Real Estate Technology Toolkit

by Rich Schiffer, REALTOR, e-PRO 

(This article is part of a training series presented for real estate professionals, whether new to the industry or experienced, to help them discover, understand, and benefit from the tools that are available on-line.  For access to the full series, join the ActiveRain Technology Toolkit Training group.  If you have not yet joined the ActiveRain Real Estate Network, you may do so here.).

There are many tools that a real estate agent can use for Internet marketing, and most of them can be done with little to no cost. No matter what your marketing budget is, these tools can be used to increase the return on your marketing dollars.

Here is a list of 6 Categories of general Technology Tools that you should be making use of, which I will elaborate on, in detailed posts in the coming days.  Many of these issues were discussed in a recent report by The Strategic Issues Work Group of the National Association of Realtors®' Association Executives Committee.  They were charged with identifying emerging trends that will likely impact our industry in the years ahead.  The Online Trends and Consumer Trends they identified are the very topics this Technology Toolkit Training Series is designed to address

1. Blogs (sometimes called Web-Logs)
   These are essentially articles that are published on the Internet. When a consumer searches for information on a particular topic, relevant articles that match the search terms rank very highly on the search results.  Real estate agents can tap into this by producing articles rich with local content.
   

2. Social Networks
   These "online communities" have created a degree of consumer-to-consumer and consumer-to-service provider communication heretofore impossible.  These networks can be great sources of potential business. Many networks allow on-line discussions, and development of special interest "communities" or "groups" within the network, so users can further self-categorize themselves.  This eliminates the need for costly market demographic studies, and allows the savvy service provider to create and effectively target their "niche" consumer.

3. On-line Classified ads
   Many specialty sites allow posting free classified ads. Because of the decrease in distribution of newspapers, and increased reliance on the Internet as an information source, this becomes very important.

4. CRM (Client Relationship Management)
   Because the "Google shift" brings the consumer to us potentially much earlier in their decision-making process than before, there is now a longer "incubation time" during which you need a systematic method for following up with leads, to develop the relationship with them potentially before you ever meet them in person. Email "drip campaigns" that automatically send periodic information to your leads can be instrumental in improving your Lead to Client conversion rates, as well as your repeat  and referral business.

5. Video Tours
   According to Realtor.com, the button that is used by searchers most often is the one that limits the search results to show only listings with "featured tours." Today's consumers want multi-media. Without it, your "product" might never be seen by them.

6. Website(s)
   Agent branded websites (and non-branded sites) are increasingly important, as consumers want a personal touch, even if it is only on-line at first. There are many services that can build, host and maintain a quality website,  Some can be costly, while others will easily fit the buget of a new licensee, who might not have a strong client base or marketing budget to start with.

Each of the above categories of Technology Tools will be detailed in future posts within the Technology Toolkit Training group.  For access to the full series, and the detailed tips and strategies, please join that group.

Closing Thoughts

Internet marketing is a tool (collection of tools, actually) that can be used to enhance your business. It is not a magic pill, however.

To be fully successful, Internet marketing must be integrated into your marketing plan, right along with the traditional tools. You still need work your business, and get yourself in front of people, face to face.

The "first impression" that you make on a consumer might not actually be made in person, but the personal touch is still needed to solidify a relationship, build trust, and ultimately close the transaction.

A well-designed Internet marketing program may create a steady stream of leads, but you still need the skills to follow up with them to win them as clients.

Hone your skills, choose the right tools to get the job done, and remember:

"Technology will not replace agents. Agents with technology will replace agents without."

by Rich Schiffer, REALTOR, e-PRO

I once reported on how amazed I was at the effectiveness of blog comments in improving your placement on Google's organic search results.

• The Hidden Value of Comments: "You Spilled Google Juice all over my Blog!"

I recently encountered this same phenomenon, not because a prospect was diven to my blog because of a comment, but because I was in the consumer's seat, and was driven to a blog because of a comment.  Let me detail my experience for you, so you can see just how effective Active Rain blogs and comments are in producing high rankings in organic searches.

ActiveRain uses a bot-blocking system that requires the user to enter in the text they see displayed.  When recently posting, I came across a verification word I had never seen.  Curious, I did a Google search for the mystery word, "cochin-goraka"  fully thinking that I might find a dictionary.com or wikipedia.com link near the top of the page.

Instead, I found, in the #3 position, a link to an Active Rain blog!  Curious, I followed the link and found an article by our beloved Rich Jacobson ~ ActiveRain Community Builder.  His posted article was not written about cochin-goraka; it wasn't titled, tagged, or otherwise linked to anything related to it either.  It was simply,   "Testimonials in the Rain" - What's YOUR Story?

