Real Estate Investors Are (should be) Great Marketers
Every restaurant in your town is running the same ad, offering the same thing, every day.
“We sell food … Want some?”
— On road signs outside the restaurant…
— On post cards sent to your home…
— Amidst the articles of your local newspaper…
We’re talking Madison Avenue quality advertising right there!
Would that draw you in and make you want to eat there?
Their premise, of course, would be that people who are hungry (and want/need to eat food) will resonate with that message, put 2-and-2 together, and exclaim “this could be the solution to my hunger problem!”
You wouldn’t know the name of the joint, the location, or even what type of cuisine it was, .
There’s just a phone number. You’d have to take it upon yourself to call and ask all those questions.
But, there are enough hungry people at any given time that some would call, even if just out of curiosity.
Great! I’m sure the restaurant owner and staff have nothing better to do with their time than field general questions by curious prospective consumers.
Of course this scenario is ridiculous and fictional.
But the tactic 99% of real estate investors use to market their services is sadly NON-fiction.
As a marketer, who is intimately familiar with real estate, it pains me to see investors settling for the results of such a weak offer.
Yes, I know, it works. “If it ain’t broke, don’t fix it,” right?
But, what about optimization? Testing different messaging and offers? The 80/20 rule of improvement?
If you spend $10,000 per month in marketing and advertising, and make back $20,000, that’s good — 100% ROI
But what if, just by using a better “headline” and offer that generates a 2X response rate, you’d make back $30,000, without changing anything else, including your ad spend?
That would be a 200% ROI. On a monthly basis, that’s an extra $120,000 of pure profit.
Marketing legend, Jay Abraham, has earned millions of dollars on single joint venture campaigns just by testing and implementing one slight change to a headline in an offer. He’s often split-tested his way to a 21X improvement, which is more than a 2,000% increase. Optimization can be that powerful!
And it’s not just about making more money, but strengthening the brand equity and longevity of your business. Really connecting with consumer and building client relationships for life.
Marketing 101 (in the real world, not in academia) teaches that promotional messages should be aimed at the consumer… THEIR pains, problems, needs and desires. You don’t just hand them a brochure and hope they buy.
In your marketing message, speak to them directly. Bragging about yourself and your company and your products or services is not only boring, but ineffective.
Seems like common sense, right?
Good restaurants, for example, create emotion in their marketing.
“Hungry? Wouldn’t you love to sink your teeth into a juicy char-grilled burger today for lunch, rather than reheating your leftover meatloaf from last night in the microwave?”
Or a shorter version: “Got the munchies? Come by our cafe today for fresh-baked healthy snacks”
You get the idea.
“I Buy Houses” is all about YOU, not them.
Most real estate investors must assume motivated sellers are just driving around actively looking for potential buyers who are advertising that they are looking to buy a house.
It’s kind of weird to see such ads, actually. Isn’t it?
That’s not how normal people buy houses. It arouses suspicion… and often, confusion.
“There must be a catch,” most consumers are thinking. “Why would a legitimate home buyer spend money on advertising their intentions, unless they planned on somehow taking advantage of me.”
You must assume that’s what’s going through most people’s heads, or you don’t understand consumer psychology.
So, here are just a handful of ideas for better offers than “We Buy Houses.” At least, we think so.
- Sell your house to me. I’m interested.
- Sell your house fast, without a real estate commission
- Avoid Foreclosure. We can help.
- Let us take over your mortgage payments immediately!
- Sell your house within 10 days — guaranteed — without an agent
- Want out of a messy housing situation?
- Is your house un-sellable? You may be in luck. Call me!
Notice that these headlines/offers are all about them and/or their problems.
Don’t make people think too hard to understand your offer. Don’t make it hard for people to “buy” what you’re selling.
This list of headlines is obviously not exhaustive, nor has it been tested. But hopefully it’ll get you thinking about ways to differentiate yourself from every other investor in your market.
Please leave comments below with any questions or ideas related to marketing offers and USPs.
For more tips, insights and resources to help you market, build, and fund your real estate investing business, please register for (temporarily) FREE access to our digital resource center, REIBizPlan.com (“Blueprinting The Real Estate Investor Lifecycle From Incorporation To Automation.”)