The#1 Mistake Everyone Does When Advertising Real Estate! Is This You?
“Stopping advertising to save money is like stopping your watch to save time.” – Henry Ford.
I BUY HOUSES (With Cars Examples):
Dear Real Estate Friend,
One of the huge mistakes we do is thinking that our product / service / help or whatever we do is for everybody. This might not seem a problem now but it becomes a serious problem when we try to advertise.
Regardless of what kind of advertising you are using (online, bandit signs, billboards, TV, Radio, Business Cards, Flyers, Brochures) This problem affects negatively the performance of your marketing efforts, making you waste your time, money and energy.
We don't want to exclude anyone because we think that the more people that know us the better. This sounds like a good thing and in fact it is! But when it comes to advertising THIS "EVERYBODY" approach doesn't work.
People needs, wants and desires are so different. What may be perfect for somebody, could be the wrong option for someone else.
What I like its not necessarily what you like. My favorite food its not yours.
If I go to a car dealership and the sales man tries to sell me one of those construction-like trucks because he'll make more commission out of it, I'll pass because that truck doesn't meet my needs.
It doesn't matter how hard the sales man tries to address the benefits of owning a truck like that. I just don't need it, I don't want it, I don't like it.
Isn't the sales man wasting his time and energy?
You are right! because he is aiming to the wrong person.
It would be a totally different story if a tough hard working construction guy approaches to the car dealership looking for a strong truck with tons of capacity and space.
The sales man wouldn't need to spend too much time and energy to close the sale, because he is MATCHING the PERFECT PERSON to the PERFECT PRODUCT.
Now, what if a family goes to the same car dealership?
Of course! they need other type of car. Something spacious but at the same time comfortable and secure for the kids.
You see! If I ask the sales man...
- Mr. sales man what do you sell?
HIM: I sell cars
-Who do you sell cars to?
This becomes a problem when trying to create advertising. As you can see in the previous example, even though cars are sold to everybody, not everybody needs the same car / truck / van / SUV, etc.
"EVERYBODY" have total different needs.
You can't create a broad message that says "I SELL CARS"
( :D or I BUY HOUSES)
Your AD performance it's going to be poor and if you are using old marketing methods like billboards, radio or TV, you're not going to be able to change it without incurring in new costs. In addition to that, there's no way to track exactly if your AD is working or not.
I get it! you don't want to exclude anybody. The good news is that you don't have to exclude people. You only need to create a DIFFERENT advertisement for every type of client that you have.
With Facebook, Instagram and YouTube you have access to a ton of targeting capabilities.
You can create ONE advertisement to people who live in a SPECIFIC CITY, that have FAMILY (parents with a certain # of children) that EARN an SPECIFIC INCOME % that also like a SPECIFIC Van or a SPECIFIC BRAND.
Probably a Toyota Sienna would be a good fit. (or many other similar options)
You can create another advertising for people that WORK at a SPECIFIC COMPANY that like TRUCKS, that also like OUTDOORS, etc, etc.
Probably a Ford F-150 would be an option (or many other similar options)
You can create another advertising for SINGLE young guys between the ages of 24 -30 that love RACING CARS that also like FAST and the FURIOUS movie franchise.
Probably a DODGE Challenger would be the option (or many other similar options)
As you can see, every single advertising campaign is pointing to a totally different type of person.
You are not excluding people! You are just tailoring your message to the perfect audience.
That way you don't have to force someone to buy something that they don't want in the first place.
You are just matching the right people to the right product / service you are offering.
Every advertising message is talking to the right person. Maximizing your opportunities to close a sale / deal.
Now! translating all of this in Real Estate language. I BUY HOUSES is a broad message that nobody cares but the person who placed the bandit sign.
Real Estate is all about solving problems! And there's a ton of different problems. Also different people have these different problems for different reasons and in different locations.
Tell me some of the problems people have with their properties that make them want to get rid of them. Tell me problems that you can solve for them...
- Divorcing couples
- Facing FORECLOSURE
- Inherited properties
- They lost their job
- Taxes owed
- No money for repairs
- Bad Credit
- No Job history to qualify for a mortgage
These are only a few but it's good for this example.
What if instead of saying "I BUY HOUSES" you change your message to:
"I HELP YOU STOP FORECLOSURE" or
"LOST YOUR JOB, I TAKE OVER YOUR MORTGAGE PAYMENTS" or
"PAYING TAXES ON A DISTRESSED HOME AND YOU DON'T HAVE MONEY FOR REPAIRS?"
or if you are selling rehabbed properties for a profit and you want to seller-finance it.
"WANT TO BUY THE HOME OF YOUR DREAM BUT YOU DON'T QUALIFY FOR A CONVENTIONAL BANK LOAN JUST BECAUSE OF THE 2 YEARS JOB HISTORY REQUISITE? DON'T WORRY! THE BANKS ARE NOT THE ONLY OPTION..."
You get The point! You invest in Real Estate. You make money by buying properties at a low cost and reselling them for a profit after repairing them.
But the owners of those houses we call DEALS are totally different from each other and they have totally different problems and situations.
Our job is to identify those people, learn who they are and then create a laser-focused advertising that resonates with them.
We can't rely on "I BUY HOUSES" any more. It's cliche.
Every neighborhood has many of those ugly yellow bandit signs.
So here's my advice:
Focus on the problems people have and offer the solution in your message when advertising your self as a Real Estate Investor / Agent.
MAKE TECHNOLOGY WORK FOR YOU:
Many have landed great deals using bandit signs. But Wouldn't it be awesome to have your own virtual bandit sign showing only to the people that matter and only paying for it when someone actually click on it to see what you have to offer.
In addition to that, knowing if its performing well and if it's not, having the ability to change it right away for something better without any additional expenses.
And also having the ability to capture people's information so you can follow up in the future as automated as possible.
But if people decide not to move forward at that moment, having the ability to track their activities so you can re-target them right away to make them come back to you...
Not only that! what if you could upload all the contact information you have collected from previous clients to a social platform and say: Go and find all the people that look just like this audience, people that have similar problems and interest and put this specific bandit sign with this specific message in front of them.
Wouldn't it be amazing?
Well! That's what Facebook, Instagram and YouTube allow you to do.
Those are the Bandit Signs of the NEW ERA!
I hope you enjoyed this post.