How To Sustain Sales Through Market Volatility
The challenges in the real estate market can make or break property developers today. Faced with an uncertain economic environment, the success of property developers relies even more heavily on the quality of their real estate marketing. However, developers are also faced with challenges that affect their marketing capability directly.
To stay ahead of the competition and thrive through tough market conditions, companies must recognise and tackle the following top challenges.
1. Understand Your Customers
A major issue in marketing of real estate is a scattergun approach. When it is tough to sell, it is tempting to market through multiple channels and to multiple buyer personas. Some initial success may be made, and these sales are accepted as proof that your real estate marketing strategy is working. However, over time the lack of focus causes buyer confusion. Sales slump and revenues follow.
You must understand your customers to sell effectively. This understanding will help you design and develop the properties your customers want, and to deliver a brand identity that can be marketed with consistency across multiple marketing channels.
2. Effective Marketing Management
Managing the above requires a strategic approach with a single, collective focus across all marketing functions. Your real estate marketing manager must drive diverse teams, which may include social media, advertising, virtual assistants, print designers, and more. It is critical that all these functions work toward the same project goals, with a deep understanding of aims and objectives. Your marketing manager must be motivational, while simultaneously keeping creatives on the same page.
3. Stay Ahead of Marketing Techniques
As soon as you have mastered one marketing strategy or technique, new approaches emerge. Especially in the technological and digitally-connected world, property buyers are discovering new ways of discovery. The customer journey is continually evolving. It is no longer linear – as your digital-marketing activities are perfected, they evolve.
Marketing must lead to the most important sales function – closing the deal. It is important that your marketing functions are flexible enough to drive customers to this end point. This means marketing managers must be good delegators, with the ability to spot and employ expertise as required in an evolving market.
4. Use the Best Marketing Tools
Instead of trying to find the next best marketing tool, faster results are usually obtained by understanding what tools exist in your toy box already and how they work. Marketing to existing databases of motivated investors is cheaper than trying to build from scratch. Using the data you already have, organising it better, using business "triggers" / actions taken by your target customers - and getting that into the hands of sales people as quickly as possible is powerful. Ensuring follow up is fast and being done by the right person is much more effective than having loads of fresh, new leads going stale and not being followed up.
5. Tracking Success
It is essential that your marketing team measures success, to understand what works when marketing to your target customers. As the customer journey evolves, the best marketing tools, techniques and strategies are likely to evolve, too. The old adage (slightly tweaked) is true, "If you fail to measure, expect to fail". Measurement should be real time, robust, automated and insights used for your marketing success to be sustainable.
Managing your marketing tactics through real estate market volatility is tough. Good marketers ride this volatility and thrive. They do this by understand the source of volatility, and deciding on the appropriate response. It may be offering incentives to buyers, educating your audience more effectively, or marketing more creatively. Good marketing will keep your target audience interested, even in the most fragile market environment.
It may be offering incentives to buyers, educating your audience more effectively, or marketing more creatively. Good marketing will keep your target audience interested, even in the most fragile market environment.
7. Controlling Advertising Spend
Marketing real estate relies heavily on advertising, and your marketing manager must get the best ROI on your advertising budget. While advertising extends your reach, it is important to advertise to your target audience. If you don’t do this, you will burn through your advertising budget without achieving anticipated sales.
Real estate marketing managers must understand the relevance of each advertising channel, the return their generating and the quality of lead so they can allocate budgets appropriately to optimise marketing activity.
Make the Right Hires
The big differentiator between the sales capabilities and results of developers is the quality of their marketing teams. A good marketing team will sustain momentum through the market cycle, ensuring that you sustain sales and strengthen your market position.
Marketing is often overlooked as a business-critical function. Don’t make this mistake. Hire the very best real estate marketing team you can – dedicated employees with extensive real estate experience. Do this, and you will overcome all of the challenges currently facing you in real estate marketing.
Is your team surpassing your expectations and your business achieving it's objectives in the current market environment? Get in touch with the Core Services, Accountancy and Finance Team at Macdonald & Company today to find the real estate marketing specialist that could transform your fortunes and drive revenues.