I recently read an excellent article published by Baylor University, â€śLead Generation: What Really Worksâ€ť, which articulately discusses lead generation. The three categories the writers included in this article were lead generation, conversion of the lead to an appointment, and closure of the appointment to a transaction.
One of the studies I found particularly interesting was finding out the extent that real estate agents and brokers take to keep records of their lead generation efforts. And for those who keep records, how detailed the records are that they keep.
For â€śconversion to appointmentâ€ť only 23% of the respondents reported their records as Moderately Detailed or Extremely Detailed. With a mere 32% reporting moderately or extremely detailed for â€śclosure to a transactionâ€ť.
With a reported 17% of the respondents marketing budget allocated on the Internet or Website activities, unfortunately, or fortunately for us, the online world remains this big black hole. And, without keeping detailed records, it shall likely remain this ominous, monstrosity, money pit for many but it doesnâ€™t need to be this way.
HomeGainâ€™s BuyerLink does a great job of tracking your advertising budget. Iâ€™ve been using BuyerLink for years now. The concept is that itâ€™s up to you to keep on tracking your results from the initial lead generation, to conversion through close.
Regardless of your preferred marketing method, they discuss how are you attracting your leads? Are you â€śseekingâ€ť or â€śattractingâ€ť your leads? In todayâ€™s tough market the survey results reflected that more seek oriented (60/40) for highest lead conversion in a tough market.
Of the leads generated 58% were buyers and 42% sellers. Many brokers, including myself, consider home buyers a premium in this inventory laden marketplace.
Internet marketing is a powerful â€śseek and discoverâ€ť method in todayâ€™s real estate marketplace.
Surprisingly, the participants consider Internet leads to be one of the least productive methods relative to their spending. My presumption is this clearly reflects agentsâ€™ attitudes about Internet marketing based on their poor results. Many agents simply donâ€™t understand online marketing, think it takes a lot of work, costs a lot of money and what do they get but little to no success.
But, then again, besides being a bit of a technical specialist, Iâ€™ve had the benefit of being introduced to Mitch Ribak in Melbourne, Florida. Mitch, an expert in this field, really has this business of lead generation figured out.
For those reporting that they are doing better than their peers the report indicates itâ€™s difficult to say why. My experience reflects that systems and consistency go a long way towards leading to successful closings when working with home buyers generated online.
Systems can keep you organized and on target.
One example, is how quick do you get back to your leads upon capture? And, how often do we rely on auto-responders to do the work for us? Why not let sound, thoughtfully designed, systems in place and processes to do the heavy lifting for you?
Respondents also indicated they had greater success on average by responding to their real estate leads quickly. The ideal window is less than 8 hours with little difference between 0-4 hours and 4-8 hours. They further reported follow up after 8 hours is deemed less effective in converting leads.
My thoughts tell me, auto-responders are great but continue to follow up, follow up again and donâ€™t be afraid to pick up the phone.
And, never give up on the online home buyer.
Remember online home shoppers are home buyers too just as real your family, friends or neighbors, even though they might be virtualized and thousands of miles away. Be patient, persistent, responsive and considerate and your efforts will resultantly pay off.
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