Part 1
Real Estate Fundamentals
Module 2 Real Estate Agent Basics
Lesson 3
The Psychology of Selling
Module 2 Lesson 3 What we will cover in this lesson:
People make decisions emotionally
People justify decisions with facts
People are egocentric
People look for value
The People think in terms of people
Psychology of People love to buy
Selling People are naturally suspicious
People are always looking for something
Most people follow the crowd
Developing a winning edge in sales starts by developing a
positive self-concept: how you think about yourself, your skills,
and other people. Your self-concept defines your attitude and how
you approach the world in general, and sales in particular.
A positive self-concept is built on positive self-esteem, which is
how much you like yourself. To increase your self-esteem, start by
The simply telling yourself that you like yourself. Make it a mantra that
you repeat throughout the day: in the car, in the shower, and
Psychology before bed. Repeating the phrase will lock it into your
of Selling subconscious.
Repeat this mantra especially before making a sales call. Talking to
yourself positively—“I like myself and I like my work”—will pump
you up, get your energy flowing, and prepare you to perform at
your best. If you tell yourself negative things like, “I hate cold
calling,” or “I’m terrible at presenting,” you will create a negative
mood, which will sap your energy and make your job harder.
People are highly complex and often
mysterious, so we all struggle to
understand our fellow humans.
However, there are a few basic
psychological bits that apply
People make decisions Emotionally
They decide based on a feeling, need, or emotion, not through a logical thought process.
That’s why intangible benefits are the keys to persuasion.
The
Psychology
of Selling
People justify decisions with facts
For example, a person sees an add for a beautiful new model laptop and instantly falls in
love. As he already has one he cant bring himself to buy the new laptop based on a feeling.
So he reads all the technical details, specification, power, new features...
The He wants the fancy new laptop because it makes him feel good. But he buys it only when he
can justify the purchase rationally.
Psychology
of Selling
People are egocentric
The word “egocentric” means centered around the ego or self. We all see the world in terms
of how it relates to us personally.
So it is natural people to think “What’s in it for me?” or “How does this give me feelings of
personal worth?”
The when something is presented to them.
Psychology
of Selling
People look for Value
Value is not a fixed number. Value is relative to what you’re selling, what others charge, what
the prospect is used to paying, how badly the prospect wants it, and how the prospect
perceives the difference between your offer and others.
The You must demonstrate a value that seems to be equal to, or greater than the asking price.
Psychology The greater the value relative to the price, the more likely people are to buy.
of Selling
People think in terms of people
The human brain is not a computer, calculator, or information processor.
Scientists have shown that its primary function is to deal with social interactions.
That’s why people trust recommendations and referrals.
The
Psychology
of Selling
People love to buy
Some say people don’t like to be “sold.” Not true.
People love to be sold.
The They love to discover wonderful new products and experiences.
Psychology What people don’t love is to be cheated or tricked.
Therefore, it can be helpful to change your analogy of the marketing process.
of Selling
Instead of “selling” to people, try to “help” them. Sell good products, make appealing offers,
and treat people fairly. That is a sure formula for success.
So show them how what you’re offering is different and meets their needs.
People are naturally suspicions
Most people are moderately skeptical of any offer. They seek to avoid risk.
You can never predict the level of suspicion any particular person has, so it’s usually best to
back up all claims with evidence, such as testimonials, survey results, authoritative
The endorsements, test results, and scientific data.
Psychology
of Selling
People are always looking for something
Love. Wealth. Glory. Comfort. Safety. People are naturally dissatisfied and spend their lives
searching for intangibles.
The
Psychology
of Selling
Most people follow the crowd
Most people are imitators.
They look to others for guidance, especially when uncertain about something. They think
“What do others think about this? What do others feel? What do others do?” Then act
accordingly.
The This is why testimonials and case histories are so influential.
Psychology
of Selling Of course, this barely scratches the surface. Psychology is a deep and eternally revealing line
of study.
But there is great benefit in trying to understand not only what people do, but also why
they do it.
