Playboy Magazine offering to supply magazines to (some) airlines. They were rebuffed. OK. But the lame excuse was that passengers might steal the magazines. Playboy, according to Professor Gerry, was even more interested since their ads would be carried away by their target demographic! Little old ladies and the blind would not be as likely to take the magazines. Now, there are perhaps more reasons to avoid Playboy on board but why NOT be thinking how other amenities can be added without cost? Why NOT get a stronger marketing and brand ambassador program at the airlines?

3. Why NOT sell naming rights to the planes’ exterior? Politicians and sports teams see the value and the air carriers seem to enjoy the extra value of being associated with a candidate…for President or for the Super Bowl. Why NOT?

4. It has been a hotly-debated issue for years. Gas pumps show how much of the cost of a gallon goes to various taxes. Some involved in the housing industry have wanted to post similar information about the fees, costs, set asides, etc. that contribute to the cost of housing. Some say it is inflammatory. But how have we done in tempering these costs? And, we have very sophisticated mechanisms (that I support) to mobilize housing stakeholders when new fees and costs are contemplated. Why NOT involve the consumer? I think the time has come to cancel the conspiracy of silence. If consumers knew what the fees were…and then learned that they did not necessarily result in a benefit to the new owners of this home, they might just take action. School fees are accelerating at a time when districts are disposing of their excess property. And, the fees paid on a home next door to a school do not guarantee that the kids will be able to attend this school! Why NOT tell the buyers that it’s not the sellers who are the sole cause of increasing shelter costs?

5. Supermarkets have ads on the floor of their aisles. Some young entrepreneurs in Los Angeles have made a business of pasting mylar-type ads on the white “canvas” of wall-to-wall appliances in coin-op Laundromats. Why NOT use a similar approach on parking structure interior walls?

6. KB Home had a Homer Simpson house, co-branding with Martha Stewart and Pokemon, and a home in the model complex that was branded by a major paint manufacturer (I THINK it was Sherwin Williams)…and then demonstrated several daring colors in the home. Why NOT learn from their marketing moxie and look for opportunities to co-brand more of the home-selling process?

7. Hard hats are required in many spots. Why NOT sell ad space to some major brand partners, Whirlpool, Bank of America, Mohawk Carpets, or Milgard Windows? Maybe that would discourage the graffiti we often see and instill some pride-of-partnership? Why NOT?

8. A detention basin in our community? A requirement? Why NOT turn it into a benefit? Call it a permanently-protected wildlife corridor. Why NOT post a sign identifying the birds, butterflies, and small animals that will use the water, the foliage and the separation from the (human) residential areas. Why NOT have a naturalist help with the description?

9. Why NOT eliminate Braille keys on drive-through ATM’s?

10. But why NOT have more crosswalks with audible guides for the visually-impaired?

11. Why wouldn’t homebuilders make a deal with local freight haulers to add mylar-wrap ads to the trailers as we already do with busses? Why NOT use that steel-gray canvas? If it works with busses…

12. Why is Lennar so passionate about wearing their name badges at the movies, the supermarket and the stadium? Why do others remain incognito? Why NOT show the same evangelical pride in their company, their colleagues and their product as does Lennar? Why NOT?

13. We see Michael, Kobe and other sports figures’ names used to “brand” footware, etc. Ducks’ goalie J. S. Giguere has a condominium residence named after him. Ford once co-branded an Explorer as the Eddie Bauer edition. Why NOT use sports or other celebs to co-brand, or identify a beverage, a cigar, a vehicle? Car sales are slow, but consumers follow the lead of celebrities. This could help.

14. My computer keyboard had several stickers installed before delivery to me….Bluetooth, Intel, Microsoft, etc. But NONE of them shows a website or a (toll free) telephone number so I can order more or ask for service of what I already have. Why NOT make it easy for me to contact a company with whom I already have SOME sort of relationship?

Good Thinking!!

1. 
   
   Loews Hotels decided to "credit" their guests for that pesky luggage charge. On checkout, guests get a credit of up to the $30 many / most would have paid. Now, Loews Hotels are always at least a Four Diamond property. They are not inexpensive. I suspect guests stay for more than one night on average. So a "credit" of $10-$15 per night is insignificant. The marketing genius of the idea is to understand their guests, recognize that we are ticked off at the surcharge by the airlines (despite the carriers' own need to find revenue) and solve our problem. Even better is that their strategy was newsworthy and they received plenty of free press. What a different result if they had reduced their rack rate by the same $10-$15!!! Someone was thinking at Loews.