Why then did it show up in the coveted #3 position on the 1st page of a Google search?

Because later, (in a parenthetical comment) he asked "What the heck is cochin-goraka?"  And Celeste "Sally" Cheeseman (RA) Century 21 Liberty Homes *Hawaii* quite politely provided an answer.

Next, I noticed that the #4 result was ANOTHER Active Rain Blog!  Low Rolling Resistance Tireswherein at least two comments proposed "daffynitions" for the heretofore little-known fruit.

The lesson to learn here about blogging is twofold:

• Other people's comments can serve as a magnet to pull consumers to your blog.
• Conversely, your comments can similarly help drive consumers.
• Disabling comments on your blog shuts down that potential flow of readers to your blog.

The ActiveRain blogging platform is clearly an effective tool to enhance your "presence" on the Internet in a cost-effective way. 

I have "tagged" this article with cochin-goraka.  It will be interesting to see what the Google search results for "cochin-goraka" are after the search engine spiders have had an opportunity to parse this post.

UPDATE:  The spiders have hit the web, and already, this article is now the #1 organic result for "cochin-goraka" and what had been the #3 is now the #2, likely because this article linked to it, thereby adding to the "relevancy" of the article.  Less than 3 hours after posting!

UPDATE:  Google is dynamic.  Ever-changing.  Now, 3 days later, this post is way back on page 6 of the organic results listl, but the original AR posts mentioned above, that mention Cochin-Goraka are still on the first page. 

Rich Schiffer is a REALTOR, a certified e-PRO, and a Technology Coach, Consultant, and Trainer.
For information on his consulting services click here. 

by Rich Schiffer, REALTOR, e-PRO

(This article is part of a training series presented for real estate professionals, whether new to the industry or experienced, to help them discover, understand, and benefit from the tools that are available on-line.  For access to the full series, join the ActiveRain Technology Toolkit Training group.  If you have not yet joined the ActiveRain Real Estate Network, you may do so here.).

Google recognized the importance of providing what consumers want (information), when they want it (immediately), and how they want it (free). Then, Google created a business model that actually profits from providing a free service.

The genius behind Google's profit model is that they profit not because of the service they provide, but because of who they provide the service to.

Ultimately, Google has two products: Their on-line services, and the users of their on-line services. They give their on-line services to consumers free of charge. They profit by selling advertising space, just like magazines, newspapers, radio, and television. Merchants pay to have their message seen by Google's users, which estimates say are 50% to 90% of Internet users.

The "Google Shift"

In the days before the "Information Superhighway" of the Internet, to determine what segment of the population wanted your product, so that you could increase the effectiveness of your marketing efforts, you would have to hire a market research firm to conduct taste-tests, product trials, and consumer surveys. These are still valuable services for many types of products and services. But now, with the advent of on-line search engines, a shift has happened, bringing consumers and merchants together much earlier in the process than ever before.

It used to be that people would be sitting at home, in their car, at work, or wherever, and they would think to themselves, "Hmmm....I think I need a ____________." Then, they might or might not go out and actually buy it, but usually, some time would pass, and they might even forget about it altogether. Then, at some point, they might see a commercial, or a billboard, or even a display in a store, and think, "Oh, yeah. I really could use one of those." Still, they might or might not actually buy one. Then while looking at one on a shelf in the store, a friendly sales clerk, says, "May I help you, sir?" Now, they are finally interacting with someone that might be able to help bridge the gap between interest and purchase.

In today's world, consumers have largely shifted from that mode, and practically stand up and shout, "I want to buy a _____" or, "I am interested in _________." Whenever a consumer types a search phrase into an Internet search engine, they are putting themselves into a self-selected target market group. Countless "social networking" platforms exist where the consumers create a profile, complete with lists of their likes and dislikes, hobbies, occupations, and a wealth of other self-divulged personal information.

What the "Google Shift" has done is to enable merchants and service providers to identify potential customers much earlier in the process than ever before, and without expensive advertising campaigns to draw them into stores. Television advertising campaigns now have begun to reflect this shift as well, and have become more about supporting "brand awareness" and less about the products themselves.  As a result, the "incubation period" -- the period from first contact to closed sale may be much longer than it ever used to be.  This creates the need for service providers to develop additional core skills -- namely effective, follow-up and the ability to anticipate needs.  (A whole new class of software has been developed over the past 15 years or so to assist with that task: "CRM" or "Contact Relationship Management" software. -- Look for future articles on that topic)

On-line Marketing can be ultra-Personalized to the Consumer

By design, Internet search engines keep statistics on everything possible. By tracking the search habits of users, they are able to provide merchants with the opportunity to appear in front of very finely targeted groups. For example, an advertiser could produce an Internet ad, and pay to have it appear only on the screens of searchers that have searched for the term, "Luxury Homes" and also previously searched for the term, "Classic Car Storage."

