Social Media Doesn’t Sell Homes. . .
During the Atlanta Housing Summit, John Hunt of ViaSearch pointed out that home buyers don’t use social media sites to look for Atlanta real estate or new homes. Going to Twitter to buy your next new home? Doubt it!
Don’t get sidetracked by the BLING BLING of social networking, the power of social media marketing is its ability to increase traffic to your main Web site. If you don’t have a strategic social media marketing plan to increase traffic to your main Web site, you might be missing 50% of your referral traffic, as well as a large percentage of traffic from the search engines. AND your competitors, who do have an effective social media strategy are happily capturing your traffic and your potential buyers.
Can you really afford to ignore Internet traffic? Don’t 85% of home buyers shop online first and humm, don’t most of those searches start on Google with organic search? Providing ways for buyers to find your site is key. Do you want them to have one way to find your Web site online or many?
John also suggested that you track your return on investment for where you spend your marketing dollars. It used to be said that 50% of your marketing dollars were wasted, you just didn’t know which 50%. No more guessing. Thanks to analytics and tracking reports, you can tell where your best quality traffic comes from and where you should be spending your money.
Don’t get distracted by the Bling, Bling and don’t take my word for it. Review your Web site tracking report. Make sure you ask the right questions and consult with experts who understand the Internet. When you are ready to talk, we are here, contact mRELEVANCE where Jill Wise is standing by to take your call 770-383-3360 x22. And you don’t even have to listen to 30 minutes of paid advertising (shhh sponsorships) to read this post.
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Jeff Turner | Dec 8, 2009 | Reply
Carol, hmm. It’s hard to disagree.
If the presentation was directed specifically at a few third party sites that lead people from social media away from the user’s main web presence. There are a few “listing” sites like that. And I think this is accurate, contingent on an engaged following, “the power of social media marketing is its ability to increase traffic to your main Web site.” That said, I’ve never heard any credible person say otherwise. Is there someone out there saying social media sells houses?
Scott Stratten | Dec 8, 2009 | Reply
Real Estate Agents above anyone else should understand that people do business with people they know/trust/like.
Social media on many levels is a scalable tool to do that with.
Wish I was in the audience or on a panel when it was said.
Mitch Levinson | Dec 8, 2009 | Reply
This is so true, so many companies are caught up in the bling that they forget marketing is supposed to drive traffic — traffic that can be PROVEN through analytic measurement … traffic that can be converted into sales. Even better if the company has a way to track that traffic all the way through the sale.
Analytic reporting contains the proof whether it works or it doesn’t. Look at the numbers every month to see how much traffic, how deep into your site they go and how long they stay, and even look at what is the most popular content on your site to confirm you are delivering the best message for your audience.
Marketing has not changed, the way we market, network and interact has. People are more savvy and do not want to be sold, they want to interact and form a relationship.
Carol M. Flammer | Dec 8, 2009 | Reply
Jeff, Scott & Mitch – Great comments. It seems that we all agree that effective social media marketing increases web site traffic, builds credibility and trust, creates conversations (like this one) and influences brand.
Mitch posted a great blog yesterday on Social Media snake oil on the http://www.mRELEVANCE.com site – check it out too.
James Ball | Dec 8, 2009 | Reply
I’ve not had the opportunity to come alongside any real estate agents, but I can’t wait! I’ve always felt that if I were to be in the market for a house, I would likely approach the neatest agent I knew from the social arena. I think there are so many ways that agents could thrive in a space where creativity and personality matter. Nobody is going to create an impulse in me to buy a house, but if I’ve had some social interaction with a real estate agent over time, it’s likely that I’ve checked into their site and what they do. When my urge does arise, I’ll seek out that person that I like, as Scott pointed out.
On traffic, I can only offer the fact that my main SM (social media) identity drives a very steady third of all traffic to my directory site. I’m a user, a fan, and a believer.
Nicole Nicolay | Dec 8, 2009 | Reply
Social media can’t sell houses, agents sell houses….but they need clients to do so. And social media, as said previously in the comments above, can drive traffic to your blog providing you with increased exposure for your business expertise and listings.