2. 
   
   In the packaged cereal business, the boxes have typically been auxillary billboards inside the various stores that carry the products. The cereal companies used bigger boxes to get more linear feet of shelf space, even though the boxes were not full. Wal*Mart apparently realized a new win-win. Because of their size, they can more easily convince their suppliers so here's what they did... They told the cereal companies to shrink the box, but fill it up more. It reportedly told its suppliers, though, that they would still receive as many linear feet of shelf space. If the shelf used to have, say, 16 feet of General Foods, that same 16 feet would just have more boxes. No loss to anyone. Wins: The suppliers don't have a "need" to use too-large boxes. They save packaging cost. Warehousing is more efficient. Wal*Mart has fewer trucks arrive with the same weight of products...since more boxes that are more full can fit on the trucks. Less truck miles! Less fuel costs. Fewer drivers for the same weight. Less road congestion. Someone was thinking at Wal*Mart.


3. 
   
   In the same vein, it was reportedly Costco and Wal*Mart that "convinced" (by their buying power) the large milk companies to repackage for the same reasons. Now milk containers will hold the same volume but use less space. And less materials. Someone was thinking at Costco, too.


4. 
   
   I am a member of LinkedIn , http://www.linkedin.com/profile?viewProfile=&key=23289279&trk=tab_pro one of the largest social networking groups, particularly valuable for business. There are some members who treat it almost as a cult. They rack up connections almost to no purpose other than bragging rights. Sometimes I wonder if I am one of them. I have hundreds of connections and regular requests to connect with more. I have asked to join a few groups...so far no one has "rejected" me...but recently I was reminded why we network. I asked to join a group. Several responses immediately linked me up. But one person, Jay Davis from Atlanta http://www.linkedin.com/profile?viewProfile=&key=12507352&authToken=gOLU&authType=name&goback=%2Eait%2Emid_641661122 used the opportunity to actually ask for the order right up front. Here is his reply: Thank you for the invitation to connect. Please keep me in mind for ANY type of project that you are involved in. One of my clients or ever growing list of contacts could be just the right person for you. Pretty basic. But, so far, Jay is the only one to use the network right away...as a network to do business. I have not met Jay...don't know if I ever will, or if we will ever do business. But he reminded me of a lesson in networking. Think of him if you have needs in Atlanta!! He's agressive enough to be of service. Good thinking, Jay.

Another Sales Team?

I just saw a great quote by Dana Kovach of Kovach Marketing in Newport Beach.

Dana was commenting on the program of some clever builders to combine buyer-retention events with prospect-motivation events. The idea is to have them attend the same venue, at the same time, and allow the buyers-in-backlog to bond with each other as well as their potential new neighbors and give them their own, personal reasons for deciding to live here.

This has an obvious leverage impact on the events budget. But it also adds another tool to the sales process.

Dana's quote:

Buyers are the best sales team you can inspire.

WOW!! That's as simple as it is profound.

How often do we tap into that resource...one that is likely just waiting to be asked?

Of COURSE, there are bound to be cancellations. If we have no cancellations, we are not serving our prospects well enough. But we should not simply give up on those who might cancel.

Keep them involved. All buyers-in-backlog. Having a predicable book of business will make you noticeable to lenders, equity partners, etc. It also reinforces your (normal) sales team and the trade partners who rely on closings to be successful. Every buyer-in-backlog is a precious commodity.

Take their buying temperature often.

Ask for their help in making new sales...by referrals and by their own comments to the prospects they will meet at your events.

They can be involved in choosing their own neighbors!

Keep in touch and keep in business. It's that simple.

Thanks, Dana, for a wise observation!!

Why OWN?!! Better to rent???

A recent YAHOO editorial purported to show that owning a home is not necessarily a great investment, and therefore, not a very great decision. I won't even get into where he got his data, how he selected what cities and what timetables to "examine" what is his agenda, etc.

The point is that OWNING is not only a financial decision. Sales professionals, be prepared to serve your prospects better by reinforcing these motivations. Sales managers and sellers, make sure your sales assets have the tools to help their customers.

