Is your real estate marketing less effective today than it was 10 years ago? Are you having problems finding qualified buyers and motivated sellers? It is not just the down economy, your marketing is now less effective! To understand why and what you have to do about it, you need to understand both the impact of the emerging economy and attraction marketing is having on your real estate business. I will deal with attraction marketing in the next post.
The current housing boom started around 2000 when investors took money out of the stock market and put it into property. This boom was then fueled over the years with easy credit, speculation and debt driven consumption. People were buying and selling for fun. Their home was going up in value forever and they could use it as an ATM machine.
In this go-go market, most agents would get out of bed in the morning and there were good leads waiting there for them to act on . It was easy to make money. Good, effective marketing was not required. The reality was, clients did not expect a lot from their real estate agent, they just wanted a piece of the action and the agent was a means to an end.
Those days are gone - we are now entering a new value based economy. Attitudes have shifted and we listened to your customer, and here is what they are saying:
- I Want Value - People want to clearly see the value in the services you are providing. Think about it. What is the value you really add when you list a home? Do you take professional photos, are you offering a guarantee, do you build a web site just for their home? What is the value you are adding - and more importantly, does your client know it? Your clients also want you to add value every time you talk to them or send them an email. By the way, your picture adds absolutely no value!
- I want an Expert - People want to work with an expert. You can’t swing a dead cat without hitting a real estate agent in most cities. Your client whats to know you are different, that you are an expert in both the local area and in real estate sales. What are you doing to show your target client you are a true real estate expert? You have to go beyond the certifications and show your expertise in all of your marketing. Stand back and look at how the world sees you. Go to your web site, look at your marketing material. Are you an EXPERT or just another agent.
- I Will Take Longer to Act - People will take longer to buy or sell a home, they are skeptical and move slowly. You will need new, value focused, follow up systems to stay in touch with your prospect while the work towards the purchase or sale. You will need to “date” your prospects over time. Don’t try to push the person into buying or selling before they are ready.
- There are Fewer of Us - Now only the motivated person will be in the market. Your client is motivated because buying or selling a home solves some a problem (relo, divorce, more kids, failing health, etc). The job of your marketing is to get the motivated prospect to contact you. Your job is then to work add value over time and help the client.
The agents who adapt to this new, emerging economy will thrive. The agents who don’t will have a hard time making ends meet.
