John McGrath – Why quality marketing is worth it
The busy Spring season is upon us and there are many homeowners getting ready to sell.
One of the key decisions you’ll need to make in the lead-up to your campaign is how much marketing you need (and can afford).
Marketing is an investment. It directly contributes to the potential profit of your sale.
The aim is to generate as much buyer interest in your home as possible to allow competition to push the price as high as it can possibly go.
In terms of a marketing budget, a good rule of thumb for homes under $2.5 million is about 1% of the value.
My recommendation is to start with professional photography and copywriting, a signboard and internet advertising, then add other elements on top of that.
Whatever you do, don’t skimp on quality.
Your marketing materials are designed not only to inform buyers that your home is for sale but also to prompt them to act. Quality marketing implies a quality property.
Inspection time slots between agencies can collide, which means buyers have to choose between one property or another. So make sure they choose yours by creating an irresistibly great first impression through your marketing.
Properties receive the most attention in the first 14 to 21 days of a campaign. Therefore, if your budget is limited, spend the bulk of your budget in weeks one and two.
Many people will argue that internet advertising on its own is enough. Internet advertising is fantastically effective but it will only reach active buyers.
Active buyers are those who are proactively searching for homes like yours in your suburb.
What about passive buyers?
Passive buyers are those who aren’t actually looking to buy, but they’ll be so attracted to your home that they just have to inspect it, and maybe even buy it.
This happens a lot more often than you think. Remember, Australians are very aspirational when it comes to real estate.
Passive buyers are especially important these days for regional sellers.
COVID inspired many city homeowners to make a seachange or treechange to the coast or country, or buy holiday homes, and this trend continues today.
We also have an aging population looking for a great retirement lifestyle, and they’re open to many different locations.
How do you get your home in front of buyers who are waiting to be inspired?
The first step is the signboard.
In my experience, about 60% of buyers come from the local area – either the same suburb, an adjoining suburb, or within 5km to 10km. Locals will be walking or driving past your home every day and they’re a crucial audience for your marketing campaign.
A very cost-effective extra is DL cards. Your agent can organise a letterbox drop to directly market your home to both passive and active buyers who already love living in the area.
DL cards are especially important if your home is on a highly desirable street. Remember that aspirational element – people often want to upgrade in the area they already live in.
Here are some great extra marketing channels for reaching passive buyers:
Print ads – These reinforce that you’re serious about selling. They’re especially important for regional sellers targeting city buyers.
Social media – We all know how prevalent social media is in people’s lives, and a digital campaign can be targeted to a narrow audience that matches your likely buyer profile.
Good quality marketing can make the difference between a good sale price and a fantastic sale price.
It’s the key to attracting the maximum number of buyers possible to compete for your home, and it’s competition that will drive your sale price up.
When you’re selling your biggest financial asset, it’s worth the marketing investment.