HOW TO CREATE AN OFFER YOUR CLIENTS HAVE TO SAY YES TO

“I cannot believe that at the time of this recording we are already halfway through 2023 and just a little life update from me, as you may or may not know, this year has been turned upside down for me the year that I had all planned out. Well, it’s no longer the plan that I thought I went from selling my rent roll to the buyer pulling out a week before settlement. So all my plans with That Property Mum and the Done For You Socials was thrown into chaos. The business was being sold as part of a settlement due to my husband and I parting ways in life and business. But with the sale falling over, I was thrown back into the business. And I’m not going to lie, it’s been a huge challenge. But on the positive side, I’ve learned some great lessons and some of the solutions that I’ve come up with to address some of the major property management issues I must admit I’m happy about. And of course, I want to share all the highs and the lows with you, which I will be doing in my new PM Mastery Bootcamp. So stay tuned for details on this. And if you want access to my previous Bootcamp, just head to my website thatpropertymum.com.au and take a listen.

It highlights everything that is and isn’t working in property management right now and where we are headed and how you can stay ahead of the game. Not only is the content different, but the format is a bit different. I’m sharing a live monthly training from inside my PM Accelerate Membership. And it’s all about how to craft a property management offer your clients have to say yes to and your offer is simply what you tell leads apart from the fact that you manage their property. Because ultimately we all manage investors’ properties. But what do you do differently from the 10 other agencies in your core area? And I have a really simple process for crafting your very own offer. And I can almost guarantee if you nail this, you will rarely, if ever have to have a talk about fees ever again. So it’s all about getting good at selling your value. And like I said, the fees won’t even be something that the potential lead or client will even be worrying about. And I was challenged on this idea recently inside my own business I had an existing client wanting a 1% decrease in fees and a new management client wanting a fee reduction as well. Once I presented my offer fees and a reduction they were completely forgotten. And this of course won’t happen every time and you will get those property owners who don’t care about the value that you’re offering and just want the budget service. So just accept that and move on. You want more of the clients who really appreciate the value that you deliver and are willing to pay a little bit more for it. So, let’s dive on into this training on how to craft an offer your clients have to say yes to.”

I’m really excited, as I said about doing this because it’s actually something I am working on currently inside my own business. Get the most out of the training. Let’s turn off mobiles, get out of emails and grab a pen and paper because I’m going to do this training a little bit differently today. We’re going to do some action steps today because what I’ve found is a lot of the trainings that I’ve done already, everybody leaves with great intentions to do the work. But in property management we all get so busy running our businesses and doing our day-to-day stuff, nobody gets to come back to the work. So, I’m going to get you started today on some of the steps. And if you are a PM Accelerate Member, I just want to quickly get you to take some more action today. Jump on in, scan that QR code and book in for one of your free coaching sessions with me. It is that time of year where we’re all feeling a little bit flat, we need a bit more motivation and inspiration. So jump on in book that coaching call now and let’s get out of the end of financial year funk as I like to call it and get moving with some positive action and steps. Now how did we get here? This is not my own training, I will just disclose that before we start off. This training was inspired largely by a book I read recently called a hundred million Dollar Office. I’m not sure if you can see it, by an American billionaire called Alex Hermo. Now he went from being broke to generating millions of dollars through health and fitness, through creating health and fitness industry offers. But for me, I didn’t have this book when I needed it. And what I’ve come to understand is that I created an offer in my business before I even knew what an offer was years ago. And of course since I’ve read that book, I’ve now tweaked and enhanced that my offer with the new knowledge that I’ve gained. But let me start. At the point in my business where I was so far in the red, I didn’t even know what color is before the red, I had credited debt, I had tax debt, I had massive team turnover, I was stressed to the max, I was burnt out and my business felt like I was comp and my life felt completely out of control and I had to start working on my business before I didn’t have a business any longer. And of course, I fixed the foundations, I worked on my marketing. But one of the other major things that I did was I worked on my property management offer and it literally changed my business and turned things around inside my business. So it’s one thing to be generating all these leads into your business, but it’s another to be able to actually turn all of those leads into paying clients. And this is where your offer comes in and I just want to do some math’s quickly and I’m not great at math’s, but I just want you to have a really tangible idea of what is possible and what we are working towards or the end goal with creating an offer for you guys. Now, if you bring in 20 new managements and it at an average management fee cost per week of $40, that is 41,000 per annum you are able to bring into your business if you just bring on 50 new managements, you’re bringing in $104,000 in into your business. But just so you know what that that looks like in tangible real dollar value for your business. So what is an offer? The million-dollar question. An offer is simply put a clear proposal to sell a specific service under specific conditions. Now we all offer to manage people. We all essentially property management businesses, all offer the same services. We manage people’s properties, we collect rent, we manage maintenance, we conduct inspections and it’s all very similar, but what actually makes us stand out, it is our value and our offer. Now on a scale of one to 10, how valuable do you think your offer currently to clients is? So what do you say to clients when you’ve got a new lead that’s coming to your business? What do you actually offer them when it comes to getting them to sign on, sign their management agreement with you? Do you how good, do you think that offer is without having done the full workshop? So, I went into that in into my offer. Nikki’s just put in six out of 10 and I love the confidence. So when I, I actually had no idea what an offer was when I was selling my property management services to people, people I would’ve said mine was a one at the time. So I was not very confident with that at all. So let’s get started and dive on in to creating an offer for you guys. Now the step one is knowing your market and there is actually a market that is in desperate need of your services and your unique abilities in managing properties. And not all markets are the same and not all property management businesses have the same offers. And like I said, our core services are the same, but our offers can differ very greatly and there is not all and not all investors are the same either. Let me just share what I mean by that. So if you’ve got a mom and dad investor for example, they are probably looking for an agency there and they’re probably willing to pay higher fees for better communication and service. They want more regular inspections because they’re probably more emotionally attached to their property. Maybe it was their first home and they want their maintenance addressed in a timely manner. Whereas your wealth creation investors, they’re all about the bottom line. They want low fees, they want increased rents, they want less inspections and they want less maintenance because less maintenance means less expenses spent on the property. So there are four things that we need to look for when considering your ideal market. And this will all make sense when we go to craft the offer down the track. The first thing when you’re looking for your market, which market to be working with when it comes to investors is what is there, are they experiencing massive pain? They must not want but desperately need what you are offering them? And look bad property management is painful and it’s frustrating and we’ve all felt the pain of a client who has had their investment poorly managed and unfortunately there are way too many of those stories out there.