Here are SOME rerasons to own. Let me know of others and I'll add them.

Tenants can usually be evicted…for cause or not in most markets…in 30 days.
(And the 30 day notice is almost always at a bad time for the tenant.)

Tenants then have little choice when to move.
New phone numbers? New cable carriers? More deposits to the utility companies?

Even paying your rent timely doesn’t prevent a forced move.
If the landlord has not paid the mortgage, tenants can be evicted by the lender in a foreclosure
action, receivership etc.

In almost all cases now, owners know exactly what their monthly mortgage payment will be in one, three, five and ten years.
And usually, it will be the same then as it is now.
Renters can only anticipate increasing rents.

Communities of owners have more stability or residents.
Other owners have a stake in keeping the community safe.

Owners don’t need to ask permission to hang pictures…ANYwhere.

Owners’ kids get to know the neighbors’ kids; we get to know their parents.
There’s a better chance of a better overall kid experience because we all know we’ll likely be
neighbors for some time.

Owners can do their laundry at 3AM, and in the nude, if they want.
Apartment dwellers often can not.

Owners can control more where they park each car, and can usually avoid neighbors’ cars chipping their own car doors.

Owners can paint the kids’ room “Pooh Bear Yellow” if they want.

Owners can glue mirrors to the walls or ceilings if they want.
Owners can build in a window seat, add a bidet, or upholster a wall if they want.

Owners decide for themselves if it is time to add a pet to the household.

Owners can do a house swap for vacations if they want.

Owners determine who has keys to their home.
Owners know who has a door opener for their garage.
Owners can change the locks, codes, door openers, whenever they want.
They don’t need to wonder if a previous resident still has access.

Owners determine who can stay over…for a week, a month, a lifetime.

Owners decide if they want to knock down a wall, combine rooms, convert a closet to a
desk-bookcase, etc.
Owners can remove cabinets, replace them and allow for a larger refrigerator, a second dishwasher, or larger sinks.

Buyers of NEW homes can choose colors, flooring materials, shower enclosures, door peepholes,
light fixtures, etc.
And NONE of them have to be beige, boring and gray!!!

Buyers of NEW homes get the latest technology, best energy efficiency and most modern designs.

Buyers of NEW homes get a warranty. And no lead based paint, no asbestos, no urea
formaldehyde foam insulation, no lead in the water.
In a NEW home, the popcorn is in front of the television and not in the ceiling texture.

Buyers of NEW homes have a built in mechanism to resolve any purported defects in the home.
Buyers of NEW homes, because of their builders’ relationships, have access to the best
trade contractors to remedy any legitimate claims. Try that with a landlord or a used house.

Buyers of NEW homes decide on whether to have built in sound or theater systems…and where
to put them. And get a warranty from the builder in many cases.

Rent vs Buy is not the question. Rent vs OWN is the question.

What is your answer?

Good News...is this the sign we needed?

I don't know about anyone else, but I am greatly comforted by yesterday's announcement about StanPac. A private equity firm has made a major investment in StanPac, which Standard & Poor's calls the worst performer of 15 homebuilders for the year through Memorial Day 2008.

MatlinPatterson effectively paid a 37% premium over the closing price before the weekend. They are placing 3 people on the board of 11 directors. The deal leaves management in place.

And, Wall Street responded with a further run-up in StanPac's share price, as much as a 60% premium on the day, before settling at ONLY a 48% premium, still more than the value used for MatlinPatterson.

So...a savvy investor pays a big premium and other, follow-on traders respond by valuing the company at a premium over the premium.

Can this indicate the bottom has been reached?

• The worst of the bigs has a HUGE vote of confidence from investors.
• The newest major stakeholder says it will not acquire more than 49% of the stock.
• The newest major stakeholder wants some say, but not controlling votes.
• It seems to like the company's leadership.
• Or, maybe it likes the position of being the worst of the bigs...maybe that's a spot that will lead to the greatest growth in its value.

I am looking for more positive news from StanPac. Their salespeople can be re-energized. Their prospects can be more confident that the builder will deliver a good home and be there during the customer care period. Their leadership can concentrate on homebuilding, and home selling, and home closing, not just crisis management and rumor-quashing.

