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Sunday, November 17, 2024

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Stand out in a Sea of Agents

Multi-channel marketing is a vital strategy for real estate agent lead generation. With a comprehensive approach, you’ll increase the odds of being found in an overcrowded sea of other agents.

Naturally, not all multi-channel marketing programs include the same elements. Agents typically choose a combination of social media, blogging, door knocking, cold calling, email, and direct mail, among others.

Let’s take a look at some of the upcoming direct mail trends you may encounter in 2019.

The nay-sayers are misinformed

If you’re like me and keep up with real estate marketing trends, you’ll notice periodic comments that “direct mail can be hit or miss.”

This often comes from sources selling real estate websites, landing pages, and digital marketing solutions. Naturally, they have a reason to steer people to website and digital options for lead generation.

You might wonder how we’re so certain about our belief in direct mail marketing as the end-all, be-all.

First, we have witnessed the success of direct mail campaigns throughout our 19 years in the real estate marketing industry. In addition, we have statistics to back up our statements.

Direct mail stats say it all

Statistics such as the recent study from the United States Postal Service that finds direct mail marketing boasts a 5.1 percent response rate. Now, compare that to some popular digital marketing methods:

  • Email, 0.6%
  • Paid search, 0.8%
  • Social media, .04%
  • Online display ads, 0.2%

The reality is that direct mail advertising delivers a “700% greater response than all digital response rates combined,” according to the Data and Marketing Association (DMA).

In 2019 consumers will be demanding more personalized marketing. You’ll be glad to know that there’s research out there that drills down into exactly who your best direct mail recipient is: baby boomers and millennials.

More than 80 percent of the former consider direct mail a trusted source, according to AmericanExpress.com. In addition, 90 percent of millennials claim that direct mail advertising is a “reliable resource.”

Any research that helps you target your preferred audience for any given campaign is important. And, since millennials and baby boomers make up the bulk of real estate consumers, keep these statistics in mind when preparing your 2019 marketing plan.

Your 2019 ROI with direct mail

Different marketing strategies offer varying levels of a return on your investment. Cold calling, for instance, “costs at least 60% more per lead than other methods,” according to a Hubspot report.

Direct mail in 2019 is about to get a bit more expensive for agents who send letters. Stamps.com reports that the USPS is set to hike some postage rates on January 27, 2019. Although it will only be a few cents (the hike varies according to how you’re mailing), it’s important to factor this into your 2019 marketing budget.

The good news is that there will be no rate hike for sending real estate postcards, so no hit to your ROI from postcard marketing.

As it stands, direct mail marketing offers the third-highest ROI of all formats, according to the DMA (only email and social media marketing best it.)

Consider pairing direct mail with an email campaign for an even better return. “Direct mail and email are like the peanut butter cup of marketing: two great tastes that taste great—or even better—together,” according to Allan Greer of ABABankMarketing.com.

“When used in combination, direct mail and email can yield response rates of up to 35% compared with standalone campaigns using either channel,” he concludes.

Look for increased targeting opportunities in 2019

If you’ve been farming for some time you know just how the entire direct mail landscape has changed over the years. No longer are you forced to blanket a community or ZIP code, sending mailers to every home.

The data at our fingertips right now enables agents to build marketing campaigns based not only on demographics but on life events (divorce, death, new job) and even behavior.

Consider using some of this data in 2019 to better target your ideal client and improve your ROI.

No, direct mail marketing isn’t the “silver bullet,” of lead generation, but it’s the ideal inclusion in a multi-channel real estate marketing plan.

Start 2019 right, send the Retiring Soon postcard from the Life Events Series to a list of baby boomers in your area.

Need help targeting the perfect niche of buyers or sellers? Use our mailing list tool to create the ideal list (it’s easy) or call our support team for assistance at 866.405.3638!

PLUS: When you have time…here are 4 free ways we can help you CRUSH IT in 2019!

1. Become a Listing Legend Free eBook.

Ready to take a vertical leap in your real estate career? If you’re looking for inspiration…and the tools and methods to dominate a market and go to the top in real estate…you’ll find them in this free book. – Click Here 

2. The Free 2019 Real Estate Business Plan.

Treat your business like a business it is vital to long-term success in this industry. Some agents may put together elaborate business plans, yet there’s something powerful about keeping it simple. Check out our one page Online Real Estate Business Plan  – Click Here

3. The 12 Month Done-For-You Strategic Marketing Plan.

The Real Estate Marketing Planner is a powerful 12-Month-Guide that strategically defines what marketing to do when. Four key market segments are included, Niche Marketing, Listing Inventory, Geographic Farming, and Sphere of Influence – Click Here

4. The Free Online ROI Calculator. 

Consistency and automation are the keys to success. Discover how effective direct mail marketing can dramatically increase your bottom line. Enter your statistics in our Free online ROI Calculator and click the ‘CALCULATE MY ROI’ button to see your results instantly! – Click Here

Also…check out these cool tools 

 Three Click Postcards – Just snap a home photo & create a postcard all from your mobile phone

MLSmailings.com – Automated Just Listed, Just Sold Postcards

Market Dominator System – Become a neighborhood brand

Our business flourishes from recommendations in the same way yours does. We would be very grateful for your recommendation of our products and services – Recommend us here

Want to Refer a friend or colleague? Refer them, Here. THEY get a Free $25 Gift Card and YOU become their hero. BTW, you also get a $25 Gift Card too (now that’s what I’m talking about)!