Traditional retailers put "impulse items" near cash registers, so while you wait, you might be tempted to add that magazine or pack of gum into your cart. Some on-line shopping websites have gone a step farther, essentially putting a customized selection of products at the checkout to very effectively boost sales. At sites like amazon.com, before finalizing their order, shoppers will see something like, "Shoppers who bought the book you ordered often also ordered __________." This is a perfect example of the type of highly-targeted target marketing available with on-line marketing.

NEXT:  6 "Technology Tools" to tap into the effectiveness of Internet Marketing

by Rich Schiffer, REALTOR, e-PRO

(This article is part of a training series presented for real estate professionals, whether new to the industry or experienced, to help them discover, understand, and benefit from the tools that are available on-line.  For access to the full series, join the ActiveRain Technology Toolkit Training group.  If you have not yet joinedthe ActiveRain Real Estate Network, you may do so here.).

Marketing is the term used to describe the process of discerning consumers' wants, addressing those wants with a product or service, and bringing the consumers and products or services together. Marketing is fundamental to any businesses growth. Unless it pays due attention how its products/services match consumers' demographics and desires, a business will not usually prosper long-term.

In the real estate industry, the term "Marketing" is used to describe the methods we use to get our product noticed by the consumer. For purposes of this discussion, there are five distinct "products" that as real estate professionals we are involved in the marketing of, in some way or another:

1. Marketing Your Services - Getting "In Front" of Prospective Clients
2. Marketing Your Listings - Getting Properties "In Front" of Prospective Buyers
3. Marketing Your Profession - Attracting new agents to the business
4. Marketing Your Company - Attracting licensees and potential franchisees

5. Marketing The Market - Attracting new consumers to the real estate market.

Advertising vs. Marketing vs. Selling

Advertising, Marketing and Selling go hand in hand in hand, and some people confuse the terms, so lets distinguish them in a very basic way:

• An advertisement is a packaged message.
• Marketing is the distribution of that message into the awareness of the consumer.
• Selling is getting the consumer to act on the message.

Who Gets the Message?

Getting a message seen or heard is the core of marketing. The better the message matches what the consumer wants, needs, or expects, the more likely the consumer is to "get the message" and buy the product or service you are marketing. By being selective with who sees the message, often referred to as "target marketing", the message becomes more effective.

• Marketing a "Steak and Ale" restaurant at a meeting of Vegetarian Alcoholics Anonymous would be a poor choice of audiences, for example.
• That same restaurant, marketed at a Cattlemen's convention might lead to a greater return.

Knowing who will likely want your product is perhaps the easiest way to improve the effectiveness of your marketing.

How To Be Seen by your Target Market

There are two distinct methods of being seen by your target market, which I will call "Attractive" and "Distractive" methods. Each method has its benefits, but neither type will work in all situations, so to be most effective, we must understand each, and integrate both methods in our marketing plans.

The Internet has become the leading way consumers find information. In its infancy, the Internet was primarily a tool for academics and researchers to exchange data. Forward-thinking entrepreneurs recognized the potential this represented for consumers, and soon an entirely new industry was born.

The Internet is a dynamic landscape, changing rapidly. The ability to adapt to changing consumer demands is one of a successful business' most valuable traits. Many of the companies that were "giants" in the early days of the Internet lacked the progressive vision and agility to be sustainable, while many fledgling companies become huge in the blink of an eye. Netscape, the creator of the first consumer Internet browser had over 90% market share in the mid 90's. By the end of 2006, their market share was less than 1%. Google, founded by two college students in 1996, has become the nations largest company that is not part of the DJIA.

Next:  How did Google get where they are?

Confused About Internet Marketing?

Web Site Worries?

Let me help.

Put my knowledge to work for you.