That being said, social media is not one thing or person…or even one strategy. Agents shouldn’t expect to gain more business just by creating a fan page or Twitter profile. As with any good marketing plan, goals come before strategies and implementation. Understand your niche and expertise, then decide where to focus your efforts. But don’t write off social media if you’ve implemented specific tools/behaviors without measuring the results.
If you don’t have a clear understanding of your overall marketing plan (all the moving parts that work together to bring you more business opportunities & showcase your street cred & value), I doubt “social media” or “traditional marketing” will be writing your next contract!
Bill Lublin | Dec 9, 2009 | Reply
Any concept has its supporters and opponents, and social media is no different. Social media does not sell houses, nor do web sites, nor dies advertising. All of them are merely places for real estate professionals to meet consumers. All of them have a place in the agent’s “toolbox” and each agent will find the mixture that works with their skill set, personality, and proclivities – or they will fail to create a sustainable flow of new consumers to buy their services.
Social media has gotten a lot of attention because it is low cost, high impact, and generally fosters skills that are useful to the practitioner when they deal with people on a face to face basis. The concepts of creating relationships, listening to the concerns of the community you serve and being a valued member of the community have benefits way beyond the confines of internet.
In the final analysis though, if the agent lacks the personal skills to guide their clients through the process, act as an advocate and facilitate the transaction, it won’t matter how they met the consumer, it will only matter that they failed to meet the consumer’s needs.
Dana Jumper | Dec 9, 2009 | Reply
Neither your website nor SM sell houses. Relationships and a hard won reputation for service sell houses. Before the advent of the electronic medium, successful sales people used 3 x 5 cards and a tickler file as a way to keep up with their people. That system is successful, it has just morphed into some pretty jazzy electronic tools. If an agent (or brokerage) is relying on search engine traffic or Twitter numbers to build their business, they’ll not do very well. People (buyers and sellers) have relationships with agents or have friends that do, and what SM allows is a way to keep your face in front of them–to be part of their network. It is a better business maintainer than a business builder. It is a very cost saving way to have more interaction with your clients, and makes that experience so much more emotional than print, radio or tv.
Mack Perry | Dec 9, 2009 | Reply
Carol, I remember having lunch one Friday about two years ago when we discussed the virtues of social media. You certainly have taken the ball and run with it.
Social media will never sell a home, however it may very well provide the avenue for the buyer to contact an agent purely because they can relate to what they read.
Kelly Kenton Fink | Dec 9, 2009 | Reply
As a Marketing Director for a homebuilder, leaping into the social media arena in early 2009 was an exciting (but I admit scary) new chapter in our marketing program. I realized it was time to make that next step but wasn’t 100% sure what would ultimately happen. I know now what a huge mistake it would have been to ignore social media! In less than 30 days our page 1 SERP results already consisted of our blog at #5. Since that time, our SERP results typically consist of up 5-6 social media sites on page 1 which in my mind is a huge success. And during our recent Penny Power Promotion (powered by our social media campaign) our page 1 SERP results consisted of our two blogs, Facebook, Youtube, Twitter, LinkedIn….. (well you get the picture). And did I mention our blog is consistently one of our top referring sites to our corporate site? Need I say more??
Toby Bloomberg | Dec 9, 2009 | Reply
Carol – Real estate is a relationship driven business. I bought my home through a trusted friend who was a real estate agent. Most of my friends bought their homes using agents who they felt were honest and understood their needs. Driving around for hours looking at properties with someone you don’t like can be a painful experience.
As @dana implied a critical component of an agent/real estate blog is to maintain those relationships. Think of the percentage of sales coming from referrals or word of mouth. Sure search can bring traffic to your site but online dynamics are just beginning (which is a comment for another post!). I would encourage any real estate agent to look at blogs/social media from a more holistic, integrated initiative.
Meredith Oliver | Dec 10, 2009 | Reply
Another important benefit of social media is the impact it can have on your search engine optimization efforts! Let’s not forget Google owns YouTube. Relevant, clever and interesting YouTube videos rank extremely well in Google search. That can be a direct pipeline of traffic to your main brand website. Also, don’t forget that Facebook, LinkedIn and Twitter are all now indexed by Google. A potential customer may not be able to find your corporate site but they may you in a social site and make contact that way.
