What follows is a quick overview of the 4 trends you must consider if you want to increase your chances of selling your yacht.
Trend #1: Traditional Yacht Sales is Dead
Before the explosion of mobile devices, social media and a multitude of media channels, it was much easier to market and sell yachts. Typically, your broker just needed to list your yacht on the leading multiple listing site, place an ad in a yachting magazine, and send a newsletter to their database. However, in today’s new marketing ecosystem, the traditional way of promoting listings by brokers and brokerages is becoming more ineffective and obsolete.
Although magazine ads and multiple listing sites remain the most traditional way of promoting listings by brokerages, this approach is becoming less effective as the internet and social media advertising continually prove to get better results. Understand: Facebook, Google, Instagram, and Youtube are the new Yachtworld. Now, although people are not on social media to buy a yacht, people who are buying yachts are on social media!
A MLS like Yachtworld might get your broker 3-5 leads per month (if you are lucky). On the other hand, by reaching potential yacht buyers on their preferred media channels (Google, Facebook, Instagram, and YouTube) we’ve found you can generate 5-10x as many leads compared to the “old way.”
Bottom line: In today’s marketplace, to effectively sell your yacht you need a new approach based on modern advertising and marketing methods. An approach that uses multiple media and communication channels in addition to multiple listing sites. A way of selling your yacht that is adapted to rising customer expectations and changing buying behavior.
Trend #2: Emotions Sell
It's a well-known, scientific fact that people buy based on emotions, and then justify their decision with logic. Having said that, the majority of the listings on the market do not take advantage of this law of human nature. Instead, they mainly address the logical aspect of the sale by focusing primarily on the technical characteristics of yachts.
For this reason, there’s a great opportunity for sellers to make their yachts standout by making their listing emotionally engaging for buyers. Selling a yacht in today’s market requires much more than having a little paragraph, technical specifications, inventory and price at the end.
To standout in this crowded marketplace, make sure to use a broker who will invest in your listing by creating a listing with:
Engaging and interactive content such as a virtual tour, walk through video, etc.
At the end of the day, emotions — not facts — sell.
Trend #3: Information Sells
When it comes to listing yachts, brokers and brokerages tend to show a minimum amount of information online. They do this to trigger curiosity by using a lack of info to “tease” prospects into visiting the yachts they list (even if they aren't fully qualified). This is a strategy brokers use to acquire additional clients they can sell other yachts to. Essentially, your yacht is used as a selling tool or bait.
Only having a few photos and specs are not enough to influence a buyer to make a major purchasing decision. And today’s buyers will no longer tolerate these “methods of the past” and instead, they expect a comprehensive listing that provides a large amount of information (that’s both emotional and rational). Your yacht listing must be comprehensive in that it provides the optimum amount of information. And as a result, your yacht consultant will bring in more qualified buyers while eliminating time wasted with unqualified visits.
To sum up, the more your listing tells, the more it will sell.
Trend #4: It Takes a Team
With the “Uberization” of the market, more and more customers are opting for solutions which eliminate the necessity of a middle man. Uber removed the need to call a taxi cab company. AirBnB removed the need for a hotel, and Amazon removed the need for a physical storefront.
Taking this into consideration, you may think of removing the use of the broker or yacht consultant to sell your yacht. Truth is you are right. The broker cannot sell your yacht on their own anymore. Instead, it actually takes a team to sell a yacht today.
The effort, energy, and skills required to successfully sell a yacht while meeting a seller’s expectations can no longer be satisfied by a traditional “lone wolf” broker. The market has progressed, buyers are more educated and demanding, and sellers have higher expectations than ever before. And this is why there's a shift to brokers working with a dynamic team, and why the most highly respected brokerages in the world are run by teams to effectively market and sell yachts.
To give you an idea of what it takes to successfully market your yacht in today’s market, here’s a list of the required skills:
Of course, these skills must be supported by a trustworthy relationship between you and your broker. Here’s a simple visual comparing the traditional “lone wolf” broker to a brokerage team:
The Traditional “Lone Wolf” Broker vs. A Brokerage Team
PAST: The Traditional “Lone Wolf” Broker Model
PRESENT DAY: The Collaborative Brokerage Team Model
Basically: would you rather have one broker working for you, or would you rather have a team of brokers, marketers, and experts working to sell your yacht? Now that you know the 4 market trends and how they could significantly impact the sale of your yacht, let’s look at the different scenarios for choosing the right brokerage team.