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Situation Analysis ................................................... 3 Objectives and Strategies ...................................... 8 Creative Strategies .................................................. 9 Message Distribution ............................................ 21 Budget .................................................................... 24

Table of Contents

Situation AnalysisCurrent State of the Real Estate Market

Currently the real estate market is going through trying times. With the national and state economies in a progressive downfall, individuals are watching their spending patterns and are much less likely to be mak-ing big purchases. Therefore, the real estate market has seen a steady increase in competition because of the decreasing demand. Michigan is seeing a trend of more sellers than buyers as people attempt to relocate

to more economically stable areas.

Competition Among Financial Service CompaniesIn an already intense market, the competition is becoming fiercer for finan-cial service companies due to the economic decline. The new brand will encompass the insurance, mortgage and title insurance industries, mean-

ing it will need to be competitively effective in all three markets.

Insurance IndustryLarge, widely advertised insurance companies are major competitors for smaller insurance businesses. AAA, though known for auto insurance, also creates competition for homeowners insurance. With a well-known brand name, AAA offers homeowner, condominium owners, and renters insurance. 1

Allstate is another major competitor in the insurance industry. Allstate

has built a recognizable brand message with their slogan “You’re in Good Hands.” Allstate reaches consumers through many different media chan-nels, specifically their well-known television commercials.

State Farm has built a reputable brand with their commercials and slogan stating, “Like a good neighbor, State Farm is there.” State Farm is a major competitor for other insurance companies, especially those who have not built a brand reputation.

Mortgage IndustryThe mortgage industry would be a difficult field for any company to break into and be successful. To maintain long-term business, a strong market-ing plan is essential. Quicken Loans is an online, nationwide mortgage lender. Quicken Loans dominates the online market for mortgage lend-ing with companies such as Rock Financial, Michigan’s largest mortgage company. Rock Financial is the preferred mortgage lender for several of America’s top companies including AT&T, Apple, Google, and EDS. 2

National City Mortgage is a widely preferred residential financing company with over 30 locations serving Michigan in cities across the state.3 It is common for consumers to consult their own banks when they need a loan.

GMAC mortgage is a competitive lender that offers extensive services to their customers, including tips on selling real estate, answers to common

n mortgage questions, and mortgage calculators.4

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Situation AnalysisTitle Insurance IndustryMajor competitors in the title insurance market are more difficult to iden-tify. Independent title insurance agencies exist in cities all over the state. These companies generally serve their local areas, making each geographic

region contain different competitors.

What this means to us…The intense competition in these markets creates an obstacle for compa-nies like John Adams Mortgage, Capital Title and Insurance One in reach-ing their target audience. Real Estate agents receive promotional emails daily from financial service companies attempting to persuade agents to refer their companies to their clients. In an over-saturated market of financial service companies, agents base their referral decisions on past experiences and previous relationships. Big names and major advertising campaigns also affect business-to-business marketing because some large companies have the money to reach agents through mass media and keep awareness high.

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Real Estate AgentsReal estate agents get their most of their business from referrals. These referrals are based on how smoothly the home-buying process went. If there are complications along the way, the client is less likely to refer that agent to their peers. This means that working with the best financial service companies is the primary goal.

Real estate agents refer financial service companies to their clients based on relationships they have accrued throughout their career. If they are asked to create new relationships with a different company, they expect to benefit from the connection. Real estate agents get their income solely on commission, so they need to trust that the financial companies they work with will not only complete the sale, but also do it efficiently.

ConsumersAverage real estate buyers generally posses the same qualities when it comes to buying a home. Most buyers get caught up in finding the perfect home, causing them to focus less on the important financial transactions that take place in the home-buying process.

The average buyer is usually relatively uninformed of the resources that are available for them during this process. It is the responsibility of the real es-tate agent to keep their clients on track and inform them of each necessary step involved in the transaction.

Current Methods for Marketing to Real Estate Agents

Real estate agents are flooded with persuasive contact from different financial companies everyday. There are numerous tactics used to try to catch the attention of the agents, in attempt to convert them into contacts.

Personalized ContactThis can range from approach letters and cold calls to team meeting pre-sentations. Approach letters and cold calls are used by loan officers to instigate conversation with realtors.5 They invite the realtors to contact a specific loan officer to do business on a one-to-one level. Team meet-ing presentations consist of loan officers representing one firm going into real estate offices and presenting their latest rates and other persuading statistics in hopes of being referred for business in the future. 6

Mass MarketingFlyers, handouts and monthly updates are distributed throughout offices. These forms of messaging are used to promote an entire financial firm rather than a single financial officer. Blanket marketing is the fastest way to distribute financial updates and changes.7 Often rates and rules change, and financial firms can inform an entire real estate office with a mass market messaging plan, such as a monthly update.

