In the month of June 2022, just under 50 percent of home offers written by Redfin agents received competing offers. Compare this to the start of the year when January’s bidding-war rate reached 70 percent. As the market continues to shift, agents must master the basics of real estate marketing to maintain business. Following is a reminder course on what those real estate marketing basics are.
THE FIVE BASICS OF REAL ESTATE MARKETING
ONE: LEAD GENERATION
Choose and commit to three channels of lead generation and then measure and optimize performance over time. Some of the most effective and least expensive include calling on expired listings and FSBO (For Sale By Owner), geographic farming, and social media advertising.
TWO: LEAD NURTURING
The average internet lead will not buy or sell a house for 6 to 18 months. The average lead converts into a client after 8 to 12 “touches.” Lead nurturing is a marathon, not a sprint. Master the basics of real estate marketing by maintaining your lead follow-ups. Do this consistently–at least once a month. Do this by giving them something of value, like an industry update. This can be done with a phone call, an email, or a monthly newsletter. Stay in front of your leads so that when they are ready to buy or sell, they immediately think of you, and know how to get in touch.
THREE: LEAD CONVERSION
Lead conversion is also known as lead-to-client conversion rate. This is the most rewarding part of real estate. However, getting new clients won’t happen without carving a path for lead generation and then carefully nurturing those leads. New clients need time to like, know and trust you. To do this you must be consistent in your follow-up. Then, when your leads are motivated to buy or sell, you will be at the front of their mind. When people feel like they know who you are and have seen you around for a decent amount of time, they are more likely to use your services.
To increase your lead-to-client conversion, consider doing the following:
- Email the lead a video describing the best ways to interview an agent and select the best one
- Email a testimonial video from past clients
- Mail a package describing your listing process and timeline
- Prepare a CMA for their home and offer to review it with them prior to listing with you
FOUR: CLIENT SERVICING
Delight your clients with unparalleled service. Serve your clients so well that they will want to refer their family and friends. The best and cheapest advertising you will ever get is through word of mouth. (And remember to offer a home warranty as part of your closing gift. This will really serve you well, especially if something breaks after the sale.)
FIVE: CLIENT RETAINMENT
Acquiring a new client costs up to five times more than retaining an existing client. Make sure you have:
- An after-sale follow-up process. Make sure to call your clients one day, one week, and one month after the sale to check in a make sure everything is going well.
- A client nurturing process. Send relevant content, like newsletters, mailers, invitations, and market insights, on a regular basis to stay front and center.
Doing these two things will reassure your clients and keep them connected. When they are ready to buy or sell again, you will be the one they call.
Learn more about free marketing materials from Fidelity National Home Warranty: