Marketing is a key part of being a real estate agent. Not only do you need to showcase each listing in the best light, you also need to market yourself. This takes a lot of work, and it often feels daunting when you’re first starting out.
That’s where marketing strategy comes in. Having a plan can help you tackle each step at a time until your marketing machine is off and running!
What is a marketing strategy?
A marketing strategy is your overall plan for reaching new clients and securing their listings. It it high-level, outlining things such as your brand messaging, what your ideal client looks like, and your value proposition (what you stand for as a professional and why you deserve a client’s business).
Marketing strategy vs. marketing plan
While a marketing strategy is related to a marketing plan, they are two different things.
A marketing plan is a more detailed document that outlines the specific types of marketing activities you will use and timetables for different events and campaigns. Marketing strategy covers the big picture, where as your marketing plan will outline the specifics of how you plan to reach specific business goals.
Your marketing strategy should last longer than your business plan. A business plan is designed to change or be replaced over time, whereas a marketing strategy is more long-lasting.
The 4 Ps of marketing
Most marketing strategies use “the 4 Ps” to help you break down key information.
Product refers to what you are selling or a service you provide to clients. Real estate agents would obviously need to think about the properties they sell, but what else do you provide to clients?
Real estate agents offer clients many services that they might struggle with if they tried to sell their house themselves. This often includes pricing a listing, staging for photos and open homes, promoting each listing, negotiating the final sale price, and other parts of the selling process. You may also offer services that help generate new leads, such as free property valuations to potential clients.
Promotion is how you plan to let people know about your listings and services. Real estate agents typically use different types of marketing activities to reach new clients, including advertising, publicity, and public relations.
Here you will also want to think a bit about promotion strategy (how you will turn people into clients and secure their property listing), as well as your marketing budget. Again, think of these aspects on a high level. You’ll get more specific when you eventually write a marketing plan.
In a traditional marketing strategy, price refers to how you plan to price your product and services. This is less straight forward for real estate agents, as property prices depend on many factors that may be beyond your or the seller’s control.
Instead, you might focus on your ideal clients or the types of properties you hope to sell. For example, an agent decides to carve out a niche in selling townhomes and condos to young professionals. Their price point may be lower than standalone homes, but the agent believes they can move more units each year than if they sold larger properties. This gives them a general idea of price point they’re catering to, and the agent can focus their marketing strategy on these types of properties.
A traditional marketing strategy would tackle place from a distribution angle—how does the company deliver its products to customers? Real estate agents might need to think about this a bit differently.
How will you provide your services to clients? This may be through face-to-face meetings, over the phone, through email, or in other ways. You might also think about how you will manage your listings, such as which site subscriptions or software you’ll need to list and track each property in your inventory.
Marketing strategy for real estate agents
As you write your marketing strategy, you may want to keep these points in mind to make it as effective as possible.
1. Focus on what makes you unique
What makes you stand out from other real estate agents? Do you have niche expertise that makes you the perfect match for specific home buyers or sellers?
2. Get to know your clients
Make sure you have a clear idea of who your ideal client is. How much do they make? What type of property are they looking for? What are their hobbies? What are they looking for in a neighborhood? Creating buyer personas could help you here.
3. Research the market
Real estate agents should know the local property market backwards and forwards. Know what types of properties are out there—both those being sold and what’s in demand—as well as recent sale prices, how long homes are on the market, and other relevant information.
4. Be mindful of budget
While budget is discussed in detail in a marketing plan, keep it in mind as you write your marketing strategy. Your marketing process may look good on paper but may prove too ambitious without enough money to back it up.
Protect your business with Professional Liability insurance
A marketing plan can help real estate agents build a successful business. Professional Liability insurance can help them protect it.
Professional Liability, otherwise known as E&O insurance, protects your business against claims of negligence, misrepresentation or mistake, as well as document or paperwork errors. It can help give you greater peace of mind as you begin to make your marketing strategy a reality.
BizInsure is here to help real estate agents find the business insurance they need—including Professional Liability—online and in minutes! Visit our website today to learn more.