Real Estate Agents & Clients

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Companies benefit from branding through creating a name and vision for all of their products and services. A clear brand identity provides a distinct competitive advantage as it demonstrates the company’s commitment to values and client benefits.8

Umbrella BrandingAn effective way of branding is “umbrella branding,” which is creating the same brand name for several products or services. Consumers can draw inferences from experience about the quality of a product or service sold under the same umbrella brand.9 Over time, after performing consistently under a brand name, studies have shown that people are more comfort-able buying products and working with companies that are familiar to them rather than unfamiliar alternatives.10 This is apparent when consum-ers purchase the more expensive brand name products over the generic brand alternatives because they feel the familiar brand name will sell them a better quality product.

The Challenges of BrandingCreating an effective brand can be a difficult and complex process. Brand-ing requires the challenging task of researching consumer quality per-ceptions and their impact on consumer choice. The spillover effects of marketing strategies from one product category to another also create complications in the branding process. Often, a marketing strategy from one product category could affect consumer perceptions of a brand in an-other product category. This is why consistency among brand messages

is key. The brand’s views and values must be displayed through every customer interaction to maintain brand image and gain brand equity.11

Brands among Real Estate and Financial Service Companies

Well-known brands for real estate companies and financial services as-sure the consumer that they are receiving their service from a reputable establishment. When it comes to real estate and financial services, there is a trust factor that plays a role in the consumer’s choice. It is more comforting to go with a company that has an established brand and a pre-existing identity.12 In real estate, branding is the path to recruiting new agents. Many new agents look to brand recognition and awareness as factors in determining with which company to associate.13 Financial service advertising often fails to create strong brand recognition in an overcrowded market. Creating a brand that carries clear messagews and targets the right consumers is essential. 14

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The Importance of Branding

Real Estate One AgentsThe main target audience is Real Estate One agents. Although the three financial companies are affiliated with Real Estate One, not every agent is aware of this connection or the services that each company provides. There are 1,337 real estate agents between the affiliated companies, Real Estate One, Max Brooke, and Johnstone & Johnstone. This number continues to grow, increasing the number of agents that may or may not be aware of the affiliation. There is a lack of communication between the financial service employees and Real Estate One agents, preventing awareness and relationship building. Presently, there is no unifying factor between the agents and financial service employees, and no sign of there being any cause to bring them together in the future.

This is why creating an umbrella brand is imperative in the process of increasing business for the three financial service companies. By uniting under one message, the companies increase their credibility, which paves the way for building better relationships.

Consumers and ClientsAlthough real estate agent referrals are the foundation of the financial service business, sales are primarily driven by the consumer market. As a secondary target audience, clients include any current or prospective homebuyer or seller in Michigan. Ultimately, the goal is to become the most recognizable brand in the financial service industry.

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Target Audience

Marketing ObjectiveIncrease sales for John Adams Mortgage, Insurance One, and Capital Title by 10% for each company within a year.

This is a stout goal for all three companies, but the new branding scheme creates the opportunities necessary to reach this goal. Two approaches to achieving the target sales include:

1. Positioning the new brand as experts in the financial service business.

2. Strengthening the ties between Real Estate One agents and the three affiliate companies.

By positioning the brand employees as experienced professionals, real es-tate agents will associate the brand with reliability, trustworthiness, and credibility. This will lead to the new brand becoming a better candidate for referrals in the future. In the case of consumers, when purchasing prod-ucts or services, they want the best in the industry. By positioning this new brand as the experts of the field, consumers will be more inclined to work with these companies.

Strengthening ties between Real Estate One agents and John Adams Mort-gage, Insurance One, and Capital Title employees is a key step in attaining the increased sales goal. If consumers have a good experience with any of the employees or agents, then there is a higher probability that they will use the other affiliated services.

Communication Objectives1. 95% of Real Estate One agents are aware of newly created brand name.2. 60% of REO agents attain general brand knowledge.

To reach these goals, the strategy involves developing open, two-way com-munication between Real Estate One agents and all employees of the three financial service companies. This increases the chances of all employees gain-ing knowledge about the newly formed brand and the services and benefits offered. This includes understanding of all services provided, new company implementations, and an active brand involvement.

This strategy also involves exposing agents to advertisements through mul-tiple channels to increase awareness and brand knowledge. Regular exposure continuously reinforces the brand message. By constantly exposing Real Es-tate One agents to new brand messages, they are more likely to be informed about everything the brand offers.