Why would any savvy marketer deny themselves the ability to have multiple pipelines of traffic? That’s crazy.
Social media sites are GREAT for SEO and that alone should be enough reason to participate in them. Unless of course your goal is to never be found in Google…
steve palm | Dec 11, 2009 | Reply
Well, I think you have a new marketing tool, as this post has had more comments than any in long time and by a wide margin? The next summit we should have a panel to discuss social media. John Hunt versus Carrol Flammer! However, guess who is the gate keeper of the market shares of those builders that use social media the most . . .it is VERY interesting. Remember, its market shares, not web hits. You would be shocked at how many hits are irrelevant. However, since I am a web based service, all instruments, even social, should be evaluated and accounted for. Hey, I posted from your Facebook feed to me!!
Carol M. Flammer | Dec 11, 2009 | Reply
Steve,
Thanks for joining in the conversation! Measurement is critical, builders shouldn’t pay for or waste time on marketing that doesn’t work. And you are absolutely right web HITS aren’t as important as unique site VISITS. Internet browsers (home shoppers) coming to builder Web sites from effective blogs spend on average 4 to 6 minutes on the Builder’s Web site. That traffic is as good, usually better than any we see on tracking and analytic reports from the listing services. Next time you meet with a builder that has a blog, why don’t you ask to see their tracking report? Go ahead, make sure is it a blog we built, lots aren’t built right to begin with and couldn’t attract a buyer much less Google.
Yes, this has been a popular post. As you can see it has attracted experts from around the country. Real estate topics aren’t usually this exciting, thanks for the inspiration.
Now, go get a Gravatar so everyone can see that you are the REAL Steve Palm and not some cyber bot spamming as MR. Smart Numbers.
John Hunt | Dec 11, 2009 | Reply
Carol, you completely missed the point of my one and only “social media” slide (out of about 100 total). But, that should not surprise me when you did not even get the point of my partner Steve Palm’s post above. First, he MAY have been a little tongue and cheek on the popularity of this post, as we have received hundreds of emails commenting on our Atlanta Housing Summit – all overwhelmingly positive.
Also, you completely missed his point on “market share” versus “web hits”. Market Share in our world refers to REAL SALES, not “unique site visits”. And, as we have the actual market share (sales) of all builders in Georgia, we can confirm that builders who have taken a promotional stance that is social media heavy have lost massive market share (sales) to those using a more balanced approach. That was my point, and I think it is valid.
Carol M. Flammer | Dec 11, 2009 | Reply
John:
I don’t know of any builders in Georgia who have deserted all forms of marketing and are only using social media, nor would I recommend only using one form of marketing.
What you said was that builders ONLY need to be two places and named REALTOR.com and Atlanta New Homes Directory. Both of these sites offer ways for home builders to reach target audiences, they are components of a marketing program, but not a total approach. Shouldn’t builders incorporate other tools as well? What about billboards, signage, print, radio, SEO, Realtor programs?
And you apparently missed the point of my post and the comments above. The point of social media is to increase traffic and provide optimization to the builder’s main Web site. Like any form of marketing, this is marketing. . . not sales. Besides, isn’t marketing (promotion) ONLY one of the 4 Ps? I think a few other factors influence sales. Price and place seem to be the biggest factors influencing sales in this market, promotion can drive qualified traffic (people), but if the other Ps are not a perceived value then a sale is unlikely.
Thanks for venturing onto a social media site to participate in the conversation. I know that was hard for you. And I appreciate a good debate!
steve palm | Dec 12, 2009 | Reply
hmmmmm . . . . is this the 4th of July holiday season? Too many fireworks, we need to set up a season greetings happy hour!
Neil | Jan 6, 2010 | Reply
Come on. You are living in the dark ages and do not get it.
Social media allows us to build a connection with clients.
A client will never buy a home off your twitter profile, etc because you are doing it wrong
If you connect, build a relationship and care, of course people will use to buy a home
Hate it or love it, social media is here to stay.