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Archive | John’s thoughts

The Difference Between FB Ads That Pop & Ads That Flop!

 

You can have all the knowledge of how Facebook Ads work and still find your ad campaigns struggling more than a toddler trying to bust out of a 5 point harness.

You can combine amazing imagery and video, with a sound marketing plan, a healthy budget and a well thought you target audience and when you launch the ad…….*crickets chirping*

So what is it that makes an ad really kick goals?

It’s your customer.

Well, your soon to be customer, when you get the ad campaign popping and locking!

Your customer is the single vital component of any marketing and of any business. You ignore them at your own peril and often to your own demise.

But that’s exactly what is happening in most real estate offices in the country on a daily basis.

Most real estate agents will create an ad that is all about the property or worse still, all about them – often shouting the features of the property or why they, the agent, is so great at selling houses – but all of this completely ignores the customer!

“But the features, they’re for the customer….” you say…..well yes and no. The features are what may in future be USED by the customer to achieve a BENEFIT. The customer isn’t attached or emotionally invested in the feature itself. They’re invested in the benefit they receive by using the feature…..

Yes, it comes down to features vs benefits. This is nothing new and no doubt you’re sick of hearing about it – but bare with me as I’m going to show you the process I go through in order write ad copy that connects with my future customer.

To truly understand the benefits of something, you need to put yourself in the shoes of the person most likely to be using it.

Think about who they are? How old are they? What are their concerns and worries? What are their joys and triumphs?

These are all vital questions to ask, as is “Why would they buy this” and “What benefit do they receive by buying this.”

By understanding who they are and what their life looks like, you begin to get an understanding of their motivations and what drives them. From there, it’s simply a matter of putting this into engaging ad creative.

Engaging ad creative…..that can be a mission in itself!

Often I see agents pumping out very “dry” ads – the text is boring (sorry guys, but it’s true), the headlines are rudimentary and the only saving grace is an awesome image.

When writing ad copy for Facebook, it’s important to remember the medium you’re working in – it’s a social platform, so your ad copy should be social, your content should be social.

What this means is that we should lean more and more towards a conversational tone as opposed to a traditional marketing or advertising tone.

“This house has 4 bedrooms, 2 bathrooms that have been renovated and look fantastic” becomes something more like “I’d love to show you this beautiful 4 bedroom home that has plenty of room for all the kids and space to spare so you can escape them when you need to 😉” (escaping the kids….that’s a benefit!)

Yes, complete with a smiling winky face – why? Because this is social, it’s a less formal, more conversational environment, but it’s also still largely text based and the emoticon was created in order to give tone and context to text based communication.

(Seriously, people couldn’t tell when others were being sarcastic on message boards, so a professor came up with 🙂 as the marker for “Hey I’m cracking wise here”).

If you can write ads in the conversational, social language of your customer, you’re going to be breaking through the advertising noise that drenches them day in day out. They’re going to be far more receptive to what you have to say and less likely to have their automatic ad filtering going at full blast.

It all translates to more eyeballs spending more time on your ads and that translates into more people buyers and sellers on your books.

 

$125,400 in commission and 2 rental properties burned!

Agents are burning cash by not valuing their leads!

“….the leads were poor quality.”

A former client posted this on an ad I was running on Facebook for my current webinar training series and it hit me right in the feels – I HATE not getting great results for my clients.

I’m also the first to preach “don’t listen to the trolls and the haters” – hell I even tell you to run your Facebook page like a totalitarian regime and control the flow of information – but it doesn’t mean that you don’t feel like you’ve been kicked in the ol’ jatz crackers every time someone takes a shot.

So what was this guy a troll or did he have a genuine complaint?

I’ve stewed on this for a fortnight and finally, I cracked it – there was only one way to know for sure and that was to go back and cross reference every lead produced with every property sold in his postcodes.

Now a bit of back story – this agent (who I won’t name and shame, as this isn’t really about them), was with Check My House Price (my lead generation company) for about a month in 2016, they spent $398 on two postcodes before cancelling stating the leads were poor quality.

In that time we generated 27 leads for them – not a bad effort in a tough market.

So was his complain a genuine one, or like so many agents, had he simply not placed the correct value on the leads?

Here’s what my research found

Of the 27 leads we generated in that month, 4 have now sold for a cumulative total of $4,770,000 – that’s $95,400 in comm at 2%.

Another is currently on the market at $1,500,000 (another $30,000 comm at 2%) and two others have now been rented out.

None of which were sold or rented by the agent who was with us at the time and who was given, through CMHP, first bite of the cherry LONG before any other agent knew these properties even existed.

Now this may seem like a big whinge, but it’s definitely not intended to be that way – the intent here is to illustrate the short term thinking that is prevalent in our industry as a whole and the value of a lead.

On average (nationwide), about 1 in 3 leads generated through Facebook and Check My House Price, sell within 12 months of making an inquiry. Most agents drop off the contact trail after 3 contacts or a couple of months…….

Most of the remaining leads sell within the 12 months to 7 year window.

This is why having follow up systems and valuing every lead, every contact is so vital. Ask yourself, would you spend $1 today knowing it could make you $315 in the next 12 months? Of course you would – yet so many agents will generate a lead, then give up on it when it doesn’t immediately produce a listing.

But lets put this in perspective of this story, would you spend $398 today if you knew it would generate you $125,400 over the next 18 months? Again the answer would be a resounding and ecstatic “YES!”

$125,400 in commission is nothing to sneeze at – in fact if we’re to believe the surveys that go around from time to time, it’s nearly 3 times the average annual wage of a real estate agent.

So why then, do agents throw away leads if they don’t list and sell with relative immediacy?

It’s not a question I can answer for you, but I can tell you stories like the one above aren’t uncommon.

This agent spent $398 and was given the opportunity at $125,400 in commission before any other agent even knew these people were considering selling – but they walked away stating that the leads were “poor quality.”

Within 12 months, 3 other agents had shared in over $90,000 of that commission, while 6 months later a fourth was sitting pretty with a listing due to bring them $30,000.

What that means is that each of the 27 leads generated in that month were worth $4,644.44 over the next 18 months. So every one of those leads coming into your office, what does that make them worth?

So what does all this have to do with Facebook, aside from the fact the leads were generated on Facebook?

There is no better way to stay top of mind, to provide consistent touch points and provide maximum value to your future sellers than Facebook.

If you’d like to learn how to maximize your reach, your return on investment and actually get Facebook working for you in your real estate career, join me on my latest webinar by registering at www.fbmacademy.com.au/webinar