Marketing Techniques for Attorneys

							       Innovative Marketing
            Techniques
                for
       Buyer Representatives
      A Program brought to you by
The Real Estate BUYER’S AGENT Council
                  Of
The National Association of REALTORS®
Innovative Marketing Techniques

 • Housekeeping – Before we begin…
   –   Breaks/lunch
   –   Participation
   –   Language & Anti-trust
   –   Pagers/Phones
Top Ideas:

 • Use the space provided to list the top marketing
   ideas that come to you throughout the course.
Course Objectives

 • This course addresses marketing for the buyer rep
   keeping the buyer‟s interest in mind.
 • The course is broken down into an introduction,
   three modules and generous resource section
   including two optional modules.
Innovative Marketing for Buyer
Representatives

 • The introduction will establish an understanding of
   innovation and describe rules to follow in establishing
   and implementing a marketing plan.
 • Module One will provide resources and an
   understanding of how to analyze your market and the
   market trends.
 • Module Two will provide a focused approach on how
   to utilize horizontal and vertical marketing strategies.
 • Module Three will help determine the best way to
   uniquely position yourselves in the buyer
   representation business.
Class Brainstorm

 • What is marketing ?
What is marketing ?

 • Marketing defined:
   – Attracting prospects through the implementation of a
     systematic plan that uses a mix of activities.


 • Marketing requires:
   –   Patience
   –   Flexibility
   –   Commitment in writing
   –   Planning
   –   Measurability
What is marketing ?


• The Marketing Action Plan
   –   Strategy
   –   Budget amount
   –   Proposed marketing activities
   –   Price plan for activities
   –   Timelines
   –   Tracking System
What is innovative?

 • Innovative is defined as:
    – Creating value out of ideas, products, services or different
      ways of doing things
What is innovative?


• Creativity requires:
   – An open mind
   – Free of preliminary
     judgment
   – Consideration of all
     ideas and possibilities
The Rules


• Change Perceptions to See
  Things Differently
• Ask Questions and Test
  Assumptions
• Tap Into Other‟s for Ideas
The Rules

• Tap Into Other‟s for Ideas -
      Two Heads Are Better Than One
   – Art Fry and Spencer Silver worked for 3M.
     Art needed a way to mark his place in a
     hymnbook. Art used a piece of scrap
     paper that he continually lost. Spencer
     recommended that Art try a “failed” glue on
     the paper to hold his scrap paper in place
     in the book.
   – Post It® notes was created…
  Two heads were better than one.
The Rules

• Change Perceptions to See
  Things Differently
• Ask Questions and Test
  Assumptions
• Tap Into Other‟s for Ideas
• Eliminate Negative Thinking
  and Self Sabotage
• Take (Calculated) Risk
• Measure Your Success
The Big Picture

 •   What are you trying to achieve?
 •   Is it working?
 •   Are you successful?
 •   Do you need to reevaluate your priorities and goals?
 •   What do you want to „walk away with‟ from this course
     to help you achieve your ultimate goals?
                       Module One:
                   Today‟s Home Buyer

It is not the strongest of the species that survive, nor the most
     intelligent, but the one most responsive to change.
Charles Darwin
MODULE ONE:
Today’s Home Buyer

• Save time and $$$
  – Identify your market!
  – Trying to serve
    everyone is impossible.
  – Who are today‟s
    buyers?
  – What do they think is
    important?
  – What are some basic
    marketing
    fundamentals?
Brainstorm Activity

 • What‟s different about today‟s home buyer vs. 10
   years ago?
Marketing vs. Sales

 • “Selling” is defined by Wikepedia as “a practical
   implementation of marketing”
 • Marketing is the foundation of sales.
 • Effective marketing approaches should mirror
   sales approaches
    – Buyers were different 10 years ago so effective
      marketing should also be different.
    – Should the approach to sales be the same as 10 years
      ago?
Old Sales Model vs. New Sales Model

 • Old Sales Model                  • New Sales Model:
 • Included tips, tricks, gadgets   • Build rapport and trust in the
   or techniques to “get the          beginning and throughout.
   attention” of the consumer.
Out With The Old, In With The New

