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Are you thinking of cutting expenses????

By
Real Estate Agent with Comey & Shepherd Realtors

Whenever there is a down market the first knee jerk reaction for business owners is to cut spending but cutting marketing & advertising budgets may be the worst thing you can do. It has been shown in research time and time again that companies that maintain and/or increase their marketing efforts during a recession not only gain market share during the recession but significantly increase sales and profits for the years following.

Shannon Kavanaugh  offers a great overview of some of the recession data as it relates to marketing.

So, where do you want to be in 2010 or 2011? Scrambling to get back in the game or a shining star on top? It is currently a reality that top agents and taking more of the market share and average agents are falling to the wayside....don't let yourself fall to the wayside.

As small business owners we need to not only think of our business with regards to today but remember to realize the impact of our decisions on tomorrow. Don't get caught up in the hype of the slow market by cutting back on expenses and on the actions that got you where you were in the first place. It is time to step up when others are stepping back and seize the marketing & business opportunities that are out there.

 

Cheers!

Julz Brown

Cincinnati Real Estate

http://www.SellingCincinnatiHomes.com/

Comments (7)

Herb Hamilton
RE/MAX Preferred Inc. Realtors - Portland, OR
Real Estate Broker ,CDPE, Downtown Portland

Technology has really helped me cut costs and expenses. In years past I consistantly put on 45,000 miles a year on my car. When you start to factor in all of the expenses for Gas, Maintenance and replacement it is a significant amount of money.

I know longer am forced to get up early in the morning. Run the Hot sheet. Drive by all of the possibles.

Along with free Internet advertising it honestly sometimes becomes a struggle to look for deductions.

Jan 23, 2009 01:20 AM
Vickie McCartney
Maverick Realty - Owensboro, KY
Broker, Real Estate Agent Owensboro KY

Hi Julz~ (neat name by the way) I am with you on resisting the temptation to cut back on expenses.  I guess the key is to cut back on the expenses that aren't working any longer.    

Jan 23, 2009 01:24 AM
Rosalinda Morgan
Brookville, NY
"The Rose Lady"

Jutz - I was an accountant before I changed into real estate and last year when the market started to slow down I cut my magazine ads because it was not bringing the ROI I was expecting.  This year I cut my church bulletin ad because over the course of 5 years, I only got 1 rental referral from it and it did not even work out.  I'm investing more of my marketing dollars to online advertising where I get most of my leads.

Jan 23, 2009 01:25 AM
Heather the Realtor Orlando, Lake Mary
LemonTree Realty - Orlando, FL
First Time Home Buyers, Bank Owned Homes

You are 100% correct probably a majority of the people do just that cut marketing dollars but in a down market you need to spend and spend wisely.

Jan 23, 2009 01:32 AM
Lise Howe
Keller Williams Capital Properties - Washington, DC
Assoc. Broker in DC, MD, VA and attorney in DC

I am reading Shift by Gary Keller and he makes the same point - cut out the stupid stuff that we threw money away on when we were all flush with cash. Why were we doing it anyway when it didn't make money? Probably should reanalyze our spending every six months or even more frequently.

Jan 23, 2009 01:35 AM
Goodbye Active Rain
Out of Real Estate

If you can't increase your advertising in a down market, you need to at least sustain what you are doing.

Jan 23, 2009 01:40 AM
Jessica Wallace
Coldwell Banker - Santa Cruz - Santa Cruz, CA
Santa Cruz Realtor (831) 419-9345

Most Realtors I know are cutting down drastically on expenses and frivolous marketing.  I have heard many times that in a down market it is very important to keep your advertising going and your presence out there.  I am focusing more now on the free and low cost internet advertising.

Jan 23, 2009 02:25 PM