The real estate market is highly saturated and competitive. This sector highlights the "go hard or go home" tagline. According to a report, 87% of all real estate agents fail within the first five years of their careers. One of the many reasons for this failure is ineffective real estate marketing.
In recent years, online research has become the bane of the consumer journey. Before home buyers contact a real estate agent to facilitate a transaction, they take the Do It Yourself (DIY) route to find properties, compare their values, and assess preferred structures via video tours.
As a real estate agent, employing outdated marketing techniques like cold calling or newspaper adverts will rarely capture the interests of potential clients within your local market. To excel, joining the digital marketing bandwagon to showcase your brand online and generate more leads is essential!
But there's a question — what real estate marketing trend can I hop on in 2023? Well, don't fret. This article highlights the notable real estate marketing metrics bound to take center stage in 2023. With an understanding of these stats, curating a real estate marketing strategy yielding positives is possible. Let's dive in!
Top Real Estate Marketing Statistics to Watch Out for in 2023
If you'd like to grow your business and attract more leads as a real estate agent, getting a hold of marketing data is crucial. Using this knowledge, you can create a rock-solid real estate marketing strategy and uncover marketing channels to positively engage your target audience.
The following are real estate marketing metrics you should know in 2023 as a realtor seeking to thrive in a competitive landscape:
1. 41% of Home Buyers Search for Properties on the Internet
Back in the day, people used newspaper listings and "For Sale" signs to uncover homes available for purchase. But guess what? The times are changing — and drastically too!
Before a home buyer engages your service as a real estate agent, they've probably consulted property listing websites like Zillow and Realtor.com to find structures that tickle their interests.
According to a 2022 report from the National Association of Realtors (NAR), 41% of home buyers engaged the internet to search for properties.
This statistic shows why real estate agents seeking reverence within their target area must embrace digital marketing with open arms. In 2023, these numbers are bound to be higher. Thus, establishing a digital presence will give your real estate business the critical facelift it needs.
2. 53% of Sellers Hired the Same Realtor That Helped Them Buy Their Home to Aid Them in Selling It
People patronizing the same agent for home buying and selling endeavors isn't new. Most individuals use the same agent regularly because they're sure the realtor will go the extra mile to ensure their precise needs are adequately sorted. Additionally, the realtor may reduce their commission percentage or increase their market efforts for no costs due to repeat patronage.
This trend has become popular in recent times. According to a NAR report, 53% of sellers engaged the same agent they used to purchase their home. However, it's pertinent to note that as sellers grew older (57 to 96), the prospect of them patronizing the same agent waned.
As a real estate agent, this statistic should spur you to maintain relationships with past clients. You can do this via email; just a few sentences highlighting your appreciation for a one-time transaction incentivizes them to patronize your business again.
If you'd like to do this but are finding it daunting to start, create an email marketing campaign and add former clients to your listing. Using tools like MailChimp, you can send automated messages at specific periods in a month. As such, your services remain evergreen in their minds, prompting repeat patronage and positive Word of Mouth (WOM).
3. Marketing Automation Software Prompts a 451% Increase in Qualified Leads
Being a real estate agent can be challenging. From dealing with clients, hosting open houses, crafting email responses, and filing paperwork, realtors tend to overwork themselves — invariably setting the stage for work burnout.
To streamline operations and avoid getting overwhelmed, many real estate agents are turning to software-based automation to execute these critical tasks in record time:
- Lead generation
- Prospect segmentation
- Email marketing
- Social media content management
- Landing page creation and testing
According to Annuitas Group, marketing automation for lead nurturing facilitates a 451% increase in qualified leads.
When you automate time-consuming and repetitive real estate marketing activities like lead generation and nurturing, you'll have time to focus on business aspects demanding 100% attention and presence (i.e., open houses and client meetings). As such, you can conclude real estate transactions without hassles and generate more leads critical to your business's standing.
4. Over 4.89 Billion Social Media Users Worldwide in 2023
Social media has become an integral part of the real estate market. Real estate agents can use related mediums to spearhead marketing efforts, improving their reach and attracting potential buyers and sellers.Since social media came to the fore, its year-by-year usage has been on an upward trajectory. In 2018, 3.1 billion active social media users existed. However, five years later (2023), there'll be over 4.89 billion active social media users. By 2027, this value will exceed the 5.8 billion mark!
According to a NAR survey, the top three social media networks used by real estate businesses include Facebook (89%), Instagram (59%), and LinkedIn (53%). Quickly, let's see how these platforms can positively impact realtors:
Facebook is the #1 social media platform for real estate professionals. This social media channel is vital for real estate agents to extend their reach seamlessly.
Using the unique Top Provider Initiative, agents can connect with leading real estate providers to design marketing campaigns to attract more leads. The Facebook Live tool is also helpful, allowing you to interact with your target audience via virtual tours and Q&A Sessions.
Instagram is all about visuals. Over the years, this social media network has become the hub for profitable realtor marketing. You can attract leads to your real estate listings using hashtags and Carousel Ads. With Stories, realtors can share personalized daily property updates, keeping their audience in sync with the real estate process.
LinkedIn doesn't come off as a social media alternative for realtors seeking clients, as it adopts a B2B stance. But this structure doesn't see it rank low among real estate marketers.