Give Them the Facts

We are a nation of DIYers and fixer-uppers (or folks who think they are). We’re also a thrifty bunch, looking for any possible way to save a buck on purchases.

Put these two characteristics together and we end up with the real estate consumer seeking a bargain in the form of a fixer.

As an agent, you know which of your clients can take on all the work and money that a fixer might require.

“A fixer can be a perfect solution when your clients have long lists with a lot of requirements and if they’re willing to do the work,” David Bailey with Keller Williams, Beverly Hills tells HGTV.

So, yes, sometimes suggesting purchasing one is wise.

But it’s up to you to determine if it’s right for each client that hopes to buy one and then how to help that client make the decision.

Guess who likes fixers? Yeap the Millennials

 The National Association of Realtors conducted a study a while back and discovered, in their efforts to avoid “cookie cutter” homes, Millennials were interested in fixers.

In fact, “about 30 percent of millennials surveyed say they prefer a ‘fixer-upper’ home rather than a home that needs only a few repairs,” according to RealtorMag.

Since Millennials make up the lion’s share of the first-time buyer pool, counseling and supplying facts will be your most important task when working with them.

To get your client thinking realistically, ask the following questions:
  • Does your client or his family or friends have carpentry, flooring, painting, plumbing, electrical skills? They can hire professionals, but doing some work will keep costs down.
  • Speaking of costs, does your client have rehab funds set aside or do they need to borrow the money?
  • Is your client willing to wait to move into the home (maybe six months)?

If your client becomes fixated on a home in need of work, yank her back to reality by helping her understand the scope of the work required.

Bring in a contractor to help them determine if it’s possible to bring the home up to standards and to get an estimate of the cost.

Not only does this offer a reality check, but it gives your client an idea of how much to offer for the home.

How to finance the purchase

Unlike in the past, homebuyers have some attractive options when it comes to financing a home that needs work.

“Future value” loans are the most popular. These loans aren’t based on current market value but on the future value (after rehab) of the home.

First-time buyers and those on a budget typically opt for a government-backed mortgage that wraps the cost of the rehab into the loan. These programs include the Fannie Mae HomeStyle Renovation and the FHA 203(k) programs.Just Listed Just Sold Property Showcase Real Estate Postcards

If your client opts for one of these

These programs aren’t quick, easy or painless. If your client goes with the FHA 203(k) loan, he or she will need to come out of pocket to pay for a consultant.

The project must use the same contractor, from start to finish. If the client becomes dissatisfied with her choice, she’s stuck.

Then, the entire amount of money needed for the project is determined in advance and it’s a set amount. As one homeowner who used the FHA program notes “it is to the contractor’s benefit to do cheap work so they can pocket larger margins.”

Choosing a contractor will be one of your client’s biggest challenges.

Getting the loan

Rehab loans take far more time to complete than your typical residential purchase loan, so remind your client to get the loan process started as soon as possible.

You’ll have tasks to complete as well, such as helping your clients come up with a list of the work required and an estimate of cost. This will help you counsel them on how much to offer on the home.

You’ll need to structure the offer so that it’s subject to FHA 203(k) loan approval and the seller’s acceptance of any other HUD or lender-required improvements to the home.

Of course, FHA isn’t the only option for a client who falls in love with the idea of rehabbing a home to fit their lifestyle. Recommend that he or she meet with a lender and always consult their accountant.

Do you need to attract buyers interested in a fixer you have listed?

 Send a Property Series postcard with an offer for the Free Report, “Top Ten Renovations that Reap Returns”.
Extend the offer to your Facebook audience and on your website, as well.

Need help targeting the perfect niche of buyers or sellers? Use our mailing list tool to create the ideal list (it’s easy) or call our support team for assistance at 866.405.3638!

PLUS: When you have time…here are 2 free ways we can help you CRUSH IT in 2018!

1.  The 12 Month Done-For-You Strategic Marketing Plan.

The Real Estate Marketing Planner is a powerful 12-Month-Guide that strategically defines what marketing to do when. Four key market segments are included, Niche Marketing, Listing Inventory, Geographic Farming, and Sphere of Influence – Click Here

2. The Free Online ROI Calculator. 

Consistency and automation are the keys to success. Discover how effective direct mail marketing can dramatically increase your bottom line. Enter your statistics in our Free online ROI Calculator and click the ‘CALCULATE MY ROI’ button to see your results instantly! – Click Here

Also…check out these cool tools 

 Three Click Postcards – Just snap a home photo & create a postcard all from your mobile phone

MLSmailings.com – Automated Just Listed, Just Sold Postcards

Market Dominator System – Become a neighborhood brand

Want to Refer a friend or colleague? Refer them, Here. THEY get a Free $25 Gift Card and YOU become their hero (BTW, you also get a $25 Gift Card too, now that’s what I’m talking about)!