By the way, the company made a brilliant move by including their salespeople in a conference call about this news...almost in real time. That speaks volumes about their realization that the major/sole source of revenue to a homebuilder is generated from the sales team. And, the sales team is the group that is closest to the consumer.

On a related front, new home sales were up in April, but prices were down.

DUH!

How can we be surprised that lower prices yield more absorption?

The buyers always understood. Just not many of the sellers! It took a while, but the market forces seem to be getting into balance.

I suspect we still have lots of pain to go through, but there are some early signs of progress.

Great news about StanPac.

Let's hope for more.

Asleep at the Switch in Laguna

I needed a new sofa-sleeper for the cabin.

Because I watched their humorous commercials and remembered their radio jingles, I went to Sleep County, Laguna Beach.

As I walked in Saturday morning at 9AM sharp, I passed someone on the sidewalk in front of the store. He ground out his cigarette and blew the smoke into the store as he followed me.

“Welcome to Sleep County. Is this your first visit?” he asked. When I said it was, he told me he was Sylvester but his friends called him Sly and that they had some great incentives today. He didn’t ask my name and didn’t comment on why I was waving my hand in front of my face. (Sly smelled like stale tobacco!)

“If you buy today, we will throw in a terrific bed frame/roller combination. Have you been prequalified?”

I told Sly that my budget was about $800.

“But have you been pre-qualified?” he insisted. “And for people who buy today, we will also throw in two king size pillows. Why dontcha look around and see what ya like? I’ll be at the podium or maybe outside for a smoke. But please let Rafe know you are working with me since he sometimes tries to steal my clients and get an unfair commission.”

I left.

Sly had not asked anything about what I had in mind. He asked irrelevant questions and then ignored their response. He “threw in” some incentives that were completely useless to me since I wanted a foldout bed not something that would be on a frame and rollers. The king sized pillows didn’t matter.

In fact, on reflection, I didn’t matter at all to Sly. He didn’t ask my name. Or where the bedding selection would go. If I had any space constraints. If a color, pattern, style, or firmness was important to me.

He made clear that I interrupted his day and forced him to shorten his smoke break in front of the store. Then, he let me know he may need to return to his smoking position and that I should wait for him!!

And I should give myself a tour and try to inform myself about relative merits of different offerings in the store. Warranty, delivery issues, any assembly problems, etc. etc.

People typically buy a bed as infrequently as they buy a home. We can hardly know all the questions much less the answers. We need someone to give us service. When they don’t we are likely to leave.

Our budget intact.

Our needs unmet.

I wonder what Sly will report…or even remember…if the owner of the store asks how the customer reaction was.

And, since I was there as the store was opening, I was on a mission.

Mission” UNaccomplished.

Solely because of the poor salesperson.

Debriefing #2 from What do YOU Have in Mind?

Incentives. Calculating payments.


Using the vehicle purchasing experience, we can examine our own sales practices for new homes.

Immediately introducing incentives that matter to you may not matter at all to me. By doing this, you only cheapen your offering and tell me that you are not selling many cars.

Or selling very well according to what the buyers have in mind. How can we ever know the buyers’ agenda? By asking about them, not telling them about us! By actually probing as Dani did. Turns out, I didn’t actually NEED a SUV. By listening to me, by asking good questions, and by knowing her products, she helped me find an alternate solution I hadn’t even considered.

And, how sweet that it was a vehicle that I could drive home that day.

The financing wasn’t the biggest part of my motivation. In some cases, it very well could be and great salespeople know how to discover when that is. Here’s how:

ASK!!
Shut Up!!!
And Listen!!

You’ll learn what I have in mind.

There’s a great saying in these situations:

“I am income; you are overhead. Which does your boss want more of? Whose agenda should matter more?”

Many of us have met the new home salespeople who say they MUST “prequal” every prospect first to be sure they are not wasting their time with a flake.

This was never a best practice, but it is foolish now.

Where are those sites where salespeople don’t have enough time? What would they do if there were not a prospect with them?

And, by the way, even the lenders don’t always get it right, anyway. We all know of sales that were made when another lender repackaged the proposal. And, we have seen “sure sales” evaporate because of poor lenders. So let’s not delegate this matter so soon.

If the payments ARE the most important thing, great. And, for that matter, the site sales professionals should have a pretty god idea of what it takes to afford their homes. They should know the income most likely needed to qualify. And the cash probably needed to close. Maybe the FICO scores. But to simply push away a prospect to a lender is madness.