And I’d want you just to keep this in mind and I’ll come back to this later as well, is that the pain is in the sales pitch, and you’ll see why later. Now I’ve recently surveyed my clients and there’s 600 of them at the moment and there was the common themes that came back through my survey was that all of the value, the highest value that they have is service and communication. They all want plenty of warning when it comes to Lisa’s ending so that they can make decisions about their property. They all want peace of mind and just to be able to trust that everything is taken care of and they’re frustrated with so many different points of contact or property managers churning. And they also, another important value was trust and respect and it has to be mutual. They need to respect their property managers and their property managers need to respect them as well.”

“The next thing when it comes to working out your market, you want to make sure that they have purchasing power. Now can they afford what you are offering them? Now if you are offering a high-end premium property management service and you’ve got experienced staff, so you’ve got higher wages and you’re utilizing all the latest technology and software, chances are you won’t be wanting to attract a budget investor into your business because they simply will try to screw you down on fees and that will not work for your business model if you are dev providing a premium high-end property management service. So, the golden rule is served people who can pay you what you are worth. You also want to find a market that’s easy to target and this will make your life so much easier. And thankfully we’ve got digital marketing and social media now where it is easier than ever to attract so many different ideal markets and clients into your business. Once upon a time we relied on newspapers and advertising in the newspapers and all the big brands had that buying power but now with social media and digital marketing, the playing fields have really leveled out and we are able to compete on a much on an even keel with them. Now when it comes to finding your market to target, I always hop on about this is finding your ideal client or your ideal client avatars. Who are the clients? Where are they? Where do they hang out on social media? Get granular, work out their likes, their dislikes, you know what as many details as you can about them, and we’ll all make your marketing efforts a lot easier down the track. And finally, when it comes to picking your markets, you want to make sure that it is a growing market, not a dying market. Growing markets are like tailwind, everything moves forward faster. Declining markets are like headwinds where everything slows down. And I’m going to share, and this is just my opinion, and each market of course is very different, but these are the markets I feel are growing right now. I think the wealth creation market is going to be growing the property development market depending on where you live currently. If you’ve got lots of infrastructure happening around you, lots of land and property development, then chances are that’s going to be a great market for you. I feel like unhappy investors is going to be a market that’s going to start growing again. We’ve had a market where we’ve had lots of happy investors, vacancies have been low, rents have been going up, they’re all very happy. But I’m sensing the shift in that market, it’s getting harder, the rent properties at the moment and I feel like there’s going to be a lot more unhappy investor around. And your local community, I’ve just did a podcast on that actually, if you haven’t listened to it. It’s a great podcast on how to utilize your local community to grow your business. I would totally recommend listening to that. Slowing markets, the mom and dad investor markets, I feel like that’s going to slow down as interest rates are getting higher, they’re going to be feeling the pinch financially. Buyers agents, again, we’re entering into a new sales market and I feel like their referrals and their businesses are going to have to pivot. It’s not going to be like it was. And again, for me personally in my area, property development has really slowed down. It’s definitely a slowing market in my sort of southeast Queensland market at the moment.”

