Real Estate SEO

Posts Tagged ‘Leads’

We received an inquiry through one of our websites last week. It read:

I want a site that generates buyers that want to communicate through email. I also want automatic email first contact.

We do receive inquiries like this all the time. I want to highlight a misconception that is evident in what the lead wrote to us.

Lots of new clients come to us thinking that a new site is going to be the answer to their prayers. A site that will generate leads. Now, websites do generate leads, but not on their own. If no one visits the site, then you’re never going to see any leads.

You can’t just build a new website and expect leads to just show up on your doorstep. You need to make sure that the site is part of an online marketing campaign. Thousands of realtors think that they need to have a site in order to do business these days. They spend little money on the site and they see almost no results.

You need to invest in marketing! Marketing should actually be the larger cost. i.e. your website should cost LESS than your marketing campaign!

Of course, we advocate investing in real estate SEO for the best long term bang for your buck. Building the right site will make your SEO dollars go farther.

As a final point, and one that we’ve made before, if you invest in SEO and your site isn’t built to convert users into leads, then your investment in SEO will really be a waste.

So, it’s crucial that you making both investments. Spend the money on a good real estate website design with great features and functionality and on a well implemented real estate seo campaign and the results will be extremely profitable returns.

I almost can’t believe that I wrote that headline?

Yesterday, I spoke with a guy who told me he wanted to run a direct mail campaign to drive traffic to his website and capture leads to “farm” (his word) into clients.

Now, first let me say that farming a cache of leads is a great strategy. You can source your leads lots of ways. We recommend a strong online marketing campaign including strong real etstate seo efforts, ppc, email marketing, and a highly accountable reporting system.

So, this guy isn’t completely off the mark. Yes, your database of leads and customers is gold. You need to nourish this list and grow it. The more qualified users you can drive to your site, the more leads you will generate. If your site is well built to convert real estate buyers, sellers, and renters into leads, then the more traffic you have the more leads you should have.

As we’ve mentioned many times on this blog, you need to consider the cost of each lead. What did you pay to acquire the lead? If you paid $4000 for 8000 clicks (that’s $0.50 per click or site visitor) on Google Adwords and that generated 400 leads, then you paid $10 per lead. Got it?

Well, let’s think about this direct mail campaign that the guy on the phone wanted to deploy. He’s going to spend money sending those mail pieces upfront. Let’s say he sends our 10,000 pieces at $0.40 each. That’s $4000.

Now, he told me that these mailings were going to direct the users to his website. So, how many of the recipients will actually go to a website on a postcard? Here’s where the plan falls off the tracks.

It’s not likely that many of the recipients will actually go to the website. I don’t know about you, but I toss those mailers in the trash. I pick up my mail on the way into my building and the next thing I do is filter out the junk mail straight into the garbage.

So, if our friendly realtor is lucky, he’ll get maybe 5 or 10% of the recipients visiting his site. If the site was fantastic and converted leads at 10% (which is pretty high) he’d have 10000 x 0.1 x 0.1 = 100 leads. That’s $40/lead. Honestly, the cost would likely be even higher.

Bottom line - For real estate marketing campaigns, SEM, SEO and PPC are far better investments than direct mail. And please don’t be fooled and think that you can generate web traffic efficiently using traditional marketing like direct mail.

Hopefully, we just saved you some time and money.

How to measure quality in a real estate  SEO campaign and in a SEO provider.

I’ve talked about similar topics before, but I wanted to lay it out succinctly for our readers since we get a lot of questions on this. The lists below are ways to judge and ways NOT to judge a SEO provider. They’re also metrics and methods for measuring the effectiveness of a real estate marketing campaign overall.

Indicators of good real estate SEO campaign performance:

• Leads generated
• Site traffic numbers
• Average number of pages visited by users to your site
• Average time visitors spend on your site
• Search engine ranking (placement) for a long list of terms

The most important things that a SEO campaign can do is to cause more visitors to arrive at your site and to generate more leads for your real estate business. Now, the number of leads that your site generates also has a lot to do with the design and architecture of your site. So, if the SEO provider has little control over these contributing factors, then the traffic numbers are the best indicator you have of quality.

I’d also be remiss if I didn’t touch on benchmarks for a moment. You must have benchmarks to measure against. If your site is seeing 150 visitors per month from Google when your SEO campaign starts and 1050 users part month 6 months in, this is strong performance. If your website was producing 1 lead per day before the campaign started and how it’s producing 10 leads per day, again, your SEO is doing a good job.

An indicator of a good SEO provider and of any real estate marketing firm is whether or not they provide these metrics to you. If they’re willing to be accountable to you, and they’re not hiding anything, then they have no choice but to show you good work. Otherwise, you’re liable to fire them when the contract is up.

Here are some ways NOT to measure performance of an SEO campaign or of an SEO provider:

• Whether or not you rank for 1 particular term
• Traffic numbers 3 months into a campaign
• The frequency with which reports are delivered to you.

Believe it or not, search engine ranking is NOT what makes for a good SEO campaign. Marketing campaigns MUST produce results. Results = revenue. Results and ranking don’t mean the same thing. As I’ve said before, ranking and a token will get you on the subway.

This same analysis must be applied to all real estate marketing campaigns, media, and ad buys. If the money aint producing the biz, then it’s not well spent. Ask the questions, do the math, get real numbers to judge performance.

This is an ongoing debate among real estate brokers and agents.

Here’s the situation, you’re marketing your real estate website online, you’re investing in SEO, maybe you’re working with PPC, maybe your office site is getting hundreds of visitors every day. The question is this: When do you ask the user to sign up? How do you acquire the most leads and, more importantly, customers? Which is your priority, quantity or quality? Let’s explore:

When a buyer is looking for a new home, they’re going to be looking for information. Most often, they’re going to want to search for real estate that’s on the market. Maybe they want market data or some other kind of information beyond simply listing search results. At any rate, they want to visit a site and get some information. Knowledge is power and they want to feel empowered.

