How Using A Database In Your Real Estate Business Makes You Money
We have been talking about direct mail campaigns in the last couple of articles. Today I am writing the first part of a two part article. We will be going over setting up your database so that it is user friendly.
Want more articles like this?
Create an account today to get BiggerPocket's best blog articles delivered to your inboxSign up for free
There are different systems that you can use as far as databases go, but the one that was recommended to me and the one is use is ACT by Sage. I have been using this particular database for quite a while now. It is not specifically for real estate investors, but it works great for me, and as I mentioned previously, it costs about $269.00. While this is a chunk of cash to spend on a piece of software, I would encourage you to look at the big picture. I can guarantee that using a database like this one will make you money by managing your contacts and keeping your direct mail campaigns on track.
Easily Accessing Your Contact Information
There have been many times a seller has called me after I have already spoken to them one or more times. With my database, I have the ability to quickly pull up their contact page while I have them on the phone, look at the notes section to see what we discussed in previous conversations, and see what their motivations (or objections to an offer) were. It allows me to pick up the conversation where we last left off. Motivated sellers will be impressed that you remember them and their last conversation. It definitely helps build rapport with them. I like to put basic information about the property here to jog my memory.
You are also able to see the “history” of your mailings with individual contacts and groups. When you buy a house, you can easily look back to see how many times you mailed this particular person before purchasing the property.
Marketing To Motivated Sellers Gets A Whole Lot Easier
Having all of your contacts in one place where you can easily send out marketing pieces is something that you just can’t put a price on. One of the keys to successful marketing campaigns, especially where direct mail is concerned, is “consistency”. When you use a database that is set up properly, it is easy to be consistent with your marketing.
I use a written direct mail log in conjunction with the database. I can look at my log, check off the group I just printed and move on to the next one; I am able to closely monitor the dates of the mailings. As I am a very visual person, I like being able to look at my list. I also post these mailing dates on my great big wall calendar. My great big wall calendar is my “accountability partner” for my direct mail campaigns.
How should I set up my database?
Just about every real estate investor will do his own mailings especially in the beginning. Many of them will continue to do these mailings for a very long time. It’s important to have a system so that you can stay on track, and this system needs to be easy to manage. I believe that all comes down to how you set up your files in the very beginning.
Next week I will show you the exact way I set up thousands of contacts in my database so they are easy to find and easy to market to.