Listening to the Customer

We all believe we listen to our customers. Sometimes we listen but do not hear what they are saying.

In the early nineties, we were building townhome-style duplexes in Hoffman Estates, Illinois. We were just a few miles from the huge new Sears Headquarters facility. We were trying very hard to target some of the employees moving to the new facility hoping they would spread the word about their new home.

Our sales person, Betty, was a seasoned new home sales person and real estate agent. She was very excited when a women being transferred into the new Sears facility visited our project several times. This buyer was considering our project and another in a neighboring town. Our homes were larger and were closer to her work. She said she like our layout better. The only issue is all our units had basements and she did not want a basement.

Betty used her experience to translate that to mean she could not afford or at least did not want to pay for a basement she would not use. Betty reported this belief to the owners of the project who worked with Betty to put together a package of discounts, credits and special financing which eliminated the premium for the basement.  

After several weeks of working with the buyer, Betty received the call she never expected. Her customer had purchased the other home. Betty was so disturbed by the lost sale she went to see the unit that the woman had purchased. It was smaller, it backed up to an arterial road and Betty was certain our layout was better as were our standard features. Worst of all, the unit was more expensive even without the discount package for the basement.

Betty was so confused by the choice made by this customer she was sure she understood, she called the customer to congratulate her on her new purchase and ask her the rational behind her decision. In response the lost customer replied, I told you I didn’t want a basement.”

Betty then asked the question that never occurred to her before, “Why don’t you want a basement?” The woman then explained that Sears has a very good warrantee program on their sump pumps. She worked in the warrantee department and any time there was a sump pump failure she got the call. She had heard so many horror stories about sump pumps she would never buy a home with a basement.

Original content copyright 2011 Thomas Robinson