As the business world and the economy changes, so will the timing of your sales campaigns and the type of marketing tools that you use in commercial real estate. Refine your marketing strategies to suit the changes in today’s real estate market.
It is a fact today that electronic media is taking over as the main type of promotional tool for commercial property, however, some of the more traditional ‘old school’ promotional processes still work very well. It is a matter of mixing and matching your marketing.
The days of advertising in the daily papers are lessening as most people wanting commercial real estate sales or leasing will go to the internet for property facts and enquiry.
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Objective High-Value Marketing
So what is a high-value marketing package in today’s commercial real estate world? With most properties today the successful sale or lease is being driven by direct contact and the internet or email promotion. These are the most common and successful marketing tools that you can use and in the order of impact (highest to lowest).
- Internet listing on a number of websites
- Direct emails to a select database
- Signs on the property
- Direct mail to your target market with the specially designed brochure
- Direct contact with neighbours, owners, and occupants around the listed property
- Direct telemarketing to a selected target market of investors and or owner occupier type businesses
- Press releases and public relations
- Media advertising (local and regional)
Property Promotion Solutions
In most cases, a promotional package designed around this strategy will significantly impact the sale or leasing of commercial property. As to how much you should spend on the promotional material is subjective to the property and the situation individually, however, most property promotional budgets would spend about 1% of the value of a property on its promotion for sale.
In case you have forgotten the obvious and basic rule of commercial real estate promotion, all advertising at all times is to be paid for by the vendor of the property. Do not promote any property sale or lease with your own office funds.
Stick to this golden rule. A seller or landlord of a commercial property that wants you to spend your own money on their property promotion is not truly motivated to sell or lease.
The Best Advertising Package
Timing in the promotion of the sale or lease of the property should be limited to a focused time frame and most particularly 6 weeks, as impact and market interest will fall away after that time. If you can’t sell or lease the individual property in 6 weeks then it is likely to ‘slide downhill’ after that point.
All good marketing campaigns work to an intense 6 weeks of action and focus. The only exception to this rule is the ‘project’ type appointment of a number of allotments, or buildings, or premises in a single appointment for sale or lease. In that case, your agency could carry over a period of say 6 to 9 months to fully promote and dispose of the individual premises.
Marketing Solutions for Agents
In constructing any marketing package and strategy you need to think of maximum impact at the earliest stages of the promotion. This then says that the first half of the promotional time should be the higher level of marketing frequency.
As much as possible, all direct mail and direct email sent to individuals should be followed up with a phone call to the recipient. The conversions to greater interest and inspections of the property then follow. The time to follow up on all mailouts and email despatches are within 3 days of sending the original material.
Show Your Unique Real Estate Marketing Strategy
It is not acceptable to ask for advertising funds from the property owner without detailing the complete way in which it will be spent and optimized. This means that you should create a staged promotional timetable that works to a balance of market impact and exposure.
A GANTT chart is a great way to do this ‘visual approach’. It shows the relationships of time and promotional task as you move ahead through the marketing cycle. The best proposals I have seen use the GANTT display process.