“Now have you heard of the saying riches are in the niches or niches if you are not American? Now this is a saying that really rings true and it has worked amazingly for me in multiple businesses throughout my career. And not every property owner is going to be your ideal client and maybe your ideal client are the mom and dad investors or maybe it’s the buyer’s agents or maybe it’s your local community. For me personally, my niche was property development and builders. I grew my rent roll in the early days off the back of some great referral relationships there. I ended up with 400 managements in four years. Thanks largely to the traction that those relationships generated for me. After that though the though after the development started dying down, I had to then go and actually look for management’s work out how to grow my rent role in other ways. But that niche, while it was a growing market, was amazing for me. And now it’s a bit of a dying market and that will change again as well that that cycle. But the key, I guess the point I’m trying to make here is you are not one market won’t always work for you. You’ve got to be pivoting and looking for where those opportunities are for you to target those different markets as you’re growing your business. Let me just share a couple of key takeaways from that first section of the workshop. Pick a growing market and commit to it until you figure it out. It takes resilience to succeed and don’t personalize it. It’s not about you. And what I mean by that is if you are not getting many clients, if you’re getting knock backs, don’t take it personally it comes down to your offer. What are you selling them? What are you offering? What value are you delivering? And it’s not about you and the job that you’re doing as a business owner, property manager or BDM. Step two is knowing your worth when it comes to crafting an offer. And I want to touch on this little concept of the price to value discrepancy. Now have you ever heard someone say, I hope what you are giving them is worth it. Now I don’t really like that that saying it makes me feel like I am not giving value, I am not giving that I’m, that they’re paying for way more than they should be paying for something that I am delivering them. So, I want to show you how to create and communicate value a k a, the worthiness of an offer. And to understand how to make a compelling offer, you must first understand value. Now price is what people will pay for, but the value is what they get.

And when it comes to business, getting people to buy is not the objective of business making money and I’m not sure if you agree with me or not, but I’m not getting people to buy my property management services. I’m managing their property so that I can make money so that I can create a lifestyle for myself. I can pay my mortgage, I can pay my bills. Now I also want to highlight the fact that I don’t believe in lowering price management fees. I think it is the road to destruction for most businesses. And I want to encourage you not to compete on price but compete on value. And to prove this point for you, I want to share that there was a blind taste test conducted in the US and researchers asked consumers to rate three wines. This saying, now the three wines were a low priced wine, a medium priced wine and a high priced expensive wine. And of course they rated them unsurprisingly in order of their price. So the most expensive wine they rated as tasting the best, the medium one next and the cheap one was labeled as unpalatable. It was horrendous. But what the tasters didn’t realize was that the researchers gave them the exact same wine in all three times. So it was the same wine, but because it was priced higher, people thought it tasted better or was more valuable. So this has deep implications for the direct relationship between value and price. In essence, raising your prices can directly enhance the value you provide. People want to buy more expensive things, they just need a reason to. And think about designer handbags, for example, a Kmart handbag will do exactly the same thing. In fact, it’ll fit way more in it than a designer handbag ever will. But we all want that designer handbag and we’re all willing to pay a hell of a lot more money for that designer handbag as opposed to the Kmart handbag. So, I want you to consider when you’re with your pricing that it should sting a little bit. Some key takeaways from this little section, charge a premium price based on your value and we charge the most money because we provide the most value. I want that to be your mantra. After today’s training session, we charge the most money because we provide the most value. And that is what you’re going to say to that client that wants you to knock half a percent off their management fees. You are going to say use that line on them and I guarantee you’ll still get the client. Now we’re gone move into crafting your offer. So if you haven’t got a pen and paper handy, go grab your pen and paper handy right now.

