In commercial real estate brokerage you can make plenty of mistakes with marketing and promotion unless you are very specific when it comes to the strengths and the opportunities of the market as you see them.
Use the strengths and the opportunities of the property market to set your real estate brokerage marketing objectives for the next 12 months, the next five years, and the next 10 years. A plan is required to take your business forward.
Your Local Promotional Opportunity Segments?
Understand how your business should be expanding and growing over that time and in what segments. You can then determine the key performance indicators to move through as part of business improvement and growth of market share.
Here are some specific factors of consideration when setting your marketing objectives and plan for both listings and brokerage activities:
- EARNING SEGMENTS: Where will most of your commission come from? Your real estate business may have a bias towards the standard brokerage activities of sales and leasing, together with property management portfolio activity. The marketing strategies in each case are very different. You will need special people and special processes in each discipline. It is quite likely that your property management services will be marketed in a very different and direct way to property investors in your town or city.
- PROMOTIONAL TOOLS: What marketing tools do you have at your disposal? Typically a brokerage will have some promotional strategies to apply across signage, Internet, the existing database, and the office or business location. Newspaper advertising is typically expensive. Online marketing and promotional activities are better value for money providing they are done well. The online marketing process will usually involve dedicated web sites, industry portals, social media, and blogging initiatives.
- CHOOSE YOUR MARKETS: Determine the target markets that you will service. The target market should be focused on the commissions that you create. The target market should also be reasonably close to your office and be matched to the skills and the resources of your real estate business team.
- BEST STRATEGIES TO USE: Compare your marketing strategies to that of your competitors. Whilst there will always be a level of generic marketing activity, certain other elements of promotion within your business will need to be specific and direct to the clients that you wish to serve. That requires planning and costs.
- COMMISSION POTENTIAL: Assess the potential commissions that you can create from your real estate business, and compare those commissions to the costs created in business activity. A full business plan will take you through the cash flow requirements of a successful real estate business. You can also do a dedicated swot analysis for the real estate business in its location and with its client base.
So there are some good things that you can do here to set the marketing objectives for your commercial real estate brokerage. Understand the factors that will have an impact on your real estate activities, and then shape your resources and marketing promotions accordingly. Track and plan your activities on a monthly basis so that you are adjusting to the pressures of the market place.