Mike McMullen is the CEO of Prominence Homes and the author of Build. Rent. Sell. Repeat!
The adage “they could sell water to a fish” has always rubbed me the wrong way — not for what it says but for what people take from it.
We often assume that “selling water to a fish” is bad because the fish in the analogy already has water. It’s like selling air to a bird, sand to a crab or a cardboard shipping box to Jeff Bezos. It implies that you’re giving someone something they already have in abundance (for a fee). It implies you’re running a scam.
But selling isn’t about chicanery. The analogy of “water to a fish” speaks to a common misunderstanding about sales. Fish may have water, but that doesn’t mean they don’t need more of it to live well. After all, fish need water, and “selling water to a fish” could just as easily be about giving someone something that they need.
In real estate sales, this means understanding the water you are trying to sell and finding a fish that needs it. I feel like a huckster writing this, but with the right mindset, “You, too, can sell water to a fish!”
Understanding Your Water
Start by understanding your water. Real estate is all about knowing the place your product holds within a market.
Contrary to popular opinion, exaggerating the benefits of your property is actually counter-productive. Your job is to know and be able to articulate the strengths and weaknesses of what you are trying to sell. If you are a fix-and-flip aficionado, know what still needs to be replaced; if you deal in new suburban property, don’t upsell features considered commonplace.
Take my companies as an example. We specialize in what is commonly called the “build-to-rent” (BTR) market. So that means we focus on building and selling premium, middle-market housing to investors seeking rental income. Our houses are crafted to be reliable, top-of-the-line and uniform. (“Crisp” is the word I use to describe the homes we finish.)
However, we are also aware that we are not in the multi-million-dollar “dream home” business. It is not our job to craft exquisite McMansions. While we occasionally venture outside our zone of influence, we mostly try to leave that end of the business to others.
By knowing what you have, you’ll be able to know who needs it.
Finding A Fish
When we talk about finding a fish, we are talking about networking. In the context of real estate sales, networking is ultimately about finding someone in the market for your property. Everything else is a stop-gap, a useful stepping stone or a distraction.
Real estate professionals swear by different marketing strategies. Some use social media sites like LinkedIn and Instagram. Others prefer to cold-call potential buyers or seek out face-to-face interactions at conventions, expos or other gatherings. Regardless of your preference, I’ve found that it is best to cast a wide net.
Ultimately, your goal is to establish yourself as someone people know and trust: an expert in your field.
How do you do that?
By building relationships.
Relationships are the foundation, the walls, the roof, the power and the plumbing. Everything else is skin deep: as superficial as a coat of paint. People don’t invest with you because you have a snazzy banner image or a quippy tagline. They invest with you because they think that you have their best interests at heart and you deliver timely, consistent results.
Put your clients first and present investing opportunities as just that: opportunities. If you are doing your job well, then you won’t need to resort to pressure tactics or cheap salesmanship.
Everyone’s path is a little different. For our companies, the step of “finding the fish” is completed by a handful of dogged professionals supported by a larger team. That may work for you, or it may not. Find your path and stick with it. Remember: Some people really can “sell water to a fish,” and it just so happens that there is no cap on how much water a fish can attain.
Forbes Business Council is the foremost growth and networking organization for business owners and leaders. Do I qualify?
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