What is the biggest reason agencies find no success in running ads?
Typically, agencies will blame social media for it but in reality, they just didn’t have the knowledge of how to best utilise the algorithms to their advantage. Most of the time consumers aren’t going onto social media to see ads or find out more about your business, they are going on social media to do just that – be social meaning it’s more likely you are advertising to a ‘Cold Audience’. By that, we mean a consumer who has never interacted with you before and doesn’t know you from a bar of soap or why you’re ‘the best agent in your area’.
Since the 2021 congressional hearing and the new privacy laws that were instated, it has definitely become harder to target on facebook and as stated above, the audience you can market to is much broader than what it once was. For example, as an agency your primary audience would be a ‘homeowner’ or ‘seller’ but with the changes to privacy laws, unfortunately you can’t target someone for just those attributes or interests anymore. In saying that, there is a way around these laws which is more beneficial for both the consumer and the advertiser and that is to implement what we call ‘Value Based Marketing’.
Value-based marketing doesn’t always have to involve flashy ebooks or elaborate giveaways. It can also encompass sharing opinions, insights, and expertise through videos or written content that grab the consumers attention, things like market updates and seller guides. Real estate agents have a wealth of knowledge about their local areas, and simply conveying that knowledge through content can be highly valuable to potential buyers and sellers. The key is to continually focus on providing value to the audience and strengthening the agency’s brand.
It’s worth noting that value-based marketing is not limited to just social media advertising. Agencies can also utilise email marketing and SMS campaigns to retarget and re-market to captured leads. By creating a funnel that nurtures potential clients with valuable content, agencies can increase their chances of converting leads into actual buyers or sellers.
Implementing value-based marketing strategies can be cost-effective for agencies. The leads generated through value-based marketing campaigns tend to be far more qualified and interested in buying or selling property, making them more valuable than leads obtained through other methods. Additionally, the cost per lead can be significantly reduced, with agencies seeing lead generation costs ranging from $8 to $17 per lead as opposed to unqualified leads that could cost you far more than that.
Transparency is also key to this strategy – being upfront and honest with consumers is crucial to maintaining a client relationship. Don’t just tell your clients what you think they want to hear, this is what we refer to as ‘commission-breath’ and frankly, it’s not a good look and can undo months of work.
By providing valuable content and nurturing potential clients, agencies can not only navigate these challenges but also achieve cost-effective lead generation and maintain trust and transparency in client relationships.