They buyers NEVER want a loan. They’ll probably need one if they get their problem resolved with our help.

Consider. Why would someone borrow money against an asset that depreciates (some say 30% as you drive off the lot) over time, probably is worth less than the loan amount for much of the repayment period? The reason is what the loan does…it allows the purchase of the vehicle that solves a specific problem. For the prospect.

For the income part of the transaction.


· ASK!!
· Shut Up!!!
· And Listen!!

You’ll learn what I have in mind.

I am income.

Debriefing #1 from "What do YOU have in mind?"

Is this your first visit?

Who cares if it is my first visit? This has always been a mystery to me…why do so many ask?

Will I get more or less service on a follow up visit? What did you NOT tell me on previous visits? Maybe the very thing I needed to know in order to buy!!

I know a very good sales manager who trains his team that no one buys on their first visit. What he probably means is that HE could not even think about it!! His people are trained to ask for an appointment…not a sale. They always hold something back…so there is something to discuss when trying for a follow up appointment.

Wouldn’t we all love to have our own sales facility across the street from this builder?

I always ask salespeople in my classes why they get so excited when they can recognize a returning guest, typically because of a memorable car, approaching their sales offices. A common answer is that they are probably there to make a buying decision and will get the salesperson’s best service.

HUNHHH!!!???

Why not give everyone your best service? Even those on their first visit. Statistically, up to 50% can buy even a home on their first visit. Statistically, about a quarter actually PREFER IT!!! So we should serve them according to what THEY have in mind.

My advice to those students is to treat everyone like a returning guest. Give everyone your best work.

What do YOU have in mind? Part 5

(This is the final installment in the allegory. Next edition will outline some of the lessons that can be used by sales professionals.)

Lake Arrowhead, California

It’s three weeks later, and we could not be happier. Danielle has contacted the people I suggested. One of them has already taken delivery of a new Canuck.

Every time that she contacted one of the people………………….

Sorry, I had to step away from the laptop to take a cell phone call. It was Bill from the second dealership.

Once again, he kind of gave me a speech. He spoke so fast that I still didn’t get the name of the dealership.

He told me that he had heard from Gavin a few days ago and that I “was pre-qualified to the max.” Gavin had given him my phone number.

He had an interesting question: “What would it take to earn your business, Dave?”

He did call me by my name this time.

I asked him what vehicles he had that would suit my needs and he told me he had tons of them on the lot…just come on back and he’d show them to me. I could tell he had no idea who I was, and clearly did not know what I had been looking to purchase.

I may stop by in my Canuck the next time I visit Dani. Just to thank him for ignoring me. I’ll bet he asks if this is my first visit.

As I was saying, Dani has called to thank me and give me a bit of an update every time she has contacted someone I referred to her.

The irony is that I didn’t know what I needed. I knew what problem I wanted solved. I was not too sure about the process to select a vehicle for my needs. I sure didn’t know the brand name, Canuck.

Only one person was interested in what I had in mind.
I didn’t want “Today’s Special.”

I didn’t need Patty to approve the vehicle.

I didn’t really want a loan, but I was offended that Ricky spent no time listening to what I was trying to accomplish. And his cigarettes gave off nearly as much bad odor as his bad mood.

And, boy, what’s the deal with Bill?

TMI!!

He showed no interest in me or why I was there. Do we really need to know about all the places he worked, and that he roughs up his wife? It’s pretty sad that he called me back today without really knowing why I should talk to him, or why I should come in again. I think he is just “following up” to fill in some time, or because his manager told him to do so.

And that really nice lady who didn’t tell me her name and was so hung up on the number of miles in a lease. I was never going to lease a vehicle. Telling me that it was an incentive was bizarre. I had no interest in her incentive. But then, she had no interest in my agenda.

Thanks, Danielle.

Thanks for listening to me rather than just giving me a speech about you, your vehicles, your dealership, and your manufacturer. I needed all that information, but not until it was relevant to me and my agenda.

By the way, all my friends who told me I was dumb to buy a gas-guzzler now…? They all love the Canuck. One family bought one from Danielle. And, now that we have the room, more of them have invited themselves to travel with us.

And the dogs.

What do YOU have in mind? Part 4.