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Volortin velit

Objectives

Real estate agents need to trust that the financial service companies their clients are using will complete the sale. Our promise is that if the Real Estate One agents and the financial service employees work together to develop better relationships, all will benefit from the enhanced business that comes out of it. The alliteration of the statement makes it easier to remember, while promoting the most impor-tant goal: better business.

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“Better Relationships Build Better Businesses”

Creative Strategies

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Logo JustificationThe logo is a house, giving clear indication of what our brand is in business for, and to show that this new brand is strong and sturdy, offering protection much like a house would.

The blueprint is placed in the background to indicate our brand’s relationship with the housing market. It also represents how REO Financial is helping sketch the bueprint of your future.

The acronym REO is carried over so that prospective customers can identify the new brand with an older brand they trust.

“Financial” is on the bottom because it represents the foundation of our brand.

Giving each real estate agent a gift box is a great introduction of our new brand. Having our logo prominently displayed on each item will increase brand recognition. Each gift item is something that can be kept in the workplace of the agent as a continuous reminder of the brand’s existence. The DVD is a helpful tool in educating the real estate agents about the new brand vision and the services each company offers.

The DVD includes an informational rebranding video describing the process of the three companies merging under one brand name, as well as reinforcing the brand promise. It would also include an informational video entitled “What We Bring to You” detailing the benefits of using our companies.

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Agent Gift Basket

Real Estate One Specific Benefits

During the peak selling months of the year, Insurance One and Capital Title will offer a discount on insur-ance to those clients that use a Real Estate One agent to help buy their house. This offer gives con-sumers an incentive for using Real Estate One agents as well as REO Fi-nancial services. This also ensures the agents that this is a mutually beneficial relationship.

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Brochure Sample

TIM (Title. Insurance. Mortgage.) is a new job position offered through REO Fi-nancial that benefits agents, clients, and financial service employees. TIM acts as a liaison between all three groups of people. Rather than the real estate agent juggling the needs of numerous clients, they can share their responsi-bilities with this new full-time employee who will help the homebuyer take care of all of their financial needs.

An “Ask TIM” link will be placed on the website where consumers can ask ques-tions about home-buying or financial services. There will also be a helpline, such as 1-800-CALL-TIM that clients can call with their questions.

TIM will also be responsible for recording the monthly educational podcast, which is downloadable every month for all employees and Real Estate One agents via the new social network. Each month will discuss a new educational topic about the importance of good relationships, financial services details, client issues and more.

Who is TIM?

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TIM

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Website Sample

A link to a geographically personalized checklist for buyers will be available on the main website. This checklist details the different transactions and tasks that must be completed for buying a house with our brand name and contact information on it. Most agents agree that buyers are generally misinformed or unaware of the transactions involved in purchasing a home. Creating a resource that agents can easily hand to buyers or refer them to is convenient for the agent in explaining the property-buying process.

Home-Buyer’s Checklist

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Social Network Example

Why use the social network?The main goal of this campaign is to strengthen personal relationships between Real Estate One agents and REO Financial employees. Creating an online social network between these groups of people promotes build-ing trustworthy relationships. The online site will require a login name and profile where employees and agents can connect through messaging, blogging and stay in up-to-date with events and news. This social net-work would create a new quick and convenient avenue for communication between Real Estate One agents and REO Financial employees. This is not merely another email address, but a place to connect with coworkers and peers.

NewsletterA bi-monthly e-newsletter would be sent out via the online social net-work. The e-newsletter will keep agents and employees informed of rates, benefits, and any company updates. By sending the newsletter out via the social net work, it will not get lost amongst the numerous promo-tional and persuasive emails that that agents already receive from other companies. Sending it out this way will also encourage the use of the social network to keep all employees and agents updated.

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Keeping People Connected

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Promotional Poster DesignSeparating the sentence encourages the viewer to read the whole poster. The alliteration makes the statement more memorable. Maintaining this format through all posters creates a notable theme for our brand.

The logo is prominently displayed directly below the attention-getting sentence. This creates immediate brand identifica-tion.

The slogan is at the bottom of the ad-vertisement because it serves as the bottom line of our campaign. Together is italicized to emphasize relationship building.

We include Real Estate One agents in the advertise-mensts to strengthen the ties between REO Financial and Real Estate One. This makes the ad relevant to Real Estate One agent and enforces the mutually ben-eficial relationship we are working to establish.

Photo JustificationWhen clients decide to buy a home, there are so many complicated steps involved. It is a confusing process and sometimes overwhelming. Our goal is to show consumers that we can answer their questions and guide them through each stage of home-buying.

