Rentals: Data-based marketing

Suzette Teague of Abundance Realty and CITA Property Management has been my client for about 5 months.  Due to a new hire, I’m finally working on the vision she outlined for her business and growth.  My primary focus is marketing and lead generation.

I expected this to mean marketing for Abundance Realty. I expected to generate leads related to buyers and sellers.  Surprisingly, in this market I have found that I need to focus on marketing for the rentals we manage via CITA Property Management.

Some of CITA’s easy to rent properties are staying vacant longer than the trend.  Suzette has explained her typical process and coached me on closing.  Unfortunately, it has not translated in to new tenants.

I’ve read a few articles about how people search for homes to purchase.  In the wake of zillow, trulia, realtor more people are taking the process in to their own hands.  Finding a realtor use to be the first stop, not so in this market.  I haven’t found any articles about how this is impacting families looking for single family homes or duplexes.

For home purchases, this seems to mean that the first person who can make contact in the search process becomes the chosen realtor.  It’s a matter of building trust and providing value as families navigate the search.

If home buyers and renters are still a distinct group, then perhaps the building trust and adding value can be translated in to the rental market.  I’ll try advertising to neighbors near the rental. Perhaps, “Do you want to like your neighbors”?

RE Investor: Here’s a thought skip direct mail

‘Direct Mail is Not Dead!’ This has been the headline of numerous articles. And the statistics back it up. According to the Data Marketing Association, formerly Direct Marketing Association, prospect rates more than doubled in 2017, a 190% increase. However, that doesn’t mean that you should get involved. According to Dan Kennedy, the worst place to market is in a crowd.

According to the DMA, 121.2 Billion pieces of mail were received by US Households in 2017. By my definition, that’s a crowd. In this crowd, you are competing for attention. You’re believing that your mail actually gets delivered, then hoping that it actually gets read, and finally wishing that they would respond.

The crowd includes corporation like Bed, Bath, and Beyond, with ad budgets 1000x’s your miniscule budget. So, while it’s not dead, I’m still convinced that you can and should skip it. You want to be on the fringes of a trend. Why? because its cheaper. To borrow, a GaryVee term, it is underpriced attention.

I’m not just talking. I’m testing it out. Since March 4th, 2018, I’ve only ran ads on Facebook and Instagram. As a result, for each $1.00 I spent my ad was seen by 93 people. When compared to Direct Mailing, which will cost you at least a $1.00 per household, it’s a no brainer for me. I’ll take my small budget to social media where I can target my ads based on interest and behaviors.