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An introduction to
Successful Marketing in Commercial Real Estate
By Tom Montgomery
President
Having begun my career in commercial real estate in Los Angeles, initially as part of a team and then as an agent, I quickly saw that there was a huge divide between successful real estate agents and those agents grinding the phones for a chance encounter with a desperate seller. Who entrusts their million dollar plus investments to a chance telemarketing call? Marketing is not sales. As persuasive and gifted a closer that an agent may be in person, getting in front of a motivated seller is challenging. The odds are low just cold calling on the phone, and your future in an all commission business hinges on those odds. Your success rests on increasing those odds.
In today’s market, while many commercial real estate agents/lenders are great negotiators, salesmen, and closers, few have successfully marketed themselves. Various brokerage companies and lenders provide differing levels of support in this regard. From firms that provide minimal support or direction, to firms that have mandatory marketing requirements and materials, most of the direct marketing circulated is of two varieties: 1) a new listing, or 2) just closed. These 2 varieties are the most basic of mailers types. They require little imagination or planning and are easy to produce. But to the recipients of the tons of direct mail sent, they are largely white noise in the repetitive templates postcard printers use for all of their real estate customers, a stack of just listed/just closed postcards each saying the same thing, often in the same words.
Maximum Marketing Inc. was born with a mission to bring premium direct marketing ideas and services to any market in the USA. We do everything from consultation to design; from production to mailing. We customize our services to fit your needs.
Does your current direct marketing campaign fit the profile of sending out the standard just listed/just closed postcards? Does your direct marketing take the form of one or two marketing blasts every year? Did you send out that one really big, expensive mailer and not get the results you expected? Have you clearly articulated to your clients why you are a better choice than the next broker/lender?
Successful direct marketing in commercial real estate has characteristics that define it.
1) It is a continuous campaign. Whether your budget allows for monthly, quarterly or more frequent direct marketing, this is a fundamental cornerstone of successful direct marketing. At any given time in commercial real estate, only a small percentage of your clients are in a position to sell. One of the greatest lessons I learned in direct marketing is that you can’t create motivation. A postcard or letter is not going to convince someone to sell their million dollar plus investment! However, over a 12 month period, a much larger percentage of your clients may be in a position to sell. Having your direct marketing pieces in front of them at the right time is significant. This is one of the biggest errors made in direct marketing. You would get better results sending 500 pieces to 500 recipients over a six month period than one 3,000 piece mailer. The odds are higher that your marketing will be in front of your clients at the right time.
2) Repeat exposure. Investors are not going to trust their livelihood, retirement or investments to someone they have never heard of. Sending regular mailings to the same mailing list gives you long term credibility to your potential clients. It turns your cold calls into warm calls. Repeat exposure to solid and compelling branding adds value to the services you provide. Just listed/just sold postcards are a part of that campaign, as long as your branding is consistent and prominent on all of your direct marketing pieces. Using the same example given above, sending 500 pieces over six months to the same 500 recipients builds brand recognition as your name is continuously in front of your clients. A single 3,000 piece mailing doesn’t accomplish that.
3) Know who you are. I have consulted with many people in commercial real estate over the years and one thing has always surprised me. Many agents haven’t defined for themselves what their competitive advantage is. Most have outlined the elements of their competitive advantage in proposals and presentations to clients, but haven’t translated those elements into their marketing. We specialize in identifying your competitive advantage and converting that into a sound bite – a marketable idea you can use to brand your services.
4) Know your audience. Are your clients Mom and Pop owners with their retirement or inheritance tied up in their investment property? Are your clients sophisticated buyers with syndications and investors behind them? Are your clients medical or legal professionals looking for investment opportunities? Your marketing strategy can be tailor made for each of these client types.
5) Know who buys and sells. Knowing who is buying and selling your product type is a fundamental starting place. Marketing to these same people needs to be your first priority. What are the current motivations, buzz words and angles that are hot in the current market? Identifying the next trend and being able to monopolize representation of that trend could become a windfall if marketed properly.
Maximum Marketing Inc. provides the tools and product you need for a successful direct marketing campaign. Our goal is to let you reinvest in your own business while allowing you to focus on your primary activities of getting in front of clients and closing deals. We have the complete direct marketing program for commercial real estate marketing.
Tool #1 - UV Photo Finish Products - We have a high end product, perfect for representing million to multi-million dollar investments.
Tool #2 - Reduce Costs - Our bulk production and mailing capabilities offer you the best prices for UV Photo Finish Products. Maximizing your marketing budget means you can spend each marketing dollar better
Tool #3 - Enhanced Designs - Our professional designers give you a unique edge in creating a look and design all your own.
Tool #4 - Branding & Seller Targeting - Our branding principles and specialization, especially in commercial real estate, gives you a decided edge in identifying your competitive advantage and converting that into successful Seller Targeting.
Tool #5 - Data & Information Services - Lastly, our data and information sources as well as our specialized postal software allow us to give you advantages acquiring good mailing lists and cleaning up your current lists and identifying duplicates. Property databases from title and other sources where your clients may own multiple properties under different ownership entities do not accurately identify duplicates.
For a direct marketing consultation, please call Steve at (661) 302-9059 or e-mail him at Steve@MaxMktg.com. |