(This is a continuation of an allegory. New home sales professionals, those who respect them, those that lead them, and those who employ them may find similarities. The question is, which "dealership" is theirs?)

Dealership # 4


I probably shouldn’t admit it, but I was going to ignore this dealership. But it had a young man in front, who was energetically twirling a sign that asked: “What do you have in mind?”

I decided to pop in and see what that meant.

I was immediately greeted by a very happy young lady. She welcomed me to Maple Leaf Motors and told me she was Danielle. She asked my name and wrote it down in her book. She said that she was privileged to serve me and asked if she could take some notes to be certain that she did so.

Danielle asked if I knew anything about Canuck Motor Corporation, a joint venture of the Government of Canada and a South African industrial conglomerate. She advised that their vehicles were originally designed for high Arctic deployment by the Canadian Armed Forces. They were famous for handling difficult conditions and could withstand the terrain and the climate of the Rockies as well as towing military supplies across the Arctic tundra. The South African side of the company had incorporated the same attributes of its vehicles that were used in the hottest, driest deserts of sub-Saharan Africa.

These were now becoming available to the general public.

Danielle then asked me “What do you have in mind?” Almost exactly what the sign said.

I described the dogs, the size of their carriers, and the size-weight of our trailer.

She asked if it was important that one vehicle had proven itself in the Arctic Circle and on the deserts of Africa. Since this was less demanding than the Colorado, Arizona and California areas we went, the Canuck seemed like a good option.

She asked what else was important to me in selecting an SUV. I said that we’d need to seat another couple of people in front. “Dani” looked up from her notes and asked me how often. I thought about it and replied that really very infrequently, but that sometimes when we were camping, we’d take another couple to town for a restaurant meal. Answering her next question, I said that we brought the dogs to town with us.

She looked up with a curious smile.

“So, just that I have this right, you need an SUV? Because you need room at the very back for Prancer and Lee-Victoria? And room up front for another two adults? The vehicle needs to have plenty of towing capacity for summer and winter travel. Up and down the mountains, right?”

And who is the “we”, she asked. I told her my wife’s name was Patty.

She asked if Patty and I had a budget in mind and I told her what I had budgeted, and that I “was pre-qualified to the max” at another dealership whose name I didn’t know.

She then asked me a most curious question: “Are you sure you need an SUV?”

I stammered. She chuckled and replied:

“Dave, from what you have told me, you and Patty really need a safe reliable way to get up and down the mountains, summer and winter, correct?”

“And it has to be something where the carriers for Prancer and Lee Victoria fit in the back?”

“And your friends up front?”

“What if I had another solution for you and Patty?”

She went on to describe a Canuck crew cab. The back seats fold up and there is enough room resulting that the carriers can fit end to end so the dogs can face each other. The floor of that area is flat, so the dogs wouldn’t be leaning over for long periods. For trips when we take guests, the carriers can go in the pick-up bed to allow passengers in the cab area. When we head from the campground to town, the dogs can ride in the pick-up’s bed, and then we can move the carriers inside the crew cab while we are at dinner.

With a pick-up bed in the back, we could also bring more firewood to the camp area. We could use the truck for more “work” issues. It would be more economical due to the lower weight. And the original cost is less than an SUV.

I was delighted!!

Dani had listened to me. She WAS interested in what I had in mind. I had had a problem and thought of only one possible solution. She developed another by listening to me. She called me by name. She called my wife by name. She called my pets by name. She reiterated that she understood the safety and reliability I needed. That I had to have a vehicle for summer and winter.

Dani helped me select the right Canuck crew cab and took care of all the paperwork with me. In less than an hour, we had everything done.

Because I had arrived in the small car, Dani volunteered to follow home me in the little car as I drove the Canuck.

After we dropped the little car at the house, she helped me load up the dogs, and we took her back to Maple Leaf Motors. As we drove, she asked me again if I had had a good experience. When I said yes, she commented that it would be the biggest compliment to her if I had any referrals of friends who might be interested in a Canuck.

I said I would be happy to recommend her and Canuck. At this, she pulled out her notebook again and asked which of my friends she should contact first. I gave her some names but promised to send others her way whenever they asked me about my car, and my new car-buying experience.