Now, there are some horrible website vendors out there who sell websites that require the user to sign up to access just about every part of the site other than the home page. You make the user sign up to search, to get a report, to get a home valuation, to do just about anything. These sites will kill your prospects of achieving good search engine placement. Remember, the search engines will not fill out forms. They will not hit the submit button. In short, they won’t know about the majority of your content. If you want to optimize your site for SEO purposes, make sure the search engine robots can get to the information using regular html hyperlinks.

Now, when we build sites, we usually put the sign up in one of a few places:

1. Sign up before the user can see search results. Yes, most visitors to your site will want to use the property search. So, it makes some sense to have them sign up in order to search or to see the results of their search. There are two major objections to this method
   1. Plenty of other sites don’t make the user sign up to see their search results and lots of users don’t want to sign up for anything. They prefer to remain anonymous. So, you risk loosing the possibility of converting this user into a lead and sending them to your competitors’ sites.
   2. If you make a user sign up just to browse, they’re somewhat likely to give you fake contact information. This is a risk. Our experience shows that when a site forces a sign up earlier in the search process, then they see more fake leads who are tossing bogus information into the sign up form just to get to the good stuff. Now, you may be willing, as many folks are, to sift through these fakers in order to get to find the real leads. There’s nothing wrong with this tactic.
2. Allow the user to browse and only ask them to sign up to use advanced features
   If your site is built well, then it should provide the user with many different interactive features. This might include the opportunity to register for an account, save favorite listings, save searches, sign up for nightly listing updates by email, schedule a showing, inquire about a listing, etc. Lots of sites allow the user to browse the search results without registering. In other words, the user doesn’t convert into a lead until they’re ready. The argument in favor of this strategy is that the user who inquires or requests a showing is a better lead. The argument against is that you’ll see fewer leads.  Indeed, when someone requests a showing or more information or signs up for nightly email listing updates then they are indeed a more qualified lead. That said, there are lots of folks who don’t want to sign up until they’re ready to buy and using strategy #1 above may turn these folks away.
3. Hybrid approaches to lead gathering
   
   1. You can give away some information and require the user to sign in for more. Lots of sites don’t give away property addresses, for example, until the user has signed in.
   2. Another approach is to allow the user to use the site for a while - say giving them access to 2 searches or 4 listing details pages - before requiring them to sign up. This is sort of like tempting the user. You show them that there’s a lot of inventory and features for them to use and entice them to sign up in order to stay inside the promised land.
   3. One of our favorites is to show the user the search results, but to then use something called a Lightbox in order to ask them to sign up. That’s when the screen goes dark/opaque and the user is presented with a sign up box.  They can still see that search results are behind the sign up and they’re more compelled to sign up to see what’s just beyond. Again, some users may just click the back button and go back to the search engines to find another site where they don’t have to sign up at all.

Customers come to us all of the time and ask about the best ways to implement lead acquisition within their site. It’s not a simple question to answer. If you have a lot of agents to satisfy, we recommend going for quantity. Make the user sign up early in the search process. If you have a lot of traffic and you want to get the best quality leads farther down the search road, then ask them to sign up later in the process.

Overall, your site must be engaging and the user needs to want to stick around and come back again. If you’re not designing for a superior user experience, then you’re just not going to get the leads that you need out of your real estate website.

Before I get into the substance of this post, I want to lay down some facts that we all should know. This is very important. If you’re investing in SEO, you must be judging the results and calculating the return on your investment. This is true for more than just SEO. If you’re investing in any marketing, be it online or off, you need to know what the results are. If you don’t know what’s working and what is not, you’re wasting your money.

Next, if you’re investing in SEO and the firm doing the work isn’t providing regular reports showing you what they’re doing and the effects of their work, then you should fire that firm. If they’re not willing to be accountable to you, then don’t pay them. They should be showing you where your users and leads are coming from and how they’ve improved your visibility. This is critical.

OK, now that we have those SEO truths established, lets get to it.

In Real Estate and when you’re performing Real Estate SEO you are really trying to do three things.

1. Bring the right users to your real estate website.
2. Convert those users into leads
3. Convert leads into clients who buy or sell a home.

Now, SEO costs money. So, we now have a few pieces of information which will allow us to calculate some key metrics in judging SEO performance.

If you take your budget - we do this on a monthly basis, but you could look at it quarterly or annually or over any period of time really - and you divide that budget by the number of users, you’ll get a cost per user. You can do the same with the number of leads generated. You can also do similar math by counting deals and dividing the budget by that number to calculate a client acquisition cost.

Now, it’s important to note here that visitors and even leads happen quickly where deals close months later. So, you’re going to want to look at when the leads were generated which resulted in the deals. This month’s SEO spend is not generating deals this month. Instead, it’s generating leads now which will turn into deals down the road. This is just another example of why Real Estate SEO needs to be seen as an investment.

So, if we now know our cost/user, cost/lead, and customer acquisition cost, we can now compare these numbers to other media or industry norms. For many campaigns, cost/lead will be a good indicator. You’ll need to do some in-depth analysis to calculate customer acquisition cost and you’ll need to stick with it for a long period of time and through several deal cycles. If you have systems in place, then you should definitely start tracking all marketing media down to customer acquisition cost, but realistically, for more than half of the readers of this blog, cost/lead will suffice.

There’s a lot more I could say about this topic. But I’m going to stop before this post gets any longer. I’ll write a follow-up in a couple of days. If you have any questions on how to calculate the ROI of your Real Estate SEO campaign, drop us a question and we’ll give you an answer. Thanks.