w online lead generation mike rahmn windermere technology services owners’ retreat march 2- 5,...
TRANSCRIPT
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Online Lead Generation
Online Lead Generation
Mike Rahmn
Windermere Technology Services
Owners’ Retreat
March 2- 5, 2004
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Session Agenda
• Shift in Landscape
• Overview of HouseValues
• Discussion: “How do we respond the Windermere Way”
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Shift in Landscape
Marketing Vehicle
•Television
•Radio
•Newspaper
•Outdoor
•Direct Mail
•Brand
•Office
•Agent
•Office Walk-in
•Word of Mouth
•Open House
Traditional Marketing
•Buyer
•Seller
•Repeat Customer
Focus of investment on Marketing. Passive approach to cultivating client.
Awareness Contact Customer
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Shift in LandscapeEstablishment of Internet
Source: NAR 20040%
10%
20%
30%
40%
50%
60%
70%
80%
2004
Real estate agentInternetYard signNewspaper adBooks & Mags.
Buyer Profile Usefulness of Information
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The Disconnect
Online Offline
$11 Billion $11 Billion Total SpendTotal Spend
74% of Consumers BeginProcess Online
74% of Consumers BeginProcess Online
Online Offline
Source: National Association of Realtors; Borrell Associates
RE Spend 89% of Advertising Dollars Offline
RE Spend 89% of Advertising Dollars Offline
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Shift in Landscape
Marketing Vehicle
Direct Response Marketing
Lower cost Marketing. More time spent in cultivating customer. Measurable results.
ActionSend - Call
- See Customer
• Direct Response TV
• Direct Marketing
• Personal/ Office Website
• Online Marketing
• Event: Client Appreciation Night Marketing
• Drive-by
• Walk thru
• Contact Agent
• Newsletter
• Direct Marketing
• Phone
• Spam
• Auto-response
• Buyer
• Seller
• Returning Customer
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The New Landscape
Traditional Marketing
Direct Response
Marketing Mix
No longer “either/or” the environment is now “and”.
Must do both. Audience is becoming accustomed to traditional marketing tactics and savvy buyers.
(Awareness) (ROI)
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Timeline for Internet ConsumersBuyers and Sellers
PHASE 0ExperientialUp to 4 years
PHASE 1Pre-research5.5 months
PHASE 2Active Research
1.4 months
PHASE 3Selling
2.4 months
TRIGGER TRIGGER TRIGGER SOLD
SELLERS
PHASE 0ExperientialUp to 4 years
PHASE 1Pre-research7.1 months
PHASE 2Active Research
5.5 months
PHASE 3Buying
4.1 months
TRIGGER TRIGGER TRIGGER PURCHASE
BUYERS
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Shift in Landscape
Gap in Communication Cycle = Missed Opportunities
Source: NAR 2004 & Calf. Assoc. of Realtors
39%
40%
41%
42%
43%
44%
45%
46%
47%
2004Locate agents via Internet
Agents respond to inquiries
47% of the people now use the Web to locate agents
Only 42% of those agents respond to inquiries
•70% take 2-days to reply
Leads Untouched
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Shift in Landscape
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
Time Spent Interviewing Real Estate Agents
% Percent 52.1% 17.9% 8.6% 7.8% 12.7% 0.9%
1 day 2 days < 1 week 1 week < 2 weeks 2 weeks < 1 month 1 month < 3 months 3 months or more
70% of sellers chose an agent in one week
70% of sellers chose an agent in one week
52%
18%
Source: Hebert Research
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Shift in Landscape
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
60.0%
70.0%
Time Spent Selecting Agent
Percent % 61.8% 3.9% 11.5% 4.5% 7.7% 5.1% 5.6%
1 to 3 days 4 to 6 days 1 week < 2 weeks 2 weeks < 1 month1 month < 2
months2 months < 3
months3 months or more
62% of buyers select an agent in 1-3 days!
62% of buyers select an agent in 1-3 days!
Source: Hebert Research
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Shift Impact = Opportunities for Lead Generators
BROKER CHALLENGES Lead Generation Companies
(HouseValues)
Profit pressures New revenue and profit stream
More effective use of marketing budget
Increase capture rates on ancillary services
Brand recognition Broker brand is front and center
Automatically communicate with thousands of prospects on an ongoing basis
Agent productivity Proven formula for success
Leads + tools + training = SUCCESS!
Exclusive leads = no competition for customer
Agent recruiting and retention Strong differentiator for recruiting
“Get agents off to a strong start”
Broker as source of business for agents
Productive, successful agents stay longer
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Current Players
Cendant Brand is first point of contact. Leverages infrastructure to capture full business.
Purchased lead management program.
Weichert $2m Similar to Cendant. Aggressive with direct response marketing and capturing and incubating leads. Five min. response time to all online leads
HouseValues $100m Service to replace traditional marketing spend at the broker level
Lending Tree/ Interactive Corp.
$800m Generates response and sells as lead or referral. No follow-up.
Bank of America $4B Partners w/ brokers and uses listing data to generate leads.
No cost to brokers.
BofA gains the mortgage business.
11m online visitors. Avg. 4 visits/month.
500m branch walk-in visits into 5700 branches
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TV & Internet advertising
HouseValues.com & JustListed.com Web sites
Web-basedreal estate CRM tools
Automated emailfollow-upHome buyers & sellers
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HouseValuesAutomated Lead Generation &
Follow-Up
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• Multi-million dollar national advertising budget
• National and local television presence
• Partner with the major Internet sites and portals
• More than 3 million buyer andseller leads generated to date
• Generating nearly 200,000 new home buyer and seller leads every month
HouseValuesExclusive Geo-Targeted Leads
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• Leads auto-populatedinto proven CRM tool
• Leads distributed to brokers online
• Automatically tracks results, referrals and income
• Complete contact management solution
• Automated email campaigns, newsletters and home listing updates
• Schedules follow-up activities
HouseValuesCRM
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HouseValuesCRM
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Who is in the Center?
Traditional Transaction
Title Insurance Company
Pest Inspector
Mortgage Company
Escrow Company
Home Inspector
Agent is first point of contact
Agent
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Who is in the Center?
Lead Generation Transaction
Agents are no longer the first point of contactAgents are no longer the first point of contact
Mortgage Company
Relocation
Title Insurance Company
Pest Inspector
Escrow Company
Home Inspector
AgentLead Generator
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ComparisonLead Generators
Traditional Marketing
Radio, Cable TV, Network TV, Outdoor, Newspaper
Local Media (Newspaper, Magazine)Cable TV, Network TV, Radio, Outdoor,
Online Marketing
Impressions, Pay-per-Click, Site Optimization
NONE
Online Inquiries HouseValues
200,000 inquiries/month
800,000 visitors/month
75,000 inquiries/year
Agent Education
Training Seminar, Weekly Calls, Online Tutorials
Education, Help documentation, Fanning
Lead Incubation Automated Emails, Call Center
Windermere Referral Program
CMS Automated follow-up process
CMS, CMA, Auto-Email Notification, Custom Xpress, Visibility Plus
Web Site No Listings Complete Listings, PropertyPoint, Agents
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Site Traffic – 2004
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Site Traffic – 2004 vs. 2005
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Windermere’s Opportunity
• Actively market our site
• Increase Use and Awareness
• Not to abandon infrastructure. Build on it.
• Know Our Customer Acquisition Cost
• Measuring the success
• Tracking the leads
• How much are you putting into your marketing?
• Gain leads from Lead Generators for new markets or new agents?
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Windermere’s Opportunity
Discussion Topic:
How do we respond
The Windermere Way?