How to Sell a Home // the 7 P’s

Some real estate agents subscribe to the “3 P’s” of marketing, which allegedly are:
  • Put a sign in the yard.
  • Put it in the multiple listing service (MLS-BLC).
  • Pray.
Of course, there is nothing wrong with praying or burying the staute of St. Joseph in your front yard (a Catholic tradition), but to be predictably and measurably successful, we need methods other than this typical (passive) three-step approach.

The Dream Home Company REALTORS implements the “7 P’s” of marketing. The components of this system are price, product, promotion, place, people, process and proof. Let’s briefly illustrate how these marketing principles are incorporated into each one of our listings:

PRICE

Price is a function of marketing. If you don’t price an item correctly, then it does not matter how much marketing effort you put forth. The DHCo strives to be pricing and market experts to guide sellers down the right path. The proper price will position the property correctly in the market.

What does this mean? It means pricing a property involves research, using similar methods as a licensed appraiser in order to determine the correct price to sell in 30, 60 or 90 days. We also consider probability models to maximize profit for our clients in the shortest amount of time. Our pricing model is infused with buyer’s psychology. We do not position our client’s property in the marketplace like every other agent; rather, we believe in “price points” and examine how buyers shop for homes.

Selling a home isn’t like selling a can of soup. For instance, if a property’s true market value is $200,000, we will strategically price it at $200,000. You may ask what is so special about that? Well, 99% of the agent population would probably price that property at $199,999. Is this not true? The reason the latter is not a good strategy is the vast majority of buyers start their search on the Internet and search by price points. If you price a home at $199,999, you will miss the buyers starting their price range at $200,000. When you price at $200,000, you capture both high and low sides of the search. So, a buyer looking between $175,000 and $200,000 will find the property, and the buyer looking between $200,000 and $225,000 will also not miss the property.

Product

Product is the essence of what you are selling; your home is your product.

Promotion

Promotion relates to how the DHCo will market, advertise and expose your product or property to buyers. Being one-dimensional is a downfall of many agents. Without the right blend of effective marketing, sellers may never be able to sell. It all starts with the photographs, the description or script, and calls to action. We syndicate your home for sale online, participate in video, share your listing through the proper social channels, and utilize our database of buyers and the MLS-BLC.

The DHCo goes above and beyond in our marketing efforts, continuing even after a deal is done on paper. It’s always amazing to hear agents say, “Wow, the property sold so fast; I do not have to market it!” This is the wrong thinking. we market our properties up to the day they close.

Place

This fourth “P” refers to how you place or position your product in the marketplace with the right price and promotion. The question should be, “Whom are you trying to attract?” What message do you want to convey? What is the story of the house? Every home has a story; the pictures and description are imperative to paint the right picture and attract the right buyer.

Look what other agents are doing regarding their MLS descriptions and do the opposite. Stop using all capital letters and short codes that make no sense to the search engines and the buyers. There is a marketing science to positioning your product correctly.

People

This refers to the DHCo team, assistants, agents and support staff as well as preferred vendors who help us sell homes. We think hiring the right people is essential. Training your assistants on automating your listing systems is imperative. As an agent, you are only as good as the people surrounding you. Surrounding yourself with people who share the same vision and passion is what you should strive for.

Process

The process is the system or management of selling a home. This stage involves communicating our marketing efforts with our selling clients, providing them with showing feedback, sharing data for the number of property views from major listing portals and examining overall market data each week. The goal is to provide our clients with full transparency and an insight into how our marketing systems help them sell. It is everything we do from the time sellers list their property in the MLS-BLC until the property is closed at the closing table.

Proof

The way the DHCo markets the product is a direct representation of our people. Our goal is to satisfy our clients. Unfortunately, we cannot make everyone happy as the reality remains: some sellers have unrealistic pricing in mind and buyers do not grow on trees. However, if sellers have the right product at the right price, and we promote and position the product correctly, then we are confident we will have fewer problems and happier clients.