     Old Sales Model                          New Sales Model



              During the consultation phase,
              focus on the needs of the buyer.
               Identifying the needs and
               desires of the buyer will lay the
               foundation for discussing the
               benefits
      1. Approach 10% of signing a buyer-rep Trust 40%
                                               1.

               agreement.
      2. Qualification 20%                     2. Consultation 30%

      3. Presentation 30%                       3. Presentation 20%

      4. Closing 40%                            4. Commitment 10%


        Note: This information was inspired by Brian Tracey at
        www.beststeps.com
Attracting Potential Buyer Clients

• Identify:
  – Who are they?
  – Where are they?
  – How do you make contact?
  – What do they want?
• Who Is Today‟s Home Buyer?
  – Home Buyers Are Seeking Buyer‟s
    Representatives
  – Home Searching Facts
Home Searching Facts

• Buyer‟s Representatives are in demand.
• Many buyers signed a buyer‟s representative
  agreement.
   – The majority were repeat buyers who used an agent in
     a prior transaction.
   – Buyers who signed an agency agreement had a high
     rate of satisfaction because the agent‟s performance
     matched their expectations.
WWW.REALTOR.ORG




                  TIP: For on-going
                  research visit
                  www.realtor.org
                  and review the
                  field guides.
Home Searching Facts

• Snapshot of the typical home buyer who used a
  buyer representative.
   – General Buyer Information
   – The buyer wants the agent to find them a home.
   – The buyer first learned about their home from their agent.
   – Many buyers surf the Web for homes before contacting an
     agent.
   – Buyers want an Internet savvy agent.
   – Buyers expect to use the Internet in future home searches.
   – Many buyers said they planned to use real estate agents
     as an information source in future transactions.
Buyers’ Information Sources

 • INFORMATION SOURCES USED IN THE HOME
   SEARCH
          90% Real estate agent
          77% Internet
          71% Yard sign
                Newspaper
                Home book/magazine
                Open house
                Builders
                Television
                Relocation company
Buyers’ Information Sources

 • WHERE THEY FIRST LEARNED ABOUT THE
   HOME PURCHASED

          36% Real estate agent
          24% Internet
          15% Yard sign
           7% or less 5 other categories
Purchase Factors
(reasons for buying)

 •   Neighborhood
 •   Price
 •   Work accessibility
 •   Schools
Buyers’ Primary Motivating Factors

 • Reasons for making a housing
   change:
   – Job relocation
   – Want to own
   – More space
   – Investment/Tax deduction
California Association of Realtors®
buyer research

 • Market Related Factors Influencing the
   Home Purchase (CAR)
   –   Interest rates (high or low)
   –   Anticipation of future benefits
   –   Economic improvement
   –   Repeat buyers want to use equity gains to
       trade up
Individual Activity
What Today’s Home Buyers Want

 • Quick survey. Write down what you perceive
   as the one, most important service you perform
   for buyers.
Buyers want help with…

   – Finding the right house   58%
   – Negotiations              9%
   – Paperwork                 9%
   – Comparables               12%
   – Affordability decisions   4%
   – Financing                 2%
      Make Services Tangible!

• Reduce your service to writing, e.g. email, follow
  up letters or text messages.
• This will give the buyer something they can see or
  touch.




  Communicate often and convey value!
Understanding Today’s Home Buyer


• Clients are stressed due to
  problems in various areas of
  their lives.
• Buyer‟s rep must identify and
  understand the problems in
  order to offer the right solutions.
Understanding Today’s Home Buyer

Problems                             Solutions
Live in a fast paced world           Build relationships.
                                 >   Recognize Consumers as
                                     human beings first.
Are under high stress in their       Reduce consumer stress.
jobs and personal lives
                                 >   Communicate regularly
Have time pressures and              Save the consumer time.
constraints
                                 >   Show why they should use
                                     only one buyer rep.

Have low service                     Overwhelm buyers with
expectations
                                 >   service.
                                     Proactively communicate
Where Are The Buyers?