(Next part will be posted tomorrow, Sunday Feb. 17)

What do YOU have in mind? Part 3

Dealership #3

After I left Gavin, I was already getting tired, but here I was at the Auto Mall. I had spent the time to get here, so I might as well keep going, right?

So, I approached the dealership at the end of the cul de sac. It was very attractive and had one of those ramps in front where you could see the underside of “today’s special.” Today’s special wasn’t what I had in mind; it was a pick-up truck and I clearly needed an SUV.

But they had some SUV’s on display.

I went into the showroom and was quickly met by a very polished middle-aged man, dressed well and with only a hint of tobacco smell about him. Something must have been bothering him, since he seemed to be scowling throughout. It made me feel guilty for interrupting him on a bad day.

He introduced himself as Ricky, asked my name and used it throughout our brief encounter.

He asked if this was my first visit. (There must be a trade association requirement for this question.) I said yes, told him I was “prequalified to the max,” and asked if they had something in an SUV that I could use for “the girls.” He smiled, answered “absolutely” and asked how many girls and what were their names. I replied that there were two, Lee-Victoria, the baby and Prancer, her mother.

Ricky briefly grew a smile and commented that, with such an important decision as an SUV in mind, I should go get my wife and daughter and come back “as the entire buying committee.”

I started to explain that my wife was not interested in being involved, and that Prancer and Lee-Victoria were my DOGS. I don’t have a daughter. But Ricky had excused himself and was talking to a large family that had just come in.

Seeing he would be a while, I left.

This was becoming hard work. I needed a new SUV. I couldn’t keep driving the dogs like this. And, I needed the same SUV to be able to tow the trailer.

Hopefully someone would take me seriously.

Next installment on Saturday February 15.

What do YOU have in mind? Part 2

(This is the second part of an allegory that may prove useful to new home sales professionals and those who rely on them. Next installment on Friday 2/15.)

"WHAT DO YOU HAVE IN MIND?"

Dealership #2

Just down from Thunder Motors, I went into a dealership where the sign in front claimed that they could finance anybody. I wasn’t concerned about financing, but they also had a row of nice looking SUV’s that seemed to have room for the dogs. Many of them had trailer hitches, so, now as an astute shopper, I concluded that there were towing packages available.

I walked into the dealership and was greeted by a gentleman wearing a name tag. Bill introduced himself, asked my name and promptly forgot it. He called me Don a couple of times. He asked if this was my first visit to this dealership.

Anyway, he told me that the cars he had were some of the best financing deals this side of Rialto and that he should know. In the last four years, he had worked at eleven car dealerships. It might have been twelve except for that technicality of that domestic abuse thing. His anger management classes were scheduled in such a way as to make sure that a working guy couldn’t get a break any more, so he had been unemployed for two months. But, he said, it was just as well, because it was at a time when his daughter from a previous marriage had “come back home” since her no-good boyfriend had been sentenced to six years at Soledad and that he had left her and the kids without even the window to throw it out of. So, while he was between jobs, he converted the recreation room into a mini-suite with a separate entrance so they wouldn’t be as disruptive to his “socializing with the ladies, now that the wife had left him and all.” Bill mentioned he was pretty handy at renovations and such.

At a pause in this expose, I told Bill that I wanted a vehicle for my dogs, one that could tow a twenty-two foot trailer. Bill said that for a twenty-two footer, I would probably need a transmission cooler and that he couldn’t get one installed here at the dealership, but he’d refer me to his ex-brother-in-law who did “side jobs for cash.”

Bill then asked me if I had been prequalified to buy a vehicle, and what sort of “down-stroke” I had. I wasn’t really sure what he meant, so he introduced me (as “Don”) to Gavin, his lender. Gavin repeated that they had access to all the best car loan programs and that his job was to fit me into the program that exceeded (my) expectations. I didn’t know what that meant either. He asked me to fill in some paperwork, but not to worry. He could tell if someone was a deadbeat and that he wouldn’t run my credit if I wasn’t going to be able to buy.

I didn’t fill in every line, of course, but, when I was done, Gavin took a quick look, did a few things on the computer, and beamed. “You are good to go, Don!”

My paperwork said I was Dave.

He said I could tell Bill that I “was pre-qualified to the max.”

I left him at his desk, but never could find Bill again.

As I make these notes, I realize that I never got a card, the name of the dealership, or even the brand of vehicles they sell. I didn’t know their prices, if the dog carriers would fit or if the trucks had enough power to tow the trailer up to the mountain place.

