Here’s how a salesperson and a consultant differ.
What’s the difference between a salesperson and a consultant? Which one are you now? Which one should you be?
First off, a salesperson (also known as a ‘transaction broker’ in Colorado) is someone who’s involved for the benefit of the transaction. They’re there just to support that transaction—not necessarily their client. Being a salesperson is about helping someone get to a sale, but you’re oftentimes profiled along the same lines as the “pushy salesperson,” or the person who’s just trying to get you to buy so they can collect their commission and move on.
What about consultants? Before getting into real estate, my background was financial advising and investment banking. When it comes to financial advising, it’s all about the consultation, and the same rule should apply to real estate. For most folks, a house is the biggest asset they have.
What does a consultant do differently than a salesperson? A consultant asks questions and follows a format. For example, my team and I offer home-buying and selling guides designed to ask questions that are pertinent throughout the process to educate our clients and learn about their wants and needs. These guides also provide them with the necessary information to build the best scenario for their situation. They can be empowered to make the best decisions that will lead to the best possible investment.
“I believe all Realtors should become consultants.”
How does a consultant behave as opposed to a salesperson? A consultant follows up with their clients over and over again, but they do it from a standpoint of contribution: What questions do you have? Are you concerned about this step? Are you familiar with what we’re doing now and what’s happening next? A salesperson, on the other hand, will likely just be pushing things along and helping their client less.
Overall, a consultant is there to advise and guide. Here in Colorado, that means you’ll likely be either a buyer’s or seller’s agent, and you’ll have a fiduciary responsibility to the best interests of your clients. I believe all Realtors should become consultants, especially seeing as consumers can choose alternative options such as discount brokerages or a service that acts like a salesperson. Think of it this way: When Scottrade, Ameritrade, and E-Trade came along, financial advisors knew they had to up their game and provide a better level of concierge, consultative service. In the real estate world, if you want to be as relevant and impactful as possible (not to mention get as many referrals as you can), you must act like a consultant.
If you have questions about this topic or would like to know what our consultative process looks like, don’t hesitate to reach out to me. I’d love to speak with you.