• How Are Buyers Finding Their Buyer
  Representatives?
   – Most buyers use the first agent they interview
   – Most home buyers with buyer representative
     agreements stayed with one licensee throughout the
     home purchase transaction
Most home buyers…

  – Most home buyers with buyer representatives
    were satisfied with their real estate
    professional.
  – Most home buyers who signed a buyer
    representative agreement were satisfied with
    the services.
Where Are The Buyers?

•    Referral and repeat business is at the core
     of the real estate business. The two most
     popular reasons for choosing a real estate
     professional:
    1. Referral from friend, family member or neighbor
    2. Knowledge of the agent from a prior transaction
Where Are The Buyers?

HOW BUYERS FOUND REAL ESTATE AGENT USED
 44% Referred by (or is) a friend, neighbor, relative
 11% Used agent previously to buy/sell a house
 7% Internet
 7% Open House
 6% Yard sign
   Agent on floor duty (buyer called or walked in)
     Newspaper/print ad
     Direct mail
Where Are The Buyers?

• Fact: Buyers usually stay with the first agent they
  meet.
• Conclusion: The general public does not see a
  difference between real estate professionals
   – Use your innovative marketing techniques to become
     “top of mind” and be the first person they think of, meet
     and call.
Most home buyers…

  – 85% of buyers are satisfied with their agent
    and are likely to use the same agent again

       But only a small percentage did!


                      11%
Class Brainstorm


           Only 11% returned to the
            same agent used in a
            previous transaction



                   WHY?
Identifying Your Market:

 • Niche Marketing: Who / What
   Is (Are) Your TARGET
   Market(s)?
 • What is your current buyer
   market base? Do they come
   from a specific profession,
   geographic area or do they
   have another common factor?
Where Is Your Market?

   Individual Activity:
   –  First Time Buyers
   –  Luxury Home Buyers
   – Vacation Home Buyers
   –  Retirees
   –  Condo Buyers
   –  Investors
   –  Relo Buyers
   –  Golfers, Boaters, Equestrians
   –  Other:
                       Markets should
                       be specialized
                       and lawfully
                       targeted.
Reaching Potential Buyers

• Where Is Your Market?
• Where do they live, work and play?
• What are they reading? Where do they go for
  information?
    – Do you have a presence in these information
      sources?
• On whom do they rely? With whom do they conduct
  business?
    – Do you have a presence or connection with
      these people?
Reaching Potential Buyers


 • Do you understand your target market and the
   characteristics? Needs, desires, culture,
   demographics
 • Why have you chosen these markets?
 • Have you determined there is a need? Have you
   analyzed the market?
 • What are your market‟s trends?

  Use the Marketing Action Plan Outline
          to assist in analyzing
Why Have You Chosen These
Markets?
• What information do you need to
  determine if your niche or target
  markets are right for you?
Attracting Inbound Buyers

 • What is their point of origin?
 • Are you marketing to those buyers in that market?
 • Develop your marketing efforts to position yourself
   in your market.
Class Brainstorm

 • What are your market‟s trends? Consider markets that
   are growing or have growth potential.
 • Is your market renewable and expandable?
Caution

• Do not put all your eggs in one basket
   – If you rely on a single source such as referrals from
     one corporation, it could spell disaster if the
     company folds or changes its affiliation.
Class Brainstorm

 • How are you
   tracking your
   marketing efforts?
Some measuring tools include:

• Numeric or color-coded marketing pieces
• Unique telephone numbers or extensions
• Unique email addresses
• Do you know which of your advertising dollars
  and marketing pieces is making your phone
  ring?
Reminder:

• It is unlawful, under the Fair Housing Laws,
  to target market based on race, color,
  religion, sex, handicap, familial status or
  national origin.
• Advertising should be inclusive and not
  exclude or target specific groups.
• For more information visit:
  http://www.hud.gov or
  http://www.realtor.org.
                  Module Two:
  Determining Your Market Strategy: Methods,
             Media And Materials

They can‟t and/or won‟t use you if they don‟t know
   you exist.
Module Two:
Determining Your Market Strategy:
Methods, Media And Materials

 • Two large target markets:
   1. Those you already know (directly or indirectly).
   2. Those you do not yet know.
Horizontal Marketing:

 •   Horizontal marketing is defined as: any marketing efforts
     made by the individual licensee designed to attract new /
     un-referred prospects (tapping into the unknown).
Horizontal Marketing:

 • Purpose:
   – Make the phone ring today
   – Develop leads
   – Initiate relationships
 • Heavily used by new agents –
   – Equally important to experienced licensees because
     database and demographic aging demand client
     replacement
Horizontal Marketing:

 • Examples:
   –   Newspaper ads
   –   Home magazines
   –   Open houses
   –   Floor time
   –   Home buyer seminars (REBAC’s home-buyer
       seminar kit)
   –   Direct response ads
   –   Cold calls
   –   Farming
                           Sources of prospects!
   –   For sale signs
AIDA


A   Attention

       I   Interest

           D    Desire

                 A    Action
Top Media Sources – Yard signs
Idea
 •     After closing, with the buyer’s permission, place your
       sign on the property. The sign could say:


Acquired through         The Buyer was         ABC Realty           Purchased with
                         represented by        Represented the      the assistance of
     -----------------                         Buyer of this
                           -----------------   Home. Let us             -----------------
                                               represent you,
                                               too.




     Verify with your local ordinance-as most will only allow for one
     “for sale” sign.
Top Media Sources

Direct Response Marketing
• Choose your target market and your
   message
• Make certain you have a good quality
   mailing list
• Implement an activity plan for marketing
   that is
   – consistent and persistent
   – Measurable, easy to track
Top Media Sources

Direct Response Marketing
Your (targeted) marketing piece must:
• include a message that
   – reflects the interests of the group
   – Includes information that gives some benefit
     or solution
• Include a call to action
   – within a specified timeframe or
   – with a limited supply
Marketing Team Activity

 Direct Response Marketing
 • Designed for a target
    market and includes a
    message that reflects the
    interests of the group.
 • With your marketing
   team, design a direct
   response marketing
   piece targeting a specific
   group.
Top Media Sources

Open houses
•   Remember: A successful open house will result in
    a sale to one prospect. All other visitors are
    potential buyer-clients looking for properties.
•   This is a great opportunity to present your buyer
    representation skills to interested buyers.
•   Property Selection
    – Suited to your lawfully targeted market
    – Good access and visibility
    – Curb appeal
Brainstorm Activity

 Open House
 • Make a list of creative,
   innovative things an agent
   can do at an Open House to
   market and differentiate
   themselves…
Top Media Sources

Advertising Media
   home magazines, newspapers,
   announcements, MLS remarks…

• Review creative marketing approaches and
  advertising from other industries
• Use AIDA when creating any advertisement
Marketing Team Activity

 Advertising Media
   home magazines,
   newspapers

 • Marketing solutions
Top Media Sources

Pre-sell yourself
•   Conduct mini-interviews to
    analyze needs and desires
•   Conduct home buyer
    seminars using REBAC’s
    home buyer seminar and
    home buyer kits
•   Create presentations for
    distribution on CD and e-
    mail
Marketing Team Activity

 Pre-sell yourself
 • Buyer Marketing
   Packet
 • Buyer Relocation
   Packet
Activities


• Marketing Tips
  and Ideas
• Innovative
  horizontal
  advertising piece
Horizontal Marketing:

 •   Horizontal marketing is successful when new, unknown
     prospects are attracted and initial contact is made.
 •   Goal: to set an appointment for a counseling session.
Vertical Marketing:

 Vertical marketing is defined as:
    marketing to build on
    relationships that already exist
    (like a family tree).

 •   It is working up and down your
     Sphere of Influence

 •   We build on the foundation of
     relationship, generating and
     increasing referral business.
Vertical Marketing:

 •   Purpose:
 •   Generate repeat business,
 •   Generate referrals,
 •   Keep you “top of mind
 •   Keep clients raving about you,
 •   Nurture relationships for life and
     beyond
Vertical Marketing:

 •   Examples:
 •   Sphere of Influence (SOI),
 •   past clients,
 •   agent to agent referrals,
 •   professional referrals,
 •   company orphans
Vertical Marketing:

 Class Brainstorm
 • List some ways you can contact your SOI.