There are several ways we can work together:

1. "Virtual Coach"
   As your personal "Virtual Coach," I will show you how you can do it yourself. Included with this will be a one-time 6 hour session of hands-on coaching. I will introduce you to the web-based services that are least costly, yet have high potential to produce results for you. We will spend an entire day together. By the end of the day, we will have set up your Website, created a Blog, syndicated your listings across multiple platforms, created a presence on several networking sites, and crafted a plan to help you integrate your on-line marketing with your overall business plan. After the initial session, I will continue to provide on-going monthly support, and provide you with helpful updates, tips, and reviews of new services. The fee for the 6-hour coaching session and monthly followup is $180.  (If you are located outside of the PA/NJ/DE area, this service is not available at this time.  See Virtual Trainer, below.)

2. "Virtual Assistant"
   If you don't picture yourself taking the time to handle the "tech stuff" on your own, I can do it for you, as your "Virtual Assistant." I will do the work for you, on an ad hoc basis, with a fee based on a menu of services. (Contact me to request the fee schedule)

3. "Virtual Partner"
   If you want someone to completely handle the web-based marketing of your listings, without the ad hoc fees per listing, this may be your best choice. You will receive the benefits of the "Personal Tech Coach" and the "Virtual Assistant," without any "up-front" fees.  This would be processed similar to a referral fee and would be a mere 5% of your commission at settlement.  If your listing does not sell, there is no fee.

4. "Virtual Trainer"
   If you are outside of my local area, you can still get the "hands-on" training of the Virtual Coach service, but in a small group setting.  Conducted in a group setting, the training is ideal for Brokerages, sales teams, and associations. 10-20 agents per 6-hour class, $150 per attendee.

By Rich Schiffer, REALTOR, e-PRO

This article begins a weekly series of "Technology Toolbox" articles, focusing on the integration of technology with traditional marketing tools, especially as applied to the Real Estate Industry. 
Look for future articles every Thursday.

The landscape of the Real Estate Industry, like all other industries, has been dramatically altered by technology in the last 20 years.  What most people often overlook is the source of much of what has now become mainstream technology: The Military.  I don't intend to outline every technological marvel that the military has contributed to the transformation of our industry, merely point out that we have a lot to be grateful for to our military...far beyond the obvious sacrifices that our brave service members make everyday.  A few of us may owe our lives to the military, but all of us, in one way or another owe our careers to them.  Here are a few points to consider:

• The Defense Advanced Research Projects Agency is responsible for the fact that I can post, and you can read this very article.  ARPANET, the predecessor to the Internet, was created by them, so that remote researchers could coordinate data exchanges in an effective manner.  The veterans of the real estate industry can attest to the degree to which the Internet has transformed the way we do business.  From researching properties, mapping out unfamiliar neighborhoods, to prospecting for business and communicating with clients, the Internet has transformed nearly every aspect of this business.
  
• DARPA also produced the GPS Satellite Navigation System that many of us have come to rely on to direct us from one open house to the next.  It was originally designed as part of a missile tracking system.  It was made public after a commercial passenger jet liner strayed off course and was shot down.  With the tracking system on-board, such course deviations would be noted by the pilot instantly.  Apart from the aviation safety results, we now no longer have to deal with complexly folded maps that can never be refolded the same way twice.  No more getting lost while taking your client on tours.  (That did happen to me once.  Since I got my Garmin, I have yet to be baffled by erroneous directions in MLS notes or out-dated street maps.
  
• The hands-free earpiece that I use, The Jawbone, was another bit of technology directly descended from the military.  Originally designed to allow for better battlefield communication, the noise reduction technology encompassed in this little gadget is so incredible, that I can be driving down the highway, radio on and windows down, and my wife could hear me clearly on the other end of the line, even while I was whispering. Whispering!  This may not be as big a transformational effect as the Internet, but it sure does make communicating with clients easier, and helps me keep in touch with my clients immediately when needed.  (Plus, I get to walk around looking like I have a cool Borg implant in my head.)

The military is indirectly responsible for the technology that affects nearly every aspect of being a Real Estate Professional today.  I say nearly every aspect, because no matter what technological tool comes down the pike, nothing will ever be able to replace the core skills and knowledge necessary in a people-oriented business like real estate - the core skills and knowledge that manifest face-to-face with the consumer, and create the foundation for a business relationship built on trust.  Technology could never do that.  (FYI:  Skills-Building Articles will be published on Fridays.)

Some people fear technology, thinking that someday they will be replaced by a machine.  Don't fall for that one.  Technology is a tool, nothing more. 

Technology won't replace Agents.  Agents with technology will replace Agents without.

Rich Schiffer is a Licensed Real Estate Agent, a REALTOR, and a certified e-PRO.  Additional Technology ToolKit Training will also be available in a Private Active Rain Group by that name.  Check it out.