LinkedIn provides the perfect virtual ambiance for connecting with other realtors and showcasing your wealth of experience in the dynamic real estate industry.This social media network is the digital résumé for individual real estate agents. Since you won't spend much time using LinkedIn compared to the aforementioned platforms, creating an optimized profile will set you apart from other realtors.
5. $42 ROI on Every $1 Spent on Email Marketing
Email is one of the best marketing tools for real estate agents. With email marketing, realtors can send personalized emails to clients on their contact lists, informing them of their latest private and commercial real estate listings alongside other value-added services.
When done right, email marketing can produce stellar results. For context, this marketing medium delivers $42 back for every $1 spent — a massive 4,200% return on investment (ROI).
Besides the excellent ROI values embedded in email marketing, it's great for improved lead generation. Since this online marketing medium can be tracked and analyzed, realtors can tweak their email marketing campaigns to complement their goals.
6. Real Estate Listings With Video Captures 403% More Interest Than Variations Without Video
Video marketing has become an excellent strategy for effective real estate broker marketing.
According to the state of video marketing survey (2022 edition), the average individual watches 19 hours of videos weekly. In 2018, this number was pegged at 10.5%. It's glaring that video is being consumed now more than ever before!
A 2022 Wyzeowl report highlighted that 73% of homeowners listed their homes with realtors who offered a listing video service. In 2023, another study shows that listings with video enjoy 403% more engagements than variations without video content.
The world we live in today is one where optics reign supreme. People tend to relate more to videos because they can tell stories that stir emotions. As a realtor, making video an integral part of your real estate marketing efforts is advised as it creates a rock-solid connection between you and your target audience.
If you own a real estate website, video content can direct more traffic to your site via search engine optimization (SEO). This redirection means more leads and increased views on your property listings.
7. 90% of Marketers Across 35 Countries Utilize Artificial Intelligence (AI) to Automate Customer Interactions
Artificial intelligence (AI) has become increasingly popular in the marketing sector. Related tools have revamped how businesses monitor and analyze their marketing techniques, helping them make informed decisions critical for effective marketing campaigns.
One of the many aspects AI comes in handy for marketing is customer relations. According to a global survey by Statista, 90% of professional marketers across 35 countries use artificial intelligence to automate customer interactions.
Today, the perception of AI in customer service has drastically improved as patrons gradually accept this new form of virtual support. Currently, many brands are using conversational AI — artificial intelligence that simulates human conversation using natural language processing (NLP) — to drive consumer interactions.
As a real estate agent, you've got to be available for your clients when they demand your attention. By investing in AI for customer interactions, you can incorporate preset replies to ensure patrons aren't left hanging during the home buying process.
8. 21% of Sellers Seek Agents That'll Be Able to Price Their Homes Competitively
According to the NAR Report — 2022 Home Buyers and Sellers Generational Trends Report — the top reason home sellers (21%) utilized the services of a real estate agent was to help them price their homes competitively.
While this was the high-ranking reason to hire realtors, just 1% of sellers engaged realtors to help them uncover "for sale" properties and aid in developing and posting video tours.
As an agent looking to thrive in the competitive real estate industry, developing your marketing skills should be your priority. Why? As a top-tier realty marketer, you can promote your clients' properties and get them the price points they seek.
By constantly meeting home sellers' needs regarding valuation, you'll get positive WOM from past clients and enjoy repeat patronage.
9. 54% of Clients Will Focus on Your Mobile Advert Due to Brand Familiarity
A primary consumer motivation that prompts mobile marketing focus is brand familiarity. According to a survey, 54% of patrons will focus on your mobile advertisements due to brand familiarity compared to creative content (52%), great timing (41%), and promotions (41%).One proven way to increase personal brand familiarity is by engaging Upwork or Fiverr freelancers to help you create logos and branded real estate materials essential for boosting your brand's reach. For best results, ensure marketing materials your personal brand utilizes are consistent with your online and offline real estate marketing channels.
10. There Are Over Three Million Real Estate Agents Across the United States
According to the Association of Real Estate License Law Officials (ARELLO), over three million active real estate licensees exist in the United States. Of this number, over 1.6 million are certified REALTORS®.
Due to the industry's profitability, many people are joining the real estate bandwagon. As such, the market is becoming more saturated and competitive by the day. You'd need to create a rock-solid commercial or residential real estate marketing plan (depending on your niche) to stand out in this sector.
Here are real estate marketing ideas to adopt to ensure you become a top agent within your target area in record time:
- Create a Zillow profile
- Build a website and blog
- Collaborate with local businesses
- Utilize drone photography
- Seek referrals
- Create an appealing business card
- Run paid promotions on social media
By adopting these real estate marketing ideas, you'll be able to attract clients and make substantial commissions from realty transactions.
As a real estate agent seeking to excel in the saturated real estate industry, marketing your services is non-negotiable. By getting a hold of the latest real estate marketing statistics featured in this guide, realtors can adopt techniques and curate strategies that'll generate leads, improve brand familiarity and visibility, and grow their real estate business.
Marketing your services is essential to succeed as a real estate agent. To create marketing campaigns that'll yield positives, engage a reputable digital marketing company like Ardor SEO. Proficient in real estate SEO, our experts will implement a rock-solid marketing plan to help you generate leads, boost website visibility, and close more deals. Contact us today!