        Face-to-face
        Telephone
        E-mail
        Snail Mail
Vertical Marketing:

 • Vertical Marketing Tips and
   Ideas

 • Class Brainstorm
   – What are some other examples of
     Vertical Marketing techniques that
     you or others have used?
Agent to Agent Referrals

 • Buyers you may want to refer
   – Interested in area outside your
     geographic market
   – Interested in property type outside
     your area of expertise
      • Example: commercial
        building/residential agent
Business To Business Referral
Sources

Class Brainstorm
• Take advantage of and
  build relationships with
  other professional
  service providers and
  affiliates in your
  community
   – Who?
   – How?
Business To Business Referral
Sources

Class Brainstorm
• Take advantage of and build relationships
  with other professional service providers
  and affiliates in your community
  – Who? attorneys, accountants, lenders,
    financial advisers, insurance agents,
    builders, bankers, apartment managers…
  – How? clubs, community projects, face-to-
    face visits, mail, speaking at events,
    partnering for seminars…
Company Orphans

•   Another form of vertical
    marketing
•   Every real estate company
    has extensive transaction files
    that contain the names of
    former clients. These files can
    be a great source of business.
Immediate Post-Transaction
Marketing
1. Change of address materials
2. Lunch or dinner on moving
   day
3. Gift certificates
4. Moving truck
5. Closing/housewarming gifts
6. Other creative ideas?
Transaction Phase Marketing

•   Transaction Phase Marketing is defined as marketing
    which is designed to generate leads from the licensee’s
    current client(s).
•   Simply put: While the transaction is maturing, the buyer
    (and seller) are more cognizant of real estate in their
    areas.
•   Excitement causes conversations you want to be
    included as a topic of those conversations.
Staying In Touch

 • Goal: To keep the phone ringing.
   – Requires a system
   – Requires consistency
 • Goal: To stay “top of mind”
Staying In Touch

 • Develop A Great Database
   – Use a good contact management
     software product or system
   – Update regularly and back-up data
     often
 • Maintain it to foster referrals
   – Divide data into groups and niches
   – Include personal information in the client
     record for future conversations
   – Track referrals (set up referral trees)
   – Track all efforts – keep records
Marketing Team Activity

 Map out a marketing strategy
 • For a target group assigned to your team.
   Identify methods, media and materials
   you will use to contact your target group
   at least once a month.
Staying In Touch
Do Not Call Registry
 •   It is unlawful to call any residential telephone number
     on the national list with a “telephone solicitation.
 •   Two exceptions that apply to a real estate professionals
     1.   it is okay to call if the caller has received the express written
          permission of the consumer,
     2.   if an “established business relationships” (EBR) exists between the
          parties
 •   $11,000 possible fine per unlawful call
 •   Managed at broker level, not at salesperson level
 •   Businesses must purge numbers on the Registry from
     their call lists every 31 days
Staying In Touch
Do Not Fax
 •   A fax can be sent to anyone with
     whom the sender has an EBR, so
     long as the sender received the fax
     number voluntarily or had received
     the fax number prior to the
     enactment of the Act.
 •   The sender must include an opt-out
     mechanism
Staying In Touch
CAN-SPAM Act of 2003
•   The Act does not ban commercial emails, but rather
    outlines a series of practices that must be followed when
    sending commercial emails.
•   A legitimate return email and physical postal address
•   Clear and conspicuous notice of the recipient's
    opportunity to “opt out,” that is, to decline to receive any
    future messages
•   A mechanism that may be used or an email address
    (active for at least 30 days after message transmission)
    to which a recipient may send a message requesting not
    to receive any future email messages from the sender
•   Clear and conspicuous notice that the message is an
    advertisement or solicitation
Staying In Touch
Rewards Group…A Great Idea
•   VIP Program
•   On-going services and communications continuing
    long-term after the closing.
•   Allows continued EBR
Staying In Touch
Rewards Group…A Great Idea
•   Marketing Team Activity
•   With your marketing team, list things
    that could be promised to past clients in
    a rewards group.
Staying In Touch
Rewards Group…A Great Idea
•   Marketing Team Activity
•   With your marketing team, list things that
    could be promised to past clients in a
    rewards group.
    – Housewarming party
    – Yearly Home Value Report
    – Notary services
    – Yearly client appreciation party
    – Informative seminars on current
      issues and topics
    – Faxing/copying service up to ___
      pages per year
    – Other ideas?
                        MODULE THREE:
                   POSITIONING YOURSELF
Positioning, by Al Ries & Jack Trout,

“ You must “position” your product, service or yourself in
   the mind of the prospect.”