And for this ex, for this part of the training, I’m going to use a avatar of an unhappy property owner who is sitting on the fence about whether or not they want to change to a new property management agency. So let’s create your offer. Now the value equation is, and this is a quote by Alex Hermo himself, cracking value opens up the world of unlimited. See what it says there? Unlimited profit impact and possibilities. So now the first step in crafting your offer that your clients have to say yes to is working out what your clients dream outcome is. The dream outcome is the expression of the feelings and experiences the prospect has envisaged in their mind. It’s the gap between their current reality and their dream reality. And let me share an example of this with our little avatar, our unhappy property owner for their current property management reality. It probably is this, they’re stressed, they’re unhappy, they can’t get hold of anyone. The property is sitting vacant or maintenance is costing them a fortune and they are struggling with their mortgage repayments. But their dream reality, their dream property, if they could have their dream property management experience, they want to feel like they can trust their property is in good hands, that their maintenance will be done on time without unnecessary expense and that they’ll be achieving maximum rental income. And the reason for this is because of it of human, we’re going to talk about human psychology here for a minute. And all humans have very similar basic desires and all marketing actually derives from these common desires. We all think we’re very different, that we’re very unique, but underlying everything, we are all motivated and driven by these desires. And these desires are to be perceived as beautiful, which is why the beauty industry is such a huge industry to be respected, to be perceived as powerful, to be loved, and to increase their status. Now keeping those desires in mind when it comes to a property, a property investor, I want you just to keep those desires in mind. But our goal is not to create the desire because that’s already inherent in all of us, those desires and we’ve all got different desires and we might have multiple ones, but underlying we’ve all got one of those desires. But to channel our goal is to channel that desire through the offer that we present to the investor across the board. An investor desires, and this is my opinion as well, but this is what the client, the investor clients that I work with, this is what I perceive them as desiring. They’re owning an investment property. Owning an investment property is perceived as creating wealth and wealth is per perceived as increasing your status. The underlying the driver for most investors is to increase their status. And I believe our goal is to help property investors increase their wealth and status through property investing. As property managers, we save them money, stress, time and give them peace of mind so that they can become the envy of family and friends who are struggling with property management nightmares, that they can create wealth for generations to come so that they can have peace of mind that everything to do with their investment is taken care of. So that their dream is a reality. Now I want you to grab your pen and paper and spend a couple of minutes. I’ll probably just give you a minute actually just to write down some dream outcomes for your clients. How to make more money from your investment with less stress, how to find a dream tenant and make more income from your investment property, a worry-free investment, peace of mind, property management with maximum rental income. Think about some of your existing clients, maybe why they came over to your business. What were they looking for when they came over? What would be the ultimate outcome for your clients by having their property managed by you. I just want you to get started on it and you can come back to that at the end of the training and just add a few more bits and pieces in here. Now the second step in crafting your offer is we want to look at what your client’s problems are or what their limiting beliefs are around having a property manager. I’ll share some of mine with you. So some of the common problems across the industry are they don’t like a constantly changing property manager, the lack of communication, the lack of trust they feel like having their property is actually more stressful. All tenants are a nightmare. They’re sick of all the maintenance, they’re sick of poor service and they can’t get hold of their property manager to write down some of the problems that you have come across with new clients, with your existing clients. Perhaps the most common problems that investors complain about in the industry across the board is the lack of communication, the time that it would take them to change agencies, the cost in terms of it costing them too much money with an agency. It’s too confusing to change agents and there is a large lack of trust for property managers across the board as well. And this could be a really extensive list and again, you can come back to it later, but I hope you’ve just got a few things down on there. Now the third step in crafting your offer is coming up with a solutions list. So now that we’ve identified your dream outcome and all the obstacles that will get in someone’s way, it’s now time to define our solutions and list them out and you can think outside the box for this and use some divergent thinking and get really creative and come up with as many solutions as you can. Here’s some of my solutions that I’ve come up with. So who, so if the if communication’s a problem, the how to experience transparent communication 24 7 experience peace of mind with the property manager you can trust how to beat the confusion and change property managers in three steps. Enjoy a seamless maintenance experience that will save you thousands of dollars. How to select the ideal tenant for your investment. Learn how to invest, present your property to attract your ideal client. Learn the art of good, of tenant negotiation so you never lose a good tenant again. And again, this is like a brainstorm, just putting out their solutions to those problems. Now step four is you’re going to create your solutions delivery vehicle, or this is the how. So, if you’ve got some crazy ideas, crazy solutions out there, we’re going to turn those ideas into tangible solutions now that you can present to property owners. You want to come up with all the things you can do to solve the problems and doing this exercise will make your job of selling your services so