But, I do remember that Gavin claimed I was “pre-qualified to the max.” I was happy that he didn’t think I was a deadbeat.

And, I know more about Bill than I care to, and I also know he wasn’t pushy, either.

What do YOU have in mind?

(This is the first in a multi-part allegory. It is driven by experiences we have seen too often at our sales offices. )

What Do YOU Have in Mind?
--A HARD Allegory

David “HARD” Harding, CMP
HARDintelligence.com




I recently decided to look for a new truck. It was just not working out well to take the dogs in the “business car.” And, I needed something powerful to tow the camper-trailer as we went to the mountains or to the lake. I really thought about a four-wheel drive. I really only needed seating for two people, although four would be fine. But, I needed room for two portable dog kennels and a drive train that would get me back and forth without worry.

I talked to many friends and they told me that this was a terrible time to buy. Gas prices were at all time highs. Gas-guzzlers would be worth much less tomorrow and even less next week. What was I thinking????

I was thinking that I had outgrown my existing vehicles. I may be about to make a decision that my expert friends would criticize and, maybe even, laugh about.

But they didn’t have to put up with Prancer and Lee-Victoria, my Basset Hounds crowded into the small car, doubled up in a single dog carrier, and even then leaning at an angle in the back seat. To me, this was a daily imposition and a compromise to my life that I needed to remedy. I could either change my life, get rid of the dogs, or not take them with me, or come up with another equally-unacceptable solution.

I was on a mission, so off to the auto dealerships. I have never had a bad experience buying a car, but what a pain this was likely to be!

Dealership #1.

I parked at the curb, so no one could see what I was driving. No need to let them think I could afford too much, right? I brought my measuring tape to check whether the kennels would fit into the back of any vehicle I might be considering.

I walked onto the lot, right into the showroom. A very nice lady motioned that she’d be off the phone shortly, and, sure enough, she was. She was obviously very interested in me as a person.

She inquired how I was.

Since she seemed so nice, I decided to tell her. I shared my issues of incontinence and how I was afraid it would get worse. And, since she was so nice, not some pushy salesperson, and didn’t interrupt me at all, I felt obligated to disclose that the twitch in my eye had sometimes resulted in people thinking I was coming on to them. After that, she still showed that she was not going to try and make me buy something unless I wanted to.

She asked if this was my first visit to Thunder Motors. I don’t know why she asked, but I told her it was.

I keep saying “she” because I never got her name. She also refused to be one of those obnoxious “salespeople” and get my name so she would have some control over me.

She told me that they had some great incentives and that I would love the vehicles. If I bought that day, I would get a lease that would be for 25,000 miles per year rather than the normal 12-15,000. She invited me to look around the showroom. She also waved her arm toward the lot and pretty much invited me to look around for anything that suited my fancy, saying that Thunder Motors prided themselves on their service and would not be undersold.

Then, she said she needed to call back someone who had been in recently and tell them about the new incentives.

As she dropped back to her desk and picked up the phone, I wandered around a bit, then left. This wasn’t so bad at all. No pressure whatsoever. And a very nice lady interested in me as a person, not just as a commission. I will never forget how she smiled throughout.

(Next installment on Thursday, Feb. 14)

The Basics

Starbucks, that sales & marketing icon from my former home town, has decided to drop their hot breakfast sandwiches. The reason? The cooking smells take away from the smell of their core business: COFFEE!!

Even Starbucks got distracted.

The New England Patriots (18-1) were famous for the saying above their doors to the stadium. Every player apparently touched the saying on the way to the field. The saying wasn't very cerebral. Not subtle. Not even Lombardi-esque and quotable.

Just vital.

"Do your job."

The Pats were 11.5 point favorites against a NY Giants team that was a wild card entry, never played a playofff game at home, and was always rated the underdog in four playoff games.

The Pats didn't do their job.

The Giants turned up ready to do their job.

Guess that's why they play the game.

On paper, the better team was NE. (They may have read too many papers.)

The Giants practiced, prepared and prevailed.

I see some parallels.

Our business is similar.

On paper, every loan is well secured. Every development is a hit. Every sales team is stellar.

Come game time, many fail.

When the store opens, the consumer receives mixed messages.

Curious.

HARD