By using pictures with “happy endings,” we ensure the viewer that we can make these scenarios happen. Photos can include a young couple moving into their first home, family buying a new house, or something as simple as an agent handing over the keys.

The most important thing to real estate agents is that the sale is completed efficiently. By showing that we can make that happen, we are not only appealing to consumers, but also to the real estate agents who want to make sure their clients get into their new homes as easily as possible.

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Promotional Poster Design

The poster advertisements serve many purposes. First and foremost, the posters increase awareness and brand recognition. The ads also enforce our partnership with Real Estate One and shows agents and clients that we get the job done.

The posters will be placed in Real Estate One offices as a constant physical reminder of the brand’s existence. It is important to display the ads in a place where Real Estate One agents will see them so they are reminded that we continue to promote their services as well as ours.

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Promotional Poster Design

As a review, the communication objective is for the brand message to reach at least 95% of the target audience, while reaching a goal of 60% of Real Estate One agents having a general knowledge of what services our brand provides. Once these communication goals are met, the increase in sales is sure to follow. Our distribution strategy is to provide easy access to our brand messages, as well as constant physical reminders of the brand’s existence to increase and maintain awareness.

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Message Distribution

New Agent Orientation ProgramGenerally, new real estate agents do not have relationships previously es-tablished with financial service companies. The goal with this program is to create connections right away for the new agents and begin building relationships between the agents and REO Financial employees. Whenever a new agent signs on with Real Estate One, he or she will meet with the TIM employee. This meeting will include an orientation educating the new Real Estate One agent on all of the benefits of working with REO Financial, as well as providing personal contact information for local employees in all three financial service areas.

Promotional PostersPromotional posters will be displayed in all Real Estate One offices as a physical reminder of the brand’s existence.

Press ReleasesAn in-house employee will write press releases and distribute them to media state-wide. The first press release will be an announcement of the new brand. The following releases, drafted every three months or so, would update the public on the discounts offered and how the brand is progressing.

Online Banner AdvertisementsBanner advertisements will be displayed on real estate related websites, such as realtor.com, that are frequented by real estate agents. By placing these advertisements bi-monthly, throughout the months we do not send out an e-newsletter, we keep up brand awareness.

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Promotional Ideas

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Tactic in Effect

Available Online

Arranged When a New Agent Is

Media Schedule

Key:

WebsitePodcastSocial NetworkE-Newsletter

Gift Boxes to REO AgentsPress ReleasesOnline Banner AdsPosters

Orientation ProgramCoupon/DiscountTIM Position

PamphletChecklist

Some costs are not included in this budget. Quotes for the website and social network are left out due to the necessity of web rennovation regardless of this campaign. Those costs included in hiring a new em-ployee for the TIM position also do not fall under this rebranding budget.

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Budget Distribution

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Campaign Evaluation

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Works Cited1. 2008. Retrieved on September 23, 2008 from http://www.autoclubgroup.com/michigan/insurance/about_home.asp

2. “About Us” 2008. Retrieved on September 23, 2008 from http://www.rockfinancial.com/about/index.html?lid=1036

3. 2007. Retrieved on September 23, 2008 from www.nationalcitymortgage.com 4. 2008. Retrieved on September 23, 2008 from www.gmacmortgage.com

5. Nelson, Jeffrey 2008. Marketing Planning Guide. Retrieved from http://www.archive-post.com/LOM/free_stuff/Marketing%20Planning%20Guide.

6. R. Smith, personal communication, September 21, 2008.

7. D. Sarah, personal communication, September 22, 2008.

8. “Building Brand Identity and Integrity” Lawyers Weekly. September 2008. Pg 22.

9. Hakenes, Hendrik. “Umbrella branding and the provision of quality” International Journal of Industrial Organization. Volume 26, Issue 2. March 2008. Pg 546 556.

10. “Marketing brand vs Generic Product” 2002. Retrieved on September 22, 2008 from http://www.essortment.com/career/marketingbrand_smcf. htm

11. “How can branding help small businesses?” March 2008. Retrieved on September 22, 2008 from http://www.morebusiness.com/branding- small-business

12. Burslem, Joel. “What Does the Real Estate Brand of the Future Look Like?” October 2007. Retrieved on September 22, 2008 from http://www. futureofrealestatemarketing.com/what-does-the-real-estate-brand-of-the-future-look-like

13. “Who is Leading the Race for Best Real Estate Brand?” March 2007. Retrieved on September 22, 2008 from http://rismedia.com/wp/2007-03- 30/who-is-leading-the-race-for-best-real-estate-brand

14. “Advertising & Marketing Financial Services” November 2005. Retrieved on September 22, 2008 from http://www.allconferences.com/ conferences/20050824090151/