much easier. So what do I mean by that? So let’s say the problem, one of your problems was having your property managed is too stressful, is a stressful experience. So in your solution, how could you make it less stressful for a property owner? One of the things you could do is you could have a landlord portal that they can access anytime. You can create a great onboarding experience. So you could set clearly set expectations at the start, when and what do you need to call about? What can you email about how soon will their emails and phone call or phone calls be returned? You could have one, only one point of content. The problem is I don’t trust property managers in your solutions. You might offer a 24/7 landlord portal with full transparency over every property inspection report and paperwork. You might offer three month no obligation trial of your services. You might offer access to the business owners direct; you might have quarterly investment performance reviews. If your problem’s not making enough income, your solution might offer investor education training on tax depreciation, mortgage advice, refinancing advice. You might have quarterly market updates and rent reviews. You might have an onboarding investment performance audit. And again, these are all things that I am implementing into my business as part of my offer to property owners. Of course, you will come up with your own unique solutions to the problems that you’ve identified for your clients. This will probably take a little bit of work a little bit more time going through each of the problems. Landlord portal onboarding, have a think about what you could do to solve what you could deliver on those solutions. We move not finally, and there’s another one, step five. Now you’re going to trim down those solutions and you want to identify the ones that are the highest value to your clients. I we identified communication and stress-free are big drivers for clients. A big pain points for clients. So you want to make sure that they are the highest value to your clients, but the lowest cost because flying in Mark Boris to educate property owners is going to be way too expensive. Obviously it’s huge value, but doing something like that is going to be pretty much impossible for you to deliver. But you might be able to create your own investor education trainings, which would be high value and a more cost effective solution. Investing in a landlord portal is high value and low cost if your software already has it built in. But if you’re creating obviously your own landlord portal from scratch, it could be a high value but high expense solutions, again, just a reminder, you want to have the highest value but lowest cost solutions in there. And finally we move into creating your valuable offer that your clients have to say yes to. Here’s an example of my offer the chat box around so I can read it to you. So I’ve got a 24 7 landlord portal with access to your all your property transactions and reports. I’ve got a dedicated senior property manager who is your only point of content contact that addresses their worry about how having so many different people to speak to minor maintenance is handled by our AI and only reported following routine inspections. You get an onboarding survey to complete so that we customize our service to your needs from the start. We guarantee to respond to all client inquiry within 24 hours. We process your rental income daily. Clients love getting access to their money and there’s some soft great software out there that actually removes the need for trust accounting altogether and clients can actually access their money in real time. That is a great point of difference and a great offer to add in to your offer. If you have that software. We guarantee to respond to all client inquiry within 24 hours. We process your, oh sorry I’ve already read those. We qualify every tenant with a national tenancy database check. We have online leasing software so that tenants can book in to view properties and apply any time 24 7. So that’s a few things that I include in my offer when it comes to selling it to clients. And this part is probably best left for after the session when you can actually spend some time going through finalizing all the other steps. But my formula is very simple when it comes to crafting an offer. I highlighted the most important pain points and I have found a solution for all of those, those points. So, I found a solution for a well presented and priced property. What is my solution for that? I’ve got a solution for quality tenant selection. I’ve got a solution for transparent cost effective maintenance, which is my AI and my maintenance software. Tapi. I’ve got my, the rental income is being constant or increasing. I’ve got regular rent reviews and market reports, the trust and competence. I’ve got transparent reporting through our inspection software. I’ve also got, uh, an annual video inspection so that they can get a real time view of the property. And I believe that my offer does create that stress free and maximum rental income solution to property owners who want to come and work with my business. So now it’s your turn. Go and create your offer. Clients have to say yes to just a, couple of tips add-ons here. You can think about offering a guarantee with your offer or you can add in extra services at no cost. This increases the perceived value of your offer. And again, when you are creating the offer, how much value can you deliver to those investors? Your extra services might be that you pay their water rates and council rates for them, and they can have them mailed directly to your company. It might be that you don’t charge end of financial year reports or inspection or maintenance, whatever those fees that are included at no extra cost, it’s great to highlight them to increase the perceived value of your offer. And a rental guarantee. Make sure it’s something that you can deliver on that you’re not going to be stung for. But some guarantees that I’ve seen you probably rented in seven days, or you don’t pay a let fee or the advertising fee or there’s a guarantee I have come across where you increase your rental in. We guarantee to increase your rental income for 12 months or your money in over 12 months or your money back. Of course she would have some disclaimers with that as well. And one of my clients at Blue Chip rentals on the sunny coast, she has a rental guarantee that their last, the final month’s fees are, if you’re unhappy and she can’t resolve the issues for you, she’ll waive the last month’s fees with their agency.

 

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