We were inspired to write this post after we came across a survey from Inman. When asked how many of their online leads convert into deals, almost half of the agents who participated in the survey saw a conversion rate of only 2%! In an interview with fitsmallbusiness.com, Realtor Darren James attributed 10% of his annual sales volume directly to Zillow spend.
How to Tackle Online Leads for Better Conversion and ROI:
Online lead generation sounds great on paper and the results are incredible with the right plan in place. We’ll show you how to attack the tops and sides of your funnel to get the most out of your online lead spend.
A common concern we here is how Zillow leads are shared with other agents. The beauty of using Zillow is you pay the same rate whether 5 people or 500 people click on your ad, but the difficulty arises when a lead clicks on other agent ads, too.
There’s a ton of online lead generation opportunities out there, but one website is still king. Buyers and sellers love Zillow and it’s become the defacto ‘MLS’ for the public. Zillow is unavoidable for a good reason: There were 140 million users searching on Zillow each month in 2016!
#1 Discover Unique Leads Before the Competition
By the time a lead begins their home buying or selling process, they are already actively looking on Zillow. Most Zillow buyer leads contact at least two premier agents and at least three agents when selling. More than likely, the Zillow leads you’ve received are already deep inside someone’s funnel, or it’s a goose chase by agents on who can contact the lead first.
So how do I get a competitive edge, you may say?
Services like Chime provides top of the funnel leads, targeting buyers and sellers earlier. Nine out of 10 buyers use an online resource at some point in their search for a home to buy. Leveraging the power of social intelligence, you’ll capture leads before their first interaction on Zillow and well before other agents begin to compete for their business. These pre-profiled leads are 100% unique and discovered using predictive analytics. We’ll capture leads out on the web and drive them to your IDX or even directly into your CRM automatically. Chime’s online lead spend captures those leads before they hit Zillow.
#2 You’re Competing Against Other Agents for Impressions- Find Services Where the Lead Belongs to You
Premier Agent spend is increasing at an alarming rate to match the increase in Zillow’s user base growth. In 2016, revenue generated by Zillow’s Premier Agent feature hit $600 million. That’s an insane 35% increase on Premier Agent in just one year to buy more impressions! Not only are you paying for an impression-based model, those impressions compete with the 84,000 other Premier agents other agents dumping cash for the same leads. Unfortunately, none of those leads are unique to you.
This is underlining cause of poor lead conversion when competing for Zillow leads. Though it may seem like competing real estate teams have the luxury of hiring a dedicated ISA, truth is, agents who convert the most Zillow leads use the best technology. When an agent responds to a lead within five minutes, the chances of conversion increase by 100%! How does your lead capture/conversion strategy or tools help you close this critical window? Without the right tech to automate the frontline work, you’re bleeding potential leads.
Top of the funnel leads are profiled, time-targeted, cross-checked between search engines and social media. Getting leads right before they’re already in the weeds is the best chance to set an impression. According to NAR Research, 70% of people use the first agent they correspond with. With top-of-the-funnel lead generation, you’re more than likely to be the first interaction a buyer/seller may have with an Agent. Although their conversion times may be slightly longer by a few months, the use of automated tools can help you nurture these seedling leads, and your conversion percentages are much higher! In addition, matching social and search data is a powerful combination built to give you the best opportunity to convert leads captured in Chime. This level of insight translates into smarter strategies and stronger actionable plans by knowing what stage in the buying phase a lead is in and where the next conversation should go. Chime’s online leads are unique to you and no other agent.
Automate The Mundane Tasks, and Focus Yourself
Get the most out of your online leads by automating your workflow to maximize your potential.
Did you know? 79% of marketing leads never convert into sales. Lack of lead nurturing is the common cause of poor performance. By leveraging technology, you can nurture leads through your funnel from any source automatically. Features like auto text-messaging, drip emails, customized welcome-text/email messages when they reach out substantially increases your success to closing. By having a system keep your leads warm with useful information like property alerts and your drip campaigns, you become center of mind for the lead, and they’ll come to you as their go-to expert in real estate.
In an online performance survey conducted by REAL Trends, agents believed a CRM made them at least 50% more productive than agents who do not use a CRM. Products like Chime can also parse leads based on your custom routing rules, assign leads automatically, and inform the appropriate team member. Find a productivity suite is designed to work for you, automatically, like a modern CRM should do.
With an IDX website tied directly into your CRM, you can gain deeper insight into the lead’s wants and needs before the first touch phase. When a lead interacts with your IDX website, you’ll be able to view their browsing habits, search criteria, and even saved properties. Auto-imported leads from your various lead sources are further enriched with additional data, and if the lead registered for an account on your IDX website, recent property viewing history is synced to your CRM and accessible from your desktop or mobile phone.
Before I let you go, you, the ActiveRain Community, have been welcoming us with open arms. We wanted to create a special gift for you: A free infographic!
But before you go, make sure to grab your free copy of our ebook on how to build and run your own real estate team from the ground up!