Differentiating your product, service, or yourself from your
    competition is the key!
What Differentiates You?

 •   Begin with identifying the needs of the client

 •   Individual Activity
 •   “If I were buying a home, what would I need and want
     to know? What would concern me? What would I
     want from an agent?”
Differentiate Yourself And Your
Services
 • Individual Activity
 1. On what attributes do you and your company and/or
    your personal practice dominate? Differentiate?
 2. Do your competitors dominate or differentiate on any
    attributes?
 3. On what attributes could you dominate or
    differentiate?
 4. Why should a buyer choose you rather than another
    licensee?
Image Building and Branding

•   Name branding and
    logo recognition are the
    tools of the mighty.
    –   Consistency
    –   Continuity
•   A brand is more than a
    logo. It conveys a
    message.
Image Building and Branding
Image Building and Branding
What‟s in a name?

•   Can you use your name
    uniquely?
•   Can your name be
    associated with a picture,
    song, words, etc?
•   Do you have a memorable
    brand?
Differentiate Yourself And Your
Services

 A Picture Is Worth A Thousand
   Words
 • Class Brainstorm - Ideas
   – How can you use a unique personal photo to
     your marketing advantage? What are some
     unique ways you have used photos or you
     have seen other people incorporate photos in
     their marketing campaigns?
Uniqueness Counts

•   Slogans can be based on:
    –   tempo, rhythm, rhyme
    –   property type (condo, new homes)
    –   consumer type (i.e. relocation, new home buyers)
•   Uniqueness can be based on:
    –   professional designations (ABR)
    –   property type
    –   consumer type
    –   your services
Uniqueness Counts

• Business cards with unique pictures and slogans




                                     Mile 23 of the
                                    Boston Marathon


• Combine business cards with give-aways…
Internet Marketing

 •   What are buyers looking for?
     –   Properties – not real estate agents.
     –   Information – not entertainment or flashy presentations
     –   Free information - includes anonymity
Internet Marketing

  • How can you use the Internet to your
    marketing advantage?
    – Personal website
    – Page on company site
       •   The advantage of a company site – less cost and less
           work in creating
    – Useful, updated information will bring clients to your
      website
    – Your opportunity to make a connection
    – Addresses general consumer needs
    – May also address needs of a specific niche/target
      group on certain pages within website OR may have
      a separate website for the niche market
Marketing Team Activity

 Map out a website
  marketing strategy
 • For a target group
   assigned to your team.
   Identify items and
   information that would
   be included to service
   the needs of the
   consumers in that
   group.
Opportunities For “Differentiation”

 •   REBAC membership benefits include:
     –   Home Buyer Seminar
         •   Template to assist in the development and delivery
             of home Buying Seminars in the local community
     –   Post cards and other marketing tools
         •   Themed postcards in a .pdf format
     –   Press releases
         •   Templates to announce significant milestones I the
             buyer reps career
     –   Home Buyer Kits

     –   Available to REBAC members at www.REBAC.net
Opportunities For “Differentiation”

 •   Tools for Building Loyalty
     –   Buyer journal
 •   Searchable Websites that Search via Neighborhood-specific
     Information
     –   Realtor.com
 •   Services for “New on the Market” Properties
 •   Professional consultations – direct buyers to, or provide free
     consultations with:
     –   Interior decorators
     –   Landscapers
     –   Custom builders
 •   Neighborhood Walk-through
 •   Buyer Consultation & Buyer Packet
     –   Including “Questions To Ask Before Choosing A REALTOR®”
 •   Others?
Opportunities For “Differentiation”

 •   Marketing Team Activity
     –   With your marketing team, list your 5 favorite
         marketing ideas you have seen or heard today. Vote
         on the best, second best, etc.
  Innovative Marketing
       Techniques
           for
  Buyer Representatives



Thank you for your participation