Become a big fish in a small pond

If you’re of a certain age, you’ll remember the advent of email and the rhetoric surrounding it.

It was going to put the post office out of business, direct mail marketers would consider it the answer to their problems, and it was immensely less expensive than regular mail.

Well, the post office is still in business and direct-mail marketing is a booming business.

Think email is a more effective tool than direct mail to generate real estate leads? Read on to see the other side of the story.

Direct mail cuts through the clutter

“In the 1970s, it was extraordinary for a person to receive as many as 50 [email] messages a day. Today, it’s not unusual for someone to receive 1,000 messages in a day,” according to Dave Crocker, administrator of emailhistory.org.

Raise your hand if you’ve ever received 1,000 pieces of direct mail on any given day.

The truth is, the volume of direct mail has decreased, starting in 2016, according to the U.S. Postal Service and the Data and Marketing Association. While this may be bad news for the post office, it’s excellent news for real estate agents who use direct mail in their marketing mix. Why?

Direct mail has a better response rate than email.

Though the volume of mail sent decreased, the response rates increased. The decrease in the volume of “junk mail” that each American receives, means less competition for those who continue direct mail marketing.

For real estate agents, that’s even better news.

Go for the best ROI

Let’s face it, many real estate agents are thrifty and when a less-expensive marketing alternative presents itself, they’ll take it. So, these agents rely more on email than on direct mail.

“If competitors are abandoning the mailbox, they’re leaving you with a huge opportunity to dominate the channel that achieves the highest response rate,” says Debora Haskel of IWCO Direct.

According to the Data and Marketing Association, direct mail boasts response rates that are from 10 to 30 times higher than that of email. It also delivers 10 percent more customers than email (according to the Direct Marketing Association, or DMA) and it’s more effective than email at inducing brand awareness.

In fact, 75 percent of people could recall the brand immediately after seeing it in a direct mail piece while only 44 percent of them could recall the brand immediately after seeing a digital ad, according to Proactive Marketing. 

The millennial misconception

If you’re targeting millennial homebuyers in your marketing efforts, direct mail should be among your weapons. There’s a misconception that this generation is completely connected electronically in all aspects of their lives.

Studies show, however, that when asked whether they were more likely to read an email with promotional content or a direct mail piece with the same content, 12 percent more millennials said they prefer the latter.

Even more surprising, was their answer to this question: “Which is more effective at getting you to take action?” Thirty percent responded that direct mail prompts them to action, while only 24 percent said email.

Choose your direct mail pieces strategically

The perfect direct mail campaign starts with a plan. Define your goal, set objectives and determine your target audience. With this information, you can put together your mailing list and then design your marketing piece.

Whether you’re mailing newsletters, postcards or anything else, your pieces need to cut through the clutter and stand out. To do that, keep text to a minimum and go heavy on the images.

“Take as much time crafting the look of your mailer as you spend on crafting the words and messaging,” suggests exactask.com’s Adam Treiser.

What formats do consumers prefer? The DMA found that oversized envelopes are opened more frequently than other direct mail pieces, followed by postcards.

Most marketing experts recommend multichannel marketing. If direct mail isn’t among the mediums you use in your marketing efforts, perhaps it should be.

Start getting more seller leads now!
Send the Time is Right postcard from the Listing Inventory Series to at least 100 prospects in an area where you want more seller leads.

Need help targeting the perfect niche of buyers or sellers? Use our mailing list tool to create the ideal list (it’s easy) or call our support team for assistance at 866.405.3638!

PLUS: When you have time…here are 3 free ways we can help you CRUSH IT in 2018!

1.  The 12 Month Done-For-You Strategic Marketing Plan.

The Real Estate Marketing Planner is a powerful 12-Month-Guide that strategically defines what marketing to do when. Four key market segments are included, Niche Marketing, Listing Inventory, Geographic Farming, and Sphere of Influence – Click Here  – Click Here

2. The Free 2018 Real Estate Business Plan.

Treat your business like a business it is vital to long-term success in this industry. Some agents may put together elaborate business plans, yet there’s something powerful about keeping it simple. Check out our one page Online Real Estate Business Plan  – Click Here

3. The Free Online ROI Calculator. 

Consistency and automation are the keys to success. Discover how effective direct mail marketing can dramatically increase your bottom line. Enter your statistics in our Free online ROI Calculator and click the ‘CALCULATE MY ROI’ button to see your results instantly! – Click Here

Also…check out these cool tools 🙂

 Three Click Postcards – Just snap a home photo & create a postcard all from your mobile phone

MLSmailings.com – Automated Just Listed, Just Sold Postcards

Market Dominator System – Become a neighborhood brand

Want to Refer a friend or colleague? Refer them, Here. THEY get a Free $25 Gift Card and YOU become their hero!

 

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