In order to take your business to the highest level possible, it is important to have a real estate marketing plan that includes a variety of marketing campaigns and strategies to reach your target audience throughout the year. A marketing campaign can include anything from a direct mail postcard, newspaper advertising, website ads, press releases, emails, newsletters and more to promote your business. There are several suggestions for developing effective real estate marketing campaigns, but they all should start with creating a budget and setting goals. Here are some tips to help you get started.
Budget Based on ROI
The first step in creating a real estate marketing campaign is to create a budget based on your return on investment (ROI). Develop your budget based on which real estate marketing strategies will offer the biggest return on the money spent. To determine ROI, you need to know the result rate for the marketing medium you choose, your lead-to-client conversion rate and the total cost of the marketing campaign. Suppose you choose a newspaper advertising campaign that historically generates 20 leads. Your lead-to-client conversion rate is one client per 20 leads. If the cost of the campaign is $1,000, and your profit is $20,000 for every client, your ROI would be 2000 percent ($20,000/$1,000). Therefore, base your budget on what real estate marketing strategies or campaigns will give you the biggest ROI.
Once you have determined the budget, the next step in creating a real estate marketing campaign is to set specific and attainable goals based on that budget. These goals should address the marketing medium you choose for that message and generate leads that will eventually become clients, while remaining within the initial budget. Be sure to determine how you will measure the results of the campaign to ensure that you achieve the desired goals. For example suppose you want to increase the amount of leads you get from your newspaper advertising campaign from 20 to 30. One way might be to extend the length of time for your newspaper ad, thus increasing the possibility of gaining leads and your lead-to-client conversion rate. Just remember to factor in your budget and make adjustments where necessary.
Make sure to create methods for measuring results of each campaign. This means creating spreadsheets, programs and procedures designed to track new leads generated from the campaign, open house attendance, and new clients achieved because of the real estate marketing campaign. Using the newspaper advertising example from above, create a spreadsheet that includes columns for interested prospects and potential customer contacts resulting from the advertisement. Each time a potential client contacts the agency as a result of the advertisement, enter the information into the spreadsheet. You could also analyze your net sales figures from previous months to determine if the advertising generated additional sales.
One of the best ways to initiate the creation of a real estate marketing campaign is to brainstorm with your sales staff to see which marketing strategies will help you generate business, stay within your budget, and compliment the year-long real estate marketing plan for your agency.
Stay tuned for our next blog in our real estate campaign series, Researching Your Target Audience or view the entire series, Develop a Real Estate Marketing Plan. Visit our website for our tools and resources.[gravityform id=”1″ name=”Contact Us”]