The reality of today's economy is that we all need to do more with less, especially when it comes to marketing methods like cold calling or door knocking.
With so many agents vying for attention from potential customers these days, getting their attention can be challenging if not impossible without a strong strategy in place first!
To get ahead with your real estate online marketing efforts, here are some things you'll need to do:
- Spend more time using social media for marketing
- Focus more effort on getting leads through referrals
- Spend more energy closing leads that are warm/hot prospects
How can you get all of this done and still have enough time left over to earn the money you deserve? By benchmarking your real estate marketing methods!
Why Benchmark?
Before benchmarking, you might not know where you stand when closing leads or how many tours per prospect are typical. When you compare yourself to others in your industry, you can better understand where you stand and where you need to improve. This can also help guide your marketing methods because you will know what is working and what isn’t.
What Data is Most Relevant When Benchmarking?
The primary benchmarking metric is the number of new clients acquired against the total number of new clients expected for this period.
In addition, it's helpful to know how many appointments each agent takes and how many showings each agent performs per lead. Here are a few additional pertinent metrics to track:
Close Rate - Many agents are getting in touch with prospective clients, but what's the number to conversion ratio for these contacts? The average in the industry is a 22% close rate. This means that about 1 in 5 connections turn into clients!
Client Acquisition Rate - The client acquisition rate measures how well agents are doing at converting new contacts into clients. The national average to attain one client is 22 contacts per week.
By using real estate online marketing strategies, you can connect with potential clients like never before. You'll see your client acquisition rate increase in no time!
Average Days on Market - The number of days a home is listed before it sells has been steadily increasing over the years, and agents should expect homes to be sold closer to their list date than in previous years.
Currently, the average home spends about 55 to 70 days on the market, according to Zillow.
Number of Leads Obtained - The top 25% of agents get more than 39 leads, and the bottom 25% can expect 8 or fewer leads per week.
Time Spent with a Prospect Before They Make a Decision - This can vary significantly by region. The national average is about 10 hours.
Number of Home Tours Conducted Per Prospect - The national average for the number of home tours conducted per prospect is 6.5, with about 29% taking 11 or more tours before deciding to work with an agent. The majority of agents are conducting four tours per prospect.
Number of Clients Met With - The national average is 2.4 clients. The top 25% of agents have 7 or more, and the bottom 25% have 1 or fewer per week. The average number of clients an agent meets with before purchasing a home is 3 to 5 people!
These are just some of the main benchmarks to consider when prospecting for new clients. These will help guide you to find areas where you can grow and increase your efforts.
How To Use Benchmarks To Help With Real Estate Lead Generation
Benchmarking is not necessarily unique or life-changing. However, what you do with it can be the key to success for any agent looking to improve their lead generation skills and take home bigger paychecks at the end of every month.
Use benchmarks to find out where you stand in your real estate content marketing efforts. For example, investigate how many prospects other agents in your area have each month compared to your own.
This way, you can see if the number of prospects per agent is similar or different in your area for agents with similar experience levels.
Use the benchmarks to gauge your lead generation success against other agents in your area.
If you are getting fewer leads than others, examine how they’re running their business and take inspiration from their successful marketing methods and strategies while ensuring it fits who you are as an agent.
If your prospect count is higher than others, maybe it's time to seek new opportunities or look for other ways to improve your lead generation.
Real Estate Content Marketing Ideas to Aid With Benchmarks
You may want to integrate a content marketing strategy to nurture your potential prospects and give them a reason to do business with you.
Use newsletters, blog posts, infographics, and helpful articles to give your prospects the information they need so you can strike up a conversation with them.
The more content you produce and the better it is, the easier it will be for you to get in touch with your prospects and receive their business.
When you’re ready to start using newsletters and outreach for your marketing efforts, Agent Legend can help you keep track of everyone in your pipeline. Learn more about what Agent Legend is, and what it can do for you.
