3 Reasons Why Every Real Estate Agent Should Have an Online Sale Funnel
I was talking to a local real estate agent the other day and he told me that he spends three hours per day prospecting for new business.
As a realtor, you probably know you are in the marketing business first, then the real estate business. He’s spending a good portion of his day marketing himself, which is a good thing. It’s the how he is prospecting that made me want to stab myself in the eyeballs with a plastic fork.
He is cold calling, the dialing for dollars method.
That is the face I made when he told me that.
I am NOT a fan of cold calling (probably the undertatement of the
year decade). It’s 2014 and there are SO many better, more efficient ways to market yourself using the world wide web.
Work smarter, not harder
Isn’t that what we all want?
And that is why I use online sales funnels and encourage other agents to do the same. I have multiple sales funnels online that are working for me 24/7/365.
I can take a day off and my sales funnel works for me.
I can “call in sick” and my sales funnel works for me.
I can spend the day with my daughter and my sales funnel works for me.
You can probably see a pattern here, huh?
I am leveraging the World Wide Web to my advantage. There are too many pieces of software out there to not take advantage of what they offer.
In this blog post I am going to show you 3 reasons why you should have at least one online sales funnel working for you.
1. It’s Predictable
Once your funnel is in place and producing leads for you, it’s like a machine. You’ll know how much traffic you need to meet your sales goals for the quarter/month.
Lets say you want to sell two homes next month. How much traffic do you need to sell two homes?
Below, I am going to reverse engineer the numbers.
**Numbers are for example purposes, a lot of variables come into place**
Cost per Click: $0.75
Website visitors: 100
Ad cost: $75.00
Leads: 20 (20% conversions)
Appointments: 5 (not all will be ready to do business just yet, but they are still in your funnel)
Closing Percentage: 40%
New clients: 2 (Did you know — According to the NAR, 66% of people hire the first real estate agent they meet)
Average commission: $5,000
Total revenue: $10,000
Are you seeing the power of this? If you need to sell more homes, increase
the traffic into your funnel. If you’re too busy, slow the traffic down or turn off your ads for a few days. Once in place, it is like a faucet — turn it on when you need to.
2. It’s Scalable
Does it scale?
Scalable is a buzzword and what most business owners often ask.
Say you have a hungry team of agents looking for more qualified leads. Why not increase your ad spend and generate 10, 20 30 leads or more for them?
With a sales funnel in place, this is not a difficult thing to do. You must be using marketing automation for this to work as it would be too labor intensive done manually.
You need a email automation software to (automatically) follow up with the leads your funnel is generating. There are numerous products out there. I use Aweber for my email marketing.
Get Response and Mail Chimp are two others, but there are hundreds on the market.
A CRM (Customer Relationship Manager is a must for any agent that is serious about growing their agency. You can use a tool called Zapier that lets you automatically send your leads into your CRM. That is what I have set up on this site. Once a lead downloads a training, they are immediately sent to my CRM.
Like email software, there are a lot on the market. I use Contactaully, which is a general small busienss CRM, but does have a lot of real estate themed templates.
You could try out of solution, Automated Agent, which is an all-in-one marketing platform for real estate professionals. It provides email marketing, marketing automation and it is a CRM. Your leads in one place.
This quote on the right is from John Wanamaker, 19th century merchant, considered the father of modern advertising.
This was ok for him as this was a hundred years ago. This is not acceptable anymore with the Interwebs. One of the great things with digital marketing is that is can be tracked, measured and constantly improved. Unfortunately, most still do not measure their marketing.
They feel like John.
As you can see from the examples above, you know the raw numbers. You know how much is going in and you should know how much is coming out. Yes, numbers will vary from month to month, but you should have a pretty good idea of what is working and what is not. After a few months, you should have a lean, mean lead generating machine!
We use a spreadsheet where we track EVERYTHING – daily/monthly totals, number of clicks, cost per click, cost per lead, landing page conversion, sales, earnings per click and the most important number — ROI.
This allows us to back up the 200% ROI Guarantee we offer. It’s also how to retain clients for years as they see the numbers. They understand they we are an investment, not an expense.
Good marketing is always an investment.
As you can see, building an online sales funnel is something all real estate agents should invest in. This will ensure a pipeline that is always filled with qualified prospects.
Also, a sales funnel should be looked at as an asset in your business. A scalable system with predictable growth.