In a perfect world of Real Estate, $500 would go a long way towards generating a healthy supply of clients. In the real world, ActiveRain surveyed more than 2,000 real estate agents to see how their marketing and software budgets compared. Check the results in this enlightening Infographic, The Price is Right.
Cars are the largest expense of the budget, whether the agent is struggling, average, proficient, or a top producer and account for more than 39% of the annual budget. Marketing and technology pale in comparison. The average agent spends about $53 per month on technology software and about $89 per month on marketing. This is a drop in the bucket and perhaps we should revisit where our dollars are spent.
Currently, my largest single monthly expense includes the desk and office fees at ReMax of $600. Another $200 is for National and local advertising which is directed by corporate headquarters. Locally, I advertise with print and magazine(Visitor Guide) media for approximately $30 per month.
The direct Marketing includes 2 websites, IDX(Diverse Solutions) included with the Zillow website plus Superlative hosted site, and several domain names not currently in use. My Rainmaker account with ActiveRain runs $49 per month. Realtor.com and the enhanced site are part of the ReMax office fee.
Fixed costs of doing busines include association fees, MLS fees, and annual dues at $100.00.Variable fees are for education and marketing assistance anywhere from $25.00 to $39.00.
Technology expense for metro fax runs $14.95 a month. Not included are the costs for my laptop, Ipad, Iphone, printers, ink, paper, cameras, and stamps. Car expenses are minimal(thanks to my husband being in the car business). Monthly break down is as follows:
Office and Desk Fees...............................$ 600.00
National and Local Advertising.......... ........$ 200.00
Fountain Hills Times and Visitor Guide.........$ 30.00
Website hosting and IDX............................$ 49.00
Go Daddy Domain Names...........................$ 20.00
ActiveRain Rainmaker Account.....................$ 49.00
Education and Coaching...............................$ 39.00
Marketing Assistant................................... $ 25.00
Realtor Dues Association & MLS...................$100.00
Metrofax...................................................$ 14.95
What the numbers mean: Weak Marketing and Lead Capture Budget. The preponderance of the budget is for fees, desk, and hardware with little remaining for marketing and leads. This is a huge wake up call for me.
THE DREAM BUDGET: Revamp the Marketing with an SEO coach. Develop a new marketing plan, increase the budget by reducing the desk and/or office fees. It is nice to be #1 but at what price? My budget would include the Market Leader and Insider program at $99 per month. IDX feed with a word press website by developer $129 per month. Contact management with Happy Grasshopper approximately $29 per month and Brand Marketing with Home by Design Magazine $39 per month.
Educational enhancements include completion of CRS and IMSD designations. Cost approximately $60 per month. This leaves $150 remaining for the must haves such as my ActiveRain Rainmaker and outside blog, Metro Fax, and Visitor Guide. My passion is cycling and support of the local racing team would be the icing on the cake.
"This post is an entry for the $500 Real Estate Marketing and Tech Challenge. Learn more about this ActiveRain contest at www.activerain.com/marketing-challenge."
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